The record-union. [volume] (Sacramento, Calif.) 1891-1903, 1893-04-22
Special TO the REcoRD-UNIoN.

the Original Figures.
Special to the REcoRD-USIoS.
WASHINGTON, April 21.-At Cabinet
meeting this morning, at which all the
members of the Cabinet were present
with the exception of Secretary Herbert
OF the Navy Department, the financial
situation, it is understood, was the almost
exclusive topic of discussion. The meet
ing lasted for two hours and half, and
was the longest session of the Cabinet
since the new Administration came into
power.
When the Treasury Department closed
It's doors this afternoon the gold reserve
OF SlUO,OOO,OOO was invaded to the extent
OF from S2,500,000 to 100000. When the
day opened there was in the Treasury
ela5,OOO free gold. This amount was in
creased by gold offers from the West
aggregating about Sl,25OOOO. The large
Withdrawals of gold for shipment from
New York cut this down to such an ex-
tent that when the Cabinet met Secretary
Carlisle found that the orders for gold up
TO that time-about l o'clocll-had wiped
out the free gold and invaded the reserve
~ 'AAO lOlI Vi ,UUU.
AS far as it can be officially ascertained.
lhls amount was taken out of the gold
reserve to-day for export tomorrow, al
though it is unof1icially stated that $780,
OOO IN gold, exclusive of that taken out at
New York, was Withdrawn from the
Sub-Ireasury at Boston for export to
Canada. If so, this would make about
So'OOO,OO0 in gold. taken out of the coun-
Try for shipment tomorrow, and will
leave the gold reserve invaded to the ex-
tent of S3,O00,0O0, or the total gold in the
treasury at S97, 100000.
1t is believed this invasion is but tenn
porary, and within a few days the de-
pIeted reserve will be restored to the
original figure of Sl00,OOO,OO0.
While nothing official can be obtained
here as to the decision of the Treasury
Department in regard to the payment of
the gold treasury notes of $780, the fact
that these notes are being paid in
gold upon presentation proves conclu-
slvely that they will, for the present
at least, be redeemed as heretofore. The
construction placed upon Secretary Car
Isles statement given to the press last
night. was that when he reached the
limit OF the gold reserve he would exer-
else his discretion and pay this class of
notes when presented for redemption in
silver. To this extent only are the occur
rences of to-day a surprise. 1t can be
stated with positiveness that there was
no disagreement on the financial situa-
lion between the President and Secretary
carlisle, or among the members of the
Cabinet.
CREATED NO CRASH.
NEW YORK, April 2l.-The upper
crust of the hundred million gold reserve
has been removed and the financial
world stood by and witnessed the going
fit, and yet, tonight, in this financial
center no quakings of the earth were
felt, and folks who most are interested
are wondering why there has been no
crash of worlds nor wreck of spheres.
Indeed, some financiers are looking into
each others faces and calculating as to
whether they had been fanatic or uncan-
nily superstitious.
The engagement for gold for export
from here on steamers sailing tomorrow
ana on Tuesday amount to S6,I75. 900 and
from Boston, $4,000. There was much
diversity opinion in the financial COM
munity during the day over Secretary
Carlisle's statement. In the main this
judgment was unfavorable, and this to no
small extent, because of the statements
ambiguity.
on the stock market accommodating
bull rumors" from Washington diverted
practically all attention from the Secre-
tary's circular, but the sterling exchange
market opened in utter confusion. re-
1iecting a very unusual occurrence-a
scare among regular remitters against
foreign credits. The demand for sterling
bills this time was proceeding from
bankers doubtful about the gold pay
ment for Treasury notes, and, anxious to
anticipate their payments, were so heavy
as to force up the sterling rates to the
highest figure touched since the panic of
1881.
Over six millions in gold was engaged
for export by to-morrow's steamer, with
orders unusually widely distributed. In
the midst of this turmoil the foreign
lenders of money called in numerous
loans and these loans being drawn with
gold clause, payment i'll specie was in
at least one case demanded and obtained.
Not unnaturally, the call money market
frightened under the Withdrawals and
stock market operators were lending the
usual assistance to the money rates bid
up on the exchange.
So far as all this was the result of simple
fright, it had reassuring side. Treasury
notes presented at the SubTreasury were
promptly redeemed in gold. There was.
moreover, clear statement in several
quarters of the vexed gold clause in time
notes. The older trust companies and
many banks which TO some extent are
lenders on time, made positive state
ments to-day that they were making no
stipulation of gold payment. The for
eign bankers, with one or two trust COM
panies, are steadily insisting on the
clause. and are restricted by the bor-
rowers.
The borrowers on call to-day We're able
to secure accommodation early in the dav
at ) to per cent, but those who DELAYED
supplying their wants were forced to pay
10 to u. The posted rates for sterling
exchange raised to 1881 and 1904, and with
little disposition TO draw. The situation
improved late in the day, money was in
better supply toward the close, and was
lent as low as per cent.
According to the Sub-Treasurer's fig
ures. the net loss of gold to the Treasury
to-day was S4,6oO,O00 of which all but
$40 OOO was for export. Secretary Car
isle estimated this morning that he had
Sss5. 600 tree gold in the Treasury. If he
received none to-day from sources outside
VII tba Treasury free gold is all