The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-02-20
BANKER oLRws, VIEWS.
The Financial Outlook as seen Fror
Wall Streat.

W 6A SkEGeb
NEW York, Feb. lS.-The Importance
we have attached in our weekly adyioes for
some months past to the influences con-
neoted with the silver problem is at last
more than justified by the gradual deple-
tion meanwhile Of the treasury gold sur
plus reserve, due to the current large ex-
ports of the precious metal. Our silver act
of 1890 was, virtually, q pledge that we
would take off the market our current pro-
ductiOn of that metal. The promise sufficed,
for "a time, to check somewhat the growing
apprehension OF an inevitable monetary dis
turbance. The pledge, however, was
serious one. The maintenance of
1t was question Of but very
few years at most; and notwithstanding the
momentary hesitation OF congressman
whose eyes are not yet fully open to the
situation, 1t may be reasonably hoped that
the total suspension of our silver purchases
has now but q few weeks or months to wait
for its enactment. The nations that have
a considerable proportion Of silver in their
monetary systems are as actively as they
are respectively able augmenting their stocks
OF gold; partly with view TO being the
better enabled to protect their bAser coin,
and perhaps not less in contemplation of
eliminating it from circulation as soon as
possible. We are thus already in the Begin
nings Of great international struggle for
gold; with what resulting arrangements to
monetary systems aud TO International
financial arrangements it is impossible TO
foresee.
AS matters at present appear, it seems
almost out Of the question that this rush of
tendencies should prove to be comfortable
by any mere conventional arrangements
Ghe Brussels conference and its forth
coming second session seem almost too
puerile a factor to base any hopes upon in
the heat aud selfish competition of such a
struggle for gold. The question with each
OF the great commercial nations has
already become-how best to retain its
gold and how and where to get more and
it is not likely that much regard will be
shown for either scruple or cost in the
ways Of getting it.
So far as respects our own chances in this
struggle, our means of self-protection are
ample; the only question being whether we
eau depend upon ourselves to use them
wisely. Our exposed point lies in our large
misunderstanding and tixed-to for-
eign countries. Ii our credit should be
weakened by further dallying with silver,
or by the adoption of new monetary ar
rangements lacking in guarantee that our
currency will be kept at par in gold, then
we should be subject to the continued re-
turn of foreign-held securities, and in a
volume that might permanently weaken the
gold basis IN this country and correspond
iDgly strengthen 10 in Europe. For twelve
months following the enaotmsnt Of the sill
yer law, we had a sample of this sort OF
cause and effect, when not less than lO0-
OO0,000 of our securities were sent home,
and already we see symptoms Of like con-
sequences melted by the indlsposltion shown
by both houses of congress to repeal or sus.
pend the Sherman act.
nv,r. a IT, L. a.
people, showing that above all they are re-
solved upon maintaining the nations money
at par in gold is the imperative need Of the
moment. That act should be neither more
nor less than the prompt, unqualified and
final suspension OF purchases OF silver If
that assurance cannot be Immediately
formally given to our creditors, there
should be no abatemeu5 Of resolute demand
from the press and from the commercial
and financial communities that tlis halt in
our Sherman policy shall be made without
a moments needless legislative delay Such
resolute attitude OF the controlling opinion
or the country would undoubtedly
help to produce deferment Of
reallz alton on our foreign-held
securities. This really constitutes the chief
means Of protection available 60 US at the
moment, and it should therefore be attended
to with the utmost diligence IL the pres.
basing devotion to petty party considera.
tions, it will remain to be seen how much
better Mr.. Cleveland and his new congress
understand the imperative necessities OF the
situation. Once we have suspended silver
purchases, We shall then be in at least as
safe position as the other countries con-
cerned for our foreign indehtsdnesl will then
be safe against disturbance; and that being
secured it is not easy to see how Europe
viii be able 10 get from us gold with which
l6 is not to our interest
TO part But until this
kind of assurance is given, we shall stand
exposed to return of Investments that
may cost us the loss OF a considerable
further amount of our stock Of gold. The
one thing above all Others desirable as a
means Of staying the prevailing disturbance
Of confidence is-to afford assurance TO the
world that, at an early day, the United
States will oeass all additions to the silver
element in its currency. There is nothing
TO fear from the amount now In circulation,
but there is from its increase.