The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1893-02-14

VINO nave Deeu usiuk ehls "S"AVAV w
influence the repeal Of the Sherman
act, now admit that other causes must
be looked for to account for the drain
upon u gold supply. Henry Clews "
Co. say in their last circular:
The real causes of the outflow are OF An
extraordinary character and cannot DO sat
isfactorily estimated either az TO their sx-
tent or their probable duration. Thu dis
turbing influences are partly political and
partly monetary. The startling Panama
revelations in Paris have so shaken conf
dencs in the French government as to cause
a severe contraction of credit operations by
the bank Of France aud by othe Paris
financial institutions. the natural tendency
of which has been to draw gold to that
center. Similar but more recent develop
ments Of official corruption III Italy have
given an impetus to this arrangement IN
credit o. erstions and have wiaened its
area. And the remarkable declarations of
Chancellor Caprivi as to the threatening
ornaments of the great powers and the
consequent necessity for Germany putting
herself in a position for undertaking Tag
gresaive" operations cannot but bring over
Europe a sense of its nearness TO the great
struggle which has so long appeared newt
able. but not hitherto actually imminent.
The new Egyptian question looms up as
still another disturbing factor. From sim
liar political causes Russia has Outing the
past year been steadily Withdrawing her
deposits on the continent. which are sup
posed to have gone into her military chest:
and IL ia apspapfaI that tina hnarIipn pf
Austria Hungary has also been for mill
tary contingencies, as we'll as her prepara-
tions for establishing q gold financial
basis.
A cablegram from London throws
further light on the situation. 1t says:
1.-The widespread expectancy and dread
os war in Europe is indicated in the
general scramble of the various govern
ments to get hold of all the gold they
Gan. Gold in large amounts is being
locked up, not only in the imperial
treasury of Russia, but in the store
houses of other continental military
governments. The abnormal movement
OF the precious metal is we'll understood
in financial circles; the baleful effects
OF the situation are foreseen, and the
Statist has this significant utterance:
Not only do military preparation on the
continent threaten US with the most
terrible Wal the world has ever seen,
with the greatest waste OF life and
wealth, and with a complete breakup of
the political systems OF the continent,
but they actually put a prohibition
upon new enterprise elsewhere.
Nobody can be sure for u week to-
gether of what may happen, of how the
money markets of the world may be
thrown into confusion and of how dis
astrous, therefore, every undertaking
may be made; and the injurious effects
will continue, even if war itself is still
postponed. There is naturally very
much uneasiness all over the continent
and IN every war Office throughout the
world; yet there is a hope at the same
time that the magnitude of the risks
will deter everyone from beginning the
struggle"
Here is probably the truth of the
whole situation. Europe has a bad war
scare and is getting ready for the
conflict believed to be impending.
She Is storing gold for that purpose and
parting with American securities to get
1t. If the trouble blows over, gold will
return to this country fast enough. If
it continues, there will be further draft
upon us for the sinews of war. The
failure of the Brussels conference may
have had a slight effect on the gold ex-
odus, but to charge the situation up to
our silver policy is a manifest absurdity.