The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-08-31
Senator shermnn's speech.

It was I2:35 p NJ. when the bill to repeal
the sherman act was LAID before the Sem
ate, and Mr.. Sherman proceeded to address
the Senate. He said that the immediate
question before the Senate was whether th g
United States should suspend the purchase
of silver bullion under the act of July. 1890.
1t was to decide that question that the
President had called Congress together in
special session. If that were the only
reasoa for the extraordinary session. 10
would seem 90 him insufficient. The mere
addition of Is. .O00. 900 ounces of silver to the
mass of silver in the treasury. and the ad-
dition OF $780, 600 treasury notes to the
thousand millions outstanding. would hard-
ly Justify the call. The call was Justified.
however, by the existing financial etrin-
gency. growing ont OF the fear that the
United States would open It's mints TO the
free coinage of silver. This was the
real Issue. The gravity OF il could not be
gold were had. without the aid or silver,
the relations between capital and
labor would be disturbed, the indus
tries of the country crippled and the value
of silver still further reduced. On the
other hand. if the purchase of 54.OO0,OO0
ounces of silver per year were continued
the United States would be eventually
brought 60 single standard OF silver. On
one thing Congress and the country agreed
that was. that these two extreme condi-
tions should be avoided. and that both gold
and silver should be continued in use as
money. as measures of value. The problem
which Senators had TO solve was how 10
procure the largest use OF gold and silver
without demonetiziDg either.
Mr.. Sherman went on to givefa history OF
the circumstances hich led mp TO tie pas
sage of the act of July. 1870. It was far
better law, he said. than the bill which the
House had then passed or the bill which
the Senate had passed. Senators who criti.
cised It ought To remember that &c was q
substitute for bill OF the House aid Tor 10
bill of the Senate. either OF which would
have been moro dangerous in it's results
than the law OF 1890 was.
Since 1880 the banking houses of England
had become involved In difficulties. Eng
land had investments amounting 90 him.
dreds of millions in the Argentine Confed-
GRAFTON. by some sudden collapse in those
Investments the great banking house OF
the Barings was topping 90 it's fall. when
the Bank OF England and the other bank
ing houses came TO the rescue and OBJ
pained oney from France and other coun-
tries of Europe. The Immediate result Of
tina. was that the American securities were
sent home for sale. ana their proceeds in
gold were ehipped back 10 pay the Losses or
Great Britain III the Argentine Confedcra.
tion.
BALANCE OF TRADE AGAINST US.
There had been still another tIonble.
For the first time in many years the bal.
ance of trade had turned against the
United States last year. Hitherto the ball
anoe had been in favor OF the United
States to the amount of fifty. one hundred
and sometimes two hundred million dollars.
The last fiscal year the balance Of trade
was against the United States TO the
amount of SlS 735. Goa. Whether &c would
be SO next year no one could tell. lie be-
lieved that with the crops now ripening
the balance of trade would probably be In
favor of the United States this year. and
he believed that the forced economy which
always followed o panic would be. OF It-
necessary imports. SO he hoped that next
year there would be 40 difficulty in the
matter of balance of trade.
Something had been said yesterday by
the Senator from Colorado Dir. Teller
about the loss on the bullion purchased
under tho act of $780, Inc average price
paid for it was 744 cents per ounce. aud the
loss, calculated on the value of silver to-
day, was S22. 345. 1856. lt would be remem-
bered that treasury notes had been issued
for the $50 000. 600 ounces of silver purchased.
10 the amount ofits ecst: that no interest
was paid on these notes; and that they had
BEEN used by the people as current money.
Suppose" said Mr.. Sherman. that this
provision had not been made IN 1890. Sup
pose that we had been compelled to face
the storms which followed 1s90-the losses
by Investments in the Argentine republic.
the faliures of Australian banks and all
those other troubles-wlthout having any
Increase of currency. Who can tell whae
the result might have beenf suppose the
Sherman law had not been on the statute
booki Who can tell what would have been
the conseauence 70 the country from the