The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1893-08-08
While at the Subtreasury There s an
Abundant Supply Of Both. Which Can Be
Gotin Exchange for Their Equyaleuia
Treasury Employees Working Extra
Time on National Bank Notes.
About 81 ,250.000 to Be Printed Dsily-As-
signment Of the Chicago Iron and Steel
Company, Northern Indiana Concern.


Brokers Paying Premiums Norwithssandins
the subtrensury Is Well Supplied.
New YORK. Aug. aside from the meet
ing Of Congress and Its possible action on
the silver question. together with its prob.
able effect on business in general
and the stock market In partie.
ular. the prlncipal subject of discue-
sion to-day was the continued scarcity
of nil forms or currency. notes and specie.
In fact. according to well.informed bankers.
that was in some respects the most serious
question of the day. although many Of
them were of the opinion that the difficulty
would right itself in few dsyA Others
said that she scarcity would not be re-
heved until confidence was restored. and
that would not be until Congress had re-
pealed the silver.purchase clause Of the
Sherman law.
Money brokers were to-day paying az
high as 1la to 2 per cent. for currency and
were getting as high as 30 for it in big
lots. Their offices were crowded all day,
and they were evidently doing a big busi-
ness. These money brokers are usins
every expedient 10 get currency out OF the
banks and the subtreasnry. They are buying
up all drafts on the treasury, suoh a. PEN
sion checks. postoffice drafts. mint checks,
etc.. as well as big bills. AS far as possible
the treasury is doing ell it can to prevent
the brokers getting currency out Of the
treasury.
One peculiar feature to-day in connec.
tiOn with this scaroity of cash was that
money brokers were bidding from y 30 y
NJ fnr IN -
standing that the rate of foreign exchange
to-day, it was said. for demand bills 10. S4lSt
did not warrant the importation of gold.
Sight sterling was In demand to-day IN
consequence of the offering of premium
for gold.
The Fourth National Bank to-day threw
out the account OF Zimmerman a. Forshay.
on account. as stated. of their business
methods, including the Offering OF prem
lum for current funds and exactng OF q
still higher premium when funds were re-
cold. Zimmerman 81 Forshay are large
bullion dealers.
Regarding . dispatch from Chicago that
the banks of that city intended to make
mandatory drafts on New York bsnks. the
president of one of the largest financial in
stitntions here said: ''Such talk 10 alb
surd. Nothing of the sort has been or will be
done. The Officers OF the Chicago banks
sense. Whatever threats have been
made have come from the Chicago
banks with the smallest balances
here. CHICAGO couId not 10 business with
ont keeping up balances in New York. Ii
the New York banks were to throw out the
accounts of the Chicago banks. Chicago
might as well move out INTO the middle or
Lake Michigan. When Chicago was in
trouble New York sent 10 millions upon
millions of currency. As soon it thinks
it is out of It's dilemma 1t becomes I'm
pudent. Ii 1t finds itself In another
emergency il will again ask New York for
aid" From another source IL 10 learned
that the New York banks have not and
will not refuse TO cash Chicago ohecks
when presented in the ordinary course Of
business. but they will resist any organ
| lied attempt to draw heavy amounts OF
| money from her simply for the purpose Of
| siren nRthening Western institutions.
At the subtreasury to-day it was said
| that there was an abundant supply of our
reDcy on hand, which the banks oan have
! In exchange for it's equivalent. There are
| eiso about $4,000. 600 of standard silver
dollars, which can be obtained IN exchange
| for silver certificates of either large or
small denomination.
The subtreasury was debtor to the
clearing house to-day in the sum of S97 600.
which 1t paid In treasury notes
1t is probable that the subtreasury will
| continue to be debtor each day TO the
clearing house. so that there will be no
Longer any ;e%;a5 necessity rdOpo for the the
gather In enough cash from some OF the
| large downtown banks i'm order TO pay the
| government balance. The subtreasury. OF
| course only deals in cash. and does NOT
| receive clearing house loan certificates The
| S1.0l5. .0G0 more loan certificates to-day maxi
| ing the total amount now outstanding &c.,
| 055.009. which means that the associated
banks have pledged Just O.001. 900 of their
bills receivable with the clearinghouse
loan committee as security for the loan
certificates issued.