The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1893-04-22
FEELING IN NEW YORK.
The Decreasing of the Reserve Hai
Caused no Earthquake.

Caused no Earthquake.
NEW YORK, April 21.-The upper crust
of the hundred million gold reserve is re-
moved, the financial world stood by anc
witnessed the doing of it; and yet tonight
in this financial center no quakings of the
earth were felt, and the folks who are
most interested are wondering why there
has been no crash of worlds nor wreck Of
spheres. Indeed, some of the financiers
are looking into each others faces ano
calculating as to whether they have been
fanatic or uncannily superstitions. The
engagements for gold for export from
here on the steamers sailing tomorrow
and on Tuesday amount to IS, I've, 900, and
from Boston $750,000.
There was much diversity of opinion In
the financial community during the day
over Secretary Carlisle's statement. In
1.-THE main Judgment was favorable, and
this to no small extent because OF the
statements ambiguity. On the stock
market accommodating "buu rumorS''
from Washington diverted practically all
attention from the secretary's circular,
but the sterling exchange market opened
in utter confusion, and this conflicting
was very unusual occurrence. The scare
among regular remitters against foreign
demand for sterling bills this time pro-
ceeded from bankers doubtful about gold
payment for treasury notes and anxious
to anticipate their payments were SO heavy
as to force sterling rates to the highest
figure touched since the panic of 1884,
Over S., 900, 900 in gold were engaged
for export by tomorrOW's steamer, with
the orders unusually widely distributed.
In the midst of this turmoil foreign
lenders of money called in numerous
loans, and these notes being drawn with
gold, cash payment in specie in at least
one case was demanded and obligated :,
and not unnaturally, the call money
market frightened under withdrawal.
and the stock market operators lending
the usual assistance money rates were
bid up on the exchange. So far as all this
result was simply fright it had reassur-
ing side, as treasury notes presented at
the sub-treasury were promptly redee med
in gold.
There was moreover a clear statement
in several quarters of the vexed gold
clause in time notes. Older trust COM
panies and many banks which to some
extent are lenders on time make positive
statements today that they were making
no speculation OF gold payment. For
eign bankers with one or two trust COM
panies are steadily insisting on the clause
and are resisted by the borrowers. Bor-
rowers on call today were able to secure
accommodation early in the day at 8 to 6
per cent. but those who delayed supply
ing their wants were forced to pay to r.
Posted rates for sterling exchange were
raised to 4.8SA and 4.90k, and little dis
position to draw. The situation i'm
proved late in the day and money was in
better supply toward the close. and
loaned as low as per cent.
According to the sub treasurers the net
loss of gold to the treasury today was
"a SOC, 900, of which all but $40, 600 was for
export. Secretary Carlisle estimated this
morning that he had 1856, 900 free gold in
the treasury. If he received none today
from sources outside of New York the
treasury free gold is all gone and the
800, ZOO, 900 reserve reduced to $50, Use, 900.
This is the first time since the redemption
of specie payments that the reserve has
been cut into, counting in the subsidiary
coin as part of the available funds of the
treasury.
A difference of opinion exists as to
whether subsidiary coin should be thus
counted. If not, then the reserve has
been encroached upon seven times previ-
Gus to now. Just before the sub treasury
closed this afternoon, it was reported that
officials were notified of demands to be
made tomorrow for four millions of gold
for shipment Tuesday, and there was an
additional report, not verified, that two
millions more will be taken Monday.
OF late it has been a favorite supersti-
ton that if the reserve dropped below the
result might be disastrous, not only to
the value, but also to the mercantile com
and the fact that the shock has
been comparatively slight has caused an