San Antonio daily light. [volume] (San Antonio, Tex.) 1886-1907, 1893-08-08
THE MESSAGE
OF President Cleveland
Sent to U. S. Congress
at Noon, To-day.
SAYS THE SHERMAN LAW MUST
BE REPEALED.
WASHINGTON, D. c., Aug. s, 1898.

To the Congress of the United States:
The existence of an alarming and ex-
traordinary business situation. involving
the welfare and prosperity OF all our peO-
pie, has constrained me to call together.
in extra session, the peoples representa-
tives in Congress, to the end that their
wise and patriotic exercise of the legiSla-
tive duty with which they solely are
charged, present evils may be mitigated
and dangers threatening the future may
be aver ted.
Our unfortunate financial plight is not
the result of the untOwerd event. nor OF
the conditions related to our natural re-
sources; nor is it traceable to any of the
Affections which frequently check nation
al growth and prosperity. With plenteouS
crops; with promise of remunerative pro-
invitation TO safe investment and with
satisfactory assurance to business en-
terprise; suddenly financial distrust
and fear have sprung up on every
side. Numerous moneyed institutions
have suspended because abundant
assets were not Immediately available to
meet demands of frightened depoSitors.
surviving corporations, and individuals
are content to keep in hand money, they
| are usually anxious to loan, and those en-
gagged in legitimate business are sur
priSed to find that the securities they
offer for loans, though heretofore salts
factory, are no longer accepted. Values.
supposed to be fixed, are fast >becomming
conjectural, and loss and failures have
believe these things are principally
chargable to congressional legislation
| touching the purchase and coinage of sill
yer by the general government. This leg
| islation is embodied in the statute passed
| on the 14th day Of July, 1890. which was
| the elimination Of much agitation on the
| subject involved and which may be con-
I'sidered a truce after long struggle be-
| tween the advocates of free silver coinage
| and those intending to be, more conServa
| tive. Undoubtedly the monthly pur-
| chaseS by the government of four
million and five hundred thousand
| ounces of silver. enforced under
| that statute, were regarded by those
interested in silver production as GER
| tain guarantee of its increase in prices.
| The result, however, has been entirely
different. for Immediately following "a
| Spasmodic and light rise, the price of sill
yer began to fall after the passage Of the
| act, and has since reached the lowest
| point ever known. This disappointing re-
1 suit has lead 10 renewed and persistent
| effort in the direction of free silver coin
age. Meanwhile, not only are the evil
effects Of the operation of the present
Il
| the result to which its execution must
inevitably had, is becoming palpable to
| all who give the least heed to financial
| subjects.
This law provides that in payment for
| four millions and five hundred thousand
| ounces Of silver bullion, which the secre-
| tary OF the treasury is commanded to
| purchase monthly, there shall be issued
| treasury notes, redeemable on demand in
r,nl diSPrntinn
| the secretary Of the treasury, and that
| said notes may be reiSsued. 1t Is, how
| ever, declared in act to be 1.-The established
| policy of the United States to maintain the
two metals on parity witheachOther on
| present legal ratio or such ratio as may
| be provided by law" This declaration
| so controls the action of the secretary of
| the treasury as to prevent his exercise OF
| discretion nominally vested in him. II
| by such action, parity between gold and
| silver may be disturbed, manifestly re-
| fuSal by the secretary to pay these treas
| ury notes in gold il demanded, would
| necessarily result in their diScredit and
| depreciation, as obligations, paybale
| only in silver. would destroy the parity
| between the two metals by establishing
| discrimination in favor of gold. Up TO the
| fifteenth day of July, 1898, these notes had
| been issued, in payment OF silver bullion
| purchases. to the amount OF more than
| one hundred and forty-seVen millions Of
| dollars. while all but very small guam
| tity of this bullion remains uncOined, and
| without usefulness in the treasury. Many
| of the notes given in its purchases have
been paid in gold This is illustrated by
| the statement, that between the first day
| of May. 1892, and the 18th day OF July,
| 1893. notes of this kind issued in payment
| for silver bullion amounted TO little more
than fifty. four millions of dollars, and
that during the same period about 49,
100000 of dollars, were paid by the trea-
sury in gold for redemption of such notes.
The policy necessarily adopted Of paying
these notes in gold has not spared the gold
reserve of one hundred millions
of dollars long ago set aside by the gov
eminent for the redemption of other
notes, for this fund has already been sub
iected to payment of new obligations,
amounting to about one hundred and fifty
millions of dollars, on account OF silver
purchases, and has, as a consequence, for
| the first time since its creation, been en-
croached upon. We have thus made de-
pletion Of our gold easy and have tempted
other and more appreciative ma
lions to add it to their stock.
That opportunity we have offered has
not been neglected as shown by the large
amounts of gold which have been recently
drawn from our treasury and exported to
increase the financial strength OF foreign
nations. The excess of exports of gold over
its imports for the year ending June 3Oth,
/ 1893, amounted to more than eighty-seven
and half millions of dollars. Between
tie lSt day OF July, 1890, and the 18th day
of July. 1898, the gold coin and bullion in
our treasury decreased more than one
hundred and thirty-twO millions OF
dollars. while during the same period
the silver coin and bullion in the