Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1893-04-22
THE FINANCIAL SITUATION.
Free Cola Wiped Out and the Gold Re-
serve Misunderstanding to Bond I5iuc.
IBy telegraph 70 the Dispatch.l

WASHINGTON. April 21.-At the Cabinet
meeting this morning. at which all the
members of the Cabinet were present with
tho exception of Secretary Herbert. Of the
Navy Department, the financial situation,
II l. understood, was almost the exclusive
topic OF discussion. The meeting lasted
for two hours aud a half and was the
longest session OF the Cabinet since the i'd
mlnistTgtiOn came into power. When the
Treasury Department closed its doors this
afternoon the gold reserve of SEQ 0OO,OO0
had been invaded to the extent Ct
-. 600 to S3,000,000. When the day
opened there was IN the Treasury
SlSj. OG0 Of free gold. This amount was
increased 10y gold offers from the West
aggregatlng about Sl,250.C00. The large
shipment OF gold from New York. amount
ing TO more than S5.O00,00 cut this down
to such an extent that when the Cabinet
met Secretary Carlisle found that the or
dcrs tor gold ~ 20 that time about
o'clock bad wiped ont the Iree gold and
invaded the gold reserve - the extent OF
12.5J1 600.
FOR Export TO CANADA.
As far rs it can be officially ascertaired
this Is the amount taken ont OF the gold
reserve to-day for export tomorrow, al
though II IS rnOfiiclaliy stated tnat $7OO,-
900 IN gold exclusive Of that taken ont at
New York had been Withdrawn from the
sub-1reasury at Boston tor export 70
CaAlda. Ii so, this wOuid make about
s. coo 600 IN gold taken out Of the country
Tor shipment tomorrow and leave the gold
reserve invaded 10 the extent or Si,UOO,-
OU0. or tho total gold N the Treasury ut
S3G,0C0.0G0.
j. Is believed that this invasion IS but
temporary. and that within few days the
depleted reserve will be restored TO us
usual value Of @lOO0OO,OO0.
REDEEMED A USUAL.
While nothing Official IN shape of an
order can be obtained here as TO the de-
cisiOn OF the Treasury Department IN re-
gard 10 tie payment IN gold OF the lrea-
sury notes Of 1890, the fact that these
notes are being pald in gold upon presen,
tatiOn proves cOncluslvely that they VIII
be redeemed as heretofore. The con-
stTucuon placed upon Secretary Carlisies
statement gwen to the press last night
was that when he reached the limit of the
gold reserve ho would exercise his dlscre-
ton and pay this class OF notes when pre-
seDted for redemption in silver. 10 thIS
extent only are the occurrences ot TO-DAY
q surprise.
It Is the opinion of some OF the most
conservative flnanc!ers IN the treasury
circles that this action of the Government
IN continuing to pay the notes OF 1890 III
gold must inevitably lead IN the near future
TO bond issue, as the rate OF exchange.
which Is TO-DAY 4J0 20 49Uis. Is the highest
that II has Leen fo- eight years and would
OF itself, We're there no eXtemporaneous
causes, lead 10 large export of golG simply
tor commercial purposes. lt IS calculated
that the goldshippers at the present rate OK
exchange make cents on eyery go OF gold
exported. and with the balance OF trade
largely against US. and as IT IS likely TO con-
tInue 50. the rate of exchange will also
probably remain high and gold shipments
continue for some time TO come or until
the balance of trade changes III our favor.