New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1894-01-19
OPINION IN THIS CITY.
HOW NETWORK BANKERS REGARD THE
ISSUE.

THOSE WHO WOULD TALK YESTERDAY AP-
PROVED MR. CARLIsLE's PLAN But RE.
GREETED THAT HE COULD NOT
ISSUE THREE PER CENTS.
The announcement Of the circular Of Secretary
Carlisle inviting bids for 100000 per cent 10
wear Government bonds at an upset price of ll23,
was received in Wall Street with small boom
at the opening of the stock market Business sub
seouently fell off and in the late dealings prices
declined lQ2 per cent from the top figures 1t was
rumored Just before the break that large syndi-
cate or bankers had been organized TO subscribe
for the entire issue, but this was promptly
denied by the large banks and bond houses wnich
would probably be found in such combination OF
capital II could not be learned downtown that
any subscriptions had been forwarded to Washing
ton. The directors Of the Fourth National Bank
met and authorized the president to subscribe at
his discretion for s. 10000 bonds for the institution
The bid has not been sent in Several large houses
and institutions were asked If they had forwarded
subscriptions but their replies were negative AS
the Government leaves its offer open until noon OF
February l. there is haste necessary, Tor allot-
nents are TO be made PRO rata and therefore late
subscribers would stand the same footing with
earlier ones.
pASKERs WHO APPROVE THE LOAN.
The public comments of bankers who consented
IN discuss the subject were favorable 10 the Carlisle
programme. Many prominent financial men, now
Plny Fisk, of Harvey Fisk & Sons. one or the
larees; dealers in Government bonds. said: "The
present Indications are that the bonds will be sub
scribed for. I do not look for large subscriptions
by the National banks for the purpose OF taking
out note circulation, the per cent bonds at
current prices will pay the banks about as well as
the new s per cent bonds will. l am not prepared
70 saw whence the demand will come. But on ac-
count Of the great plethora Of money 1t would
seem highly probable that the loan VIII be SUD-
scrbed for" With regard TO the point made by
Mr. Fisk regarding National bank note circulation.
the per cent bonds regarded favorably by
bank officers because they do not mature until 1871.
or years longer than the life Of the proposed
bond.
Jesse Seligman Of j. & W. Segman & Co. said:
1.-THE step the only one left for the Secretary
TO take. 1t is pity that he was not authorized to
issue a per cent bond at par, for bond sale at
par is simpler to handle than premium bond. ana
Is better understood by the people. But the new
bonds will certainly be absorbed by the general IN
vestment demand and l think that Europe VIII
probably take some of them. We had already re-
ceved cable advices to place subscriptions for the
per cent issue Congress ought to give the Secre-
tary of the Treasury authority to make temporary
loans TO provide for needs at any time When
asked If he had yet forwarded any subscriptions
Mr. Seligman said it was premature" 10 speak
OF that.
Frederick D. Tappen president Of the Gallatin
National Bank said: "Of course approve the
Secretarys action. think 1t is great ply
though that a per cent bond could not have been
issued at or near par. Such bond would be much
popular. as people do not Ike to pay a'Ee
premium. The proposed issue VIII no douDI ne
largely 10 pay for such bonds as are de-
iWerd in this city will be provided for by the
banks naI result a" to the o;overnment however
viii be the whether The bonds ,h are
Will have to pay all the money out again III very
Henry W. Cannon. president Of the Chase Ma.
tionai Bank. said that he approved the Secretars,
p pro'S for shortime per cent bond lin
my opinion" Mr.. Cannon said. such bond would
find a reader market than longtime bona a'
Prpop Morgan of Of DreHS s MSIsf hs h1 E
DAYS out of town No expression OF opinion couid
be Lam Tn,a,Re stewart president of the United States
Trust COMPANY declared that he believed nat the
he fact that he Secretary Il cowpeeq to ad lssqf
these per ssns OF consTds to auhorze
cbnaper bond effec,ually dsposes of the talk Of
he P9sss and bsn OF the tan' The
cannot afford 5 to psB be a nset Of Congress the
Government IS unable to popularize the loan at d
low rate Of interest
r,Ir Elk OF TELEPHONES WILL De TAKEN HERE
At the Office Of Laicnburg. Thaimann * Co.
4, wa. said: Eve believe the 100000 Of Gov
ar,ment bonds will be readily absorbed. The bulk
81 the bonds will probably be taken here. European
investors do not car, much about pay,ng so hisn
bonds. The general eNtct OF tie
issue should. however. be favorable =,
The position % the savings banks IN regard to the
proposed bond issue Is being watched with Interest
heretofore these institutions have been large pur-
chasers OF the Governments obligations. Bankers
saw that the savings banks have sold many of their
C5yernment bonds 10 meet the withdrawal OF de-
nosi,s caused by the pressure Of the hard times.
II IS considered probematical how far these nsti-
fut,ons will be at liberty TO make fresh investments
al a 3 per cent basis. The National banks are re-
firing note circulation. rather than increasing IT, on
account OF the elut OF unendable money. The
tendency Of n premium bond 10 lose its premium as
les ma
cred In connection with their action especially as
the Controller OF the Currency recently ruled that
as the per bonds now outstanding have fallen
below par any bank depositing substituting
these bonds 10 secure circulation must make up the
difference between the market price and par. The
use OF the proposed per cent bonds FOR circulation
would compel the banks 10 take them practically
at ~, they Issue notes only 10 the extent
OF 20 per cent 0. the securities deposited
Bankers are rot worried AT the attacks on the
authority o. the Secretary OF the Treasury issue
bonds under the Specie RESUMPTION act which have
been made ~ Congress by Iopust and sverite |
Senators IL Is not believed that the efforts Of
these men VIII be taken seriously BY the majority
~ Congress IL Is also hoped that the loan asked
by Mr. Carlisle will help TO defeat the project Of
authorizing silver certificates 10 be issued against
the "se.g!oroge" silver bullion In the Treasury |
LONDON WANTS PART OF THE BOND ISSUE |
London jan ls.-The issuance by Secretary Car !
Isle Of a circular inviting subscriptions for bonds
was the chief topic Of conversation on the Stock |
Exchange to-day. The consensus Of opinion was I,