Iron County register. [volume] (Ironton, Iron County, Mo.) 1867-1965, 1895-03-07
BATTLE OF THE BONDS.
Wisdom, OF the Administration In tn,
Great Emergency.

BATTLE OF THE BONDS.
Great Emergency.
The secretary of the treasury has fol-
some months enjoyed the distinction OF
being the worst abused man in the
country. It is not very pleasant po-
sition to occupy, but Mr.. Carlisle has
maintained it with his customary dig
nifty, and, so far as the world knows,
without serious disturbance to his
temper or digestion.
Mr.. Carlisle did not, of course, expect
to satisfy his critics when he arranged
the sale of the new-bond issue. 1t has
not astonished either him or his friends
that the contract with the new syndf
cate has caused him to be denounced
by the republican and populist orators
and press from Dan to Beersheba- He
has too long been their target to care
for such irecracker artillery when he
knows, and knows that the public
knows, he has done the best possible
for his country.
All the assaults made upon the gov
eminent have sought to establish two
things: That it was unpatriotic and I'M
just TO American citizens to sell the
bonds to foreign syndicate, and that
they were sold at too low a price. Few
have the hardihood to say that they
should not have been issued.
Unquestionably it would be best to
place all loans with our own people,
all things being equal. It is also true
that low price was realized for the
issue.
But every thoughtful man who care
fully examines into the condition OF
affairs must not only approve the sale
abroad, but also the bargain made with
the great banking houses which took
the bonds.
By the terms of the contract the mem
bers of the syndicate obligated them
selves to check the expectations OF
gold. The only way to do this is by
keeping down the rate of exchange,
both by importing gold and by the en-
ployment of such other means for in
fuencing the markets as lie in the pow
er of the Morgans and Rothschilds and
their associates who have great credits
abroad which may be drawn upon at
will. This is really the principal con-
sideration in the sale; it could have
been obtained from no other combina-
ton, unless, perhaps, the associated
banks of New York could have been
prevailed upon to enter into such an
agreement. It is unfortunate that they
did not rise to the situation. The New
York clearing house is made up OF
an aggregation of financiers who have
shown themselves equal to any great
emergency. While the Bank OF Eng
land had to call upon the richer Bank
| of France for assistance after the Bar
| ing crash. the New York clearing house
| weathered the great financial storm OF
| 1893 without soliciting penny of help,
and held up the whole country in SO do
| ing. Had this great association desired
to help the government it could have
| checked the gold run on the treasury
| long ago. The members have not cared
to assume this patriotic duty, strained
relations having grown up between
some of them and the secretary Of the
treasury, who has acted as he though,
best independently OF their wishes and
advice. Private pique Influenced them
to such an extent that with over eighty
one million dollars in gold coin in theil
vaults and with further stock tx
draw from of over five hundred million
dollars scattered over America, they
refused to spare one dollar to relieve
the treasury.
| Under the circumstances Mr.. Carlisle
made the best and wisest arrangement
possible. Knowing that no matter a
what price the bonds might be sold il
this country the gold would be imme
diately withdrawn and again boarded
he decided to treat with syndicate
that could not only furnish gold, bu
also give some reasonable guarantee O.
it's preservation for at least time
Only such houses as the Rothschild!
and the Morgans could give this guar
antee.
There is no sufficient ground for sup
posing that the syndicate either cannot
Or will not do much of what it has
agreed to do. It can control hostile
bankers, some of whom there must be
by indirect influences, and thus vir
tually secure the cooperation of the
New York clearing house and the great
continental and English banking in
situations. The Rothschilds have
branches in all the great money cen.
| tiers of the world-London, Vienna
Paris, Brussels and Frankfort-and
| through them can sell commercial bills
SO as to keep down on the rate of ex.
change in favor of country they are
| helping. They have been doing this
for nearly a hundred years, and this
they have no doubt agreed to do again
if necessary, for the United States.
| From now on we shall be able to
| watch for tho first time at least in
many years, an intelligent manipula'
ton of the money markets for praise
worthy and patriotic purpose. We car
hardly see how the syndicate can fail
| to preserve satisfactory gold balance
| in the treasury for many months
| There will undoubtedly be attempts to
| cut it down. Such one was Russell
| Sage's recent withdrawal of S55O,0O(
from the subtreasury and the efforts
to force gold to premium. But
| these movements will almost necessar
| i2y be individual efforts disconnected
and of little consequence when exerted
| against the syndicate's influences. A
combination to bear the governments
| portation of gold ceased as soon as an
intimation of the contract got abroad
and there is no indication that it will
be resumed. though at a time of the
| year when the tide sets its strongest tc
Europe.
| If the syndicate do what it has under.
| take nthe value of such a service can
not be overestimated. The daily loss
| to business under such conditions as
prevailed during the great gold run