St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-08-19
VALUABLE OBJECT LESSON,
DEMONSTRATING HOW GREAT
NIGHT BE OUR NATIONAL
PROSPERITY
WITH a SOUND MONEY SYSTEM.
Henry CIeyvs Comments Some
what Pessimistically on FL
nancial Conditions.
Special to the Globe.


NEW YORK, Aug. 1S.-In his
weekly review Of financial conditions
in Wall street, Henry Clews says:
The general course of affairs in
Wall street continues to drift in the
direction which has been, from time
to time, foreshadowed in these adj
vices. While conceding fully all the
advantages arising from the healthy
natural tendency of the material in
terests of the country, we have
urged the necessity of making some
considerable allowance for the coun-
teracting influences connected with
the state of the treasury and the
unsatisfactory condition of our cur
rency system. The surprising re-
covery that has attended the efforts
of the loan syndicate in shielding
us for six months from those banefuI
financial and monetary influences
shows in the most gratifying way
the real vigor that underlies our in
duStrial resources and demonstrates
how great might be the national
progress were our money arrange
mentS as sound as our material
wealth is great. The picture of such
possibilities exhibited to us by the
magic achievements of the syndicate
has inspired an enthusiasm not en-
tirely consistent with prudent cir
cumspection. Many have forgotten
that the country has been only
artifcially and
TEMPORARILY SHIELDED
from the unsafe monetary and fiscal
| conditions, and that, when the sup
porting hand of the great bankers
is withdrawn we shall stand exposed
to the identical conditions from
which the negotiators have so COM
pletely protected us.
It is useless to expect that the mere
recovery Of business and of confidence
would fully protect us after the with
drawal of the syndicate; for the treas
ury, the real center of these troubles,
would be as much as ever without any
gold income and therefore as exposed
as before to inability to meet it's or
binary gold payments and to provide
gold for the usual exports of specie;
and consequently there would be a re-
newal Of the drain on the gold reserve.
Of course, the government would have
full authority to make another loan
of fifty millions, and there is little
doubt that Mr.. Cleveland would take
that resort. But the repetition of Dor
rowing has not been expected, and its
occurrence would have unfortunate
and possibly serious consequences;
how serious, would largely depend up
on the view taken by our foreign cred
itors; of whom 1t can only be said that
they are more sensitive about matters
affecting our large issues of legal ten
der paper than any other conditions.
These are
THE UNCERTAINTIES.
that now face us; and although the
mass of our people do not seem to
have yet appreciated their importance.
yet they can only he expected to real
ize their delicacy more and more as
affairs drift on. 1t is true that these
unfavorable contingencies are suscep-
tible of being averted by return to
the old relations, as to the use of
gold, between the banks and the treas
ury-the suspension of which has been
the chief contribution to the past
financial arrangements. But the re-
turn to gold payments by the treas
ury at the clearing house, to gold paw
ments by the banks at the custom
house, and to paying out gold by the
banks for export, is not an easy
achievement Possibly, further pres
sure may be needed to bring the banks
back to this normal readjustment to
Old conditions. The treasury, how
ever, appears to stand ready to re-
sumo those past relations, and there
seems to be good reason for believing
that any obstacle to the full resump-
ton of gold payments will not come
from Washington. But whilst there
is room for hoping that such a settle
ment may not be in the far future. vet
the TACT to the point is that nothing
OF the kind is yet in sight; and SO long
as that continues to be the case. the
policy have recommended of moder-
alton in respect to stock opera ions
appears to be the most prudent corrsa