New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-12-21
COLD AND INTERNATIONAL QUESTIONS.


II would he hasty to attribute the outgo OF
gold this week wholly mainly to the dis
turbance in foreign relations. There has been
considerable selling by foreign holders OF Ameri-
can securities. though largely Of a speculative
kind. not so much by men who themselves be-
lieve that such securities are less valuable, as
by men who imagine that somebody else may
SO believe. and hope therefore to make turn.
The shipments Of gold are somewhat larger than
were expected last Saturday, but were then de-
ferred for a day or two, people understood. so
that considerable shipments on account or the
Bank OF Germany were TO be looked Tor This
week Presumably large proportion OF the
outgoing gold has been in answer to demands
which were fully measured n week ago.
Some remarkably inaccurate statements as to
foreign Indebtedness have recently been pub
lished which need correction 1t has been stated
that interest due abroad on American securities
held there. with dividends or profits on Ameri-
can property owned abroad. amounted to S2oo,-
600 900 yearly. 1t is clear that the aggregate OF
foreign ownership, including securities Tor debts
and titles 10 property here, does not exceed
about $11OOOO0O0O and the annual income de-
ryable from such investments Is not more
than about S5OOOOOOO II 80 much. Most Of the
bonds taken abroad by the syndicate this year
have been returned, but railroad securities in
somewhat larger amount. it is probable, have
been introduced by the syndicate to their foreign
customers and investors abroad.
Some persons who have more tmdity than
sound sense imagine that the entire body Of
foreign securities will he speedily sent hither. In
event Of any international difficulty so that the
country will be called upon to pay far more than
il is able to pay az once and that gold payments
may thus be rendered impossible. There Is no
occasion for borrowing trouble. large pro
portion OF the foreign holders of American So
curties or properties know that these are safer
and more likely TO pay well in any contingency
whatever. than any other securities purchasable
abroad A little calm reflection VIII help here.
Bonds and stocks of the great American rail
roads would not he rendered less valuable by
any conflict but in all probability would gain
In earnings and in prices. Securities of interior
municipalities Of iron and brewery and cattle
and land companies would be as valuable as
they have been, IL not far more valuable. The
possible disposition to ship such securities TO
agents on this side, avoiding the appearance OF
foreign ownership, Is not 10 be forgotten, and
might so easily command various devices thai
the motive for selling would not be particularly
urgent.
Strong fnanccrs will not be all OF one mind
about American investments. 1t Is conceivable
that individuals in Germany, France and llol-
land might be buying even while other ln1ivid-
| uas might be selling. A great amount Of Con
tinental money may come here for investment. In
case of any considerable decline in American
| securities and that because equally attractive
| opportunities for investment are rarely 10 be
| found in other countries. But the people Of the
| United States are willing 10 own their own
mines and factories and mills. M price and
| II would not be the greatest misfortune comedy
| able If large number of foreign holders should
| make haste TO sacrifice their holdings. AS 10 the
| question OF payments, that brings up nj once the
| problem Of duties ON imports. Al present the
| country is spending a large slice OF its earnings
| in buying foreign goods. II II should buy less
| for time il would have more money to cXpend
| for other purposes. Americans are not hungry
for any trouble with foreign Powers. But they
/ have no occasion to ignore the natural advan'
| tages which their enormous undeveloped or par
| italy developed resources and their unrivallcd
| growth give them.