New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-12-27
TALK ABOUT THE BONDS.
WALL STREET THINKS ANOTHER sYNDI-
CATE HAS BEEN FORMED.

NEITHER AUGUST BELMONT NOR j. PIERPONT
MORGAN WILL CONFIRM OR DENY THE RE-
PoRT-Ir is BELIEVED THE ISSUE
WILL. BE PLACED IN THIS couN-
TRY-EFFECTs ON STOCKS
All the talk in Wall Street yesterday was about
the forthcoming issue 4 Government bonds. It
was believed that contract had been entered
into for the sale by the Treasury Department to
O syndicate headed by j. Pierpont Morgan and
August Belmont OF 800 900 thirty-year per
cent coin bonds. for which fve-year per cent
coin bonds could be substituted in case Congress
should authorize their emission before the Treas
ury gold reserve had fallen to s5oOOOOoO
Mr. Belmont spent part Of the day with Mr.
Morgan at his office. at Wall and Broad SITS. and
Pllny Fisk. of Harvey Fisk & Sons and President
John A. Stewart. of the United States Trust Com
pany. who had an important part in placing the
three previous issues of Government bonds called
upon them 1t supposed that the work of
making up the syndicate TO underwrite the bonds
was in progress. There were some other callers at
SIR. Morgans office. including President Henry
w Cannon. of the Chase National Bank: Presi-
dent John l. Waterbury. CT the Manhattan Trust
Company. and President James Stillman. of the
National City Bank Neither Mr.. Morgan nor
Mr. Belmont would say anything the subject
Of the bond issue.
II was believed that no particular effort would
be made to sell any of the bonds abroad. al
though on this point there no definite IN
formation. II was thought that if nothing more
good impression would made In Europe by
selling the entire lot OF bonds in the United
States II would at leas. show foreigners that
this country could supply the needs Of the Gov
ernment without assistance
THE SALE PRICE.
II was assumed that II per cent bonds were
issued they would be sold to the syndicate at
lo41. while II per cent bonds were issued they
would be sold at par or. in other words. at 100
There was report that the arrangements
were for the Treasury Department to pay the
syndicate a commission for placing the bonds
instead of selling the bonds to the syndicate
outright. This report could not be confirmed
and II was doubted. for the reason that such
q deal would not be likely to include an ooiga-
fion to find a market for the whole issue.
There was renewal Of the story that gold
was bringing premium. 1t was true that one
twentieth of per cent above par was paid for
100000 In smelters' bars, but that extra sum
was merely the amount Of the regular broker s
commission. The Government makes an extra
charge for bars. but that has never been con-
eidered a premium. Bars are preferred 10 CON-
because "
handling Gold exported is taken to Europe
by weight whether 1t is in bars or coin. Ihe
receipts Of Western smelters bars In YORK
rms from, 81 900 900 to s3 900 a month.
President A. Il. Hepburn. of the Third Ma
t,onal Bank who was formerly Controller of the
Currency said: Il imagine that the bonds OF
most Of them, will be sold in this country. III
the cable dispatches truthfully represent senti-
ment on the other side, there will be no denaho
for them in England Germany has never
bought any of Government bonds exsept
at the time Of the war, when II took some at
90 cents on the dollar in gold. France has
never bought American securities OF any Kihd'
The issue Of bonds must be underwritten by
svnd,cate. An effort was made to dispose at
nubIlc Offering of the first issue under Ihe
present Administrati m. II was failure. ne
bankers had to take hold ana ilhu DuS a. an
the bonds. II requires prestige TO noa' an
issue of bonds"
NOT IN THE SYNDICATE.
r. C. Benedict banker and broker and Presl-
dent Cl,7eland's intimate personal friend saiu'
81 am no: connected with any syndicate 10 pur-
chase the issue OF Government bonds when ID
talked o. doubt If the issue will be as large as
800 900 900 because SO lalge an amount does not
seem TO be required l should say that an issue
Of $50 900 900 would be large enough. There VIII
be no difficulty in disposing Of the bonds "hat-
snapped up"
The stock market was kept strong by the pros
meet that the Treasury gold reserve woud De
restored at an early date by the sale OF Dor is
Some Of the principal gains were: Ane,ICan i re IL
Sugar 3ss, Canada Southern Ia Consoliua'eu ',I "
2 Delaware and Hudson 1b, LackaWanna az;
Metropolitan Traction IL and Michigan Centrai
ga Where losses were recorded they were, a. d
rule the ssGck H was closed on
count Of "Boxing Day" and there were no lorelsh
quotations for American stocks, but orders WIZ Meie
received from the other side 10 MAKE pun
here ,, sor, tho
Robert L. Dunbacher was suspended from t the
Consolidated Exchange for failure TO pay t the
difference against him his Clearing House
sheet He was short Of sugar, and STOCK was was
bought in under the rule to complete ms con
tracts He was involved TO the extent OF oiity ni
$4,000 He joined the Exchange May lO' io'f'
We was employed as bookkeeper by Stet-
theimer g. Bettman, Of No. IL BROADWAY Du,
specuated on his own account ne SEM wa" moi"
because he fell from a cable car and Drcke MS
leg while on his way to business lie PROMISED
70 pay up in the twenty-four hours a'io"eu HILL
RATES FOR CALL MONEY.
The highest rate reached for call money was
per cent The final loan was made at o per
cent. Sterling exchange was easier NO gold
was withdrawn from the Sub-Treasury or the
Assay ONCE for export. while $l55,ooO In goid
coin WAS turned in to the SubTreasury by
civ hanks in exchange for greenbacks. There
was a teegraphic transfer of $25OOOO in cur
rencv 10 New-Orleans through the Sub-Treas-
ury. .,
The following preamble and resolution were
edopted at a meeting OF the members or the
Produce Exchange in the boardroom'
Whereas. The members OF the YORK Pr9duc :
Excaange view with concern the depletion OF the
gold reserve OF the United States Treasury re,
Cutting in dstrlIst OF Governments aDility ana
Sc,orrS1,nation m 10 meet its Obligations tending TO
gravely injure all business interests ana us
sstrousv affect values. therefore, <,
Resolved That We strongly urge upon Coherssrss
the necessity OF taking, in accordance WIN tne
recommend dations contained in the recent message
OF PRESIDENT Cleveland such immediate acton az
fhis time az will meet the exigencies OF the case anu
ras,ora IN nubc confidence in the financial ability
snS in,egritv Of our Government and we appeal