The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1895-01-29
TUESDAY, JANUARY %. 1895.
Another Message.

The communication which President
Cleveland sent 10 congress yesterd ~
Is not message-it is an appeal. The
administration has come within sight
of the tight-board fence at the end of
the alley; it has gone about as far as it
can go.
In his December message the presi-
dents bland announcement was that,
If congress did not see fit to cooperate,
the administration would sell bonds
right along under an act passed nearly
many years ago. That was a good
enough bluff, but the question at
which Mr.. Carlisle is staring to-day is,
can we market the bonds Evidently he
is in doubt about IT. "These bonds"
saws Mr.. Cleveland's message of yes
terday, ISSUED under the old plan are
payable in coin, instead of specifically
in gold, which, under existing condi-
tions, detracts largely and in an in
creasing ratio from their desirability
as investments"
Mr.. Carlisle tloated fifty millions in
bonds about a year ago. Thereafter
he wanted congress to vote new
style of issue Congress refused,
whereupon, in November of last year,
Mr.. Carlisle foated fifty millions more
The demand of the market now is for
longtime bond payable definitely in
gold; the administration manifestly is
afraid that nothing short of it will
float Hence the presidents personal
appeal.
In Mr.. Cleveland's earlier expert
~ a
conlronts us. The revised version, as
used yesterday by Mr. Cleveland, is
that "a predicament confronts u.s."
That's the right word Mind you, those
who admit "A "predIcament" to-day are
the men who couldn't even wait for
the regular session of congress in 1893.
They knew what allied the country in
that year of collapse they got an
extra session of congress their prom
Use was that the country would .be
right side up again as soon as silver
was stamped out They promised
rosperty-within eighteen months
they confess a predicament.
What both RS Mr.. Cleveland is his
hundred-mlllion reserve Often the
STANDARD has tried TO make clear the
function of this fund and the funny
operation of outstanding currency
against il. Let us quote the presi-
dents language:
We have outstanding about $500 OOOOOO in the
currency OF the government for which gold may
be demanded, and, curiousiy enough, the law
REQUIRES that, when presen ed aud in fact re-
deemed and paid In gold they be reisSucd
Thus the same notes may do duty many times
drawing gold from the treasury, nor can the
process be arrested as long rs priva parties
who profit thereby see any advantage In repeat
ing the operation More than S3OO,OOJ.Ol0 OF
these notes have already been redeemed In gold.
and. Notwithstanding such redemption, they ara
al outstanding. since the l7th of January, 1894,
our bonded interest 'aring debt has been in
creased SfO0 OOO,OlO Tor the purpose OF obtain NJ
gold to repenish our coin reserve.
Two issues were made, amounting 10 S5O.-
10000 each, one In January and the
other IN November. As a result OF the first Is
sue there was realized something moro than
SIS 10000 IN gold Between that issue and that
succeeding IN November, comprising a period
Of about ten months, nearly SiO3.OlO,OOO in gold
were drawn from the treasury. This made IN
second issue necessary, and uuOn that more
than S,.0O.u0O IN gold was again realized. BE-
tween the date OF this second issue and the
present time. covering a period OF only ahou
two months more than Sd9.00l 100 In gold we're
expended without any cancellation of govern
meut Obligations or In any permanent way BEN
euung our people or Improving our pecuniary
situation.
How does this rotary process hap
pen? On Monday of last week Mr..
Brooks Adams, man honored for his
scholarship, addressed a large COM
pany of gentlemen at a banquet in
Boston. He used TO be a mono-metal-
list, but he declared his conversion TO
blmetalllsm. One sentence in the adj
dress uses an instructive word which
we put in italics by splitting the
measure of values in two" said Mr.
Adams, land discarding one half. a
scarcity value has been given 10 the
gold which remained, which caused II
TO appreciate relatively TO all other
commodities, including silver" The
words scarcity valuation" have apt
application Not all the gold drawn
out of the treasury goes abroad. some
of il IS boarded At home, but much of
IL goes abroad t. increase the reserves
held by several Of the powers IN
Europe: the STANDARD lately printed
the figures showing the enormous
number OF millions 10y which the treas
ury or bank reserve in France. Ger
many and Russia was increased last F..
year
IL Is true, as Mr.. Cleveland saws. that .
this reserve Of a hundred millions Is I
liable TO be called upon al any mo-
ment 10 redeem currency 10 i've times .
that amount. The demand never les /