New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-01-26
A BOND ISSUE IMMINENT.
THE GOLD RESERVE IS NOW DOWN
BELOW s57oOo.OOO.

WEEK THE LARGEST ON RECoRD-BANKs ARE
| BOARDING THE YELLOW METAL AND WILL
NOT COME TO THE AID OF THE GOVERN
MENT AGAIN UNLESS THEY GET CAST
IRON PROMISES OF FINANCIAL RE-
LIEF FROM wAsHINGTON-THE
FEELING IN WALL STREET.
The amount of gold Withdrawn from the Sub
Treasury yesterday makes the total for the week
the largest for any one week on record; and the
Governments gold reserve is at point where a
bond issue Ia considered advisable. II Is believed
In Wall Street that the Administration will issue
a call for Government loan at the beginning Of
next week. and that Charles s. Fairchild, ex-
Secretary OF the Treasury, will represent the Ad-
ministration here in effort to float the bonds.
The amount of gold Withdrawn yesterday which
was s. 750. .O00 was telegraphed to Secretary Car
lsle and the low condition of the gold reserve
believed in Wall Street to be the principal
subject OF the Cabinet meeting In Washington
The enormous amount OF gold taken out this week
has caused uneasness in the banking community,
and the lack Of confidence in Congress by bank
ers and others has caused what Is now evident,
the boarding Of gold
Besides the Withdrawals of gold coin yesterday,
Sl.Oo0.000 in gold bars were taken out and were
deposited with safe deposit company The
amount OF gold which will be shipped to-day Is
about S. 500 00O The Treasury officers In this city
acknowledged yesterday that the situation was
interesting and also serious. and they said that
something must be done at once
In the banking community gold exports and a
bond issue were the chief topics Of conversation
and discussion I'm bankers offices and on the
floor OF the different exchanges. and also at
,,,,it and af
a meeting Of the directors OF the National Park
Bank.
The fact that the withdrawal OF gold from the
Sub-Treasury for the week the largest for any
one week in the history OF the Sub-Treasury, that
the rates Of foreign exchange and the scarcity OF
commercial bills in this market will help to con-
tnue the export movement and that the gold ie-
serve Is below s57.O00O0O were sufficient reasons
for making the present situation one OF absorbing
interest.
There was n regular meeting OF the Clearing
House Committee yesterday and after the regu-
lar routine business had been transacted several
bank presidents who not members of the
committee were called in and the gold situa-
ton was discussed informally. After the meet
ing those present said that the tremendous gold
withdrawals had. OF course led to general
they took no pains to conceal the fact that they
were disgusted with the Administration and the
present Congress which have brought the coun-
try - such "A condition.
At the National Park Bank the directors met
Yesterday, and r. X. Wright. the president. made
a statement of the banks position on the gold
question Mr.. Wright favored the issue by the
Gov.rument Of s5oo.aeo.oOo in per cent bonds.
principal and interest payable In gold coin OF
the present weight and nneness.
The amount of gold withdrawn from the Sub
Treasury yesterday. t5.75OO00. made the total for
the week sl2O5Oooo. The largest previous
amount in one week $975.000. for the week
ending June 23 1898 This leaves the gold re-
serve at s5s.724,i2s.
MEMORABLE INCOMPETENCE.
Tho refusal Of the present ignorant Congress
,o mass revenue measures which will fortfy the
National Treasury and the stubbornness Of the
head of the Treasury Department. or else his
lack of financial wisdom. which has made II I'M
possible for the bankers OF New-fork ana OF
other leading monetary centres to place faith or
confidence I'm him will be- written down In history
az the leading factors in the gold export move
ment Of the last two years Friends OF the Ad-
ministratio defend II when the charge OF the
gold exports is laid at its doors by saying that
the outward movement ~ purely a commer1ai
transaction which happens to be slightly above
the average To be sure gold would have left
this country In the last two years II the united
States had been enjoying sounder financial
policy but II would have been n normal move
meni-a movement to settle this countrys usnai
obligations abroad But the present gold move
ment IL not a normal one II Is caused largely py
the lack OF confidence foreigners nave In Amer
lean securities and in the lack Of ability OF the
Democratic Administration to preserve the Ma
tons credit.
RANKS IIOARDING THE YELLOW METAL.
Besides the amount Of gold which has been
Withdrawn from the Sub-Treasury for export
large amount Las been taken out by the bahKs'
whose gold supply is now enormous. with all
their gold however. there does not seem 10 De
any chance Of their giving 1t up again To me
Treasury and leading bank presidents nave s,'iu
In the last week that under no cohsuel.,tion .t
would they help Secretary Carlisle out uhiess my
had cast-iron promises that financial reiei Heas-
ures would be passed by Congress- IL - Sup-
posed In Wall Street that the expected BOND issue
will be for the amount as the last one mus
making the Governments recent Liabilities on ,he
bond account $3.50 0000 900. besides Interest gre,er
than when President Cleveland went into power.
The bankers In this city object to bona issue
which IL not marketable abroad IL seems, nov
ever that the next issue Of bonds VIII nave ~ nc
doated with domestic capital which will be with
drawn again from the Treasury almost as soon as
II is put In All this time. however goIu WI.
continue 10 go aDrOiu, anu
wants must be met and the gold reserve replen-
shed by frequent issues OF bonds on the pieSe 's
hass tho ability Of the country to supply the gold
for the Government and for the demands Oh Bo'u
exporters will be taxed to Its utmost
A PREMIUM ON GOLD BARS
In the last week the Government has oHereu u
exporters gold bars instead of gold coin II they
would pay premium Of one-eighth OF per cent
equal to 81 25 on $1,000. On account OF the srea.
amount OF lightweight coin furnsheu py sme
Treasury exporters have been buying gou pais
recently from the agents OF Western smeters at
premium Of one-tenth OF per cent, equai 10 - on
81 900. They have refused to buy goid D,s oi tle
Government at a larger premium, ana they con-
tend that the Government has no rght 10 cna!se