Phillipsburg herald. [volume] (Phillipsburg, Kan.) 1882-1905, 1895-10-10


The one would have been normal
and healthy movement; the other was
abnormal, and pointed to some active
agent of mischief and danger. In
July, 1895, after another twelve.month
had passed, the situation of the treas
ury was greatly improved, 1t held
gold to the amount of 1855 100000, a
gain Of S24,70O,O0O, while the total
amount in circulation had decreased
only SlZ000,000, aud now stood at
80,275,000 La some of the months
of the two years, from July, 1893, to
July, 1895, the relative distribution
was startling in the fluctuations,
The low condition of the treasury
at times has already been noted and
with every sale of bonds the gold in
circulation was heavily drawn upon,
In February, 1894, the circulating
gold tonched it's highest figure, $527,-
358,000; in July, 1898 its lowest, S4O3,-
633, 700. AS much as S37 100000 was
lost in asingle month and 1852, 100000
was gained in one month in the fall
of 1893-the so-called "panic" month,
when $41, 100000 in gold was import
ed in August, and went into the banks,
l, O., into circulation the largest trans-
action of the kind in the history of
the United States
In the language Of the treasury re.
ports, gold lin circulation" includes
what is in the national, state and pri-
vate banks, as we'll as that very small
part which circulates from hand to
hand, as do the greenbacBs and SILVER
certificates. The distribution can thus
be carried one step further, but it is
only from the national banks that def
mite figures Of the gold are available.
The state institutions, banks, loan and
trust companies, savings and private
banks, return sometimes gold and
sometimes specie.
1t is believed, however, that the ag-
gregate stock of gold actually held in
such institutions, outside of one or
tvo cities, is very small, and not suf-
icient to produce even an indirect in
duence on the svailablesupply. Thus,
in July, 1894, 673S state and private
banks reported their gold at less than
$4,000 or less than 2 per cent of
the gold in the United States But
this must be very erroneous return.
The associated banks which form
the Ner York clearing house held in
July, 1896, $64,496,5OO in specie,
chiefly gold, Of which $l1, $4,000 was
in banks other than national. Gold
tends to flow and concentrate in the
great money centers where its high
utility can be best appreciated, An
die hoard of gold is the worst Of all
waste. At least one-half of the gold
held by banks is IN the banks of New
York and Chicago. OF the $404, $685.
700 of gold in circulation in July,
1893, $100,000,000 was held by the
national banks, leaving S303, 633, 700
Tor state and private banks and in
lividusls.
The national banks throughout the
United States reported in July, 1894,
having $l59,074,677 IN gold, an APP
parent increase over the return of
1893 of $59,OOO,O0O. OF this increase,
nearly $4OOOO0O0 represented clear
ng house certificates, leaving an ac-
,ual accession of $19,00O,000 IN the
metal, or treasury gold certificates
Even this increase was not taken
rom the outside circulation, for that |
lad risen to S33700O,OOO. and thus
gained in the twelve months more
han $33, 100000, more by $l4,0000O0
han had the national banks stock Of
,old. The treasury bad fed the bank |
holdings and general circulation as
veil as exports.
Tue report of the banks made in
July, 1895, proves that the stock OF
yold is increasing The aggregate
holding was $l71,213,437, of which
81, 315, 900 was in clearing house GER
ifcates, leaving about $l40,000,000 in
he metal and gold certificates. With |
UGH a supply available, and the in
erests of the national banks all lie in
maintaining the credit OF the govern
nent, it is absurd to dwell upon the
scarcity of gold" Producing gold
t the rate of nearly one million dol
ars week, the country has a supply
nipple to make good any ordinary