The diamond drill. (Crystal Falls, Iron County, Mich.) 1887-1996, 1895-12-28
ASKED TO ACT.
Cleveland Sends Congress Spe-
cial Message on Finance.
a Critical Condition In Wall street. and
the Standing OF the Gold Reserve
Calls Out the Document
Needed Legislation.

the causes ana tufnhn OF tNN uCltcNtou "
gold were explained. II was therein stated
that after all the efforts that had boon
made by the executive branch or the gov
eminent TO protect our gold reserve py
the issuance OF bonds amounting 20 more
than sl62 900 900. such reserve then amount-
ed 20 but little more than 5000. 900: that
about $500 900 had been withdrawn from
such reserve during the month next pre-
vious 20 the date OF that message. and that
quite large Withdrawals Tor shipment ~
the Immediate future were predicted.
The contingency then feared has
reached us. and the Withdrawals OF gcic
since the communication referred TO and
others that appear inevitable threaten
such a depletion In our government gold
reserve as brings US face TO face with
the necessity OF further action for its pro-
lection. This condition is intensified by
the prevalence In certain quarters OF sud
den and unusual apprehension and timidity
IN business circles. We are In the midst OF
another season OF perplcxity caused by
our dangerous and fatuous financial OPP
erntions. These may be expected TO recur
with certainty as long as there IL no
amendment In our financial system. III In
this particular instance our prcdicament Ia
at all Influenced by a recent insistence upon
the position we should occupy In our re-
lntions TO certain questions concerning our
foreign policy, this furnishes a signal and
impressive warning that even the patriotic
sentiment OF our people II not an adequate
'Of course there can be no doubt In any
thoughtful mind as TO tho complete SOL
yency OF our nation. nor can there be any
Just apprehension that the American peo-
pie viii be satisfied with less than an honest
payment OF our public obligations In the
recognized money of the world. We should
not overlook the fact. however. that
aroused fear Is unreasoning and must be
taken into account In oil Efforts TO avert
public loss and the sacrifice OF our peoples
I 81
our recurring troubles can only be effected
by complete change In our financial
scheme. Pending that. the executive
branch OF the government will not relax
It's efforts nor abandon. its determination
TO use every means within it's reach to
maintain before the world American
credit, nor will there be any hesitation In
exhibiting its confidence In the resources
OF our country and the constant patriotism
of our people.
alton now confronting us. have ventu-ed
TO herein express the earnest hope that the
congress-. IN default OF tho Inauguration OF
better system OF finance, Will not take a
recess from its labors before II has by leg
islative enactment or declaration dono
something not only TO remind those appre-
hensive among our people that the re-
sources OF this government and scrupu-
lous regard for honest dealing AFFORD a sure
guarantee OF unquestioned safety ami
with these factors and the patriotism OF
our citizens the ability and determination
OF our nation 10 meet In any circumstances
every obligation IL incurs do not admit OF
any question. | ask at the hands OF the
congress such prompt aid as II alone has
the power TO give TO prevent In n time OF
fear and apprehension any sacrifice OF the
peoples interest and the public funds or
the Impairment OF our public credit In All
effort by executive action TO relieve tho
dangers OF the present emergency.
GROVER CLEVELAND.
Executive Mansion. Dec. 20. 1895"
The Cabinet Meets.
The message was the outcome of n
session of the cabinet Reports OF
the serious condition OF affairs in Wall
street had been coming in for an hour.
and after the cabinet assembled these
were sent ms fast as received to the
treasury officials. who dispatched the
information to Secretary Carlisle at
sho white house.
Thedealings at the New York stock
exchange had been attended with un-
usual excitement. Before the opening
of the local stock market il was known
there that prices for American secur-
flies in London had broken anywhere
from one TO four per cent. The result
was a great rush 20 sell stocks. Local
operators. who had become weakened
financially by the recent break in the
industrials, were forced 10 sell, and
thus add 10 the depression. Rumors
OF heavy Withdrawals of gold for ex-
port TO Europe also had a demoraliz-
ing influence. Again money which
had been ruling Mt two per cent. and
under TO stock exchange borrowers
suddenly rose so per cent, and num-
Der of banks began TO call In loans.
This helped TO swell the amount OF
offerings of long stock and three stock
exchange firms were forced TO the
wall. At the consolidated exchange
there were also two small failures.
Before the cabinet session had lasted
two hours, decision had been reached
TO send TO congress the message trans
mitted later. AT 1890 o'clock the as
senbled officials took recess In order
60 give the president an opportunity TO
draft the message. Mr.. Cleveland inn
mediately set TO work, and probably
had all his ideas in prescntable shape
when his ofilcias associates returned
an hour later. by this time IL had be-
come known that the gold withdraw
ais amounted 10 S1.g00,O00, bringing
down the gold reserve TO 500. 2sS. 0e0,
very nearly to the figure which was
reached NJ the time of the first bond
issue in February, 1894. IL was $40
o'clock when the cabinet meeting adj
journed. Twenty minutes before that
time Mr.. O. l.. Pruden. assistant secre-
tary TO the president, had started from
the white house for the capitol with
copy of'the message TO DE delivered TO
the senate.