New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-09-16
AGAIN A BOND ISSUE.
ONE EXPECTED TO BE MADE IN THE
NEAR FUTURE.

NEAR FUTURE.
THE GOLD RESERVE LIKELY TO BE BELOW seo.-
100000 THIS WEEK - SPECULATION AS TO
WHETHER THE BONDS WILL BE TAKEN
BY SYNDICATE OR OFFERED
IN OPEN MARKET
When william e. Curtis. Assistant Secretary
OF the Treasury, recently in New-York, II
was not announced that he as the representa-
tive OF Secretary Carlisle. discussed with New
York bankers the necessity for another issue of
Government bonds. In fact, IT was said by those
who are generally supposed to know what Mr.
Curtis talks about in his frequent visits 10 TINS
city that he did not come to discuss bonds; but
1t ia known. however. upon the most trustworthy
and indisputable authority-the authority Of
bank president who saw Mr.. Curts-that the
question of another issue of bonds was dis
cussed, and that Mr.. Curtis stopped In New
York mainly for the purpose Of finding out how
the banking community In this city felt about
call for subscriptions to more Government
bonds.
When Mr. Curtis here last week he talked
with J. Perpont Morgan with Conrad n. Jor-
dan the head of the Sub-Treasury in this city,
and with other influential men, and then he de-
parted for Maine. Mr.. Curtis. however, ac-
cordng to an idea advanced yesterday by
Wall Street banker, did not go directly to Maine
but shaped his course toward Buzzard's Bay.
where the result OF his visit to New-fork was
poured into the ear Of President Cleveland Mr.
Curtis has been used on former occasions Dy the
Secretary OF the Treasury to feel the New
York bankers and two Of his visits 10 TINS city
have been followed by an issue Of Government
bonds and the general opinion among the MAJOR
ity Of New-York bankers Is that his recent visit
was for no other purpose than that previously
set forth
The condition of the National Treasury, II Is
contended warrants another issue OF bonds, and
the movement of gold abroad this week VIII be
large enough to bring the reserve under sso,-
900 900 unless the New-York banks or the
syndicate turn over more gold to the Treasury.
Despite the loyalty and patriotism OF the New
York banks. 1t seems extremely improbable
that they will make any large contributions to
the Treasury's gold fund; and the condition Of
the foreign exchange market and the unfavor-
able prospects for speedy change in foreign
trade conditions discouraging factors FOR
those who hope to an improvement In the
Treasury's cash and gold balance Even If the
banks come to the assistance of the Treasury
row there is no promise for them that their
action will have any lasting effect upon the
Treasury's financial condition.
NEGOTIATIONS NOW UNDER WAY.
banker who has unusually good sources Of
information said Saturday that he thought
negotiations were now being made between the
Belmont Morgan bond syndicate and the Ad-
mnistration for an issue Of $50 0O9 bonds on
the same conditions as the last issue. and that
he ha
whether or not to take II. The syndicate has an
option. under its contract with the Secretary OF
the Treasury for any issue of bonds which may
be made before October l. and 1t would seem
that an issue Of per cent bonds at 1O4 496.
which can be sold to the public anywhere from
1l2 to 12O. would be attractive enough to be
taken by the syndicate at once but perhaps the
syndicate does not care TO take the bonds ana
undertake to protect the Treasury according to
the terms of the February contract. If the
syndicate does not want the bonds there would
be no trouble in disposng of them to the general
public at terms more favorable to the Govern
ment and many bankers urge such a course.
From present indications 1t looks as II the gold
shipments this week will foot up over So,0oo,OOo
and that syndicate houses will be among the
shippers At the close of last week the foreign
exchange market a trife easier. but no large
supply Of bills Is yet in sight and there are now
doubts to the supply from the cotton and grain
movement being large enough to meet the cur
rent demand.
CONDITION OF FOREIGN TRADE.
The imports of merchandise and general dry
goods exceeded the exports last week by a large
sum. and the exports. while showing a slight inn
provement the previous week. were nearly
80 0000 900 below the same week in 1893. and the
total exports from January this year show a de-
crease from the time last year OF $2l,5l4693,
and of s23. ,252 from the same time in 1893.
Imports OF drygoods and general merchandise
from January / are SCI. 500 more than in the
corresponding time last year. and the amount Of
money spent by American travellers abroad this
year is larger than ever before, 1t can readily
be seen how large this country's obligations
abroad and what a tremendous export trade
will have 20 develop If these debts are TO be set
tied by commercial bills. instead Of gold More
over Europe has in the last two weeks been a
large seller Of stocks in this market, and there Is
another item which figures largely in the foreign
exchange market.
The majority Of the large banking houses in
Wall Street which do a foreign barking business
have large obligations for themselves and for
their customers to settle abroad. and such debts
will have To be liquidated in gold. All the sum-
mer these houses deferred shipping gold because
they confidently expected good supply or COM
mercal bills in the market in the early part OF
this month. but. as is known they were disap-
pointed, and now they have got TO make settle
ments which their credit cannot afford 10 prOlong
The members OF the syndicate not bound not
to ship gold. and they have begun to take advan-
tage Of their rgh,s.
THE PEOPLE WOULD TAKE 1T.
1t is believed that bond issue made at present
on the most favorable terms which the law will
allow the Secretary of the Treasury to make
would be taken at once II it was offered In the
open market, and also II offered to syndicate Of
bankers other than that which took the last is-
sue II is understood that the head of the syndi
cate which took the second issue OF Government
bonds and several other bankers are ready TO
form a new syndicate for the next issue OF bonds
and there are well-deiined rumOrs in the Street
which indicate that the big banking interests
have more Information about the next move OF
the Administration In regard to a bond issue than
they care to admit.
ELLIS II. ROBERTS'S OPINION
Ellis H. Roberts Assistant Treasurer in this