The herald., 1895-09-14

ever. the city banks had come to the aid
of the ub.treaury with deposits of gold
ma Ge in exchange for greenback ex
plantations had been made by members o.
the syndicate that the firm which started
the panic, and quiet had been restored
when the monied institutions closeo
their doors for the day.
The gold deposits made by the banks
will offset the shipments tomorrow. The
Hanover National bank set the example
with deposit OF $500, 900. That made
So, 400, 900 in gold tnat the Hanover BANK
since the last loan was made, and the
American Exchange National bank also
paid into the treasury 5000. 900, and the
National Bank of Commerce followed
suit with another 5000, 900. With reference
to this deposit. President Sherman said
that the $20o 600 represented one-thiid oi
his banks gold holdings. and that if all
the banks contributed gold in the sam 9
proportion there would be no further
difficulty.
Tho National City bank IS credited with
an intention to deposit hslf million or
double that amount.
1t is said in banking circles tnat the
deposits OF gold by the banks for green
backs will reach So. 600, 0c0 this week. The
known shipments 10 Europe tomorrow
will be 50, 500, 900 by LazarI Freres. 81, =
600. 600 by Crossman ana Brother, $500,
QUO by Hoskiei. Wood g. Co., 5000. 900 by
Hand g. Rand (Hall?), and S1O0, 900 by
man will forward between sl56,O0o AMI
$780,, This will make total for the
week of 81, 200, 900. the largest weekly
shipment on record, except the s., 700, 900
sent out in one week last January. when
the drain ON the reserve reached its high
est tide. Explanations OF the position
of the bona syndicate toward the treas
n
Freres to combat the policy OF his col
leagues were secured by the Associated
Press. The following statement was au-
thorlzed by the bond syndicate tonig hit:
The impression has been general that
the members of the bond syndicate en-
tered into an agreement with the United
States trea to maintain the $l00. 90 o.
900 reserve until October 1st, proximo
and upon that date said obligation will
cease. Such is not the case. The bond
syndicate fulfilled all its obligations to
the government in June last, and has
not since been bound in any way to the
treasury. 1t is true it has from time to
time since last June paid, over various
sums in gold coin to the treasury which
have sufficed to maintain the reserve,
but 1t was done SO voluntarily and will
continue to 10 so in the same spirit and
for the same motive.
80 far as October 1st is concerned it
has no relation to the action of the syn
dictate, and it will continue to deposit
until Novem ber 1st and January LIST, and
if existing conditions make 1t feasible to
90 so. But neither the bond syndicate
nor anyone else can control the ele m ents.
But the idea that its relations to the
treasury situation will be any different on
or after October 1st than they are now
and have been all along is erroneous and
should be corrected "
Vne following statement was made in
writing by Mr.. Lazard Freres
Hoping that bills of exchange against
merchandise exports would come IN the
market in fair amounts during the first
half of September. we continued for a
bills of exchange for which we could not
at the time find cover. A combination of
circumstances leaves the market bare OF
commercial bills and makes necessary he
shipment of gold to cover part of the
accumulated indebtedness and to con-
tinue supplying the daily demands of
trade.
1.-The reasons for these conditions are
IN part the late cotton crop and the slow
movement thereof by Europeans holding
large quantities of cotton at cheap prices.
ana its indisposition to buy freely at
quotations now ruling. Further reasons
are the poor demand for wheat at the
center, which makes it undesirable for
European bankers to increase their loan
able funds here
firm said he desired to state there was no
special significance in the shipment of
gold but that it had to go to meet tenn
porary emergency, and that with the
moving of the cotton crop in a few weeks
the whole difficulty would adjust ITSELF