The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1895-08-22
OVER TWO MILLION IN GOLD
WITHDRAWN FROM THE SUB
TREASURY YESTERDAY.
THE BOND SYNDICATE PROMPT
LY DEPOSITED 100000
Taking Greenbacks Therefor-The Wealth,
er Bureaus Report of Crop Condi-
tons is Unfavorab.e for Cotton.
Other Washington Items.

New York, Aug. 20-Hoskier, Wood &
Co. will ship 81, 100000 in gold by tomor-
rows steamer.
A member of the firm, referring to the
shipment, stated that they found gold the
cheapest remittance. They have sold no
exchange against this transaction, and
only ship to get obligations abroad. The
S1,75O,O00 was ordered from the subtreas-
ury today. They will ship more gold later
in the week.
w. II. Crossman & Bro. will ship ST.
100000 in gold on tomorrow's steamer.
1t is believed that Hard & Rand and also
Handy Il Harmon will export tomorrow.
NesSlage 4 Fuller will ship 100000 to-
morrow. Gold to the amount of $780,
600 was withdrawn from the subtreasury
for shipment to Europe up to . D. IN. today.
The government bond syndicate turned
S2,OOO,O0O i'm gold in the subtreasury,
bringing the net gold reserve to over
S1OOO00,OOO, after deducting the amount
withdrawn for shipment to Europe.
The steamship Yucatan, from Havana,
brought $1,000,000 gold in transit for
Europe.
SUPPLIED BY THE SYNDICATE.
Washington, Aug. 20.-The gold syn
dictate today prevented the gold reserve
from falling below the 500, 100000 mark.
About 2 o'clock the treasury department
was informed that $2S50,000 in gold had
been withdrawn for export from the sub
treasury in New York. AS the gold re-
serve at the close of business yesterday
stood at $102, 527, 146, the withdrawal
would have reduced the reserve to $780,
617 JAG. A few minutes afterward, how
ever, Acting Secretary Curtis received a
telegram saying that Mr. Piermont Nor
gan of the syndicate had deposited 3d.
100000 in gold in exchange for green
backs. This deposit swelled the reserve
to SOL, 677, JAG.
The officials at the department display
no apprehension as to the gold reserve
and intimate that the syndicate will CON
tinue to make deposits to offset withdraw
ais.
But they decline to express their reasons
for their faith, and the question raised con-
stantly is as to the pledge under which the
syndicate is making these deposits and
the period it covers, as well as the ability
of the syndicate to continue to protect the
reserve. But little light can be shed on
these questions, however, lis it is said that
probably one or two government officials,
President Cleveland and Secretary Car
Isle. know the unwritten part of the agree
ment made with the syndicate, which Sc
cured the last issue of bonds. The syn
dictate has so far deposited about SS,000.-
600 in gold. The manner in which the
syndicate has accumulated the gold
which it has voluntarily exchanged at the
treasury for greenbacks is not absolutely
known, as the syndicate does not make
public its operations. but at the treasury
department it is believed most of it is
obtained by giving exchange on San Fran
cisco and by buying bullion checks. The
circulation in San Francisco is practically
al gold. The movement of money is
East. as a result of which San Francisco
exchange on New York is usually at a
premium equal to the cost of the trans
portation of gold across the continent
For the same reason New York exchange
on San Francisco is often at a slight dis
count although just now it is at par. BY
offering exchange on San Francisco there
fore, the syndicate can accumulate large
quantities of gold in San Francisco at
practically no expense The syndicate
can also procure gold by procuring bullion
checks issued for bullion deposited at the
assay offices and the government minis.
These. at the present time, will result in
a demand for gold, being at q slight pre-
MUM. 1T is not believed, howeye., that
the syndicate is put to much expense in
accommodating in this fashion, practically
the entire product of the American gold
mines, which averages usually about $780,
100000 year.