The San Francisco call. [volume] (San Francisco [Calif.]) 1895-1913, 1895-08-09
RAIDING IN A DISGUISE,
Millions Said to Have Been
Withdrawn for Commercial
Purposes.
CONTRACT wITHTHE SYNDICATE
There Is Some Apprehension as to
What the Money Kings Pro-
pose to Do.

WASHINGTON, D. c., Aug. s.-The
reticence that prevails among the treasury
officials when they are approached on the
subject of the condition of the gold reserve
and their absolute refusal to offer any
opinion as to what this outflow of gold of
the past two weeks signifies. leads TO the
conclusion in some quarters that the treas
ury is uneasy about the situation. 1t is
quite probable that by Saturday the syndi-
cate will be compelled to prove whether it
considers it's contracts fulfilled or whether
it feels constrained to assist the Govern
ment in maintaining the reserve.
The rapid diminution of the reserve, the
speedy descent from more than $107, ,OOO, 900
to very little margin over the amount the
reserve is required to be, has shown how
easy raid, even under the guise of the
ordinary course of business. can be con-
Quoted.
Treasury officials are emphatic in their
statements that this loss of gold is due to
legitimate business and point to the char
acter of the houses taking it out to show
that it is not the result of speculation.
Whatever may be the cause, the loss is felt
and will be felt to a still greater extent be-.
fore the week is ended.
There was an intimation at the treasury
to-day that notice would be given to-
morrow of a withdrawal for export Satur-
day, and officials do not hesitate to admit
that the indications point to the further
loss of an equal amount, if not greater,
than that which was shipped on to-day's
steamer. At the close of business this
afternoon the reserve stood at the $104, 49,
662 mark a loss over yesterday of $349, ,442.
The 81 100000 shipped to-day has not been
reported to the treasury in the official
balances from New York and will not
therefore appear in the reports until to-
morrow. The actual condition of the
treasury then finds the reserve amounting
to only $103, LIS, ,662.
This shows loss of 81 800, 600 since the
syndicate made Its payment, July 5, and
sent the reserve up to $107, $50, ,208. The
gold reserve was not nearly so low as this
on the 9th of July, when the syndicate
felt called upon to increase it. At that
time the reserve had dwindled down to
little below $1O5, SOC, 900 and by Monday it
swelled to little more than $107 500, ,000
Some officials admit that unless the syn
dicate steps in and fills the gap that has
thus been made the public will be war.
ranted in believing that the syndicate
considers its contract to have been COM
pleted in its entirety and that it is no
longer morally bound-if not by the dis
puted meaning of the text of the contract
to maintain the reserve.
Acting Secretary Curtis said to-day that
he did not know what the intentions of the
syndicate were. but so far as the treasury
situation was concerned he saw nothing in
it now to justify any feeling of alarm.
The gold that was going out was sent
abroad in the payment of debts and within
few days he believed there would be a
flow in this direction. Crops were Begin
ming to move and the presence of COM
mercial bills in New York, some of which
were already on the street, would loosen
the tension and bring down the rate of ex-
change and stop the export of gold.
There are others, however, in the treas.
ury not so sanguine as is Mr.. Curtis, and
many of these are beginning to look for
ward to the next week as critical period,
one that must show which way the tide
will turn. Meanwhile the gold continues
to go out and no official expression of the
proper Interpretation of the bond contract
is made,