The times. [volume] (Richmond, Va.) 1890-1903, 1896-08-05


would be small to it.
THE SALE OF FOREIGN EXCHANGE.
The statement that has gone out that a
body Of men in New York have organiz-
ed themselves together TO sell foreign ox-
change and thus prevent the export Of
gold is the most important news item
that has been furnished in a long time.
The statement is that they have agreed
10 furnish foreign exchange TO tho
amount OF S2o)OoOO00. As the full import
Of this announcement is not understood
by many persons, we VIII offer a few
remarks I'm explanation of it.
The support which the Chicago ticket
has received in the country at large has
filled many persons with alarm lest the
frce-silger party should carry the cleo
ton, and thus cause all American secur-
ties, payable now in gold dollars or their
equivalent, to be payable in deprecated
silver dollars. This apprehension has
caused many Europeans who own Amer
lean securities 20 send them here for
sale for gold which they carry abroad.
The gold in the United States Treasury
is the only sold that is accessible, and
the brokers who sell American securi-
ties for Europeans send greenbacks TO tine
Treasury and take gold out TO ship
abroad II this is kept up it will soon take
all the gold out Of the Treasury, and We
should either have TO sell bonds again
to re1lenish the stock or Side down
TO a silver basis. Either would be ruin
Gus 10 the country There is but one way
TO prevent IT, and that IS TO stop the de-
mand for gold.
The houses which have combined TO sell
exchange do it in this way. The house Of
Haphazzard. Bogtrottcr & Co, of New
York. have European securities lodged
with their correspondent in London or
Berlin. They dirccs those securities to be
sold. and they are paid for I'm gold, thus
giving the New York house gold funi
I'm London or Berlin upon which they can
draw. The house Of Muhlback. Grubbing-
hoe &. Co. Of New York. have sold some
American securities for an alarmed Euro
pean. and they wish 10 transmit the pro-
ceeds Of sale in gold TO the foreigner. IN
stead Of drawing that gold out OF our
Treasury and shipping IL on steamer the
latter house buys a tnl of exchange from
Haphazzard. Bogtrotter d CO.. and sends
II TO their customer who presents It
and gets Haphazzard. Bogtrottor * CO.'S
European gold. The substances Of the
transaction is that Haphazzard Bostrot-
ter & co. have sOld their European golh
securities for American money, which IS
now of the gold value OF money. bus
which may sink on their hands 10 the
value Of greatly deprecated silver If MT
BRYAN IS elected They agree 20 take
the risk. for the sake Of the credit OF the
country, that the alarmed European, who
cares nothing about the credit Of our
country. had resolved be would not take.
There IS, of course self-interest behind
the act of the New York houses. They
know that if the country goes 20 silver
basis (Which must be the case if the run
on the Treasury's gold keeps up they
will be great losers in the fearful panic
that would ensue. They are naturally in
nuenced, therefore, by a desire TO save
themselves from the losses that such q
condition Of things would bring about.
But there is grcat public spirit IN their act
all the same. They are in a position TO
protect themselves when panic comes
on. and they would be amongst the
smallest losers Of all.
This act Of these men should show the
public at large that "Wal Street IS not
such a collection of nends as 1t has been
represented TO be. The men IN Wall
street are just ike tho men everywhere
else. All are striving in and out Of Wall
street to make the best thing Trey can for
themselves. but we do not see where q
Wali-street broker, who trades for the
last farthing differs In THIS respect from
the farmer who wants 10 sell his crops
for the highest price possible. except that
the Wall-srrect man always wants the
money of the country kept inviolate.