The morning times., 1896-07-12

| silver candidate on the unlimited coinage
plank, already ratified by the Demo
cratic national convention at Chicago, has
| SO long been anticipated, and therefore
4 disc scounted, that its cuirninat ii on has
caused no appreciable feeling OF appre-
hension and anxiety among Treasury
| Department Officials.
1t is a remarkable coincidence that at
almost the very hour Bryan's nomination
was ma de notice was received that
| 81 900 900 had been withdra wn 500, coo
| OF it being for export. This brings the gold
reserve below the $1O0,OO0,UOO mark,
| reaching tine lowest point since the bond
issue of last February.
| This fact gave some foundation for the
| belief that perhaps this withdrawal for
export was but the beginning of another
| great outward movement of gold, which
would speedily necessitate the sale of
additional bonds. Such action, of course.
mast depend upon the drafts from abroad
| for the government gold.
| EXPRESSIONS AT THE TREASURY. =.
+ The Treasury officials stated yesterday
| that there was no uneasiness felt at this
| time because the Democratic convention
had carried into effect what had for
weeks. If not months, been accepted as u
| foregone conclus on. The anticipation OF
| free silver candidate and platform being
| selected has alarmed some foreign holders
| of American securities and the result
| has been an increased outward movement
| of gold. But the officials express them
selves as believing that the elimination
| OF the export demand is now being reached
| and will not attain anything like the
| proportions of a raid upon the Treasury
| requiring an issue of bonds within the
| period OF three or four weeks.
the opinion is given by the Department
Officials that foreign investors do not ex-
pect that free silver will be adopted by the
United States in the immediate future, and
consequently will not dump their holdings
upon the market until something more
tangible is In sight than mere nomination.
If the election of free silver President
and Congress had already been accom-
plished, then the situation would assume
an entirely different aspect, and the dis
astrous results could not be computed.
On the contrary it is thought that foreign
investors will await the development OF
the campa gn, and probably verdict at
the polls, before beginning an indiscritninate
slaughter OF American Securities.
PROSPECT OF MORE BONDS.
The normal cundit..1s in the Treasury
Department. which might lead up TO the
point Of tond sale, dependent upon re-
ceipts and expenditures. will lie little if
any influenced by the action OF the Demo
cratic national convention. The fiuctua-
tions Of trade. the home demand for gold,
the unusually heavy disbursements at
tendant upon the beginning Of fiscal
year. the limited hoarding Of gold in ex-
pectatiop of realizing premium, and sim
liar minor complications may operate to
steadily deplete the reserve until sale OF
bonds may be necessary TO replenish 1t
without any extraordinary contingencies
arising.
In view Of the fact that the present adj
ministration has but little more than seven
months service remaining. the impression
prevails that the gold reserve will at least
be permitted TO reach the first danger line
| of $40. 900 900 before proposals for bonds
are made.
In this connection II is very interesting
to note the condition of the gold reserve Mt
the respective periods when proposals
were invited for the purchase OF bonds and
| of their allotment The following state
ment shows this information in detail:
GOLD RESERVE FLUCTUATIoN
January II, 1894, subscriptions invited
for 500 900 900 bonds, the gold reserve
standing at $69,157 ,s24; February 3, the
alotments made, the reserve being $780,
459, ,229.
November 13, 1894, proposals requested
| for $50 900 900 in bonds, the reserve being
| sci ,951 ,S63; November -. when the ailot-
| ments We're made, the reserve stood at
$o7 ,669,TOl-
January 6, 1896, proposals were invited
| for $4,000 Q, 600 Of bonds, with the reserve
at s6l ,251.1I0 when the allotments were
| made. February g, the reserve stood at
| SiI ,563 ,193.
The lowest point reached by the gold
| reserve, pending an issue of bonds, was
February g. 1895, when allotments were
made for 500 .O0O, 900 of bonds the reserve
having dropped to 2,045. .333.
Under the conditions prevailing at present
the gold reserve is being depleted at the
rate of about $3.50 900 per day, or about
81 900. 900 a week. Should this rate con-
| tinue to the close OF the present admins
tration there would be a falling off in
thirty weeks OF sac. 900 600. bringing the
| reserve down to O,0O0, 900. But TO this
must be added the growing deficit in re-
ceipts, which at the close of business, stood
at $S,729. At. This deficiency will aggre-
gate against the first of August at least ten
and probably twelve million dollars.
Should the demand for gold exceed the
estimated million dollars per week, taken
| In connection with the excess OF expendi-
lures over receipts, another sale OF bonds
cannot be deferred beyond the end of
December next. and will be rendered
inevitable at an earlier date in exact
proportion to the increased withdra walls OF
| gold above the low estimate given.