Evening star. [volume] (Washington, D.C.) 1854-1972, 1896-02-26
ANOTHER BOND ISSUE
Party Leaders in Congress Believe One
Will Be Necessary.
The New York Bankers, They Think,
VIII Help the Pressure, Which
the President Can't Resist.

There is already talk both in political and
in financial circles about another bond is
sue Mr.. Carlisle has heard 1t during his
visit to New York, and has dignifed 1t by
discussing the probabilities with leading
bankers there. The whole sum of the COM
fort he got was an expression OF the opin-
ion that the necessity of another issue soon
did not now appear. That is to say. If this
years crops are good, gold, instead Of leav-
Ing the country. may come into the country.
What Party Leaders Believe.
II Mr.. Carlisle was much impressed with
what the New Workers told him, party lead
ers in Congress are not They not only be-
lieve that another issue will be necessary,
hut that it will he forced on the administra-
ton before the year is out. And they fur
Their believe that the New York bankers will
te party to the pressure. and will profit
by the new loan.
The argument is this: a. II the revenues of
the government are not to be increased. in
what important particular will the situa-
ton for the next twelve months differ from
the situation Of the past twelve months:
The balance Of trade will continue against
the government duties on heavy imports
Will have to be paid In gold, and the green
backs will still be available for the endless
chain purposes OF thrifty brokers. What
therefore. will prevent the draining of the
gold just deposited in the treasury, as the
deposits from previous bond sales were
drained?
The Bankers Think Only of business.
C2) The question. SO far as the banking
fraternity is concerned. is one Of business,
and Of business only. The gold brokers Of
New York are, as a rule. the representa-
tives OF foreign houses. They are constant
ly on the alert for profits. They are gov
erned by but one consideration, and that is
is there money in the transaction? Politics
figure Whatever fbaf bor
the one party or the other stands to lose at
the polls by the pledging Of the credit of
the government In times Of peace is utterly
beside the question as they view 1t. Are the
bonds good? Are they inviting as an in
vestment? Satisfy the spectators On those
two points. and they ask nothing more So
that. with the situation SO exposed, and but
one more year Of the present administra-
ton remaining are not these men. who
have raided the treasury gold before, likely
almost certain-to raid it again?
Pressure ON the President.
Some of the Presidents supporters have
persuaded themselves that he cannot be
brought to consent to another issue of
bonds How, 1t is asked will he be able to
Withstand pressure which has three times
conquered him? What will be his excuse
for refusing again to invoke 4 law which
he has three times invoked 10 keep the gold
reserve up to the figure established by Mr.
Sherman? This idea is rejected by the
great majority Of those to whom 1t has been
advanced. These men not only believe that
the President If again pressed will sell
bonds. but hold that it will be his duty to
do so. AS long as the revenues remain
short the necessity is liable to arise, and
when 1t does arise it must be met.
His One Regret.
There is firm belief now that the Presi-
dent regrets not having sold two hundred
millions instead of one while he was about
1t. That would have safely carried him
| through all the contingencies Of his remain
ing year in office But the popular loan fea-
ture was venture, and he did not know.
as neither dill the bankers seem to know
how much gold was to be had by an appeal
to the people.
VIII Congress, by refusing all tariff legis-
lation make another loan a certainty?