The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1896-08-31
A TALK WITH PARRY.
Why the Comptroller Failed to
Effect a Loan.
MONEY MEN ARE VERY TIMID.
The Free Silver Movement Alarms
Investors So They Will handle
No Municipal Securities.

Seattle IN the biggest city of its size
IN the United States-that is TO say IL. IS
the most metropolitan and cosmopolitan
city OF its size said City Comptroller
VIII II. Parry TO a Post-intelligencer re-
porter yesterday Mr.. Parry has just re-
turned from months visit 10 Eastern
cities on a financial mission with his faith
in the future of Seattle greatly strength
ened by what he observed and heard IN
the East.
Wherever I went continued Mr..
Parry, Il found Seattle well and favora-
bly, known. Everyone seemed 10 know
about our steamship line. the army post,
the Lake Washington ship canal and
other matters which are making the fu-
ture bright for AS. They al coneede that
Seattle Is TO be the great city OF the
Coast, and I met more than one man who
spoke with confidence concerning invest
menis in Seattle and who predicted that
CAPITAL will seek Seattle sooner than any
other Western city when business Is re-
stored 10 normal conditions.
MY visit was most inopportune for
either business or pleasure. The hot wave
struck Chicago the day after I arrived,
and as l travelled eastward | found the
wave was with me. The brciling heat OF
the sun might have been endured. had X
not been for the humidity. which made
the nights as lnsuherable as the day /
was Frustrated BY the heat IN both New
York and Chicago, and I consider myself
very fortunate In having escaped being
named in the long roll OF dead and dying
published in the papers every day Tor
nearly three weeks. During this not speA
IL was almost impossible to talk business
with any one. Bankers and brokers, with
which class / had principally 10 deal,
spent as little time as they could at their
offices. and when there did as little work
as possible. Every one seemed enervdied
and dislncllned to investigate anything
that required effort.
''But l had something worse than the
hot weather to contend with. | found up
on my arrival in Chicago that an utter
lack OF confidence pervaded financial cir
eles: that the excitement and uncertainty
which is always experienced when the
country is on the evs OF a great election,
had this year taken an aggravated form.
With vaults heaping full OF money, bank
ers had none 10 loan: gilt-edged securities
offered without bidders. every one afraid
of what might come, although admitting
that the possibilities they feared We're be-
yond the range Of probabilities. The bust
ness OF the world is done on credit, and
when there Is lack of confidence there Is
no credit. This vas the condition l found
in Chicago.
only a Re. days later the local situa-
ton was rendered much worse by the
failure OF Moore Bros. This was the
bursting os a mammoth South Sea bubble.
in which nearly every one got nipped.
In conducting my negotiations had
the assistance OF the great houses OK y.
". Harris & Co. and II. Blair a Co. but
II was impossible 10 sell anything. Wait
until after election was the unvarying
recommendation. The city OF New York
could not sell ssf000o bonds for school
house sites. and bids for other New York
bonds were all so ridicu3ousiy low thai
they were rejected The city OF Milwaukee
failed 10 sell It's gold bonds after several
attempts, although a year ago they sold
per cent. bonds on q { per cent basis. or
better I was informed by a heading broker
that the city OF Chicago had failed 10
borrow money in anticipation OF taxes.
and that II had been forced 70 pledge its
water revenue 70 meet interest NO mat
ter how good the collateral or credit OF an
Individual. firm. corporation or municipal
i,y, II seemed to De impossible to make
rate OF interest tempting enough 10 induce
a money lender TO part with his money.
Whether right or wrong in their fears, II
Is q fact that men who have money 10
Jean VIII not let Il 20 until the silver
question IS settled. They want 10
know that they VIII set back as good
= dollar as the one they let 10. The Eu-
reDeans. on whom wa have depended 20
much in times past for cheap money. have
become very much alarmed al the us
rsosf;ion OF a certain class N this country
to change the standard Of values, and have
changed from confident and steady buyers
10 sellers Of American securities Mer-
chants. who In prosperous times invested
SURPRISES In bonds and other securities
are now forced By restricted credits 10
sell rnelr holdings All these things opsr-
ate 20 glus s.7e market. The rates OF
interest in New York today are higher
than thcse which the city % Seattle ex-
pected % pay or is loan. One official OF
a prosperous Western city. who was in
New York while | was there, offered the
equivalent OF 70 par cent. on short
time loan ard failed 10 secure a. The
city nTstroller OF Milwaukee handed
ma. these TWO letters. which Indicate the
iinldity % Investors on account OF The uE-
certainty % fInanclal values. arising from
he free silver agitation
The letters are as follows:
'fDIetz. Denison & Prior,
Dealers in Bonds.
Is Congress St. Boston. los Superior 81.
Cleveland
Cleveland o, Aug - 1873.
Wv 7 FsebranfE city Comptroller;
s.Tczr Sf--EFa are IN receipt Of your no.