The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1896-07-23
NET WITH MORGAN
NEW YORK BANKERS COME TO THE
TREAsURY's AID.

.
Gus Withdrawals of Gold IN Eleven
Days Average Over a Million q Day
Gold Reserve Now Under the Eighty
seven Million Mark - Details of the
Bankers Relief Plan Still Conjectur.l
Gold Turned Into the Sub-Treasury-
London's straight Tip.
New York, July 22--The strain upon
the resources and temper Of the finan-
cial community for some time. owing to
the stead shrinkage Of prices in ex-
change securities has been recently in
tensifed by political and other causes. 1t
consequence, values have steadily melt
ed away on panic scale, though with
out visible excitement or open disaster.
The market has appeared TO be entirely
unsupported and its only mainstay dur
ing the past few weeks has been spas
modic buying OF our securities, ar times
on a large scale. for foreign account,
and the fact that the commercial bal
anoe IS IN our favor, and that but for
the result OF prevailing gloomy senu-
ment the movement Of gold should be
| towards instead OF against the United
States. The dominant depressing IN
fluences have been the stead export or
the metal and the consequent rapid
process of depletion Of the government
reserve. On July IL, the free gold
amounted to 500. 2S3, 6SS. By July Is,
the reserve had fallen to sec, 1884, 81 and
at the close of business yesterday it
stood at $50, 76O1s0.
FURTHER REDUCED.
These figures were further reduced to
day by Withdrawals Of gold amounting
to SO 375, 900. including s2.000,000 for ex-
port tomorrow. bringing the total down
to So, 406, $50. The decrease in the eleven
days amounted to nearly s13,o0O.O 600.
The continued strength Of the foreign
exchange clearly indicated a stead out
flow Of gold, and the transfer OF credits
from this country to Europe Inc
judgment of the best financial authori-
ties is that the government could make
another issue Of either 4. AZ or per cent
bonds at par, but the policy Of scuch &C
| ton is admitted to be bad in view Of the
probable political effect. The sharp de-
cHnes in. securities recently has created
a sentiment OF profound discoragement
in Wall street, and the gravity OF the
situation was keenly appreciated in high
financial and banking circles.
MISSIONARY TAPPEN
President Frederick P. Tappen Of the
Galaltin National bank, who is the
chairman of the clearing house commit
tee Of the New York associated banks.
began a missionary work q few days
ago among his brother bankers, with a
view to securing pledges to protect the
dwindling treasury gold reserve, by
placing at the disposal of the govern
ment substantial part of their hold
sngs of gold in exchange for legal ten
der notes. and succeeded in obtaining
offerings aggregating $4,000, go. Condi-
tional Offers Of about 5000. 900 have
been received from other New York,
Boston and Philadelphia banks. The
successful progress that was made
helped 10 rally the stock market TO a
partial extent although in the opin-
ion OF many financiers, the remedy was
not likely TO be of more than temporary
effect. The street had previously wit
Messed the disappearance Of enormous
sums of gold. owing to almost exactly
similar conditions OF those to those now
prevailing.
MET AT MORGAN'S.
Today, however, a complete change IN
the financial temper took place when II
became known that ]. p. Morgan had
called a conference OF the great bank
ing houses with a view TO concerted
action TO prevent exports of gold with
in the next sixty days. The meeting
was attended by representatives of all
the leading national banks. There We're
also present John A Mccall of the New
York Life insurance company; Mr.. W.
H. Gresham of Crossman & Bros; Mr..
Pliny Fisk of Harvey Fisk & Sons. and
other financierS. Mr.. J. p. Morgan pre-
sided. The conference lasted about an
hour, and after adjournment ii was an
nounced that an agreement had been
made and a committee appointed to
ella borate the details of a plan for the
protection OF the treasury gold reserve.
The committee consists of ]. P Nor
gan, chairman; John Crossby Brown, OF
Brown Bros. &, Co.: A Lutzsen, OF Au-
gust Belmont & Co.: Jacob II. Schiff, of
Kuhn, Loeb & Co; ". Salmon OF Sprey-
er & Co: II. Ichelheimer, of He.delbach,
Ickiheiner 6. Co., and Z. Mayer, OF La
Yard Freres.
PLAN CONJECTURAL.
No details of the proposed plan were
obtainable but the popular impression
is that a pool for the sale of sixty-day
bills VIII be formed. This is mere con-
lecture, however. At all events. the
practically joint action Of the New York
banks and OF the exporting houses IS
regarded as of the first importance and
IS expected 10 cause a decided change
for the better. By September grain and
cotton bills viii be in the market to
sufficient extent 20 exert an important
favorable influence on the exchange
market. In the last hour OF business
today II was said that the banks, in
pursuance Of their agreement. were
turning substantial amounts Of gold
into the sub-treasury. The effect Of the
news and the agreement reached by
the gold shipment houses, was 20 inpart
decided buoyancy TO the stock market
London appeared 10 have had an ink
Ting OF what was forthcoming as IL has
recently been. and was today, a fairly
large buyer Of our securities
The exact amount OF gold turned into
the sub-treasury by the banks IN ex-
change for legal tender notes today was
s.1So.eoa. The larger contributors were:
City National bank. s.. ooo. 900; Hanover
National, l.5eo 600; National Park. 81
100000; Bank OF New York. $500 900:
Merchant National bank $500, 90. and
Gallattn National $500 COO
TREASURY REPORT.
Washington, July z2.-One fear ot
note II the days operations at the treas
ury was the startling increase in the
amount OF gold Withdrawn from the
sub-treasury for boarding IN this ooun-
Try. Yesterday only sl50, coo in gold was
withdrawn out for this purpose, but to