The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1896-10-26
THE INFLOW OF GOLD.

Henry Clews. in reviewing the financial
situation says: From such information
is accessible to the higher ranks of
finance the defeat of free silver at the
election is regarded certain beyond ques-
ton; and while, for the reasons above al
Iuded to, this conclusion does not mate
rally stimulate buying, yet 1T makes hold
ers generally unwilling to sell and Keeps
the bears timid and cautious. There
are. however, influences unconnected with
politics which are really affecting prices
favorably: among which the most prom1-
nent are the continued large importationss
of gold, the extraordinary position of
wheat, and the firmness of our securities
in London, in spite of the. severe. pressure
upon the Bank of England and the uneas
mess on the Paris Bourse. 1t is very re-
markable expression of the growth of for
the very crisis Of our difficnites. and While
in London domestic and foreign securities
and even consols are declining, Ameri-
cans" steadily advance with the successive
rises on our home market. There q
slight exception to this rule upon Thurs
days advance in the Bank of Englands
prices between London and New York
were soon readjusted without any observ-
The arrangements of the week for import
ing gold have carried the influx, since the
beginning of the movement, up to $O,OO0,-
600.
London appears to be uneasy under the
present state of foreign exchanges, and
suggests that something must be done to
stop the flow of gold to the United States
1t is not, however, very easy to see what
that something may be- If England and
India and Australia. to say nothing of
other countries afflicted with short crops,
maize. and If they have to paw 20 cents
more for their wheat than the price of two
months ago both of which seem to be in
evitable, and if we continue the large cur
rent contraction of our imports which at
present is the actual drift, then England
may find her trade balance with the United
States in such a shape as to compel her to
remit still further considerable amounts
Of gold to this country Under der ordinary
situation as now exists. find relief in
forcing a return of our securities; but the
British holders of our investments just
now appear unusually unwilling to part
with them; and ten days hence an event
may may be expected to happen in this country
England is likely to find further important
shipments of gold to this country inevita-
BILE; and the something which she needs
to do must be done with some, financial
metropolis other than New York
Much as the London financial press has
had to say in criticism of defective
monetary status and projects, it would not
be surprising if, in the event of a great
election victory for money reform, the
same critics would still find reasons for
dissatisfaction, though of a different kind
1 say nothing of the opinions very freely
expressed by London tinanciers that in the
event of our escaping the silver peril and
notes American securities would be in
extraordinary demand. That is opinion,
which may or may not be justified by the
event. But it is more than an opinion
that already arrangements have been con-
Guided. contingent upon Mr.. Mckinley's
election by an ampl5 majority, for London
participating to very large amounts in
new American enterprises of great impor-
lance. Those best acquainted with the re-
lationS between our architects of great
financial undertakings and those of London
are the men most sanguine about the extent
of the financial revival which will natur-
ally follow the rehabilitation OF the Amer
lean monetary system. Such an outcome
would, of course, be a violent snock to the
of censors of finance"