The Wilmington daily Republican. (Wilmington, Del.) 1890-1902, 1896-07-23
A DEPLETED TREASURY.
Steady Exports of Gold the Cause
of the Stringency.
LEADING BANKERS TOTHE RESCUE.

They Hold Meeting and Appoint a Com
mittee to Formulate a Plan for the Pro-
lection of the Treasury Reserve by Avert
ing Exports of the Precious Metal.
NEW YORK, July 23.-The strain upon
the resources and temper of the financial
community for some time, owing to tho
steady shrinkage Of the prices of the Stock
Exchange securities, has recently been in
tensified by political and other causes. In
consequence, values have steadily melted
away on panic scale, though without Wis.,
ible excitement or open disaster. The mar
ket has appeared to be entirely unsup-
ported, and its only mainstay during the
past few weeks has been spasmodic buy
Ing OF our securities, at, times on a large
scale, for foreign account. mhe fact that
the commercial balance of tide Is In our
favor, and that but for the result of the
prevailing gloomy sentiment the move
ment of gold should be toward, instead of
against the United States, aggravates the
situation.
The dominant depressing influence have
been the steady exports of tho metal and
the consequent rapid process Of depletion
II the free gold held amounted to $780,
293,6ss. By July IS the reserve had fallen
to S6, 7O3,6 2l, and at the close of business
on Tuesday 1t stood at $3.50, 1870. These
figures were further reduced yesterday by
Withdrawals Of gold amounting to $685.
Co., including $1,000, 900 for export today,
bringing the total down to $S7, 405, 1880. The
decrease in the eleven days amounted to
nearly $l8,0OO,0O0 The continued strength
of the foreign exchange market clearly in
dicates steady outflow of gold and the
transfer of credits from this country to
Europe.
President Frederick p. Happen, of tho
Gallatin National bank, who is also the
chairman of the clearing house commit
tee OF the New York associated banks,
began missionary work few days ago
among his brother bankers, with a view
to securing pledges to protect the rapidly
dwlndling gold reserve by placing at the
disposal of the government a substantial
part Of their holdings Of gold in exchange
Tor legal tender notes, and succeeded in
obtaining offers aggregating about 3d.
OO,OOO. Conditional offers of about S.
OOO,OO have been received from other New
York, Boston and Philadelphia banks.
The successive reports of the progress
that was being made helped to rally the
stock market to partial ex tent, although,
In the opinion Of many flnanciers, the
remedy was not likely to be of more than
temporary effect.
Yesterday, however, complete change
In the financial temper took place when it
became known that J. Pierpont Morgan
had called conference of the great foreign
banking houses with view to concerted
action to prevent exports of gold within
the next sixty days. The meeting was at
tended by representatives of all of the |
leading international banking houses. |
Mr.. Morgan presided.
The conference lasted about an hour
and after adjournment, it was announced
that an agreement had been outlined and
committee appointed to elaborate the
details Of plan for the protection of the
treasury gold reserve. The committee is
headed by J. Pierpont Morgan. No de-
tails of the proposed plan were obtainable,
but the popular impression in the street is
.hat'a pool for the sale of sixty day bills
will be formed. This is mere conjecture.
however. At all events the practically
ONT action of the New York banks and
If the gold exporting houses is regarded
IS of the first Importance and is expected
o cause decided change for the better in
he situation.