The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1898-08-10

bond issue Will have any Tightening
effect on the money market locally, fol
it is now evident that Utah applicant:
will receive but q very small portion OF
the $500. 600 O00 issue. a Herald mar
interviewed several bankers on the sub
ject yesterday, and the almost unani-
nous opinion was that the effect will
be impeHceptible here.
While no figures could be obtained
as to the amount subscribed from this
state il is now certain that the amount
allotted by the treasury department
viii reach only into the thousands, and
few at that. There were d good many
applications for large denominations OF
the bonds, but ali such have been re-
turned with thanks. The subscribers
who will receive bonds are of the saw
ing class, and naturally this viii tend
TO reduce the deposits in the savings
banks correspondingly. But as most
small investors can get more than 3 per
cent for their money there is no doubt
but that the bonds viii eventually find
their way 10 the eastern money centerS.
Small local investors are not likely to
hold onto them very long when they
have a chance 10 dispose of them at a
profit.
Local financial men think, too. that
the west has been Disseminated
against. and that investors in the east
are favored. There is no doubt but
large capitalists got friends to sub
scribe for small amounts to make sure
OF being allotted a portion of the issue.
This practice has been general, and
the bonds will, therefore, go to the
men who represent the idle capital, so
to speak.
Here are some of the views of local
bankers:
w. S. MCCORMICK.
w. S. Mccormick don't think the
bond issue will have any particular
effect locally one way or the other
There has been very little allotted to
Utah applicants, the department very
evidently holding back for their favor
ties in the east; at least it looks that
way. Several large applications were
made through our bank. They have
all been returned. Perhaps some Of
the small allotments may reach US
later, but it don't look that way Any
way. the money going out of the state
viii be so small that it will make no
difference.
GEORGE NJ. CANNON
George NJ. Cannon of lions Savings
bank-I don't think the issue viii af-
feet local capital to any great extent.
We offered to take $50, eco in our own
name, but our application was re-
turned. The amount of money going
out of the state viii be as a drop in a
bucket. Unquestionabiy the east will
get the largest share, for large CAPT
talists secured their friends to sub
scribe. We did not desire to do bust
ness in that way and SO oar hlStitd-
ton VIII get nothing OF it directly.
Many small investors have made ap-
plications, but, as 1 have said. even
though they receive the amounts ap-
piled for, il will be of no consequence.
FRANK E. MGURRIN.
Frank E. McGurrin-The per cent
government bonds will have d stinnu-
lating effect on every class of bust
ness throughout the country. The peo-
pie who viii take them are not those
whose money has been in active use
during the last five years, but those
who have been so timid that they have
kept it in safe deposit boxes or old
stockings since 1888. The bonds offer
no temptation TO those who have been
getting and per CEN on mortgage
securities, nor even to those who have
been getting 1 per cent from savings
banks. 1t will simply bring back into
use 5000 600, COO Of money which was so
suddenly withdrawn from active circu-
lation in 1888 by panic-stricken individ-
uais, who have since been living on the
principal, too scared TO let il earn any
revenue. The government will take this
money and pay ii out as wages of
ammunition, supplies, trans
portation and ali the other countless
expenses OF war, the result of which
will be that il will immedia tely get
into circulation among the people who
viii use it in the promotion of legiti-
mate business enterprises. Then. as the
timid ones see that business enterprise
Is profitable, and their neighbors are
getting along, the remainder of the
loney viii be looSeneG up, confidence
'estored and the congestion of the last
i've years Will disappear.
John Z. DoolY, Wells-Fargo & Co.'S !
oank-It viii have no injurious effect,
md viii not tighten the money market (
No active capital has been invested
the subscribers for bonds are made
10 of that class of investors who have
die money. I think the subscriptions
rom Utah Will fall far below the gen. !
.ral estimate.
FRANK KNOX
Frank Knox, National Bank of the |
3epublic-The amount subscribed is so /
mall that il Will cut no figure. All /
publications. for big amounts have been /
We had several for $40 600 /
made through this bank, but none of /
hem will get anything. There were a /
rood many women who applied for /
mall sums, and they VIII probably re
Give allotments, and some money will !
20 out Of the state, but il is only a l
question of a short time until the hold
rs of these small bonds will begin TO
ell them at an advanced figure, as
hey can get more than per cent
light here at home, ana then we will
cap the benefit.
L. H. FARNSwORTH.
l. H. Farnsworth. Walker Bros
ank-It Will have no effect at all. It
lay reduce savings accounts some, but
ot to any degree to make it felt.
COLONEL DoNNELLAN.
Colonel John T. Donnellan, CONNER
ial National bank-Tne effect natu-
ally depends upon the amount of
honey going out. l think the bulk OF
from Utah were for large
and these have all been re-
ected. Our bank made application for
80, 600 of the isSue-two $50, 600 and one
10, 900, but il was returned. One of
re directors applied for a similar
mount and shared the same fate,
tough he made application for some
onds of small denominations and will
robably receive small amount The
feet will not be perceptible.
]. NJ. STOUT.
J. NJ. Stout. Utah National bank-It ;