New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-11-16
PRICE THREE CENTS.
TREASURY TO BUY BONDS.
SECRETARY GAGE OFFERS TO PUR'
CHASE s25,OOO,OOO. III ,,e
EFFECT ON THE LOCAL MAR
KET-DIFFERING PLANS OF THE
BANKS AND BOND HOUSES.


BANKS AND BOND HOUSES.
Washington, Nov. 15.-The Secretary OF the
Treasury late to-day announced his readiness
to buy s25,OOOOOO of 5 per cent bonds OF 1904
and Is of 1907 at the price at which they were
offered on the New-York stock market yester-
day. These figures are net. and holders OF the
per cents will receive the accumulated inter-
est since October 1, and holders OF the 5s will
prices the bonds would realize to the investor
.O224 per cent for the 5s and O21S for the -
The Secretary's announcement is as follows:
Treasury Department.
Office Of the Secretary
Washington, ID. c. November To- 1879
The Treasury Department announces us reads
ness to purchase any part or all OF S23.OOOOOO
in Government bonds OF the per cent funded
loan OF 1907. the ) per cent loan OF l3o4. at
the prices below Indicated
The per cent loans of 1907 will be received
and paid for at 112.I5 net.
The per cents OF 1904 will be received and
paid for at III net.
Bonds of either class or mixed offerings OF
both, may be presented at the Sub-Treasuries
In New-York, Boston. Philadelphia Baltimore.
Cincinnati. Chicago. st. Louis, New-orleans and
San Francisco.
The above proposal to hold good until the
close of business on November 80 instant, or
until the amount OF S25000O00 shall have BEEN
secured, II prior TO that date.
L. ]. GAGE, Secretary.
The decision OF Secretary Gage to purchase
bonds with view to relieving the stringencyi
in the money market was not generally known
In the financial district here before the close Of
business. 1t was reported on good authority In
the course of the day that number Of banks
in this city had received official assurance from
Washington that, in case OF necessity, internal
revenue receipts at this centre would be left,
on deposit with the local institutions and the
rally in prices toward the close attributsd
partly to these reports The banks have for
several days been accumulating United Status
bonds. with the object OF depositing them as
security against Government deposits OF inter-
nal revenue receipts. the contention Of these in-
stitutions being that the Strengthening Of their
cash balances by the addition of these moneys
would relieve the tghtness of the money mar
ket. The private banking and bond houses. ON
the contrary, urged the policy Of buying bonds.
and answered the objection that the appearances
OF the Secretary as bidder in the open mar
ket would cause an undue rise in the price of
the bonds which he might desire to purchase
by offering themselves to supply the necessary
bonds TO him at current prices, their position
being that the buying Of bonds, the proceeds Of
which would go at once into general circulation,
would afford greater measure Of relief to the
market than the depositng of internal revenue
receipts with the banks
From the fact that the prices fixed by the
Secretary are those which ruled at the close
on Tuesday 1t would appear that he may have
accepted the proposition Of the bond houses and
bankers and 1t Is believed to be probable that
the banks may also offer to him some OF tho
bonds which, as already noted, they have re-
Gently been absorbing. The final bids on Tues
day for the issues selected by Secretary Gage
were 1121s for the As. registered; 112& for the
coupon bonds and Ill each for the 5s coupon
and registered.