The Topeka state journal., 1899-09-11
THOROUGHLY SCARED.
London Bulls Dump Their Holdings
on the Market

New York. Sent 1.-THE Times Lon
don financial correspondent cables:
Englishmen are not al All happy over
politics and the uneaslness Is reneeted
on the money market Early last week
discount dropped nearly TO per cent,
but Saturday the rate Tor three months
renlitred bills was almost S7s per cent
and the disposition of the holders OF
money is again TO throw business in
the hands of the Bank OF England. APP
parentIy the bank has been allowing
the market TO drift but that is not real
" the case. It continues to borrow
aoatine balances on favorable oppOr-
tunity and the ease in short money
rates enables it to do this at per cent
and into October or little more NO
new business went TO it last week. as il
will not discount under u per cent or
lend for short dates below AZ per cent,
but il is sure to fnd fun employment
for its funds both in loans and dis
counts should the present temper OF
other banks continue Holders OF bills
can not stand off much longer and if
the market refuses this week to take
bills below 39s percent TO 81 per cent,
the bank must get the business.
The stock exchange settlement comes
Friday and promises to be a nasty one.
Last Friday and Thursday large guam
titles of real stock were flung on the
markets, and money. must be found TO
carry them. The public until then re-
fused to believe that war was probable
1t said TO itself that the Beers were
PIE are thoroughly scared for the mo-
ment and are disposed to fling away
everything Unless this mood changes
before Tuesday. l fear stock exchange
failures and a small mess when pay
day arrives.
All this helps to show that we are
not disposed to be vigorous players on
any market. The leading classes OF
speculative securities would have
closed Friday night much lower, but
for New York and Paris buying. You
H.
here by weak bulls in terror, and Paris
absorbed Kafir shares in thousands.
This helps considerably TO relieve the
tension and nothing resembling a panic
is to be apprehended. Many ask how
Paris is able to buy African shares un-
der present circumstances For one
thing, Paris always has plenty of
money, thanks to the elasticity of the
Bank of France note circulation. It is
able to issue notes without regard for
the gold reserve, but merely to the sta
tutory limit, which is placed very high.
A week ago, for example, its note cir
cuiation rose nearly 210, 500, 900 and its
stocks of both gold and silver slightly
declined. Last week its bullion re-
mained practically the same, but its
note circulation again Shrunk nearly
$500, 000 The total, however, is still
fully Ct 900, 600 above that of a fort
night ago, or a year ago The trade
of France requires none of this extra
money; it is all absorbed on the bourse
in carrying securities, many Of them at
an eXtraVagant. valuation Until this
system breaks down, French operators
are unlikely to experience difficulty in
buying what they please. AS regards
African mines, moreover, Paris is still
as skeptical of war as we were until
last Wednesday This skepticism is
founded on the belief that the Beers
are towards, a mistake which when
found out, may produce striking de-
Velopments.
News has just come from India that
the government there has in solemn
durbar ordered that fifteen silver
rupees be henceforth given in exchange
for the sovereign to the end of time or
Of British dominion The true exchange
value is about "a rupees for a sovereign
and the device is a Iaugf1ab BILE one Yet
the government is confident that all
world Will now begin to pour gold into
India, in a fever to make the losing
bargain The government is willing to
take anyones gold on its own terms
but can not promise to give it back
again on the same terms as it could
never do so but by borrowing the yeI-
low metal
The. shortage in the European wheat
crop is estimated a 166 million bushels
OF which about SIS million falls on Rus
sia and % million on France. Spain
Germany and England all fall more or
less short of the average, and Rou-
mania is famine stricken. The prices
of wheat would be rising but for the
weight OF old stocks