The Jasper weekly courier. [volume] (Jasper, Ind.) 1858-1922, 1899-07-14
The Cause of Free Silver.
THE MONEY SITUATION.
Control Ready Cash In IRE
mendou> Amounts.

Wall Street Journal: We understand THAI
the money situation has been carefully
caryAsseI ny iarkrr. with thc result of
estahNshlng the faei tNat There d n.t the
slsntest reason a. fear any disturb zoe ir
money rate fcr some time ~ c.uc We
arc tu4l tlaf SOME very lrlmiIscf financial
interests ial that thry can render ayali-
aAlr 81 tle let4i motley market me very
lAi-e sums ln addition ~ those NOW Al It's
control should they be needed These re-
sources are large enough 10 place ID eut of
tie power on airy sllg.e none lender 10
disturb the situation T. any sirIle money
lender 10 disturb the situation q any
marked extent even N ne SO desired Bank
crs have satisfied themselves that money
VIII rule easy all summer
The above, says The Peoria Journal
(rep). j. simply confirmation Of what
has been predicted all along in these
columns that sooner or later a money
trust would bc formed in New York
that would not only fix the price of all
securities. such as stocks. bonds,
mortgages. etc. but also fix the price
Of any marketable commodity in the
country. Nothing. in fact , is simpler.
Here is the modus opcrandi as de-
y .
The principal officers of the New York
stock exchange are men who are in
the main identified with nearly, if not
quite. all the large life associations OF
the country. The five leading life as
sociatiOns can control something like
thousand million OF ready money
AT almost a moments notice. The man
who desires to borrow any consider
able sum OF money. as. for instance. a
quarter Of a million dollars. on any of
the leading railroad securities or in
dustrial trust stocks makes his appli-
cation for a loan. The board of
audit recently appointed by the
board of governors of the New York
stock exchange. from among their own
number. fixes the price Of the secur-
tiles offered rs collateral For exam
pie. let these colaierals he G. Il. 4
20. stock or {. d \. stock. or in fact
the stock OF any other iirst-class road.
The stock is quoted to-day at Sl.35 or
a similar figure. The board OF audit"
fixes the price Of the stock upon which
money is To be loaned at twc-thirls the
value quoted on the open board. For
every 81. coo worth Of such stock the
borrower possibly receives $3.50. An
absolute bill Of sale is made of the
same and the borrower gives "A MEM
orandum that he can have the securi-
ties when he pays $3.50. Instead. how
ever. of receiving $3.50 he is paid that
amount less the interest. which is de-
Quoted from the loan at the time il is
made. The interest ranges all the
way from gas per cent. To 1919 per
cent. per diem. The day after Eos-
well T. Flowers death il is said that
money actually brought as high as
1919 per cent per diem in New York,
and this is said TO be full explana-
ton of the notable fact that there was
no panic. Men Who speculate IN stocks
are forced 10 have quick loans in or
der 10 make both ends meet and quick
loans mean high rate OF interest. The
money situation has been carefully
canvassed. as the Wall Street Journal
says. With a total volume Of 81 900.
Ol1,O00 in circulation ii is now difficult
10 control the market when 81 200. OCO..
900 II that volume j. under the coniro
Of i've or six large corporations. From
now on lively game Of tag viii b,
played with trust sccuritics.-Illinois
State Register.