The Farmington times. [volume] (Farmington, Mo.) 1874-1902, 1899-07-13
The Cause of Free Silver.
THE MONEY SITUATION.
The Money Trust IN New forE Cas-
Csntrol a~ady Cash iB IRE
nendoua Apaeaats.

Wall Efraet Journal. We UNDERTAKE. tha
thc money situation has been carefully
canvasssd ~ bankers. with the result OF
establishing the fact that thefr y NOT the
/ money rates for spu1e time 70 come. We
I arr tola that aunc very prominent SHANGHAI
/ Interests uud that they cau rcnG-r avail
abb. 10 the l0Snl noaey market some very
large sums IN addition 20 those now az lie
| control should they be nee@ed. These re-
sources are large enough 10 place q out Of
tbs poeges % any single money lender 10
disturb the situation 70 any single money
I lender 20 disturb the situation 20 any
MARRIED axtcnt oven X he 70 doairad. Bank
efa have satisfied themselves that money
wili rule easy all summer.
The above, says the Peoria journal
(rcp.). Is eimpip a confirmation OF what
has been predicted all along In these
columns that sooner or Inter q money
trust would be formed in New York
that would not only IN the price OF all
securities, such as stocks. bonds,
mortgages, etc, but also Il IN The price
Of any marketable commodity IN the
country. Nothing, In fact 10 simpler.
Here Is the moduS operandl as de.
scribrd by our Peoria contemporary
The principal officers Of the New York
stock exchange are mun who are IN
the main Identified with nearly, " moi
quite, all the large life associations Of
the country. The i've leading life ar
aocintionb can control something like
o thousand million of rvady money
at almost o moments notice The man
who desires 10 borrow any consider.
able sum 81 money, as. for instance, o
quarter Of million dollars, on any OF
the leading railroad securities or in
dustrial trust stocks makes his appli
cation for n loan. The board OF
audit recently appointed by the
hoard OF governors" Of the Ne~ YORK
stock exchange, from among their own
number, fixes the price Of the secur.
titles offered as collateral For exam.
pie, let these collaterais bc c. n. 4
q. stock or {. & a. stock. or IN fact
the stock Of any other frst-rlass road.
The stock is quoted to-day at sl.3g or
q similar figure. The board Of audit
fixes the price Of the stock upon which
money ia 10 bc loaned "A, two-thirds the
value quoted on the open board. For
every $1,000 worth 81 such stock the
borrower possibly receives $3.50. An
absolute bill Of sale ~ made Of the
same and the borrower gives n mem
orandum that he can have the securi.
ties when hr 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 NJ the time u IL
made. The interest ranges all the
way from 2Hj per cent. To l2b per
cent. per diem. The day after Hos
well =. Flowers death il Is said that
money actually brought an high as
1919 per cent. per diem in New York,
and this ~ said Ia be- full expIana-
ton ~ the notable fact that there WIS
no panic. Men who speculate IN stocks
are forced 10 have quick loans IN or
der 60 make both ends meet aud quick
loans r1ean a high rate OF Interest. The
money situation has been carefully
cunyassed. M the Wall Street journal
says. With a total volume Of $1,000
100000 In circulation II IL now difficult
Ia control the market when o. COO. nO0,.
noO Of that volume IN under the control
Of i've or sin large corporations. From
now on n lively game Of tag will I've
played with trust securities.-Illinoi
State Register.