Evening star., 1900-09-27
PRESSURE FOR CURRENCY
SEVERAL MEASURES PROPOSED TO
THE BANKERS.
Gold Certificates and U. 3. Notes
Might BE Exchanged for De-
pOsits Of Gold Coin.

| Several measures have been taken or at
| least offered to the New York and other
| bankers for meeting the pressure for cur
| rency as the result Of the recent visit OF
Acting Secretary Vanderlip Of the Treasury
| Department to New York. Mr.. Vanderlip,
| with the aid of Treasurer Roberts. has
taken steps to have an adequate supply Of
gold certificates Of the lowest denomination
| at the New York subtreasury, where they
will be issued without limit for gold coin
He also notified the banks of the willing
ness Of the treasury to issue small legal
tender notes for large legal tenders. The
banks have fair equipment of the latter,
but naturally dislike to surrender them, in
view of their convenience as cash re-
serves. The treasury will not issue notes
OF denominations below $5 except upon the
surrender of silver certificates or the Sher-
man notes. The latter whenever received,
are being retired, under the requirements of
the gold standard law, but an equal amount
OF silver certificates takes their place if the
silver dollars in which they are redeemed
are returned to the treasury The policy of
issuing small silver certificates is being pur-
sued In order to destroy as far possible
the certificates of large denominations.
MIR. Vanderlip and Treasurer Roberts
nave 1elt Justified, upon consultation, in
making an offer which will add somewhat
TO the convenience of the banks in obtaining
notes for $40 and upward Gold certificates
would serve all purposes If their minimum
denomination was not limited to $40
rms being the case. smaller denomina-
tlons nave to be issued in other forms of
currency. The offer has accordingly been
made to accept deposits of gold coin at
new YORK or any subtreasury and to issue
IN exchange both gold certificates and
% per cent of each. The certificates will
be issued In denominations of $40 and the
notes In denominations of so. unless larger
denominations are requested The banks
ha ho
press rate on the paper currency, but it
Will be shipped from Washington direct to
any designated point in the interior. The
oner to furnish United States notes for
gold will reduce the margin of such notes
In the treasury, but fortunately this I4.argin
Is wider than was the case in the autumn
or 1898 and 1899. The amount of such notes
In the cash on Monday last was $50 267 ,493.
Ihe issue OF these notes in the ratio of
only % per cent of the gold paid will
quire gold deposits of nearly s45.o00,Oo0 be-
lore the notes on hand are exhausted. 1t
is not expected that the movement will
reach such a magnitude. In any case,
small current of notes will drift into the
treasury from day to day to keep up the
supply. These operations will incidentally
increase the treasury gold funds while re-
ducing the paper currency. but the gold
stock is now so large that this phase of
the matter Is subject of Indifference to
the treasury officials The total gold stock
in the treasury Monday was $437. .221 ,O91, of
which $2263o4212 belonged to the govern
ment ana Ine remainder was neld against
outstanding gold certificates. The present
situation in New York is not considered
threatening the treasury, because of
the large increase in the money supply due
to the bank note issues under the refund
ing law. 1t is felt that an increase of $780,,
1aGoO0 in the currency from this source,
with net gold exports of only S2o,2H.411 up
10 the close of August. should leave the
country with an adequate supply of money
for all probable needs. There has been
also within the last six months an increase
Of about $15UDmD in the gold currency
and little reduction of the currency in the
| hands Of the people by its locking up in the
treasury