New-York tribune., 1901-09-11
AGE TO BUY BONDS.
SURPLUS TO
BE CIRCULATED.
-,rrARY WILL EXPEND S2o,000,0 900
- REDEMPTION-INTERNAL REVE-
VIE TO DEPOsITARY BANKS.

- secretary Of the Treasury yesterday re-
4 ..ssed favorably TO the request Of the New
CLEARING House committee that he take
s,sps for replacing part Of the government
i r,us IN circulation, and the announcement of
4 ..o-oneration added much TO the strength of
j : r,srket. His plan Of relief is outlined in the
-s.v1ng dispatch, received from him by F. d.
I ..roen chairman of the Clearing House COM
! nitse
4 uu,,inr the unfavorable influence upon gen.
esiness affairs Of continued absorption into
~ c tres stlry of revenue beyond expenditure,
s ll5 5irected that incoming internal revenue re-
~ Nv bs rlaced with national bank depositaries
eEp.s s,snce with each is equal TO the par value
III ILL., bonds held security from sucn deposl-
r This will divert ao4ar yy viii Jo-day tl0h invite te
gFeasli for rhe sale the Government OF S20,ocO-
~ Tinted States bonds other man me ne" WE, .
i e rnosSble ernbarrassments which are point
oihsrs LEV ost IN in your telegram Of yesterday.
..,as which the Secretary will buy, If Of
,rices satisfactory TO him, are those
-,sos in this dispatch, received yesterday
a.-,oon from Secretary Gage by Assistant
treasurer Jordan:
c.oretarv Of the Treasury hereby gives
r that he VIII receive ana cGnsl1eT @ cc6upf 6f the
% ,sns @ fTnd Of United States per cent bonds,
fan Of ~ per cent cent of o9nss a fpgG and per eqac cent
m: Per per- c ~ is0i, to an amount not exceeding
za0ea sbo,ld he submitted to the Secretary
:. nstter or telegraph, not later than Thursday
The IN aIs accepted 10 be promptly delivered at
ts Y4Trited States subTreasury in Ne.Y ork or
:. .a re treasury Department at N3shngloll, nc ne
-. y m N reject any all proposals is expressly
reserved
:. mill he noticed that no price is set by the
s..rs,arr for anv Of these classes of bonds, and
-, aorh+ &c EXPRESSED in the Street to the
.,oh.biirv of any large amount Of bonds being
.4.-ea at nrices which he would be inclined TO
,ooen, For many months the Trea Depart
Non, has been buying bonds at prices varying
Signify from day 10 day and figured to realize
en- animal interest Of 1.726 per cent. The Treas
urv rate for yesterday, for example, was for the
amer cents los 1868 for the As. 113.3110, and for
sbe 5s los 1871. The purchases of bonds for the
sve months from April l to August %. on the
-9e per cent basis aggregated more than S2l,-
l00O00 OF which more than S16,OU0,oO0 We're
purchased here One tender of Sl,UOO,VoO ponos
at the regular price was made yesterday In this
city.
Government bonds were strong yesterday The
Is Of 1925 advanced y per cent as did also the
2 per cents II was said in some quarters tnat
the Invitation of the Secretary was not inspired
hv recent local money conditions, but that it had
been under contemplation for some time.
Leaving out of the question the peril TO the
market involved N the Possibility VI hii-
favorable turn in the Presidents condition, IL is
pointed out that the continued absorption by the
Treasury of MONEY IN circulation Is now belng
supplemented by large Withdrawals or funds
from this for moving the crops, the money
market thus having for some time been tending
toward a condition of dangerous stringency-
The increase OF about S5O0o,oO0 in bank de-
posits of public moneys, mentioned In the Sec
retsry's Dispatch to Mr.. Tappen. will be effected
by increasing from 95 per cent to par the
amount of public funds which the depositary
banks are allowed TO hold against the and
Der cent bonds deposited by them as collateral.
No meeting of the Clearing House committee
vas held yesterday. and the feeling of the mem
pers seemed 10 be that danger Of serious trouble
was past Early dealings in the stock market
reflected conflicting opinions. Despite the ex-
eslent news from Buffalo and in the face of
olher favorable conditions, initial transactions
gave indications OF apprehension in certain
quarters. There gains here and there in
the list, but with few exceptions these advances
were fractional.
BY the end of the first half hour, however. the
market showed considerable improvement all
around with ST. Paul the central figure. Sec
retary Cages action had stimulating effect
1pon the market, although it was not universally
commended
,orr, and the market at that time was generally
strong. with st. Paul once more the feature. on
unors Of an extra dividend, in spite of de-
srrined opposition by room traders, who later
nrered at a considerable loss.
II developed that the reason for the spirited
roTement in the steel stocks in the last hour
vas the unconfirned reports that the strike had
ben finally settled
The temper OF the market in the final opera
ms rejected more than anything else the ef-
~ of heavy profit taking bought on Saturday
sM Monday. when the big interests sent in sup
lTting orders
Money closed at per cent, the lowest rate Of
he day.