Twice-a-week plain dealer. (Cresco, Howard County, Iowa) 1895-1913, 1901-09-17
TO PURCHASE BONDS
Secretary Gage Takes Steps to Re-
lieve Money Market.
ACTS ON THE BROKERS' REQUEST.
He Thus Forsstalls n Probable Finan-
cial Stringency-Will Release Not
to Exceed $25,OOO,OOO of the
Treasury Surplus.

Washington, Sept. 1.-THE follow
ing announcement was made Iues-
day at the treasury department:
1.-THE secretary of the treasury hereby
gives notice that he will receive and con-
slider proposals for the sale to the govern
ment, on account of the sinking fund, of
United States three per cent. bonds, loan
of 19OS-19lS; four per cent bonds FUNDED
loan of 1907; four per cent. bonds, loan OF
1926 and five per cent. bonds. loan Oh 1914,
to an amount not exceeding $2o. 100000. Pro-
posals should be submitted to the secre-
tary by letter or telegraph not later than
Thursday, the 18th inst: any bonds ac-
cepted to be promptly delivered at the
United States subtreasury in New York
or to the treasury department at Washing
ton.
1.-THE right to reject any or all proposals
Is expressly reserved.
LYMAN ]. GAGE.
Secretary"
The secretary also has directed
that internal revenue receipts be de-
posted with national bank deposit
taries up to the par value of all
bonds deposited including the two
per cent. bonds. This will release
about $5,ooo,OoO.
Reason for His Action.
Commenting upon the offer made in
his circular, Secretary Gage said that
the active movement of crops had be.
gun throughout the country, and he
did not desire that the treasury should
absorb millions of dollars that might
| be in trade channels. The subtpeas
uries in the west and south have beer
calling heavily for currency to move
| the crops, and the amount sent SO fal
is in excess of any year in the history
of the treasury. The placing of addi
| tional money with the national banl
depositaries will divert about $4,000,
600 from treasury vaults and put 4
into circulation. At the same time tn,
purchase Of sec, 600, 900 in bonds woult
be decided relief.
4. Won't RaS Advanced PfAeAs.
Il The only question now Is wheahe
the oEers Of the secretary will be sue
. as to induce him to purchase til
, amount he desires, or any sum at all
The tendency in offers Of this kind
to cause the prices OF bonds to rist
Secretary Gage does not intend to pa
above what the bonds are worth an
will make no purchases II the offer
indicate that the market prices are t
be raised. Last April Secretary Gag
> made an offer to purchase bonds to r.
n heve the constantly increasing add
!, ton to the cash balance of the trea
: ury, but he fixed prices at which til
government would buy. These price
have governed the purchases of a
bonds to this time. The price limit
now removed for the first time, an
offers are asked for, with the suppos
: ton that the prices will be such as wi
: permit the secretary to invest nu1
n Der of millions of the treasury surpl,
! in short time.
l. Since the offer Of the secretary la
:, April the treasury has purchased t
tai of about $2o,ooo,ooo in bonds, al
these have gone into the sinking fun
thereby decreasing the interest pa
:, ment Of the government. The pu
u chases have been made slowly, som
y times few thousands on one day, al
le on other days reaching into the hu
dreds OF thousands.