New-York tribune., 1902-10-18
TREASURY BUYING BONDS
ANOTHER STEP TAKEN To RELIEVE
MONETARY STRINGENCY.
SECRETARY SHAW AUTHORIZES PURCHASE
OF FoURs OF 1925 AT 1918
rBY rELEGRArH TO THE rRIBUsE

SECRETARY SHAW AUTHORIZES PIhCaASE'
OF FoURs OF 1925 AT 1878.
tBY TELEGRAPH THE TRIBUSEI
Washington, oct. l4.-Secretary Shaw mas
taken another step TO relev the stringency or
the money market. He telegraphed from Chicago
this morning authorizing the purchase to-day
and tomorrow Of per cent bonds Of the loan
of 1925 al the rate OF 1879 and accrued interest
In. order 10 accommodate persons who might not
be able 10 make deliveries tomorrow, the de-
partuent viii also receive the same class Of
bonds on Monday and viii pay for them pur-
chased on Saturday.
Urp 10 the close of business to-day the depart
rnent had bought bonds Of the face value Of
s.. .2O3, 900 OF these. S5O00O0O were As on which
Secretary Shaw had secured option last week
at l3s fat which is about equivalent TO 1873.
and accrued interest. The amount paid for these
bonds is 1872. .6S3 20. 1t is expected that
enough bonds viii be offered tomorrow and
Monday 10 bring the total disbursement TO about
S25.O0OO00. and il may be that these figures
viii be exceeded.
Secretary Shaw and the officials Of the Treas
ury Department do not think il will he neces-
sary 10 take any further steps 10 relieve the
monetary stringency. When all that has been
done by the Secretary Of the Treasury becomes
fully effective he VIII have released from the
Treasury about S47. 100000 and brought about
increase IN ndlondl bdllh tiltA4saNio'4 "a
about Sl50O0O00 thus putting into circulation
a total of about $62.OO0.0O0. In addition TO the
S25O00OO0 to be paid out for bonds. the Treas
ury has paid out nearly S4,OO0.0o0 on account
of anticipated interest and has increased me
deposits in the depositary banks by about
SlSO00,000.
The bonds obtained under the present oner
are TO be purchased on account Of the sinking
fund. II is not probable that they viii marx
the limit of purchases for the sinking fund IN
the present fiscal year The Treasury receipts
are now exceeding the expenditures at suoh d
rate as 10 indicate that the surplus for the year
will aggregate SG0,G00,OO0, and in view of the
large available cash balance in the Treasury,
amounting to S220O00O0O. the Secretary would
be justified in using all Of this years surplus
In purchasing bonds for the sinking fund. Be
fore making any further purchases, however,
he will wait for decline in the prices Of gov
ernment bonds. which have increased in antici-
patton of the Treasury being forced 10 purchase
10 relieve the money market.
The following official statement was made:
Bv virtue OF the authority contained in Section
s6S of the Revised Statutes, notice Is hereoy gwen
that this department viii purchase tor , me SHl5 1s
inst, any United States pei cent bonds OF the
and i2aP interest nj rest 10 aG dae Of r purchase The
will also receive the same class Of bonds on Mon,
day the 10Th inst. and pay for them as purchased
on the 18th. ,,- . MI, -, 4.
Prepaid
Quoted al the value thereof from the purchase
nrice ~ he bonds. As the books OF this loan are
now closed against transfers. the interest NoVem-
her / on registered bonds upon which interest has
MOI heen prepaid viii be deducted and Will b. paid
IN the usual way, by check 10 the order OF the
owner Of record.
Registered bonds should he assigned in due form
20 the Secretary of the Treasury for purchase,
and the assignment should be dated and witnessed
by one of the officials named in the note printed on
The back q the bonds
Division OF Loans and Currency at the oftlce or
the Assista..l Treasurer OF the United States at
New-Norl.