The border vidette. (Nogales, Ariz.) 1894-1934, 1903-09-05
or INTEREST TO US.
A Great Day In the Silver Market
The White Metal Advances.


1t was great day for silver yes
terday. Cold was lead in comparison.
The adherents of the white metal
pointed jubilantly to the great "slum2"
in gold, but every sane and retiolal
being in Mexico City and as far out
ward as the news spread through the
medium of the banks, rejoiced in the
great Jump taken in the much abused
silver.
With exchange Oh New York quoted
at 2l9 and even selling as low as els
i'll the local banks, silver tonched the
highest point it has reached in prac-
tically two years, although early i'll
1901 exchange was quoted at 209, but
on the rise.
1t is wei TO note that the feeling in
financial ci;cles for some little time
past has been one of confidence in the
rise of silver, brought abount by
combination of causes as complex as
those which caused the great slump of
few months ago. Whether the rise
will continue or whether the present
values will hold, is, to be sure, a mat
ter of speculation, but business men
and bankers seem to feel that the
white metal may temporarily hold its
own, subject however to the fuctua-
tions which only gold basis can per
manently eradicate.
However great the confidence in sill
yer, it was notable fact that the
large business houses and industrial
companies seized the opportunity yes
terday of buying on New York, which
might either be taken as a belief that
the top notch had been reached or
that from holding off from month to
month, or week to week the time limit
for the meeting of foreign obligations
had been reached.
The rise III silver while producing
III ONCAl vi OuSlucSS d HOIlCoaOl6
and material effect gives rise to much
speculation, especially in railroad cir
cle+, in regard to what effect the sud-
den drop in exchange will have in the
putting into effe:t within six days
September |, of the new passenger and
freight tariff with its added I5 per
cent allowed by the government under
contract with the trunk lines of the
republic.
1t will be recalled that one of the
provisions of the contract of the gov
ernment with the railways sripulates
that if exchange shall become "estab-
Iished firmly at 22O or less, the in
crease authorized in the foregoing
clause will be suspended on instruc-
tions to that effect from the depart
ment of communications and public
works, as long as the rate of exchange
IS maintained below the limit indicat-
ed"
Therefore it will be readily seen that
even though silver remain above the
stipulated rate of exchange for days,
weeks or months, or permanently"
which term at best is used here with
more or less of time since
the contract expires December 3, that
the question of deciding whether or
not the proposed increase of tariff
shall become operative or not, even at
the present rate of exchange, rests en-
tiiely with the department of COM
munIcations.
AS far back as a month ago there
were bankers in this city, who, with
ears close to the ground of financial
raatters, openly declared their opinion
that the contracts with the railroads
would not become operative, believing
that before the time stipulated for
their Inauguration that powerful con-
ditions then and now at work would
bring silver up to a point where ex-
change might both nominally and
technically be declared to be at or be-
low 220.-Mexican Herald.
The mill of the Tres Amigos mine,
located at Orc Blanco and lately sold,
is being loaded on freight wagons at