The Eureka sentinel. [volume] (Eureka, Nev.) 1902-current, 1903-05-09

A special dispatch to the San Francisco
Call from the City of Mexico under date
OF May 8 speaks Of a trust having been
established by the ~GuggeLheim Company
to control the silver market OF Mexico.
They have effected what is the most ei-
gantic coup ever accomplished in that
country. They have set aside 500. 000,-
600 with which it is intended to purchase
all the silver produced in Mexico by
companies not tributary to them. This
trust has the support Of the Mexican
Government, and the sum set apart by the
Guggenheim Company is considered am
ply sufficient to purchase the silver pro-
duced by the other companies.
1t is doubtful il. the operation Of the
New York firm has ever been surpassed
for daring and discretion, as we'll as stu
pendity, In any other country Of the
world. For the first time in history a
corner of silver has been successfully
managed and the Guegenheims have the
credit and profit OF the achievement.
1t is now an established fact that in
dividuals can control the price of silver,
and that therefore the monetary alliance
of Mexico and the United States is not
the only salvation OF the silver market.
In fact the corporation OF the Govern
ments OF the United States and Mexico
is not only no longer required but lie
actually out OF the question. The Gug
genheims have forstalled the Govern
ments.
There is not much history connected
with the operation OF the Guggenheims.
The idea Of q trust to control the silver
market was one of the first products OF
the Yaqui revolution. The leader of the
revolution, in order to gain assistance
from the Western American States, sug-
gested that through the annexation OF
Mexico the United States could set a
price upon silver which the world would
have to abide by. Ever since the sug-
gestion was first made the G~uggenheims
have been improving upon it silently bu,
~seduously. After securing control Of the
largest smelters Of Mexico and thereby
practically planting q smelling trust in
that republic. it was plain sailing for the
G~uggenheims to corner silver. The pro-
duction of silver 10 Mexico for the past
four years has averaged 10000, 900 ounces
q year, OF which more than $4,000, 900
ounces came out OF the smelters OF the
Guggenheims.
Until recently it would have been use
less for the Guggenheims to raise the
price OF silver, since there were no heavy
purchases being made. But just as soon
as the United States decided upon her
financial policy in the Philippines and
resolved to enhance the price Of silver
in those islands the tiuggenheims acted.
They commenced making q monetary
census OF Mexico a month ago on the pre-
tense of assisting the United States Mon
etary Commission. In this work the
Mexican Government went out OF its way
to serve the Gu%ggenheims. While the
census was going or the ~Guggenheims
paid the market price for all the silver
turned out of their smelters and held it
Enormous stores of silver are 10 in the
hands OF the Guggenheims. When the
monetary census was completed a few
days ago the Guggenheims were in a
position to raise the price OF silver. They
had a~scertained that there were just co.
000, 900 silver dollars in Mexico, or
about $40 per capita. Such an amount
of silver out OF their control being barely
sufficient for Mexico's needs OF a circu-
lating medium, all that was necessary
for the G~uggenheims to do was to in
crease their price for the silver being pro-
duced by them, and their orner upon
the metal would be established securely.
The Guggenheims have raised the
price and the United States, Japan and
China are paying it. II these countries
should decide to invest no more in silver
until it depreciates they will be deceived
since the ~Guggenheims are able to keep
storing up Mexico's entire production OF
the metal for two years, in which time
the demand would become acute. Be-
sides, the firm have such large interests
in Colorado that it can influence the sill
YER market in the United States. just as
the United Metal Selling Company in
fuences the copper market.
At last the silver trust is q reality.
The United States wanted dearer money
for the Philippines, and the Guggenheims
will supply it.