The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1907-11-05

of Money Would be Materially In
creased.
New York, Oct. 31.-Indications that
the available supply Of currency would
be materially increased within a short
time, both by imports Of gold and the
increase of the bank note circulation
and the movement of cotton and grain
crOps would be facilitated in every way
possible with the results Of increasing
IL credits abroad, were the salient
features in today'S financial situation
which seemed to be recognized every
where that the acute stage OF the cris-
is was over and tina all that remain
ed was to obtain sufficient currency
to resume currency payments upon a
broad scale and thus to restore con-
ditiOns prevailing before the crisis.
The engagements Of gold made in New
York, Chicago and elsewhere brought
up the total import movement within
the past week to $23. 100, 900. AS the
amOun of gold will afford a basis Of
credit to four times the amount, or
about $95, 600 900, it will in itself ar
ford much relief to existing pressure.
The action of the Bank Of England
in raising its discount rate from four
and a half to five and a half per cent,
was in accordance with expectations
in conservative circles. The fact that
the increase was not made to 6 per
cent, and that the English rate re-
mains l per cent. below the German
is expressed as an indication that the
situation at London is not considered
acute.
The prompt response of the nation
al banks throughout the country to tho
suggestion OF Comptroller Ridgeley
that they should employ their United
States bonds as largely as possible TO
secure circulation and substitute otn-
er bonds for those pledged against &C.
posits Of public money, promises a
considerable increase in the available
stock of currency.
The estimate Of an increase in bank
note circulation of $50, 900 900 is con-
sidered we'll within the probabilities It
will require time, however, in some
cases for the banks to obtain proper
JULIUS W SUBSTITUTE " tASll Il
States bonds.
Mr.. Vanderlip, vice president Of the
National City bank made the fruitful
suggestion today that the savings
banks would at one improve the situa
ton and add to their cash if they
would sell their holdings If United
States bonds to the national banks.
TNxon -, ,Dro willow +Iou d. Not n n -
to sell, it is believed that they will
lend the bonds to the national banks
as has often been don in the past.
Interest is continuing to center in
the movement of the cotton crop
from New orleans and other south
ern points, where it is so essential to
provide bills against the imports Of
gold.
Secretary Cortelyou, according to
Washington dispatches to day, was
disposed to increase deposits of pub
lie funds in the southern banks as rap
idly as such funds became availa-
BILE.
This will supply the banks with the
stock Of currency so much needed &c
hd1NlS Tx SOIIOA S1op o"u "hA SA~H
them to await with less embarrassment
than otherwise the arrival of their cot
ton bills in Europe and the bringing
back If the gold.
The committee of New Orleans bank
ers which is in Washington has sug-
gested that the New York bankers can
cas- the situation by giving the south
avn hor1yz o.o5;% eo~ ohoaEo on fHrai~u
banks forwarded as soon as
they receive Geographic advices Of the
4 amounts.
, This will enable the southern banks
to check against such balances in pay
ment of collections and remittances
to interior banks throughout the coun'
try.
It is noted with interest by leading
bankers acre that the present scarcity
Of currency and the which
had been had to the national banf
circulation are arousing unusual In
terest in the plan for currency reform
which has been endorsed by the Amer
lean Bankers Association. This plar
was adopted in December of last yea
The plan did not receive the definite
approval of the American Bankers AS
ISOLATION, however, until the meetin:
in September, last, but at that time
it was endorsed by a nearly unani
NOUS vote, after strong argument
after consultation with representative
Of the New York chamber of CONNIE c.
and was presented to congress at tina
time.
in it's favor by A. Barton Hepburn
president of the chase National Banl
Of New York and Representative Cbas
N. Fowler, chairman of the house com
mittee or banking.