Pullman herald. [volume] (Pullman, W.T. [Wash.]) 1888-1989, 1907-12-14
BANK GET
THE CASH
GREAT INCREASE OF
READY MONEY.
TREASURY STATEMENT SHOWS
TOTAL GOLD IN COUNTRY
TO BE s1,5s1,714,71s.

New York, Dec. l0.-The events of
the last week in the financial world
have been such as usually mark the
gradual return of confidence and the
restoration Of normal conditions in the
banks. The decision of the secretary
of the treasury to issue only about
S40,000000 of the $I50,000,000 in new
securities which he expressed a will
ingness to issue II conditions required;
the disclosure of unusually strong re-
serves by country banks reporting to
the comptroller of the treasury; the
decline in the currency premium, and
the improvement in the New York
bank statement have all been features
of the week which have tended toward
stability and reinsurance
The action of the secretary of the
treasury in limiting the issues of Sc
curities was a part of the original plan
recommended to him to meet the stu
alton by a resolute and adequate meas
ure, but to carry the execution Of the
measure no further than circumstances
required.
The result of limiting the issue of
the Panama per cent bonds to $685.
100000 and the one-year treasury GER
tiflcates to about $15.O0O,0O will be to
considerably simplify the problem of
the treasury management and money
market conditions during the spring.
1t is anticipated by tar-sighted bankers
bnrn that thnpA ho NJ
money soon instead of a dearth and
that it will be necessary to reduce in
some way the large volume of currency
brought into use during the crisis
The increase in money in circulation
outside the treasury, as shown by the
monthly statement of the treasury de-
partment for November, was $131,S72,-
SS7. OF this amount the increase in
gold in the country is computed at
about $72,000,000, including domestic
production as we'll as importations
from abroad. The other principal form
of increase is in bank circulation, in
which an increase of $7,533,5 21 was OBJ
tanned by the disbursement of bank
notes held in the treasury, and $46.-
237,730 was obtained by actual in
crease in the notes issued by the con-
troller and outstanding.
There have been fears in some quar-
tiers that if anything approximating
500, 900 in new bank notes were
issued upon the securities of the one.
year certificates the result in imitation
would be to hold gold in large amounts
after the credits issued by the crop
movement were exhausted. This dan
ger will be reduced to a minimum by
the relatively small issues made by the
treasury, and if small amounts in gold
should be exported it is felt that they
could be spared, in view of the large
gold resources in the country to which
President Roosevelt called attention
in announcing the new loans
The total gold in the country re-
ported by the last treasury statement
is 1851, 714,719, which is equal TO
more than 80 per cent of the total
increase in bank circulation is expect
ed here upon the Panama bonds and
the treasury certificates, but it is be-
lieved that the bonds will be deposited
in many cases as security for the pub
lie money which has been left with the
banks and will not be employed 2s a
basis for circulation until the one-year
certificates are Cancelled in the spring.