Northern Wisconsin advertiser. [volume] (Wabeno, Wis.) 1898-1925, 1907-11-14
NEW YORK SUPPLYING DEMANDS
OF COUNTRY CORES
PoNDENTS.
CHICAGO TO USE MILLIONS or
PRINT SHOP GREEN BACKS
FOR CASH.
GOLD RUSHING TO NEW YORK.
ONE BIG BUNCH COMING
FROM MEXICO.

New York, Nov. 9.-The leading
New York banks were exerting them
selves actively yesterday to meet the
demands of country correspondents
and depositors for currency. They de-
clare that suggestions made from
several western sources that they are
not meeting legitimate demands for
currency from the west were entirely
unfounded and that they are, on the
contrary, taking every practicable
measure to aid the west and south.
One of these large banks, with several
thousands correspondents, has deplet-
ed its reserve by about a quarter dur
Ing the last few weeks to supply cur
rency where it is most needed. Coun-
try banks have been allowed to draw
down their balances to point which
affords in many cases hardly more
than enough to meet the drafts sold
In the ordinary course of business.
They have brought paper for redis-
count to their New York correspond
ents in large amounts and the princi-
pal difficulty of the New York banks
has come from the demand for cur
rency to be shipped against balances
created by these rediscounts. AS re-
discounts have been in the nature of
accommodation and have not brought
a cent of currency to the discounting
banks, they do not feel that they
should be called upon to supply cur
rency in large amounts under exist
ing conditions.
The best possible judgment is used
in meeting these country demands
for currency. Special favor is shown
small interior banks where there is
no clearing house, because it is real
lied that they are not in a position to
count upon cooperation and upon
clearing house certificates as in the
case of communities having a number
of strong institutions.
Must Keep Some Reserve.
The New York banks feel bound to
retain certain proportion of the re.
serve to guard against a possible con-
tingency, because they fulfill in sub
stance the function fulfilled in Lon
don by the Bank of England and in
Paris by the Bank of France, as the
ultimate resource in emergency.
The aid being rendered in the stu
alton is Endorsed by the fact that the
total engagements of gold have now
reached S40,000,000 The total was
materially increased yesterday by the
announcement Of several purchases
which had not heretofore been made
public. OF the amount engaged, $21,-
Bill 900 has already arrived. This
gold will afford basis for nearly
$200,000,000 in loans and will mater
tally assist the New York banks in
their efforts to meet the pressure for
currency throughout the country.
Vast Sums Disappear
The fact that practically $6O,OOO,O 900
of currency disappeared from the New
York banks within a week is con-
sidered sufficient evidence that the
New York banks are doing their best
to meet the demands upon them. 1t
is not possible to determine what pro-
portion of this $60,000,000 went west,
and what proportion went into boards
in New York. 1t is estimated in some
quarters that half the amount was
shipped to western banks, but other
bankers put the proportion somewhat
lower, leaving the balances to he ac-
counted for by boarding. The treas
ury has nominally an available cash
balance of little less than $17,000,000
but this does not indicate the actual
cash in general in the treasury fund.
The amount of cash On hand Thurs
day was $119,233, 639, but against this
are charged a number of demand liza
bilities like outstanding cheques, the
national bank note redemption fund,
and balances OF disbursing officers, the
latter item alone being s6S,206,397,
but it has been materially reduced by
skillful bookkeeping at the treasury in
order to release cash without creating
an apparent deficit. The amount Of
disbursing officers balances as Octo-
Der 30 was s75,OS7,0O6 and the reduc-
ton in amount may be considered as
having been transferred TO the gener-
al fund for use in the financial emer-
gency.
cIearinss Show Big Drop.
New York, Nov. 9.--The total bank
clearings compiled by Bradstreet's
fo e principal cities Of the United
States the past week were 1856, $780,
900, against s2,906,510, 900 in the cor