The news-democrat. (Providence, R.I.) 1906-1909, 1907-11-25
Financial Situation Improving
Throughout the Country.
Small Investors Buying Stocks
md Releasing Hoarded Cur
fency.

Washington, Nov. 25.-secretary Cor
telyou continues to receive constantly
from all parts of the country encourag-
ing reports relative TO the financial sit
uation.
In making allotments OF the per cent.
treasury certificates he is rejecting many
offers which he does not think VIII
materially benefit tho monetary situation
The increase OF circulation through the
certificates and the importation OF $751;
10000 in gold. now arrived. on the way
or engaged, adds so greatly to the none
tary resources OF the country that II Is
believed there will soon be plethora OF
circulation rather than too little.
| The gold which has thus far arrived
has not increased permanently the New
York bank reserves. and this is declared
by New York bankers to be sufficient
evidence that everything is being done by
New York which is possible TO aid the
banks throughout the country.
Reports from the south Indicate that
' the c. ton crop is moving with fair
degree OF facility ut the present time
and that the deadlock which threatened
at the outbreak OF the crisis has been
/ broken.
The sale OF the new securities by the
. government and the fact that IS per cent.
of the proceeds will be retained In the
treasury will place resources at the dis
posal of Secretary Cortolyou, which Will
enable him to seek any weak points
which may still exist In the monetary
situation I'm various parts of the country
and employ thesa resources in strength
enlng them.
1t is hoped that II will soon be poss-
bile 10 resume cash payments at all prin-
cipal centres Bankers from Chicago,
. New Orleans and other leading cities
declare that they are ready to resume
v IL. .a,I
With the immediate situation well I'm
hand Secretary Corteyou and President
. Roosevelt are turning their attention to
the details OF many new projects which
have been submitted for improving the
currency.
The question is to be taken UP by
congress Immediately after that body
convenes on Dec. ..
Measures relating directly to the cur
rency which are being discussed among
bankers and incoming members OF con-
gress may be roughly grouped under four
heads, as given above.
Senator Hansbrough Of North Dakota
who Is n member OF the nance commit
tee. has announced that he will introduce
bill for such an institution
Those who favor a central bank point
| TO the recent crisis as the best evidence
of the aid which II could have afforded
had 1t been In operation. Their view Is
that the national banks would have been
able to rediscount their paper at such an
institution and obtain its notes TO any
amount necessary TO relieve the currency
strain.
Mr.. Ridgley, the comptroller OF the cur
rency. has just declared for a central
bank OF issue, but his utterances are not
considered To commit the administ ration.
since Treasurer Treat advocates a differ
ent plan whenever he is invited to deliver
a public address on the subject.
The project or combination among the
national banks through their clearing
house committees or otherwise to guar
antee special circulation in case OF
emergency is embodied In several plans
which have been submitted to the secre-
tary OF the treasury. While these plans
are declared by experts to have some de-
gree OF merit II is felt that they are too
complicated to- receive serious attention
in congress.
The plan proposed by Representative
Fowler chairman OF the house committee
on banking, Provides for issues on the
general credit OF the bank which has pro-
vision for a guaranty fund raised by tax
alton upon the currency circulation.
| One OF the questions likely to arouse
serious discussion Is whether a cash re-
serve shall be required against the pro-
posed notes