The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1908-04-29
EUROPE WANTS GOLD.
Description Of Movement
or Money From One County to An
Other-America Has Nothing to
Fear.

New York, April 20.-The chief
event Of the past week in local finan-
cial circles has been the inauguration
of an export movement of gold to Eu-
rope, which promises to assume con-
siderable proportions before long.
Thus far, only 100000 has been
taken for shipment, the same going to
Paris, but it is reliably estimated that
before the movement terminates the
sum may have reached something in
the neighborhood Of $2O,OOO,0OO, as
not only is there a demand for the
precious metal on the part of France,
but Germany is also in need Of cash,
| as the situation there is at present
| somewhat acute on account of the ex-
tended industrial situation and the
heavy borrowing by the government.
Although exports of gold from the
| United States are not at all unusual
Tor this season of the year, the move
ment this year has started somewhat
earlier than is ordinarily the case.
Last year it began in May and in the
following month shipments amounted
to $24,000,0O0. However, the early
starting Of the efflux this year has
failed to create the slightest appre-
hension, and even the prospects that
the United States may be called upon
to part with the amount above men
toned is viewed with perfect aquani-
nifty
The principal reasons for this con-
dition Of affairs are contained in the
facts that, first of all, the engagement.
announced this week is the first since
May last year. But beyond this is the
enormous supply Of gold at present IN
this country. 1t will no doubt be re-
called that in November and Decem.
Der Of last year. following the panic
here, the United States imported from
European countries the unprecedent-
edly enormous total Of $10S.O0O.OOO
gold. OF this sum the New York AS
sey office alone holds $4,000, 900 in
gold bars after having sent something
like $4,000 to the mints since the
panic. Moreover, the surplus reserves
OF the New York Associated Banks
now amount to approximately $45,-
100000. while in addition to all this
the balance Of foreign trade just now
IL very heavily in our favor.
Even in the event that say 100000
900, gold will be sent abroad on this
movement. 1t will no doubt be found
that at the end Of the current fiscal
year this country will have to its cred
1t considerably more than $4,000, 900,
as the net result of the twelve months
imports and exports OF the yellow
metal. Besides. local bankers are
strongly Of the opinion that, should
the outflow Of gold show any signs Of
assuming unusual proportions, the
secretary OF the treasury will come to
the assistance Of the situation by is
suing call for the return Of part of
the $2o0.0OOOOO OF public money now
held by the national banks.
For the foregoing reasons the gem
eral stock markets has to all intents
and purpose virtually ignored the be-
ginning Of gold exports to Europe, and
while prices have fluctuated more or
less irregularly throughout the week,
the undertone has been firm and at
the close the feeling among brokers is
quite optimistic. But for the fact that
the week was largely broken into by
the Easter holidays. which occasioned
the closing OF the New York Stock
and Consolidated Stock Exchanges on
both Friday and Saturday, it is quite
likely that this sentiment would have
been reflected in considerable activity
and greater or less enhancement in
values.