The Birmingham age-herald., 1914-11-21

City bank. the largest of American insti-
 tutions. and one of the greatest in the
 world. made the leading deposit of re-
 serves-S2l. .ooooao in all. But this was done without any fuss. and any stranger
 who looked on might have thought that the transaction represented no more than
 a deposit of few hundred dollars. Like Pressing Button
 President Wllson wni, sometime in Feb
 ruary,s press 8 button and with that sym bolIc movement Will open to the world formally cue of the words greatest pub he works. So also the treasury depart ment at Washington metaphoucally touched button on Monday morning and
 10. the old banking system passed away and the new one took it's place.
 Another fact which Sir George is likely to report in detail on his arrIval in Lon don Is the contemporary openng of the New York cotton exchange with the start of the new banking system.
 That means a great deal to England
 It probably will be speedily followed by the purchase of American cotton in enor-
 nous quantities for export chiefly to the
 Lancaster mills in England. Although it was not so announced, nevertheless the probabilities are strong that a somewhat
 sentimental choice was made of Monday. November 16 as the day for the reopen
 
 ing the day when the old national bank
 ing system passed into History and the
 new one took it's place. The new system
 Is inevitably to- be of great assistance in bringing a happy solution out of the per- picking cotton situation.
 Another fact which undoubtedly was
 brought to the attention of Sir George
 and will be by him communicated to the English treasury officers is the prevalence faf s.sss&, .l.I. foundation and which asserts that plans
 are now in progress whereby there may be underwritten pledges involving many mill lions made for the purpose Of sustaining
 the American markets in case Great Britain, after our stock exchange is open, attempts to dump American securities upon the United States. There is no doubt that many consultations have been in progress between men who control large amounts of capital and who, acting as in- dividuals, are considering whether there can be a sufficient guarantee underwritten and if there can be whether 1t be expe- oient for them to undertake 1t.
 It will undoubtedly be all the more easy for the United States to absord such American securities as Great Britain may sell now that the movement of foreign trade has set in so heavily in our favor. Furthermore, if we were able nearly 15 i American securities and while doing that to import gold aggregating about sle0,o0o- 900. there seems to be no reason why we should not be able now to absorb what ever securities England may sell and be glad to absorb them in case England sells them for whatever price she can get The hostory of the manner in which the bankers of the United States, in cooper ation with the treasury department at a chfnCfnn 1,o vaAl laJ ba locn ta afi cis of August and early September is prob ably known in more of it's details to Sir George Paish than to the majority of the people of the United States The fact that 1t was done is of itself tribute to the new generation of American bankers. It should also be part of the record that, notwithstanding the fact that bankers handled and controlled enormous amounts of gold and created the machinery by
 which that gold was exported to Cana da and also by which the banks which had contributed 1t received negotiable securities for 1t, nevertheless there never has been an intimation that any bank or banker throughout the United States used this emergency as a means of great gain. There were some opportunities to enhance private fortunes, but not one of them, so far as is known was accepted. The banks which made these loans of gold received in return as negotiable evidences of the transaction certificates or notes which in no case bore more than per cent interest. As some of the New York banks were us- ing clearing house certificates hearing ( per cent interest and were taking our emergency currency for which interest Is exacted by the government. it is probable | that these banks are satisfied if they came out even. Certainly not more than 6 per cent was paid any bank.
 l The marvellous change fin our foreign | trade began about the time Sir George sailed from England, and the first off cial record of that change, which came about mid d-September, was published at about the time of Sir Georges arrival in the United States.