New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1919-11-11
Rise in Price of Metal
Gives U. S. Coin Higher
Value as Bullion Than
Its Face Value as Money
Few Are i'm Circulation
Even Lowly Mexican Peso
Has Gone Up and Is Now
Worth About SO Cents

For the first time in thirty-tive years
the metal in the American silver dollar
IS worth more than the face value of
the coin.
Sales of the metal were made in the
New York market yesterday at 1907
cents an ounce. The gold parity of
the silver dollar is $1.2929; that is,
when silver metal sells at that price
the silver in the dollar is worth dol
lar.
With silver selling around the high
price established yesterday it will be
profitable to melt down dollars and sell
them as bullion. Bullion dealers esti-
osn an the st 1ssnf Of half
lars. as the bullion trade calls melting
them down, is not likely to become
much of a practice, however because
Of the limited number of dollars in
circulation. Upward of $500 900 900
WORTH of silver dollars were melted
down and sold as bullion under the
provisions of the wartime Pittman act.
Much of that silver went to India to
pay for war purchases.
Price Rising Since War Started
Silver. like most other commodities.
has been steadily rising in price since
been accelerated since the signing of
the armistice by reason of the heavy
world demand for the metal for coin
age. With the withdrawal of gold
rom circulation in various parts of
the world as result of the war, silver
mas come into greater use, particularly
N Europe. where it has temporarily
Since last May, when the United
States lifted the embargo upon ex-
ports of silver from the country, China
las come into this market as a heavy
purchaser, and recently sales for ship
ment to the Far East have been run
rlng at the rate of 100000 to
100000 ounces month. In August
exports TO China reached the larger
fgure, and in September they eek
cceded 100000 ounces. China is
aidding against the world for silver at
resent and is willing to pay higher
zee than England. That is the priv
a. pa fac.Nr in the market al the mo-
ent, ana the demand from that quar-
.sr IS expected TO continue heavy for
emo time.
highest Price Since 1859
Meanwhile. the London price has
steadily mounted. Yesterday the Of.
fcia, quotation there was 6S7s pence
}er ounce, the equivalent Of S127 in
his market. This is the highest Lon
d.. quotation since 1859. when silver
sc IN spectacular fashion following
lie Cr.mean War and the indian
L my.
lie available supply of silver in the
London market is said 70 be the low
csr IN years. London normally car
LIS between 100000 and 10000 600
ounces on hand. Owing to the diver
sion OF shipments to China in recent
months and the holding up of trans
Atlantic shipments by reason of the
.ongshoremen's strike here, the Lon
don supply has dwirdled to less than
q million ounces. At the present quo
tation for silver in London the Eng
lsh shilling can be melted down prof
ltably for its bullion value. The Brit
ssh Treasury last week placed an en-
barge upon the export Of silver 70
protect its s. yer currency, and the
French government has done likewise
The sensational rise in silver has
carried the value of the lowly Mex
lean dollar or peso 30 SO cents, which
was the market quotation yesterday
The face value tie coin is just un-
der 80 cents, hu. high silver has made
1t worth nearly .wice as much for its
silver content