Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1919-11-14
''Boy, Page Bryan
and Harvey; Silper
49,. On is to l Basis


ounce. thus going under the "ls to J.
ratio to gold for the first time In near
ly fifty years At that price the ratio
was l5S to 1. The ,so-called parity
Of silver is sl.2s29 an ounce. This is
arrived at by the fact that in 1000
silver dollars of fun weight there are
sos, ounces of silver Of the s-lO
finsness OF American coin, or 77S Tie
ounces of fine silver, and at Sl.292s an
ounce this would be worth $1,000.
This weeks price was the highest re-
ported since 1872, when the metal sold
at sl.32is an ounce, shortly before sill
yer was, demonetized by international
agreement. The highest price, on rec
ord is the 624 d figure which was
reached in London in 1859, That price,
translated at the rate of sterling ex-
change then prevailing. s4.s7 to the
pound was equal to sl.S7ha an ounce
in New York.
The present advance. in the metal Is
said to be due to enormous demands
from China. From the SUMMER of
-l9lS until May 6 of this year there
was an embargo on the export n sill
yer coin or bullion out of the United
States except on license from the fed
eral reserve board. and that body
granted few licenses except for export
to European allies, chiefly England
and TO British India and Hongkong.
That arrangement was part of the adj
ministration of the Pittman act, which
provided for the melting of some $780,
100000 in American silver dollars and
the export of the bullion to allied coun-
tries and India.
Lay Advance to China's Demands.
In the ten months from July1 1, 1913,
to the end of April this year total
exports of silver out of the United
States amounted to s259,967,5S7, of
which England, Canada, India, and
Hongkong got $685. ,03l, and of the
balance sl6.179,121 went to China, nor
mally the greatest silver consuming
country in the world. This Interrupt
ton in the export of silver to China
reduced the ordinary stocks Of the
metal In that country considerably, as
also did the British and Indian pur-
chases of silver in China. Since the
lifting OF the embargo, China has be-
come the most persistent bidder in
this market, and dealers report that
recently Chinese interests have shown
willingness to -oufDid all other sources
of demand.
Exports Of American silver since the
lifting of the embargo last May. to the
end Of August, the last month for
which there are detailed figures, show
that China Is taking more silver than
oil nf6pr tri1 anrpohipnI I-rnTfj-
cial figures for September and Oc-
tober. furthermore, indicate an expan-
sion in the Chinese demand rather
than contraction. and at present it
is said Chinese agents are willing to-
buy upward of 100000 to 15,eo0,oeer
ounces a month.
These figures show how China Is
making its demand felt. The govern
nent, 1t Is understood, has stopped
melting silver dollars, thus throwing
the market back for it's supply on the
ordinary production of American
mines, and this source of supply has
been curtailed since the copper pro-
duction OF tine country has fallen Off
Partly to offset this. there has been an
increase in Mexican silver production,
which last year ran at about 400000 200
ounces and this year Is expected to-
equal 100000 ounces.
The demand for silver has caused
England and France to prohibit export
out Of those countries. This was done
because the price of the metal has
reached point where 1t is profitable
to melt down British and French coin
for the bullion contained. The silver
content of the British shilling, for ex-
ample, Is worth at the rate of esd per
ounce, whereas yesterdays quotation
was ssBd. ~
Bullion dealers said yesterday that
at s1.20 an ounce, American silver
coin might profitably be melted for the
silver bullion value. altho, they added.
this was doubtful because of the fact
that many coins are short weight"
due to abrasion, and also to the cost Of
accommodating coins in sufficient num-
bers to make the cost OF melting a
nominal factor.
London Losing rs Supremacy.
London silver market, which for
merly was the primary market of the
world, has lost much of It's old power
and, according to dealers in tbs met
al. Is In danger Of losing all its po-
tency because Of the movement of sill
yer to the Orient. In normal pre-war
days the stocks Of silver held In ware
houses in London ran between s,O0o,-
coo and 100000 ounces, and occa-
sonally more.
Now, with most Of the American
production going to the Orient, (and
with the old London stocks reduced by
the high cost and the heavy demand,
fame nnn.o ne