Evening star., 1923-09-30

The real seriousness of the panic Of
1873 was not realized at the outset
of that financial
ContlnuaIlon convulsion. Wash
of tbe Panic ington, but little af-
fected by the bank
failures and the money stringency.
was inclined to be unduly optimistic
regarding the outcome. The Star OF
September o. 1873. thus reviews the
over-Sunday situation:
"The intervention of the Sabbath
has given a Salutary opportunity for
a breathing time and cooling-or
process from the wild financial eS
citement of the last few days. The
main force of the storm is still con-
fined to New York though other To-
calities sympathize TO a certain eX
tent with the disturbances in the
financial atmosphere of the great
commercial city. II is reassurinc
fact. demonstrated throughout the
panic, that the mercantile interests
and the banks that have confined
their operations to legitimate bank
ing are not crippled by the storm. and
that it affects mainly the business
houses that have gone into stock
gambling or rash Speculations in
doubtful securities. There is no good
reason why it should extend beyond
the Wall street gamblers and the
lame ducks who have got crushed in
attempting to carry the unavailabie
bonds of unfinished railroads. Crops
are good, the fall business has opened
well, and there is no cause for the
trouble extending beyond it's original
limits, the dealers in speculative Sc
curities.
THE governing committee o. the
New York Stock Exchange very prop
erly decided to suspend the business
of the board on Saturday to create
an interval during which values
would settle and discretion recover
its equilibrium. The wisdom of the
course is so apparent that 1t is only
to be regretted that it had not been
adopted twenty-four hours sooner
and thus perhaps have stopped the
tide of disaster before it had gained
such momentum. The duty of those
concerned in the financial stability OF
|, our business communities is at such
a juncture to shut off the wild gam
bling of the stock exchange, which
only serves as food for panic, and af-
ford an opportunity to the public TO
exercise their reasoning powers and
regain confidence by seeing the little
ground for anticipating any real
financial crash.
To-day not only the stock exchange
but the gold exchange is closed with
excellent results in the way OF check
ing the. force of the panic; A much
better feeling prevails in New York
today, and II is evident that the storm
of disaster has nearly spent its force
there.
"In this city today affairs are re
suming their old course. The run on
the savings banks has dwindled down
to very trif1ing proportions, and the
other banks are pursuing the even
tenor of their way without any un-
usual pressure at their counters to
indicate that financial storm is GO
ing on in New York.
Some little excitement was created
on our Washington Wall street this
morning by the reception of dis
had suspended. but the statement was
almost Immediately contradicted by
another dispatch. and appears to have
had no foundation whatever.
4 X X
This hopeful feeling lasted for
couple of days, but was succeeded by
| a renewal of the gloom when other
| large banking houses in New York
failed, as noted in The Star of Sep
tember "a. 1879. On the next day
again it was announced that the panic
was "over" 1t was true that there
were no more sensational collapses.
| but in the news columns of The Star
| of September 81 appear brief an
nouncements of bank suspensions In
| different parts of the country. 1t was
| this condition, resulting from the New
/ York panic, that continued for many
months to spread, with the effect of
| slowing business all over the coun-
i try. q condition that lasted for num-
! her OF yea~s