Year: 1870

From the ~ y. Herdtd


'Recent developments concerning the effort to
create excitementin In the Gold Room show that the
scheme to advance the premium was more wide-
spread in its character than at first supposed. IL
was the lack OF susceptibility on the part of the
speculative fraternity that prevented semi-panic
among the bears in gold. 1t is announced from
Washington to-day that an investigation has been
ordered with q view to discover the authors of the
bogus kilograms TO the naval authorities at New
York and Boston 1t is to be hoped that the inquiry
will be successful and the conspirators detected.
Every honorable broker In the Gold Exchange is
anxious to have the guilty parties ferreted out 1t
ie curious fact but not the less true that business
In the long s checked and curtailed by the ope-
rations OF these outside gamblers. The gold corner
of last September and the contemporaneous panic
In stocks have resulted in driving thousands of
buyers from the street and reducing In correspond
ing ratio the business OF the brokers. The advent
with any feeling OF delight by the legitimate dealers
OF Wall street. For the one who keeps him company
in buying stocks there are hundreds among the
general public who defer investment while his
transactions keep the market excited.


''The dealings in the Gold Room were on limited
scale, the market relapsing into duness In the
ti0D from the news Of yesterday. There was gene
raj canvassing and discussing Of the Spanish war
kilograms, during which business seemed to be
temporarily given up. AS the day wore on the bull
party, who as supposed. did not get out Of their
to 1l2% In the early dulness and In expectation
decline, resulting from the prepayments of heMay
Interest on the public debt BGt the money market
firm, the clique advanced the price to 1885, or
the shorts having been driven to cover by the





showing unwonted control Of the market, the
impression gaining ground at the same time
that the European coupons now en- route for this
country VIII absorb large proportion of the gold
Monday next. Meantime the Sears, had
made full use Of report from Washington
that the Banking and Currency Committee
intended reporting bill to contract the three per
cents and greenbacks to the extent OF as
preliminary TO an expansion OF the national bank
currency to like extent. But here the bulls
nounced that the Ways and Means Committee
would kill the Funding bill tomorrow, and gold be-
came firm again. Indeed, the struggle between the
two parties reminds one very much of q sharp legal
debate between two good lawyers. For one spell
the plaintiff seems to be undoubtedly correct. Then
the lawyer the other side goes to work and takes
the jury to his side Of the dispute. The bulls aud
bears are, OF course the plaintiff and defendant in
the present trial OF wits In Wall street. The argu-
ment one side, in favor of higher gold is complete
and irrefutaDle until the bears make sortie when
specie payments seem probable within the shortest
possible lapse of time.


"The feature OF the day was, however, the sud
den relaxation in the rate on call loans, which,
prime cOlateI als-such as Government bonds aud
TO houses Of hrst-class standng-were made at
three to four per cent. There were exceptional
rites, but the prevailing rate among the stock
houses was fve per cent 1t seems that the
expected drain OF currency for the require
ments of spring has been so long deferred
looked for the rest OF spring and summer. The
domestic exchanges are strongly in favor Of the
city, and the banks report great accumulation OF
national bank notes In their deposits. They are
also discounting for their customers quite freely,
while prime acceptances were In demand on the
street, and current at seven and seven and half
per cent Foreign exchange was dull, owing to the
better supply OF bills drawn against bonds, but
quotations closed firm on the basis of 1895 for
prime bankers sixty days and 109% for sight ster-
ling bills"