States, in the city of New York, in sums
of not less than fifty dollars. "And," it continued, "to enable
the Secretary of the Treasury to prepare and provide for the
redemption in this act authorized or required, he is authorized to
use any surplus revenues, from time to time, in the treasury, not
otherwise appropriated, and to issue, sell, and dispose of, at not
less than par, in coin, either of the descriptions of bonds, of
the United States, described in the act of Congress approved July
14, 1870, entitled 'An act to authorize the refunding of the national
debt,' with like qualities, privileges, and exemptions, to the
extent necessary to carry this act into full effect, and to use
the proceeds thereof for the purposes aforesaid."

In obedience to this provision I had sold at par, for coin,
$15,000,000 four and a half per cent. bonds, or $5,000,000 during
each of the months of May, June and July, and $25,000,000 at par,
in coin, of four per cent. bonds, or $5,000,000 for each of the
months of August, September, October, November and December. Of
the coin thus received $4,000,000 had been sold for the redemption
of United States notes, and the residue was in the treasury. The
surplus revenue had also, under the same authority, been applied
to the redemption of the residue of United States notes, not redeemed
by the sale of coin, and the balance was held in the treasury in
preparation for resumption.

These operations, aided greatly, no doubt, by the favorable condition
of our foreign commerce, had advanced the market value of United
States notes to ninety-seven and three-eighths per cent., or within
nearly two and a half per cent. of coin. They had also conclusively
demonstrated the practicability of restoring United States notes
to par, in coin, by the time fixed by law, and that without disturbing
either domestic or foreign trade or commerce. Every step had been
accompanied with growing business, with the advance of public
credit, and the steady appreciation of United States notes. The
export of bullion had been arrested, and our domestic supply had
accumulated in the treasury. The exportation of other domestic
products had been largely increased, with great advantage to all
industries. I said the course adopted under the resumption act,
if pursued, would probably be followed with like favorable results,
and a sufficient fund for the maintenance of resumption would
doubtless accumulate in the treasury at