in the market of
bonds of other countries. At one period the sale of four and a
half per cent. bonds became more rapid than the contract provided
for, and this rapid accumulation of coin tended to advance its
price, which I desired to avoid, and, therefore, strictly limited
the sale of the four and a half per cent. bonds to $5,000,000 a
month, thus preventing an unusual demand for coin. During this
period there was a constant effort of banks and bankers, chiefly
in New York, to have some exceptional privilege in the purchase of
four per cent. bonds. This was in every case denied. The published
offer of the sale of these bonds was repeated during every month,
and the terms prescribed were enforced in every instance without
favor or partiality.

On the 12th of July W. S. Groesbeck, one of the members of the
monetary commission about to assemble in Europe, applied to the
department for information that would enable the American conferees
to assure the conference that the United States would resume by
the time fixed, and should therefore be regarded by the conference
as not in a state of suspicion. I responded to his letter as
follows:

"Treasury Department, }
"Washington, D. C., July 15, 1878.}
"William S. Groesbeck, Esq., Cincinnati, Ohio.

"Dear Sir:--Your letter of the 12th instant was received during my
temporary absence, and I comply with your request with pleasure.

"Accompanying this I send you sundry documents, duly scheduled,
which contain in detail the law and my views on the resumption
question.

"Among these papers is a letter from the treasurer of the United
States, of date July 6, showing the exact coin on hand for all
purposes, a careful examination of which will prove to you our
ability to resume at the time fixed by law.

"It will be perceived that we have on hand in the treasury coin
enough to cover all our coin liabilities of every name and nature,
and also thirty five per cent. of the aggregate amount of United
States notes outstanding, with an excess of $2,474,822. We have
also $7,139,529 of fractional silver coin, which will be used for
current expenses.

"Of the United States notes outstanding, at least sixty millions
are held in the treasury, either as the property of the United
States or as special funds for purposes prescribed by law, which
cannot readily be diminished.

"In addition, the secretary is authorized to sell bonds for the
purchase of coin or bullion