FREE BOOKS

Author's List




PREV.   NEXT  
|<   131   132   133   134   135   136   137   138   139   140   141   142   143   144   145   146   147   148   149   150   151   152   153   154   155  
156   157   158   159   160   161   162   163   164   165   166   167   168   169   170   171   172   173   174   175   176   177   178   179   180   >>   >|  
m the topics to which he directed my attention in the letter, it is the unavoidable inference from the context as a whole that Gould had then no faith in the statements given to the public that the President was in any manner pledged to interfere and prevent the sale of gold. The following extracts from the letter of September 20 are a full exposition of his policy and of the means on which he relied to advance the price of gold during the month of September: "On the subject of the price of gold and its effect upon the producing interests of the West, permit me to say that during the months of September of the past two years the price has averaged about forty- five. Gold must range this year at about that premium to enable the export of the surplus crops of wheat and corn. We have to compete with the grain-producing countries bordering on the Black and Mediterranean seas, and it requires a premium of over forty per cent on gold to equalize our high-priced labor and long rail transportation to the seaboard. "My theory is to let gold go to a price that we can export our surplus products to pay our foreign debts, and the moment we turn the balance of trade in our favor gold will decline from natural causes. In my judgment, the Government cannot afford to sell gold during the next three months while the crops are being marketed, and if such a policy were announced, it would immediately cause a high export of bread- stuffs and an active fall trade. "P. S. In addition to the above, if gold were put upon the market, government bonds would decline to at least fifteen, leaving the purchases made by the Government in the past few months open to criticism as showing a loss." As early as the 20th of September, I had evidence satisfactory to me that the Tenth National Bank in the city of New York was a party to the speculation in gold, and that its assistance was rendered largely through the certification of checks drawn by the brokers, and largely in excess of the balances due them upon the books of the bank when the certifications were made. It appeared from the evidence submitted that these certifications of checks in excess of the balances due to brokers amounted to about $18,000,000 on the 22d and 23d of September, when the speculation was at its height. For the purpose of arresting that process and checking the speculation in gold, I detained the comptroller of the currency and three competent clerks after th
PREV.   NEXT  
|<   131   132   133   134   135   136   137   138   139   140   141   142   143   144   145   146   147   148   149   150   151   152   153   154   155  
156   157   158   159   160   161   162   163   164   165   166   167   168   169   170   171   172   173   174   175   176   177   178   179   180   >>   >|  



Top keywords:
September
 

months

 

export

 
speculation
 

producing

 

Government

 

largely

 

letter

 

policy

 

excess


brokers

 
surplus
 

premium

 
evidence
 
balances
 

checks

 

decline

 

certifications

 

government

 

fifteen


leaving

 

purchases

 

afford

 

market

 

marketed

 
active
 

immediately

 

stuffs

 

addition

 

announced


appeared

 

checking

 
submitted
 

detained

 

comptroller

 

amounted

 

purpose

 

arresting

 

height

 

process


currency
 
satisfactory
 

National

 

clerks

 

criticism

 
showing
 

competent

 
certification
 
rendered
 

assistance