FINANCES OF THE UNITED STATES. 



coin greatly increased. Should the national banks 

 be prohibited from selling tbo coin received by them 

 an iulrrett upon bouds pledged to secure circulation, 

 retaining the same in whole or in part In reserve, or 

 loaning It in the discount of bills and notes payable 

 in coin, as Congress might prescribe, there would bo 

 a gradual accumulation of gold in the banks, which 

 would do something toward preparing for resump- 

 tion. This, with a constant increase of coin in the 

 Treasury, undertaken with the approval of Congress, 

 would era long lead to the desired result, when other 

 conditions required for the maintenance of specie 

 payments should become favorable. 



The acts of Congress of February 25, 1862, July 

 11, 1884, and March S, 1862, together authorise the 

 issue of (400.000,000 of United States notes, in ad- 

 dition to $40,000,000. of such notes, reserve. I t',. r 

 the purpose of securing prompt payment of tem- 

 porary-loan deposits, and the act of June 80, 1864, 

 contains these words : " Nor shall the total amount 

 of United States notes issued, or to be issued, ever 

 ezeeed $400,000,000, and such additional aura, not 

 exceeding $50,000,000. as may be temporarily re- 

 quired for the redemption of temporary loan." 



The range in prices at New York for Gov- 

 ernment securities, during the year 1873, has 

 1 .. ., n as follows : 



The rang 

 bonds, duri 

 lows: 



of prices for State and railroad 

 the year 1873, has been as fol- 



The range in prices for railroad and miscel- 

 laneous utocks at New York, during the year 

 1878, has been as follows: 



The price of gold opened in January, 1873, 

 at 112J, and advanced pretty steadily until it 

 reached 119-fc on the 12th of April, which was 

 the highest point reached during the year. 

 There was nothing of special significance in 

 the movements of gold, and the variations of 

 the market were generally the result of specu- 

 lative influences brought to bear by parties 

 who were immediately interested in procuring 

 an advance or decline. During the financial 

 crisis gold declined materially, and on the fith 

 of November touched 106J, the lowest point 

 made since 1862. The decline to so low a 

 point was simply the result of the monetary 

 disturbances, and the fact that there was, for 

 the time being, no demand for gold either from 

 speculators or importers : 



1ST*. 



January 



February 



March.. 



April 



May 



June 



July 



August 



September 



October 



^ o v<'tn wjr ............ 



December 



..,-,!,.. 



115* 



>* 



115 



115* 



nr, 

 108* 

 108* 



114* 



115* 

 HH* 



ll'.iv. 



us* 



lieg 

 116* 



new 



U6JJ 



111* 



110* 



iias 



LOWKt. ' CkxiDI. 



uA 

 IMk 



116$ 



115 

 115 



IMK 



110T< 



1II7J, 



113',' 

 i HI'. 



Ii7* 



117k 

 . 11R* 



ll.J.V 



il.v; 

 111* 

 10H* 

 109 



Foreign exchange opened firmly, and so 

 continued daring the early months of the 

 year, till the extraordinary money stringency 

 depressed the price to 107 for prime 60 

 (sterling. Under the law of March 3, 1878, 

 the value of the pound sterling was fixed at 

 $4.8fl()5, and in pursuance of this law the 

 ni.'tliod of quoting exchange was altered, and 

 the new style of quotation* went into effect on 

 tho 1st of January, 1874. the price of $4.8665 

 being equivalent to 109.45$ under the old 



