MILLIONS STILL POURING INTO AMERICA.

Taranaki Daily News, Volume L, Issue 312, 9 January 1908, Page 4

MILLIONS STILL POURING INTO AMERICA.

HOARDING CRAZK. | New York, November 17. | Cold-hoarding is I lie all-pivci.niiiiuiit |iasiiun in the I'nited States ju-i now. Jr'roui one end of tlie contiuini 10 ill.' other people are demanding guul, ,hm wlwn tbe.v have obtained it are .wkiiig it up in their strong-rooms, rei using I part with it except tor the mom urg nt necessaries. iiiw iruze for gold hoarding is the result of the serious financial position ol Hie past few weeks. Its elleii o e. 11 in the failure of the gig.intu import* of the precious metal from Europe to relieve the situation.

Although the gold engagements with Kurope now total the large sum of tIIi.WQOjUOO, of which nearly .£8,(MM),000 lias already arrived, the jnoney stringency still continues. The New Virk bank» hare been unable to retain the previous metal. Kvery ounce as it ha* arrived has been sent off into the interior to meet the enormous dcinan I , from there. This demand is still as urgent as ever, and the explanation for it« persistence lies in the fact that both banks and individuals, as soon as they receive a supply of gold, hoard it away in (heir vaults and sales, in order to hafeguurd themselves against financial faster. This is particularly the case with the wentern country bankers, who. whenever the financial situation is a I'ttle strained, find their customers apt to Ik- seized with nervous fits liable at any time to pro duce panic. In New York a 20 per cent, cash reserve m all that the banks find it nc-es- ' sary to retain, but in the western banks ! the* reserve at ordinary times reaches ' nearer 50 per cent., and in times lik. | the present the bankers are raining the I percentage still further in their detrrI mination to avoid the fate "I some of their metropolitan contemporaries. ' his evident, therefore, that the need for further gold importations w.ll continue. unless the Government can devisjj something in the way of relief. Meanwhile, the money stringency .-M seriously affecting the indiislrcs of lb* country. while the "smart set wlnsc i income's depend largely on the op-ration-of the "Frenzied Financiers, are tecl- . ing the pinch of comparative poverty •Jewellers have been be-ieged by •' wealthv * clients who have b-sought them to buv back jewellery, while tilexpenditure on other luxuries his been enormously curtailed. Meanwhile the Attorney - 1 luk-y among the New York in ! stitiitions which have suffered in the crisis, and on Saturday receivers were | appointed on his application tor six : which have suspended payment -the Borough. Hamilton, and Brooklyn Hank-, and the Jenkins, Williamsburg, and In i ternational Trust Companies. With regard to the Borough Bank and the Jenkins Trust Company he lias i locIv investigated their affairs, and has i.lli • e'ially declared that he lias found evul ' ence' that the law has been broken, t ' Criminal proceedings are to be taken.