Evening Republican, Volume 18, Number 245, Rensselaer, Jasper County, 16 October 1914 — How Europeans Get Our Gold. [ARTICLE]

How Europeans Get Our Gold.

Do 70a know just how Europe recently got that $126,000,000 In American gold. Well, here is the way It wag done: Europeans hold great amounts In American securities, which is to say they have bought bonds issued in this country. When the war crisis came they saw the need of actual money in place of these bonds. They cabled to their American brokers to sell at the market price. They -took whatever they could get, but there was always something offered, so the sales were heavy. The purchasers of these bonds gave their checks. These the brokers cashed at their banks and got currency. This currency of the United States is made good by the deposit of gold in the treasuries. For every gold certificate In existence there is the actual metal in the treasury. So the brokers, getting the currency from the banks, went to the sub-treasury in New York and asked for the actual gold: They received it and sent the gold to their customers abroad.