Evening Republican, Volume 18, Number 307, Rensselaer, Jasper County, 28 December 1914 — WHY FINANGIERS SHAKE STOCKS AND BONDS FALL SILVER DEMONETIZATION [ARTICLE+ILLUSTRATION]

WHY FINANGIERS SHAKE STOCKS AND BONDS FALL SILVER DEMONETIZATION

Silver In the Street—The Judgment Begun—Financial Shaking*—Deluge Feared —Various Expedients Tried. Present Outlook—Earth's Only Hope.

Dec. 27.—Pastor ' Russell preached j from, “This word, , Yet once more, signifieth.the removing of those things that are shaken, as of things that are made, that those things which cannot tie shaken, may remain.”— Hebrews 12:27. The speaker held

that his text applied to our day, that the removing of all things shakable is now progressing, mat the shaking heavens represent Eccfertqsticism, and that the shaking earth Represents social, financial and political affairs. Everything false, bogus, inequitable, will be shaken. In financial parlance this is equivalent to saying that the “water” will be squeezed out of stocks and bonds. The subject of the demonetization of silver was discussed at length. Forty years ago financiers >concluded that it would be to their interest to have only a gold standard. The public, of course, acquiesced, believing the bankers’ tale that this was really the best thing for .the people, t It is perhaps but fair to say that less than one-half of the bankers understood the philosophy of the matter, but were guided by the more astute, who fully understood. The result has been great profits and power to the bankers; for without them railroad stocks and bonds could not be handled successfully. By what is known as the underwriting, process, the bankers took over large Issues of railroad stocks and bonds, for which t!te« were capable agents at a round profiv'fldvaucing money on the bonds and holding them for sale to the public. Settlement. The great banksVhave their vaults well filled with thesestocks and bonds, on which they had hoped to make large profits, but they are now unable.'to sell at any price. Reckoned in as part of their assets, these stocks and bonds show the banks to be wealthy, with Immense surpluses; but now that the “water” is to be taken out of these stocks and bonds, there will be an immense shrinkage in the resources of these banks. They, will suddenly become poor without actually losing a cent, by reason of the falling market value of their securities. All banks realize this fact. If their; holdings are to be reckoned at actual value, some of the richest banks will become insolvent and will be -called upon by the Government either to close their doors or to make good their shortage. Right there will be their difficulty; for the rich men of the world have their capital invested simi-’ larly, and the reaction will be bound to affect unfavorably all great commercial enterprises. As all went amazingly well for the bankers and the wealthy by reason of the demonetization of silver, so when the Day of Reckoning shall have fully dawned, things will go especially hard with them. Although the stoppage and reconstruction will Involve rich and poor alike, in many respects the rich will feel the pressure more.

Liquidating Process Begun. Meantime, the war has brought the financial world to a crisis. The nations of Europe are being shaken. Already the casualties Of the war amount to nearly two millions of human beings and hundreds of millions of dollars; and it is only begun. The thing wanted is gold; and, as in every war, this precious metal has practically disappeared in the warring nations. Their home securities will not be salable for cash: and a general attempt will be made to sell American stocks and bonds. But who will buy these? America will be practically the only market; and American bankers are loaded down heavily Reliable financial authorities declare that Europe has about five thousand millions of dollars invested in American securities. If but one-fifth of these be sacrificed to realize gold, it will mean a financial deluge. American banks, already overloaded, cannot purchase all; hence prices will tumble and wrecks follow. -~ Is it any wonder that American bankers fear to see Stock Exchanges open for business? Had the Exchanges not closed promptly when they did, we would have had the most terrible panic ever known. By their closing, the face value of stocks and bonds has been preserved, and thereby bankers have been permitted to continue to count these at fictitious prices which nobody would pay for them today. The Pastor then demonstrated that, if silver had not been demonetized, bankers would not be in the present distress; for the world would have had twlce : as much money with which to do business. He applied Ezekiel 7:19 to present hiding of gold, and to silver’s demonetization. But the various expediencies being tried by financiers will be of no avail, if he rightly understands Scripture. All human effort will fail, and the greatest of all financial crashes will take place because the hdur of God’s Judgment has come. Earth's only hope is In the establishment of Messiah’s Kingdomnear at band.