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Show GERMANY REPORTED PURCHASING SILVER Law of Supply and Demand De-mand Shortly Displace Dictated Quotations. That Germany has placed orders In New York for large quantities of silver bullion was the information that "leaked out" last week from a source that is absolutely reliable, says the New York Morning Telegraph. The silver has already been purchased privately at a price in excess of current quotations, and will be shipped direct to Germany as soon as the trade embargo is lifted, or may possibly be shipped before then to one of the "neutral" "neu-tral" nations which publicly declared it loved the allies, but amassed wealth by stealthy trading1 with Germany. The silver will be paid for either tn gold or merchandise, already packed and awaiting shipping opportunities when peace is signed. The American merchant is no sentimentalist, senti-mentalist, and knows that German cities are being invaded by British and French trade representatives, and realizes that America is entitled to a share of the German Ger-man trade. This additional demand upon the silver reserves of this country is but the first of many that must come from Europe for coinage purposes, as both the belligerent and neutral nations commence to return to the prewar normal basis of trade. The immediate demand is likely to be more insistent from Germany, Austria Aus-tria and Hungary, where the bulk of the population no longer wants the iron and aluminum tokens they were forced to accept ac-cept during the war. Undoubtedly operations of the German and Austrian silver mines will be resumed, re-sumed, but they are nearing exhaustion and production is slight, compared with demands for coinage and industrial purposes. pur-poses. Total production of Germany and Austria-Hungary is now only about 7,000,-000 7,000,-000 ounces a year. Following purchases by Germany, it is thought that Austria, Hungary. Italy, Norway and Sweden will be bidding for the metal in the New York market, and the demands from these countries and the continued heavy shipments to Calcutta and Bombay will in six months totally exhaust the private and government reserves re-serves of the metal in this country. It looks now as if the law of supply and de-maud de-maud would shortly rule the silver market and brush aside what is really today a dictated quotation, and carry prices to much higher figures. The present silver situation is fraught with serious international monetary troubles which cannot be evaded, but must be faced and overcome in the near future. There is a surplus of gold and a dearth of silver. The exhaustion of the silver reserves of this country would be most embarrassing, especially as, under the Pittman act, the silver melted and shipped to British India, amounting to about 250,000,000 ounces, must be repurchased. repur-chased. From whom ? The only known large reserves are those of Spain, estimated esti-mated at 235.000,000 ounces, and Great Britain is already endeavoring to secure these. And hoarding: of silver continues In India and China, and is increasing in France and other parts of Europe, as well as in Egypt, Africa, Persia and Mesopotamia. Mesopo-tamia. The world's cry is for silver. The stock of copper companies producing produc-ing large quantities of silver as a byproduct by-product are now showing a marked appreciation, appre-ciation, and it would appear that stocks of meritorious silver companies must come into favor ere long. |