Show I. I 1 MINING STOCKS I CLIMB I I 16 to 1 Bill Pushed by Wheeler to Further Increase Price By Dy Associated Press s WASHINGTON April 11 The ll-The The senate senate sen sen- I ate agriculture committee today approved ap ep- ep- ep proved the Wheeler mandatory 16 to 1 silver purchase bill designed to inflate in inflate in in- flate the currency and speed peed the attainment attainment at at- of a metallic currency reserve reserve reserve re re- re- re serve of one part silver and three parts gold old 1 The committee action taken without without without with with- out a record vote spurred into fresh activity which began late yesterday when President Roosevelt raised the price for newly mined domestic silver from 64 to 71 cents an ounce More ore Votes Assured The b bill lJ by br Senator Wheeler D D. Mont however faces a doubtful future in m the senate Democratic leaders leaders- expressed confidence confidence con con- it would not pass but Wheeler Wheel Wheel- er claimed to have gained votes since the test on the issue last session The bill would direct the tr treasury ury to purchase at least ounces of silver a month until the proportion proportion tion of the white metal reached one one- fourth of the monetary stocks Purchases would be suspended whenever 16 ounces of pure silver equaled in in purchasing power one ounce of pure gold but would woud remain remain re- re main mam suspended only so o long lorig longas as that ratio was not disturbed I Congressional greeted the presidents president's action in boosting bo sting the price to 71 cents with satisfaction but apparently were were not excited oy oVer r it it They went right ahead with more morel sweeping e g plans a Ultimate Price Frice Senator Wheelers Wheeler's plan pIan on the basis of ot the present price for gold 35 an ounce would mean an ultimate ultimate ultimate ulti ulti- ulti- ulti mate price o of 2 18 an ounce for the white metal Senator Thomas D D. Okla Okie addressed addressed ad ad- dressed a letter to leading economists and financiers in which he hc foresaw early abandonment of the gold standard standard standard stand stand- ard by those nations still on oi it with the he subsequent stabilization stabilization ot of world currencies on a bimetallic standard silver and gold The in congress on hearing hearing hear hear- ing yesterday that the domestic domes c price probably would be boosted had indicted indi a belief belie that this this' would have little ittle immediate effect except on domestic domestic do do- production Senator Thomas pointed jointed out that if the world price had lad gone beyond the treasury price price producers naturally would have stopped selling to the government World Action Seen Thomas in a letter in which he asked for the views of economists and financiers suggested that the themore themore themore more gold and silver the United States holds the better would be its position to influence the terms of a world stabilization settlement It lIt appears to me he said id that there is not enough gold to alone serve as the base for currency and credit structure Of dr the several nations nations na na- na- na and j if I am correct in an this assumption then the world may be forced to a wider use of silver along with gold to ro serve as the base for the issuance of money By fly United Press WASHINGTON April 11 The ll-The The admInistration administration ad administration ministration sought today to speed advancing commodity prices by pay pay- Continued on Pa Page Face e Two ce Senator Wheeler FEDERAL SILVER PRICE RAISED Continued d from Irom ran Pus One Ont Ing more for tor domestically mined sil ail sil ver vcr Silver prices were boosted d overnight overnight over over- night from cents to cents an ounce The action was expected to furnish the psychological effect for price increases and expand the money Issuing base by Increasing silver pro pro- Policy Indicated Although the action merely gives domestic silver producers a 6 6 cent increase In itt price or less than 2000 additional annually on OR present production Us its importance w was believed believed be be- to lie In Its indication of or the future monetary policy polley of or the United States Heavy United States purchases in inthe inthe inthe the world orld silver markets during the thelast thelast thelast last week to together with the higher domestic price was wa believed to show the governments government's determination to rehabilitate rehabilitate re re- habilitate silver Free coinage of ot silver I Is expected to be accomplished when the price of ot the metal reaches per ounce At this level the treasury would not longer take lake on ott silver sliver re re- re- re Holders of ot the metal could have nave all ll their metal coined and re returned returned returned re- re re- re turned to them Free Coinage Plan Presumably when this price level levelis is reached a person will be able to take an ounce of ot silver sliver to the mint and haVe it coined into worth of oC silver sliver money This would constitute free tree coinage of 01 silver As has been the case in itt past sliver silver rehabilitation moves the boost in the domestic silver prices was preceded by rising tendencies in domestic mar mar- The Increased domestic silver buyIng buying buy buy- In Ing price is arrived at by the government government gov gov- govI I in taking 45 per cent of ot the silver received as and coining or printing the remainder at atthe atthe atthe the monetary value of an art ounce This yields the producer cents per ounce Previously Pre 50 per cent was taken as 35 yielding the miner only 1 cents The increase was effective as of April 10 President Roosevelt In his proclamation procla mation matlon raising the silver price gave no explanation for the move The world price of ot the metal however in response to treasury buying had been seen boosted to 64 cents yesterday from a recent low of 45 cents It was obviously a move to give domestic producers an advantage over foreign sellers but at the same samo time was believed a further step toward eventual eventual eventual even even- free coinage of oC silver Another result was the expected stimulation of oC domestic commodity prices one of oC the principal Ives tives of ot the Roosevelt administration President Roosevelt recently pointed out that prices are not sufficiently high to balance the current debt structure in the United States Slates Price Stabilizer F Earlier In his proclamation of ot December December De De- cember 21 1933 fixing the cent ent price for silver President Roosevelt hinted at the need nc-cd for lor higher commodity commodity com corn n prices when he said Whereas from investigations made by me I find it necessary in itt aid of ot the stabilization of domestic prices and in accordance with the poli policy y and program authorized by congress which are tre now being administered and to protect our foreign commerce against the adverse effect of oC depreciated depreciated depre depre- elated foreign currencies that the price of ot silver be enhanced and Along with Its lit higher buying price for or domestic silver the treasury through its s secret stabilization stabilization fund was expected today to continue its large scale purchases of ot silver in the world markets More than ounces of ot the white whito metal are yet to be acquired to bring them up to leve levels ordered by the last congress I Price Seen Sop Says Watson Vatson Confident predictions prediction that silver will reach a top price of ot an anI I ounce were mixed with an assertion that government action on the I white metal is a n sop to silver as Utah mining leaders watched a steadily rising market Thursday The price of ot foreign silver on the New York market jumped 1 8 5 cents to 65 3 4 3 cents an ounce It followed an increase of 1 8 1 cents Wednesday S See e Continued d Ri Rise c 3 J. J A. A Hogle of J. J A. A Hogle Co predicted the upward movement would continue until the figure was reached Other leaders leader while more cautious pointed out that the government is supporting its policy of keeping local silver sliver prices ahead of or the foreign market They also foresaw a continued rise to at least leasta a dollar level The charge that the government move In increasing ing the price of oC domestic domestic do do- silver to 71 cents i is nothing but a sop to silver producers was made by Geor George e H. H Watson president dent lent and general manager of oC the Alta Alla Champion Mining company Zinc Lend Lead Too Low LowThe LowThe LowThe The The governments government's action Wednesday Wednesday Wed Wed- ed nesda he said is Js nothing but a move to sidetrack important silver legislation Mining leaders reiterated former ormer statements that the Increased ed silver price must be accompanied by R a higher price for or lead and zinc if major production Increases are toI to tobe I be je made |