Show CAUSES OF DECLINE I IN THE PRICE OF SILVER Demand of White While Metal for Coinage Purposes Is F Far r t From Being Satisfied rhe The price of ol bar iLer Er declined d during Curing te week another 3 cents to an nn official on the New York metal exchange ex o. chan change e Saturday of oC 83 5 cents according to to the New York Mining Age The reasons rea tea sons ions for the decline are stated by authorities ties In the metal trades to be be first iret the he fact that the Ule high price of oC well above 1 0 an oi ounce brought into the market pr c J all aU of oC th the available supplies of silVor sitI sit sil- I Vor yer rei in the hands of refiners and bullion i dealers and so for the time being t t fled le the Immediate I demand and t second r l that as the decline began many regular I t 1 of oC silver sliver for tor other than coln- coln J withheld their buying orders in the e hope that t the decline would d continue con con- rn rne anti and l f they could I replenish I f their stocks more cheaply Tills explanation is borne out by a ar r statement recently received from London as aa 8 follows The high prices now ruling combined with certain vague rumors a as to what America is going to do or not going to do with Its large stock of oC coined silver sliver dol- dol Jars has induced most of the few re remaining remaining re- re private holders to realize the bulk of their stocks with the result that during the last few ew days more silver sliver has been Jeen on offer than for some somo time past and many long standing buying orders have been filled This combined with an almost complete cessation of oC the Chinese i demand has produced the first setback I t In the price of silver that has occurred since it started its Ils phenomenal upward I I run just two o months S ago Up to tl the I present e I S this I s setback J has be been tf I small mall n In 1 I comparison with the great rise that has taken 1 place and we must s also bear in rn Js Jsn mind t that If the coinage n and industrial n i demand continue on the same scale as i iI ie I recently e I there may be e the same a dif dif- I I I In n In it I in IVI VI view O of the h fact t that private holders are arc practically cl cleared ared I I t out lout Still for tor the moment there does not appear to ba be many l unsatisfied d demands I i eb f df r That the demand for silver f for coinage a purposes cs has been permanently satisfied 1 I is very far from being the belief belleC prevail prevail- i In Ing in the metal trades On the conj coni contrary con- con j i the opinion that tho the nations oft oCI of oC t Europe must return to If they I are are- areto to put a metallic reserve back of their I Inflated t war currency and credits Is rapIdly rapIdly rap rap- f II Idly gaining I r ground Pa among n the b best tt inI in- in I I formed students of oC political economy I I Eliminating Austria which has refrained I from making malIng any statement of bank notes or 01 currency Issues since July 1914 1114 the outstanding d paper currency ur n of Russia and fI England n on August u t 1 1914 was and It Is now Of this Increase came e I In the e 1 last year The Imperial al Russian Rus I onT J r. r alan sian bank a circulation c Increased from at the outbreak of the war to last month The German I notes Increased from 43 before the war to at atlie atthe atthe the lie end of oC August 1917 and und in addition to lo this the German loan bureaus have bave Is Issued issued is- is sued currency The notes IS-I IS I of the Bank of oC France have increased from at the wars war's outbreak to last week The Bank BanI of Italy ly notes in circulation advanced from at the beginning of ot the war warto warto warto to laj last t July The increase Inthe in inthe inthe the Bank of ot England circulation has been small from at the outbreak of ot hostilities to early in Sep Sep- lember But the tho new British currency notes of which none existed before the war amount tot That any allY movement of oC International I trade for many man years rears after the war can e by normal I means n nt t to bring Europe's Europe's Eu Eu- fd ropes rope's g gold reserves up to o a point suf sufficient to back up the Inflated currency I Is not regarded as probable The re- re of silver sll therefore appears to ba be the only alternative to a depreciated currency unless there thE should be a complete and revolutionary reorganization tion of or the worlds world's credits and currency systems It is upon the belief that internatIonal international international inter inter- national will be the Inevitable consequence of the war that silver sliver in interests interests In- In I. I are e predicting c that the h recent e de decline de- de I it ed dine cline from the price of l per e ounce i ionly is only temporary and aill that the white metal must still higher than it has touched 1 |