Banks and banking -- Great Britain; Finance -- Great Britain
The paragraph in the article relating to silver is of chief interest
to those who have commercial transactions with silver using countries,
and also to those who are interested in companies whose business is
conducted in such countries. These companies earn their revenue in
silver, but pay their dividends in gold, in addition to often paying
for much of their material in gold. Therefore the rate of exchange
between such countries and London, which rate is of course subject to
the price of silver, is of material interest to the holders of such
stocks.
The price of the Mexican dollar is frequently noted in the “silver”
paragraph of Money Articles. Mexican dollars circulate freely on the
coast of China, in spite of many efforts which have been made to
supplant them. When the dollars arrive in China the merchants who
receive them put their “mark” on each coin, which thereafter circulates
freely; the merchants’ “marks” being looked on by the populace as
a proof of genuineness. In London, Mexican dollars are dealt in by
weight, and as they are coined in silver nine-tenths fine, their price
should consequently be a little less per ounce than the price of bar
silver; but demand sometimes exceeds supply, when the price of the
coins rises somewhat considerably above their intrinsic worth.
The Indian price of silver is also noted in the article: this price
refers to the number of rupees which have to be given for one hundred
tolas of silver; the tola being an Indian weight equal to ·375 ounce,
and the silver being about nine-tenths fine.
Up to this point the information given in Money Articles is of
daily occurrence, and attention is then turned to various items of
intelligence according to the day of the week or month. For instance,
the day after ’Change is held in London, a paragraph is inserted
dealing with the various alterations which have been established
in exchange rates since the previous post day, and the “Course of
Exchange” is usually printed, more or less in full. On Friday mornings
the Bank Return is published, and the City Editor adds his own notes
on the same, calling attention to, and explaining as best he can, any
alterations which have occurred since the previous return. On Friday
also, the return of the Bankers’ Clearing House makes its appearance.
Public-domain text, read in full here on John Shaqi.
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