10598. banks of St. Louis (Saint Louis, MO)

Bank Information

Episode Type
Suspension → Reopening
Bank Type
state
Start Date
September 25, 1873
Location
Saint Louis, Missouri (38.627, -90.198)

Metadata

Model
gpt-5-mini
Short Digest
1774b5c8

Response Measures

None

Description

In Sept 1873 the banks of St. Louis suspended payments (articles dated Sept 26 refer to a suspension around Sept 25). They resumed currency payments Oct 27–28, 1873 without runs or unusual excitement. The broader panic of 1873 is the apparent cause (national/macro news).

Events (2)
1. September 25, 1873 Suspension
Cause
Macro News
Cause Details
General financial panic of 1873 affecting many cities; banks decided to suspend payments amid Eastern market turmoil.
Newspaper Excerpt
IN MISSOURI. GENERAL SUSPENSION OF THE BANKS OF ST. LOUIS... Sept. 25.-A slight run having been made on the banks of this city, it was decided at a meeting of bankers, held last night, to suspend the payment of checks or drafts, in currency or exchange...
Source
newspapers
2. October 27, 1873 Reopening
Newspaper Excerpt
On Monday the banks of St. Louis resumed currency payments. The event occurred without any unusual excitement. No runs took place... All fears that might have been entertained ... that a run would be made upon the banks when currency payment was resumed, are allayed, as the banks opened the doors this morning as usual... ST. LOUIS, Oct. 27th.-All fears ... the banks opened the folly of their experiment demonstrated ... resumed currency payment on Monday. There was no excitement, and no signs of a run anywhere.
Source
newspapers

Newspaper Articles (6)
1. September 26, 1873 New-York Tribune New York, NY
Article from New-York Tribune, September 26, 1873

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Article Text

New-York Daily Tribune. FOUNDED BY HORACE GREELEY. FRIDAY, SEPTEMBER 26, 1873. At a stormy Erie meeting in London, President Watson received a unanimous resolution of thanks, and announced that his road wanted $30,000,000 at once. The French Conservatives claim a majority of 20 in the Assembly in favor of a monarchical restoration; the Republican members threaten to resign in a body. The Spanish Government has demanded of England the release of the Vitoria and Almanza. = The U. steamer Tigress is still searching for the Polaris crew. Secretary Richardson, Attorney-General Williams, and other officials determined, it is said, after long consultation, that the Government should not use any portion of the legal-tender reserve for the purchase of additional bonds. The banks of Chicago, Cincinnati, Baitimore, Nashville, and New-Orleans have suspended the currency payment of large demands. In St. Louis the bank suspension appears to be total. Failures are reported in New-Brunswick, N.J., Selma, Ala., Indianapolis, MemThe schooner Whiting phis, Atlanta, and Augusta. was wrecked at Grand Haven, Mich., all the crew but one being Descued after a thrilling fight with the waves. = An Anti-Kellogg Convention has been called, to meet at New-Orleans Nov. 24. There were no further suspensions in Wall-st., although aid from the Government in the purchase of bonds was entirely withdrawn. The difficulty in getting foreign exchange has affected the export trade somewhat disastrously. The Stock Exchange endeavored, by the appointment of a Committee, to force settlements upon last week's transactions. The Bank Presidents did not favor the theory of the Stock Exchange 10 regard to the resumption of business. ==== Sprague's attorneys endeavored to show that the money for his investments was borrowed from the Brooklyn Trust Company. The Grand Jury issued a public call for testimony. The District-Attorney refused to announce his intentions concerning the jail frauds. The Committee on investigating department affairs or- The Liberal Republican General Commitganized. tees made arrangements for holding primaries, and listened to Gen. Coctrane's remarks on the issues of the campaign. The Kings County Democratic primaries were held. The Newark Democratic Convention made municipal nominations. = An effort to act on the Police Justice nominations falled in the Board of Aldermen. - The Protestant Episcopal Diocesan Convention was addressed by Bishop Potter. - Prominent delegates to the Conference of the Evangelical Alliance, and Wilkie Collins, arrived. Damaging testimony was adduced in the baby-farming examination. The Harlem Rowing Club's Fall races were pulled, and entries for the National Amateur Regatta were announced. = The New-Jersey section of the NewYork and Oswego Midland Railroad is to return to its

2. September 26, 1873 New-York Tribune New York, NY
Article from New-York Tribune, September 26, 1873

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Article Text

IN MISSOURI. GENERAL SUSPENSION OF THE BANKS OF ST. LOUISFLOUR SHIPMENTS IMPEDED. Sept. 25.-A slight run having St. Lours, been made on the banks of this city, it was decided at a meeting of ban ers, held last night, to suspend the payther in currency or exchange, ment of checks or drafts, address and the former until the excitement in the East condition of the markets is restored. Shipments of nour to the East having been virtually suspended by the recent advance in railroad freights, the Board of Directors of the Merchants' Exchange have petitioned railroad companies to restore the old rate during the present financial troubles.

3. October 29, 1873 Lexington Weekly Intelligencer Lexington, MO
Article from Lexington Weekly Intelligencer, October 29, 1873

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Article Text

The Dispatch asserts that the banks of St. Louis had five millions more currency in their vaults on Monday, when they resumed payment, than they had at their suspension.

4. October 30, 1873 The Saline County Journal Salina, KS
Article from The Saline County Journal, October 30, 1873

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Article Text

On Monday the banks of St. Louis resumed currency payments. The event occurred without any unusual excitement. No runs took place, but, on the contrary, the deposits exceeded the demands. This action of the banks has been marked with no unusual excitement because there was a general public confidence in Western banks, and the approval with which business men received the intelligence that banks were not paying out heavy amounts of currency during the panic generated confidence among all classes, which soon settled into unconcern. The resumption by the St. Louis banks was tardy, when compared with the prompt action of the Chicago houses, and hence the business of the country governed by St. Louis markets has been rather backward. In this matter we see the need of more direct communication with Chicago by a road that will work up her interest on its line, that we need not be governed by the slow and easy going St. Louisans.

5. October 30, 1873 Evening Star Washington, DC
Article from Evening Star, October 30, 1873

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Article Text

RESUMPTION OF CURRENCY PAYMENT IN ST. LOUIS. The banks of St. Louis all resumed currency payment on Monday. There was no excitement, and no signs of a run anywhere. All have strengthened themselves greatly since the suspension, and some report twice as much currency as they have on hand in ordinary times. Some bankers say that there is at present $6,000,000 or $8,000,000 more currency in the banks at present than they have commonly in their vaults. Nine hundred thousand dollars of the $1,400,000 clearing-house certificates have been retired, and the rest will be withdrawn, it is thought, without trouble. If things go on quietly for a few days, it is hoped that discounts will be made as freely as they were a month ago. Exchange is sold at 1-10 to ¼.

6. October 31, 1873 The State Journal Jefferson City, MO
Article from The State Journal, October 31, 1873

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Article Text

Sr. LOUIS, Oct. 27th.-All fears that might have been entertained during the fore part of last week, that a run would be made upon the banks when currency payment was resumed, are allayed, as the has such an opinion. The experiment demonstrated banks opened the folly their of doors this morning as usual and if any banker anticipated a provoked demand he did not exhibit it in an outward appearance, but appeared as nonchalant as though his ready capital exceeded all liabilities to an extent not to be estimated. Checking was moderately active, but only to meet legitin.ate requirements, for which immediate capital is necessary. Deposits were as large as on any day since as the smoothly panic began, during and the everything tranquil worked days of prosperity. Discounting was decidedly liberal, considering the necessary stringency of the market which is but the result of the increasing fall business. and every tendency is toward a relief earnestly hoped for by our crippled trade. for two months past. Eastern exchange continues unusually scaree, while the demand is correspondingly large, and much inconvenience is oceasioned thereby. Rates are purely nominal, at a range of 1.10 to 1.25 premium over the counter, and from par to 5 cents premium per 81,000 between banks. The local stock and bond market continues slowly improving. but there is hardly enough animation to allow of any reliable quotations. Gold, buying at 107 1-2. Selling at 108. Silver, buying at 102. Selling at 104. ST. Louis, Oct. 28.-Currency resumption having taken place fully and successfully, without jog or jostle in the machinthat works it, few new are of veloping ery special importance. features The banks deof the city are better prepared to-day to meet the demands of trade than they have been during the year, and the reason is obvious: the short respite of the banks having terminated, it is now easy to see the benefit that has resulted from the suspension, notwithstanding the action must ever remain censurable, because of the injury that has resulted to business, and because such a policy was wholly unnecessary, as yesterday demonstrated ; but he benefits that have accrued are in the increase of banking capital, and in that we find the panacea for the anticipated severe fall stringency. Bankers all agree that their capital has been increased during the from to their collections from by suspension one-fourth the country been one-tenth and other sources, none of which has paid out, but now awaits the demands of trade, which will be eagerly accommodated next week. There is a fair amount of discounting to customers, and some to outsiders, at rates ranging from 8 to 12 per cent. and in the streets from 12 to 24 per cent. Gold, buying, 107 1-2. Selling, 109. Silver, buying, 102. Selting, 104.