MORGAN AND THE RAILROADS
THE work of Drexel, Morgan and Company in the refunding operations of the government debt, after the failure of Jay Cooke and Company, added greatly to American prestige abroad. For more than forty years the United States had been a burial ground for British capital. State bonds, Confederate bonds, railroad bonds, had proved to be disastrous investments. But now one single monumental success had restored faith in American securities. In all, about $750,000,000 of bonds were refunded, of which the Morgans handled a large part, and this achievement reopened America to British investors. In 1877 the financial magnates of America gathered in New York at a dinner to give thanks to Junius S. Morgan for "upholding unsullied the honor of America in the tabernacle of the old world," as Samuel J. Tilden, the toastmaster, expressed the sentiment of the hour.