The Press.
London, England, 1853-12-31 00:00:00

Vontg fatlitt anb it ilttiligtna.

FRIDAY EVEN INO.
THE funds have been very heavy during the week,
and large sales of Three-and•a-quarter per Cents. and
Three per Cents. Reduced have taken place. The
consequent demand for money in the Stock Exchange
has been very great, and the rate on Government
securities is 4to 4& per cent. Gradually the large
Rear account is being supplied, and, in the event of
politics taking a decidedly unfavourable turn, Ise
should not be surprised to see Consols fall consider-
ably below 1)0.

The public have been so accustomed to see political
differences overcome by diplomacy, that they hope

DECEMBER 31, 1853.

almost against hope that some solution will yet be
found by which the Eastern question will be settled
pacifically; but should this country get involved in
hostilities the fall in the funds will be the more con-
siderable from the disappointment; and the question
for financiers to consider will then be how funds are
to be provided for carrying on a war. Taking into
consideration the manner in which the Chancellor of
the Exchequer has absorbed the resources of the
Bank, and also how the levying of an increased taxa •
Lion will interfere with the principles of free trade,
we are inclined to believe, however vicious the system
may be, that recourse will be had to loans; indeed.
we look upon a loan of ten millions in the spring as
inevitable, and we are not prepared to say that it
would be inexpedient in the Government of this
country to borrow money in the market with as little
delay as possible, if only for the purpose of keeping
other competitors out of it, or, at all events, compel-
ling them to raise their loans on the most onerous
terms.

But has the Government taken into consideration
the possibility of carrying on a war with the present
Bank Charter Act? For the sake of the commercial
community we hope this will be the first subject they
will take into consideration. It is one of paramount
importance ; for, notwithstanding the large increase
of gold, we do not think it would be possible to raise
the taxation necessary for a state of war with a Bank
Charter Act which limits the amount of the circula
tion to the gold in the coffers of the Bank.
The issue of the bullion department and the bank-
ing department ought to be separated, and the Bank
ought to be allowed to issue, on the deposit of proper
security, to the extent required by the wants of the
community, and not be limited as at present to fourteen
minions ; and a board of control ought to be placed
over the Bank directors to prevent them abusing
the power of issue granted them.
By taking such timely measures, and not having
them forced as by some commercial crisis, caused by
a contraction of the issues of the Bank, in conse-
quence of the exchanges being against us, England
will be prepared for any emergency that may arise,
and could carry on any war to a successful issue.
The demand for money continues and is likely to
continue, the rate in the commercial world being
per cent. for discount.
We understand that the French Government are
about to raise a loan of eight millions sterling,
through the medium of the " credit fonder," and
that Bonds payable to bearer will be issued. We
have no doubt, under such circumstances, that these
bends will find their way into the English market.
The negotiations for a Turkish loan are suspended
in consequence of the special commissioners sent
from Turkey to negotiate it not being able to pro-
duce their " firman" giving them authority to do so.
We understand that the loan will be for 2,500,000/.
sterling : 1,400,110111. of it will probably be brought
out in Paris, under the auspices of the " credit fon-
cier," and 1,100,000/. in London.
The pressure of Three-and-a-quarter per Cents. on
the market to-day has been very considerable, and it
is estimated that not less than 250,000/. have been
sold, and the jobbers have taken on loan from the
Bank to-day, on the security of stock, upwards of
400,000/. at 41 per cent.
Many cautious persons are selling stock and buying
Exchequer Bills, which, at their relative prices, pay
nearly the same amount of interest.
Consols to-day have reached 94, in consequence of
rumours of an approaching armistice between the
Turks and the Russians ; but, in consequence of the
large sales of money stock before alluded to, close
931. Exchequer Bills sto $ premium.
The foreign exchanges are without alteration.
Gold continues to be shipped to the Continent, but
we should say the balance has been in favour of
imports.