The Press.
London, England, 1857-10-17 00:00:00

anti Earhtt tub t ittz gitttiligtut.

FRIDAY EVENING.
Tus return of the Bank of England for the week
ending the 10th inst. shows the following
changes compared with that for the week preced-
ing :
Increase in Circulation
Increase in Public Deposits
Decrease in Other Deposits
Decrease in Public Securities

Increase in Other Securities
Decrease in Bullion

Increase in Rest ..

Decreue in Reserve-

15,3.59

Bullion in Both Departments ... 10,123,887
Circulation, including Bank Post
Rills 20,862,690
The falling off in the Bullion reduces the stock to
little more than ten millions, being the lowest
amount at which it has stood for many months past.
The heavy demand upon the Bank for advances
on securities and the repayment of deposits has
caused the Reserve to fall off nearly 600,0)01., so
that the notes in the till are barely above 4,000,0001.
The Public Deposits will not show the effect of the
dispersion of the October dividends until the next
return.

The diminution in the Bullion and the Reserve will
at once explain the policy of the Bank Directors in
advancing the rate of discount, at the commencement
of busines% on Monday, from six per cent., at which
it was fixed only on the previous Thursday, to seven
per cent. This movement was rather a surprise.
Most persons anticipated an advance in the course of
the week—not later than yesterday ; but few ex-
pected it before, and still fewer were prepared for an
immediate jump of one per cent. But circumstances
appear to have amply justified it. Financial diffi-
culties in the United States, as reported by the mail
which arrived on Saturday, had accumulated and
extended ; more banks had suspended, and many of
the first commercial establishments were unable to
meet their engagements. As a necessary conse•
quence the exchanges had fallen to a point which
made it profitable to ship gold from this side, while
at the same time the value of money had increased
so greatly that capitalists here were already arranging
to raise heavy amounts for transmission to New

York, Boston, Philadelphia, and other cities in the
States, where it could be employed at something like
twenty-five and thirty per cent. In addition to these
threatening symptoms heavy remittances of gold
were being made to the Continent by the bullion
brokers, partly on account of an active demand from
France, Austria, and Holland, and partly in payment
for silver purchased for transmission to India and
China. Then, again, large amounts of specie had
been shipped for the Cape and some other
colonial possessions. It was further reported that
the specie remittances to New York alone during
the week would amount to 400,0001. This estimate
has proved a gross exaggeration ; but, taking all the
circumstances into consideration, it was absolutely
necessary to take decided measures for the protec•
tion of the stock of bullion in the Bank. The day
after the rate bad been raised to seven per cent. con-
siderable amounts of gold arrived from Australia and
from Russia. They have proved sufficient up to this
time not only to supply the American and conti-
nental demand, but even to furnish the Bank itself
with a sum of about 80,0001. To-day there were
two additional arrivals from Australia, both
entirely unexpected, and bringing together about
half a million. So that the operation of
the new rate, in conjunction with the natural
effect of these arrivals, has allayed any immediate
apprehensions of a further diminution in the stook.
But while giving full weight to these circumstances,
there are some upon the other side which must be
taken into account in estimating the probable course
of the Money Market during the next two or three
weeks. No further amounts of Australian Fold are
now due, and we are not advised of any shipments,
though doubtless some may be at sea ; and it is hope-
less to expect supplies from the United States in the
present state of affairs. Some amounts of specie
will of course come in by the next royal mail steamer
from South America and the Pacific. We are,
therefore, practically reduced to two fields of supply,
Australia and South America, for some time to come.
And against the stocks we now possess and the contin-
gencies of such arrivals we have to place the
prospect of a ccntinuous, if not an increasing, de-
mand from the United States, the requirements of
the Continent, and the necessities of India and
China. Such, briefly put, is the present state of the
bullion market. Apparently, it does not encourage
much hope of discounts remaining at seven per cent.;
and enough is known of the character of the Bank
Direction to believe that a further advance will be
made any day that it may be necessary.
The effect of the advanced rate upon the Money
Market has been very important. It has not checked,
but increased the demand ; for, as the character of
the American crisis was understood, it was deemed
certain that it would cause a large demand for specie.
All parties, therefore, have been endeavouring to
obtain discount accommodation before the terms
were raised above seven per cent. Hence the de-
mand has to a certain extent been exaggerated. But,
independent of motives of this kind, it has been
extremely active, particularly among the bullion
brokers ; and the country bankers during the last
three or four days have also been largely increasing
their reserves. To-day the applications at the Bank
were heavy. At the joint stock banks and discount
houses the high rates allowed for money at call has
placed them in ample supply out of the dividend
receipts of the public which are now being paid ; but
in all cases nearly both are requiring fully the Bank
minimum.

The higher price of money, and the suspension of
remittances from America, have led to consider-
able commercial disasters in Glasgow, Manchester,
and some other places. A good many failures have
taken place, about half a dozen of which are of an
extensive character ; and serious apprehensions are
still felt in the manufacturing districts. The next
accounts from New York by the Ariel, now due, may
perhaps afford some relief, but in a crisis of such
magnitude it is futile to expect that two or three
days' later advices can produce any great improve-
ment.

The specie arrivals up to yesterday, independently
of the imports from the Continent, did not exceed
300,000/. The exports absorbed more than an equal
amount, and preparations have been made for send-
ing 100,0001. to the United States by to-morrow's
packet, in addition to 70,0001. sent by the Baltic on
Wednesday. To-day there was most unexpectedly
an exceedingly large addition to the receipts. The
Royal Charter arrived from Melbourne with 336,0001.
in gold and 24,000 sovereigns, and she was followed
by the King Philip with 100,000/. Besides, 3,0001.
came yesterday by the Omer Pacha from Sydney,
and 1,0901. from the Brazils. Altogether not less
than 517,6901. was reported to-day—an amount
which, besides meeting the external demand for some
little time, will probably enable the Bank to recruit,
to some extent, its diminished stock. The Orinoco,
which leaves Southampton for the West Indies to-
morrow, takes out 19,1301., of which 11,1301. is in
gold, and the rest in silver. As to silver, the Indian
letters delivered this morning have stimulated the
demand for the neat and the succeeding packet.

That of the 20th instant will probably take out nearly
1,000,0001. Bars have advanced to ss. 20. per
ounce ; and for the first packet in November the
price to-day was ss. 2d. per ounce.
The Continental Exchanges are all better. On Paris
and Vienna there was a further improvement to-day.
All the leading banks in the continental cities have
advanced their rates of discount, in consequence of
the policy adopted by the Bank of England. The
Bank of France have advanced to six and a ball per
cent.; the Bank of Amsterdam to six. At Hamburg
the rate is now nine per cent.; at Vienna eight ; and
at Berlin six and a half. At Vienna a panic is pre-
vailing.

English Securities of all descriptions have given
way before the increasing dearness of money, and a
serious decline has been established in some railway
stocks. The Stock Exchange, indeed, has suffered
heavily during the week, partly from a demand for
money, in connection with the Consol and Share
settlements, which were brought to a close yesterday
and to-day, and partly from a demand in connection
with repayments of advances made by the Bank
during the shutting. No fewer than five failures
have taken place, and there have been several
suspensions on some of the provincial Stock
Exchanges.
Consols, which left off last Friday at 891 to I,
suffered on Monday from a species of panic created
by the sudden advance of discounts, and they have
been as low as 871. The fluctuations have, there-
fore, been considerable. Yesterday they were at one
time quoted at 881 to 1, principally through reinvest-
ments of dividend money, but they receded to 88}
to lat the close. To-day they opened at 881 to I,
and closed at 881 to 1. This improvement is solely
due to the gold arrivals noticed above.
The fluctuations in Turkish Six per Cents, always
a speculative stock, since this day week have been
no less than nine per cent. The dealings in them
have been large ; and of course, under such circum-
stances, heavy differences have had to be exchanged
at the settlement. Last Friday they closed at 931
to ;on Monday they were as low as 84. Since
then they have gradually improved until yesterday
they left off at 87 to 4. To-day they further
advanced to 87* to 88. Mexican Stock has
gone down a little. Other descriptions are slightly
lower; bat on the whole the Foreign Market has
been less affected by the changes in the value of
money than railways or Consols.
Some violent changes have oecared in Railway
Shares. Caledonians, for example, up to yesterday
had fallen rather more than four per cent. ; Shef-
fields two per cent., and some others in less proportion.
The heavier stocks were also muoh lower on Monday
and Tuesday ; but on Wednesday, and again yester-
day, they rather recovered. To-day these was a
general advance of fully I per cent. The Railway
Market is, however, extremely sensitive, and it will
follow the course of the Money Market.
Most other shares, Joint-stock Bank, Mining,
Miscellaneous, as well as Colonial Government Se-
curities, have declined.

Exchequer Bills were on Monday dealt in at 20s.
discount; but they subsequently recovered, mainly
upon purchases on behalf of the Commissioners for
the Reduction of the National Debt, to a discount of
10s. to 15s. This is 2s. lower than last week. To-day
they closed at Bs. to 4s. die.
The Swedish Government have advertised the
particulars of a proposed loan of about 1,200,0004
to be expended in the further extension of tbe rail-
way system in Sweden and Norway. The terms do
not appear very favourable. The contract is said to
have been already adjudicated to Messrs. Mark and
Co. of Hamburg.
A contract has been entered into between the
Spanish Government and the Peninsular and
Oriental Steam Navigation Company, for the con-
veyance of mails twice a week between Hong Yong
and Manilla. The service is to comment* is six
months; but meanwhile a monthly line will be
established.

A statement that the India-house sr• in want of
money is denied ; but in such a way as to make ns
believe that though immediate wants may be
supplied, such an emergency is sure to arise very
shortly.

The next wool sales are announced for Thursds,y,
the 12th November. The stock of colonial wool Is
now about 33,000 bales.
The Trade Reports of the week are filled with
complaints of dear money ; and from some of the
manufacturing districts the accounts are by a
means satisfactory.

NB PIISSI.
Wed.Thars.

Mosid.,Tuesd.
4f 1 :1
A7l x 861
88$ xd 881
171 xd 171
i21311d 218
154 7d
.... ....

Ni de,

3 per Cent. Console
Ditto for Account
3 per CeLts Reduced
S per Cents
Long Annuities
R►nk Stock, 7 per Cent 1
New ge per Cent Annuit
Mob. Bills, 20.
lady B ond 1,0001.) um

21$
5d

811
est
87
871
15-18

10d
294

887
8 8
87t
5-16
918

5 i
80