The Express.
London, England, 1864-05-03 00:00:00

business
tion

Tim fresh advance in the Bank rate of discount
is viewed with peat calmness by the commercial
classes. A few years ago an advance in the value
of money to 8 per cent. was regarded as a financial
phenomenon suggestive of the gravest circumspec-
tion, if not alarm, but it is now regarded with very
different feelings. Only a few weeks back a move-
ment precisely similar to that now adopted—via.,
a rise from 7 to 8 per Dent—was made by the
Bank, but produced no ill effects whatever : on the
contrary, by the check which it gave to
our foreign outgoings, and by the power of
attraction which it exercised upon capital
in the relatively cheaper foreign markets,
it unquestionably paved the way to the relapse to
6 per cent, subsequently witnessed. There is no
reason whatever why the course of the money
market should tend to impair confidence now, any
more than it did then ; and it is far from impro-
bable that the stringent action just taken may
hasten the otherwise slow return to more moderate
rates of discount. Amongst the considerations
which encourage a hopeful reading of the future of
the money market, the principal consists in the fact
that, though there has been a steady diminution of
the Bank's resources for some time past, both as re-
gards bullion and reserve, there is not at present
that active foreign drain of gold which at all times
has the most potent influence upon the course of
financial affairs in this count/. The Bank return
for the week ending the 20th April showed a decline
of only 337,098 L in the coin and bullion, and of
222,553/ in the reserve, while the return last pub-
lished, extending to the 27th of April, showed that
the ratio of decrease in the bullion had diminished,
the falling off for the week being only
175,5261., and at the same time there
was an increase of 9,914/ in the re-
serve. If, as these figures go to prove, the
pressure on the Bank's resources was diminishing,
under the operation of the rise in the rate of dis-
count from 6to 7 per cent., it may fairly be ex-
pected that the current will be turned in a favour-
able direction by the additional measure just
adopted, the more especially as the value of money
is now higher in England than in any of the other
leading markets of Europe. In explanation of thin
anomaly—England being the wealthiest country in
the world, and therefore, orainatily, the cheapest
money market—we have only to look, Ist, to the
demand upon us for bullion in payment for cotton ;
2nd, to the rapid increase of our foreign trade ;
and, 3rd, to the activity lately shown in
the introduction of foreign loans and joint-stock
enterprise. It would appear, however, that the
effecte produced by this latter movement have been
chiefly of internal, rather than involving a foreign
drain. With regard to the second head, there
seems to be no belief in any quarter that our ex-
tended foreign trade is other than profitable,
though entailing delay in the receipt of the
returns ; while, as respects the consignments of
silver in payment for cotton, it would appear that,
though the revival of the cotton speculation at
Liverpool forms a feature of some importance, the
present is not a time when serious apprehensions
need be entertained, it being believed that the bulk
of the immediate payments to the East have been
made.

Rear-Admiral Wialerstori, left Gibraltar on the
afternoon of the 21st ult. for the German Ocean,
rid a port in Portugal or on the north coast of
Spain. It oonsisted of the screw sloop Elisabetta
(flag-ship), Captain Zaccaria ; screw line-of-battle
ship Kaiser, Captain Baron de Bee ; screw frigate
Archduke Friedrich, Captain Wipplinger ; armour-
clad frigate Don Juan d'Austria, Captain Pakorny;
and screw gunboat Wall, Commander Mantronc.
The Premdtubtate of Vienna, of April 29, says :

1 We are expecting every moment to hear by telegram of
the arrival of the Austrian fleet in the North des, and of its
forcing the Danish blockade. The acidities of aa wale-
tics proposal by Denmark at the Ooaference would probably
disappear alter the effective intervention of our flotilla.
There is nothing to justify the belief that the appearance of
our vessels in the North Sea has been designedly retarded
with a view of mot extandiag the °centime of war on sea,
or of sot wishing to displease England, or for any other
reason whatever that has not bees avowed. In our political
circles nothing is more earnestly desired than that the
Austria navel force should teach a lesson to the Danes on
sea Ilk, that which our land force inflicted on them at
Oben* Oberon, and Voile.

TH r., -- : ...- .: . '14.11. , Do
• •, ~.,
duty derived from our position u : ,- 1.--. -: 004
Power binds ns to take part in ev • -7.4--A "..„;....:
Nill
settlement, whether right or wrong; and if I --
MR AUSTRIAN FLOTILLA.
mark is to be destroyed, we may at least let the The Austrian
iquadron, under the ennunand
bUliDall• be as utterly strange to us as the peril-
Rear-Admiral Wulleratorf, left Gibraltar on the
lion of Polentl was to our forefathers.
afternoon of the 41st eft far tha aarMll.ll Orman