The Press.
London, England, 1856-10-11 00:00:00

gloneg glare et ano tatg

FRIDAY ETZNINO.
Tux return of the Rank of England for the week ending
the 4tli inst.‘shows the following changes compared with
that for the week preceding :
Increase in Circulation .
Decrease in Public Deposits
Increase in Other Deposits
Decrease in Government Securities 500,675
Increase in other Securities
Decrease in Bullion .. 985,115
Increase in Rest
Decrease in Reserve ..

Bullion iu Both Departments
Circulation, including Bank Post
Bills
The comparison is the most unfavorable that we have had
to notice in the present year, and we only need to glance
at it to be satisfied that the Bank directors had no alterna-
tive but to put on the screw energetically. Not only were
they called upon for an enormous extension of discounts,
as may be seen by the vast addition to the Private Securi-
ties, but they have had to endule a drain of bullion, the
greatest since 1847 within the same period of time. The
Private Securities now stand at an amount without pre-
cedent, being no less than 21,582,4641., while the Bullion
is barely more than 10i millions. These amounts would
not, perhaps, be calculated to excite any uneasiness if
there was reason to expect that they arose from temporary
or exceptional causes. That, however, is not the case, for
we know that the Bullion next week must show.almost as
great falling off; and we are tolerably sure that the de-
mand for money will be active enough to compel the Bank
to lend out again whatever it may receive next week in
liquidation of the bills just running off. In this way the
payment of the October dividends, which will commence
in a few days, is not likely to produce much improvement
either upon the price of stocks or the rate of money. To
assist in meeting these demands the Bank has not only
applied all its additional receipts on private account, but
it has also sold stock to the extent of half a million, and
again made a serious inroad upon its reserve. The notes
in the till are now only 3,775,5901., and they will probably
be less next week. Under these circumstances, and espe-
cially if the foreign demand for gold continues, as is not
unlikely, we should not be surprised to hear rumours of a
further possible advance in the rates of discount. The
Public Deposits show a considerable decrease, although
the Bank has not yet dispersed the dividends. This is
owing, we believe, to the payment of numerous Govern.
ment officials of their quarter's salary on the Ist inst.
The monthly return of the Bank of France was pub•
lished this morning. It is very unfavorable. The bullion
in the Bank's coffers is reduced to 6,658,000/. Indeed, the
Bank of England and the Bank of France possess together
gold to the amount of only 17,428,1901.
We observed last Friday that the principal event of the
week then closing was the advance made in the rate of
discount by the Bank of England from four and a half to
five per cent., and that this policy had under the circum•

981

stances met with general approval. We have now to
record a further and more important change in the same
direction. On Monday the directors were specially as-
sembled to consider the course to be adopted under the
pressure of a severe daily diminution in the stock of bul-
lion to Paris for the uses of the Bank of France. They
immediately adopted a very decided policy, for they ad-
vanced the rate of discount upon two-months bills to six
per cent., and upon three-months bills to seven per cent.
im
proved
character effect of this policy was apparent in the
character of the exchanges on Tuesday; but it did not
arrest the drain of bullion, for up to Wednesday no less than
150,0001. was taken out. Yesterday a considerable arrival
of specie, about 180,0301., suspended, or rather diverted,
the demand, and to-day we have heard of no parcels being
sent away ; but it is understood that the agents of the Bank
of France have unlimited orders in their hands, by virtue
of which their operations may be renewed any day. Fol-
lowing Bank policy, the discount-houses and joint-stock
banks have also raised their terms to the like amount, and
thus we have again, not for our own faults, but for the
faults of our neighbours across the Channel, a dear Money
Market,with no present prospect of the slightest relaxation.
The effect upon trade was in the first instance very severe.
In the north, especially in the manufacturing districts,
contracts formed upon the basis of a four and a half or five
per cent. rate were in numerous cases withdrawn ; com-
modities of all kinds advanced in price ; and profits, which
have been tolerably good for the last four months, could
not safely be reckoned upon. All branches of trade have
more or less felt the pressure already, although not a week
has elapsed since the change was made. Of course, people
are gradually adapting themselves to the circumstances of
the times; but production as well as prices is already
affected, and if the pressure continues we may expect a
falling off in employment during the winter, to be followed
by greater demands from the local tax-gatherer.
The perils of the monetary crisis in which France now
finds herself have in the present week caused the Bank of
France not only to increase her efforts to draw bullion from
hence, but to press heavily upon the speculators on the
Bourse. Whilst taking our bullion in order to strengthen
her position, she is contracting her loans and advances;
and she will now lend money only for thirty days, and then
but to the extent of forty percent. upon Rentes and twenty
per cent. upon Shares. These terms mast bring down all
the weak speculators for higher prices. Still, up to the
present moment, there have been no failures of conse-
quence. The drain of silver from France continues, thus
adding to the embarrassments caused by undue specula-
tion. An attempt was officially made to restore something
like confidence by the publication of a report from the
Minister of Finance, but it was only partially successful;
and the remedy now most generally suggested is a suspen-
sion of specie payments. The remedy, however, would
eventually prove worse than the disease. Under these
circumstances the panic, for such it is, continues almost
without mitigation.
As far as regards ourselves, there is more reason to be
hopeful as to the future. A suspension of specie payments
in France must transfer all her gold here, except that
which may be hoarded by the population ; but we cannot
really profit by the difficulties of oar nearest neighbour,
and, therefore, it is our desire that those difficulties should
be ended as soon as possible. Although our commercial
interests are acutely feeling the pressure caused by the
state of the Money Market, their position is substantially
sound. There is nothing at all approaching to the oha,
ratter of a panic feeling. A wholesome caution is evi-
dently exercised by all parties, not only by merchants and
traders, but by dealers tin public securities. So that on
the whole it may be assumed as a fact, not without signifi-
cance at this particular period, by those who contemplate
investing in English funds or railways, that whatever may
occur elsewhere, in a financial sense, no great or sudden
change in quotations is likely to take place here. What-
ever fluctuations may occur for the next three or four
weeks will, in all probability, occur gradually; but, if the
present state of public feeling undergoes no considerable
reaction, we anticipate a steady market, notwithstanding
daily commotions upon the Paris Bourse.
The demand for money during the week has been
heavy, notwithstanding the high prices paid for it, the
advance made in the rates on Monday having been too
much of a surprise to enable borrowers to prepare for it.
The specie arrivals have amounted to about 300,0001.
No part of this amount has been retained ie this country.
Considerable fluctuations have taken plaza in Consols
during the week, partly in consequence of the changes in
the rate of discount, and partly in consequence of the
settlement of the October account, which was brought to a
close yesterday. Two small failures occurred. The varia-
tions during the October account have been equal to about
three per cent. For the Bth of November quotations have
been up to 92j to I, but last night they closed at elf to 1.
Today they closed at 9'2 to f, notwithstanding the nature
of the Bank of France return, and adverse rumours as to
the character of the Bank of England, which is analysed
above.
Exchequer Bills are 4s. lower than this day week. The
dealings were at La. to Ba. prem., and to day at 4s. prom.
Foreign Securities remain depressed. Very great fluc-
tuations have taken place in the Turkish Six per Cents.,
owing to a variety of adverse rumours—some to the effect
that no provision had been made for the dividend due this
day, and others, that the Sultan is about to negotiate a
new loan. They dosed last night at 95f to 98; and to day
at 92* to f ex. die.
Railway Shares have fluctuated considerably. They are
all lower than this day week to the extent of from a
half to one per cent. The holders of stock however are
not bringing it into the market, consequently business
has for the most part been speculative. This shows that
there is no apprehension as to the future, at least
speak of.

- .
Joint-stook Bank and Miscellaneous Shares have
alined, and remain inactive.

■

none to
111Pode•

Vttropolitan Blades.

(Reported erclusirrly for "Tea Passe.")
CORN EXCDANGE During the present week the
arrivals of English wheat up to our market, coastwise and

by land carriage, have been very moderate, and chiefly in poor
condition. Selected samples have moved off freely, at au ad-
vance in the quotations of from Is to <a per quarter. In tho
value of other kinds no change has taken place. Foreign
wheat—the imports of which have not been extensive—has sold
to a fair extent, at full prices, and floating cargoes have com-
manded full currencies. Fine malting barley has been in good
request., at is to 2s per quarter more money. In the value of
grinding and distilling sorts no change has taken place. Oats,
beans, and peas—the receipts of which have not increased—have
continued steady, on former terms. Fine American flour has
produced rather more money, and other qualities have supported
previous rates._

s:swami—Wheat, Essex and Kent red. 63s to 71s; white,
64s to 78s; Norfolk and Lincoln red, 62, to 70s. Malting barley,
421 to 501; grinding ditto, 32. to 374 37, to 40a.
Malt, 62s to 775. Feed oats, 26s to 28s; potato, 28s to 335.
Nye, 43s to 445. Tick beans, 966 to 38s; Harrow, 38s to 40s;
pigeon, 40s to 445. Grey peas, 37s to 391; maple. 40s to 411.
white boilers, 42s to 45s per quarter. Town•made flour, 58. to
60s; country marks, 48. to 50a; households, 564 to 58e per
2801 b..

NLARRIAGES.

11 A DDOCK—KAUNTZE—On the 23rd ult., at Hounalow, R. W.
Haddock, Esq., eon of the late Lieut.-Colonel Haddock, oti,
Regiment, to Matilda Mary, daughter of Captain Kauntze,42nd
Royal Highlanders.
TAYLOR—MAUNDERS--On the 7th instant, at Torquay, the
Rev. Fitzwilliam John Taylor, sou of the late Mujor•General
Taylor, C. 8., to Frances Isabella Maria, daughter of the late
Major Saunders, of the Royal Horse Artillery.
VERNON—DALY—On the 45th ult., at Killough Castle, John
Edward Venables Vernon, of Clontarf Castle, Co. Dublin, Esq.,
to the Hon. Rosa Gertrude Harriet Daly, daughter of the late
Lord Dunsandle.