The Press.
London, England, 1857-02-28 00:00:00

gloneg 41arhet nab 6itg '►tttUigcitce.

FRIDAY EVRNINO.
Tint return of the Bank of England for the week ending
the 21st inst., shows the following cuauges compared with
that for the week preceding :

Decrease in Circulation

Increase in Public Deposits _
367,683
Decrease in Other Deposits ..
Decrease in Government Securities 14,796
Decrease in Other Securities
Increase in Bullion
Decrease iu Rest
Increase in Reserve
Bullion in Both Departments .. 10,404,693
Circulation, including Bank Punt

Bills
The present return, as shown by this comparison, is
one of a favourable character. The Bullion shows a con-
siderable increase, part of which is owing to the purchases
made out of the Australian arrivals last week, and part to
the return of coin from Ireland. The aggregate stock
new exceeds 10,400,0001. The Reserve also allows a great
Merrier, and it is obvious that the Batik is gaining strength
in this respect, notwithstanding the demand for money
out of doors. The public balances continue to enlarge.
But, on. the other hand, the Private Deposits show a falling
off, and a small amount of stock has been sold. On the
whole, however, this comparison suggests an opinion that
unless circumstances secure to arrest improvement, the
current rates of discount may possibly be modified.
The improved aspect of the Money Market noticed last
week has continued in the present, hut without pro-
ducing a reduction in the rates. There is a greater
expectation, however, of ease in the supplies, of which the
open market will probably derive the full benefit imme-
diately after the commercial bills at maturity in the early
part of next week have been provided for. As to the Bank
reducing its rate, that, notwithstanding the character of
the week's returns, will depend upon the arrivals of the
precious metals. If large amounts conic in from Australis,
the Directors will probably accept lower terms at once. But
at present, notwithstanding the state of the exchanges, the
competition of the Bank of France absorbs all that comes.
The market, too, has been kept in an unsettled state by
the policy of the Government with respect to the public
establishments capable of reduction, and by the anxieties
that have arisen out of the unfortunate business at Canton.
No one can tell NI hat will happen. Capitalists, under these
circumstances, act with extreme reserve at one time, and
with something like extreme confidence at another. The
consequence is very considerable irregularity, though upon
the whole a better feeling has certainly prevailed. In some
eases during the earlier part of the week the best bills were
done at five and a half per cent, and even yesterday one or
two houses were discounting below the thank minimum.
But these rates are exceptional. The general run is six
per cent. At the same time the demand has been heavy.
This indeed was but natural considering the near approat h
of the 4th, and that while the railway and foreign settle •
ments in the Stock Exchange have but just terminated,
that in Consols takes place next week. On the Stock
Exchange to-day the current rates were seven per cent.
The commotion in the tea and sugar trades, caused by
the Government proposing to increase the duties on those
articles, instead of economising charge in the more costly
public departments, is unabated ; and their cause is to be
taken up by Lord John Russell, who has undertaken the
office perfunctorily, in order to preserve the remaining
shreds of his popularity in the City. The noble lord is to
move that the duly on tea be fixed at Is. 4d. per lb. fur
three years, and then fall to Is. This effectually raises
the question between l)owning•street and Mincing•lane.
Mr. Gladstone will previously move a resolution to the
effect that the house will not grant any additional duties
upon tea and sugar. It is quite likely that the oppositinu
so threatened will compel a reconsideration of the entire
budget; but in the City it is expected that Lord Miners-
ton and Sir C. Lewis will first refuse, and then yield,
throwing all the responsibility of their weakness upon
the house. They will, in other words, do anything rather
than economise in the first instance ; and, in the next, do
anything rather than yield their places to men who have
I,ot:tier sense or the necessity for maintaining faith with
the. public in the matter of taxation, and for restraining
the disposition of the public departments to unnecessary
expenditure. Remaining in their places, and tinkering up
the budget so as to make it passable, the Government, it
is stated, will propose a reduction in the number of men
in each of the line regiments until the army is brought
down to about 15,000 men less than the number originally
proposed to be voted. This report confirms the opinion
expressed in our last that fear makes the Government
squeezable, and that, in taking such a part, they are only
Acting consistently with the traditions of the Whig party.
With regard to the Canton business, though the Govern-
ment had a majority in the House of Lords last night, it
is considered very doubtful whether they will be equally
successful in the Commons.