The Press.
London, England, 1853-07-30 00:00:00

THE PRESS.

In the first place, it is a concession on the part of
Mr. Gladstone that his former conversion scheme
was a failure. In the next, it is an encouragement for
all future holders of a stock about to be reduced, to be-
come dissentients. They will point as a precedent to
the present instance, when the holders of South Sea
Stock, who, through their trustees, have refused
either to receive RV. 104. Three-and-a-Half per
Cents. in lieu of their present 1001. stock, or to have
it reduced to Two•and-a-Half per Cents., are now to
have the option of receiving 1001. Three and-a-Quarter
per Cents. ; and, when the quarter per cent. ceases,
they are to be guaranteed from any reduction of
interest below three per cent. for twenty years.
This is effecting a reduction of a three-per-cent.
stock with a vengeance!
But the mischief of Mr. Gladstone's financial
failure does not end here. He virtually confesses
that he offered too low terms to the dissentients ; and
that by their resistance they obtained better. Does
he imagine that the holders of Exchequer Bills, who
are now doomed to receive but 14 per cent. interest,
when the Bank rate is 34 per cent., will forget this
lesson, and, when the time for their renewal comes,
fail to demand either an increased rate of interest or
their money ?
This is a dilemma we have more than once touched
on. But worse than all is the injustice tot hose par-
ties who have accepted the terms originall proposed
by Mr. Gladstone ; who find themselves possessed of
an unmarketable stock in the new Two-and-a-Half
and Three-and-a-Half per Cents., and who could not
dispose of it except at an enormous sacrifice.
Again, if Mr. Gladstone prolongs his option to
trustees, they will be guided by the state of the
Money Market when that option expires. If, unfor-
tunately, peace is not maintained, they will not
accept even the Three-and-a-Quarter per Cent. Stock
proposed; and Mr. Gladstone will either have to offer
still higher terms, or take the chances of the money
market when the time for paying off the holders

arrives.
As for allowing the Government the power of
making such bargains with individuals as they may
deem expedient, it is wrong in principle, and might
open the door to a system of jobbing that would
bring our financial system into disrepute.
The better plan would have been to have left mat
ters as they were ; for this attempt to tinker up an
abortive scheme is a serious blunder. It will not suc-
ceed if there is a war ; and if peace is maintained,
by the time the money was required to pay off the dis-
sentients, the state of the Money Market would be so
easy that other parties would have been glad to take
up their stook; and thus this exposure of financial
weakness would have been avoided. Notwithstand-
ing the greater chances of a pacific solution of the
Turkish question, the Consol Market has drooped, in
consequence of the distrust of the future caused by
Mr. Gladstone's measures. It is naturally argued
that a Finance Minister ought to be possessed of that
foresight that he would not abandon his measures
did he not see good and sufficient reason for so

doing.
The Money Market has been remarkably steady,
the public have bought considerably during the week,
and Consols had risen to 981 1, but fell to 981, on
Mr. Oladstone's resolutions relative to the South Sea
dissentients being made known. Exchequer Bills
are very heavy, and the market evidently would not
bear any addition to the number already afloat.
The rate of money is very easy on the Stock Ex-
change, not more than I per cent. A good demand
for commercial purposes AM exists, and the rate may
be quoted at 3 to # per cent.
Large remittances of gold to the Continent con-
tinue, which find their way to Russia and Austria, for
the payment of their armies. It is a singular fact,
that notwithstanding the enormous remittances from
Australia and California, the bullion in the Bank of
England is 3,500,000/. less than at this period last

year.
Consols close to-day 981 I, notwithstanding French
funds come by telegraph per cent. higher, and the
exchanges are rather higher.
FOREIGN FUNDS.
There has been no business of importance in the
foreign funds, and very little fluctuation has taken
place.

RAILWAYS.

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The report of the committee on railways is con-
sidered satisfactory so far as it goes, and it possesses
this value for existing interests, that competing
schemes will in future be discouraged.
When it is considered that no less than 80.000,000 i.
has been wasted in useless schemes, it is high time
that there should be some controlling power.
The Railway Market has been remarkably firm, and
the settlement of the account proves, from the great
scarcity of stock, that the public are beginning to
I invest in these securities. There can be little doubt