The Express.
London, England, 1847-10-20 00:00:00

MONEY MARKET.

TUISADAY ETININO.
Under the extraordinary excitement of the banking
failure at Liverpool, reported yesterday, Consols
opened heavy at 791 and I9} for money and account
For money they went down to 781 subsequently.
But late in the day some loose reports that the Liver-
pool deputation had succeeded in impressing. the
members of the government with the necessity of
taking an immediate step to afford relief to commerce
had the effect of rallying prices, if not of infusing
more confidence, and the stock was last quoted 791 to
I for money, and 80 to k for account Reports were
current about the failure of a great West India house
at Liverpool, who were stated to be under heavy
responsibilities to the bank which has suspended, and
the difficulties of another Liverpool bank were talked
of, but nothing definite or entitled to credit transpired
in either came. Reduced Threes left off 781 to Z.
Three-and-a-Quarter per Cents., 791 to Exchequer
Bills, 335. to 28s. discount Long Annuities, Bto
Bank Stock, 178 to 182; India Stock, 220 to 3; India
Bondi, Oft to 40s. discount.


Foreign securities coatintw to be brought to
market, and realised so far as possible by holders I
straitened for funds. Saeritioes of course have to bd I
made. Dutch Two-and.a-Half per Cent& are grAtla
52 to ; which in the early part of the (I,y were
called 51 to 3 ; the Fours, 80 to 2. I.l•nith were
done 78, not many months since quoted. at 8.5 to 6,
and left off 79 to 8. Mexican, 161 to 171. Porta-
guese, 18 to 20. Spanish Fives, 161 to 171 ; the
Threes, 26 to 7.

- •
The rates of exchange on Pith' were a shade lower
to-day ;on almost all other chief drawing places
higher. But there was oomparatieely little business
done, no money and no takers of bills, notwithstand-
ing the splendid premium offered to buyers by the
enhanced rates. On Paris the negotiations were
25.971 to 28.20; on Antwerp, 26.30; on Vienna,
10.12 to 16; on Leghorn, 31.20 to 50 ; on Amsterdam,
12.9 to 10 ; on Hamburg, 14.1 to 21; all at three
months.

The commercial community have welcomed with
much good feeling a circular announcing the establish-
ment of a new hrm under the designation of John-
stone, Ebsworth and Holmes, proposing to undertake
a general commission and agency business, and there-
fore, though not so expressed, to supply so far the
void created by the failure of Messrs. Reid, Irving,
and Co. It must be gratifying on all sides to know
that some parcel of the commercial relations
of that great house shall be saved from the
mighty ruin, for and in behalf of those who
have long and faithfully toiled in the service of the
house which has for such a lengthened period been
identified with the high commerce and finance of the
country and the world. The circular of Messrs.
Johnstone, Ebsworth, and Holmes is worded with
much simplicity and modesty, and has commanded,
therefore, the more sympathy and confidence. "We
possess," they say, " a moderate capital adequate to
the business we propose to undertake." Messrs.
Reid, Irving, and Co., with the good feeling to be ex-
pected from honourable minds in favour of long-tried
service, recommend, by an accompanying circular, the
new firm to the friends of the house in the " warmest
I manner," and they have the kindest wishes for their
success in the numerous connexion by which the
partners are known and esteemed. Messrs. Johnstone
and Ebsworth have been some thirty years or more
in the employ of Messrs. Reid, Irving, and Co , in
, the most confidential and trustworthy capacities. Mr.
Holmes, the third partner, is a relative of Mr. Reid.
The letter of "Spectator," in the Times, and in the
subsidiary but less important sense perhaps other writ-
ings of the same tendency, have provoked certain
strictures in city circles of authority which it may be
useful to embody, as worthy of attention. To
show that the hank circulation was expanded
sufficiently for all proper purposes, and to an extent
not to be exceeded with safety if convertibility into
hard money was to be maintained, " Spectator," quotes
the following returns for the week ending the ith inst.:
Circulation, inducting uk post bills
Public deposits
Private deposits.

Outstanding liabilities £36,50,102
Against this amount, and as the power of conver-
sion, the Bank, he states, " holds only 8,565,000 t. of
bullion ;" that is, proportionally with liabilities as I
to Upon this it may be observed that the mean
of safety has always been assumed to be one-third
of bullion and coin in hand to answer the note circu-
lation, Bank post bills not entering into that category
at all, any more than bills in other banks of issue.
The note circulation alone would be between eighteen
and nineteen millions.

The deposits used to be excluded from the calcula-
tion of responsibility, as, except within certain limits,
they should be now. Col. Torrens indeed had a pet
theory for a time that they placed a more important
part in the currency of the country than the circula-
tion itself; that, in fact, they represented themselves
as a circulating medium somehow three or four times
over in amount. Passing that, it may be suggested
to" Spectator " that, so long as back-notes are legal
tender, there can be no risk of any proportion of pub-
lic deposits being demanded in gold. The parties
entitled are the creditors of the state—annuitants;
and assuredly the large capitalists and dealers in ex-
change, who might want gold for their operations,
constitute but a small proportion of the recipients of
these funds distributed at certain determined periods.
The golden liability cannot be of much consideration
on that head. Further, in respect of private deposits,
a considerable amount always consists of trust monies,
Chancery and private. Assurance and insurance so
cieties have their proportion also ; so that, in fact,
there remain only the reserves of bankers and capi-
talists strictly liable to a demand for gold. Of the
sixteen millions and upwards of deposits, public and
private, it is scarcely too much to say that, under no
circumstances short of the dread of national insol-
vency, would more than five millions be exposed'
to the risk of a sell for gold. We have therefore ad-
mitted responsibilities of convertibility for less, circu-
lation and deposits together, than twenty-four
millions. The ratio of gold in hand was thus
in the proportion of 1 to 2!. The circulation would
therefore be safely susceptible of increase upon the
principle generally accepted before the Bank Act of
1844 as an approved basis for banks of issue, which
yet upon license might be departed from safely in ex-
ceptional circumstances
Act for the restriction of credit adjudges otherwise.
But it is taking a very narrow and superficial view
to measure the deficiency of circulation, and the con-
traction of credit, by the Bank of England returns
alone. Upon the crude notion that the circulation of
the country must be governed by the state of foreign
exchanges, supplementary acts were passed for the
control of all other banks, whose issues neither had,
nor could have, any connexion or relation with
foreign exchanges, being purely of local interest and
origin. Admitting that, so far as the Bank, we
have the utmost accommodation its charter admits of
at the present moment, let us see how the circulation,
as a whole, is effected by Sir Robert Peel's banking
mania. The differences for one year will suffice, and
no complete returns are in band later than to the 11th
of last month. The circulation on weekly average,
for the four weeks then ending, for all the banks of
issue in the United Kingdom, including the Bank of
England for 18,102,3881., was 33,781,915/. ; at and
for the same period, the average of 181 G was',
4,035,501/. more.
One ninth part of the circulating medium of the
country for facilitating internal exchanges, has disap-
peared, therefore, under the bugbear conception of
legislating for money or circulation upon the old
corn-law principle of a sliding scale of foreign ex-
changes. Are the internal exchanges therefore of no
consequence, operated as they are by paper and in so
small a degree by gold ? Internal exchanges have
multiplied nevertheless in the inverse ratio that
foreign exchanges have really decreased in mutuality
of importance.
The subject will be continued, as the City people
require to be heard.
Our Liverpool correspondent says:
Livearoot, OCT. 19.—This has been an anxious
day here, one more, however, of suspense than action.
There can hardly be said to be a run on the bank, and
the three private banks—Leland's, Heywood's, and
Moss's—have taken up several houses which had pre-
viously beaked at the Royal. A small bank, the
Liverpool Banking Company (a very different concern
from the Liverpool Bank, one of the best managed in
the kingdom), having run out of cash, has paid to-day
in endorsed bills. This proceeding has created no
surprise ; the establishment is perfectly solvent, but,
though highly respectable, never did mach business.
On the whole, there is reason to believe that the run,
trifling as it was, has ceased.
The deputation from the directors of the Royal
Bank returned here from London last night, and, as
might be anticipated, the main object of their journey
was not attained. The Bank of England refused to
assist people who managed so badly, but, it is said,
that the Bank will arrange so as to enable the Royal
to pay back all the deposits such a course is greatly
desired, for individuals would be seriously Moon-
venienc; d by having their deposits rendered unavail-
able for months. The conviction is that this bank
must now wind up to resume seems utterly impossi-
ble. Yesterday evening, the mayor, accompanied by
Mr. Brown, M.P., Mr. Cardwell, ALP., Mr. C. Turner,
Mr. Honda, and Mr. Hornby, departed for London,
for the purpose of soliciting the government to adopt
the same course adopted by Mr. Pitt in 1793 for the
relief of commercial embarrassment. They will be
content with two million and a half at present instead
of five millions. Previous to the departure, the
mayor sent the following note to the local papers
published today !
think it flight to mate to yon, for the ielormailon of the
oubite, that, at the salted mama el the recent mercantile sondo-
hoot of thin town, I consented to proceed to London this inter.
soon, is mate b reseassat to the owernmont the deplorable soration

or. arreantlle affairs. 1 hare 1,-ited Mr. William Brown. tr. (....rd-
MI, Me Chaim Turner, Mr. Ifornhll. Mr. llonlb7.aed Yr. Nicol,
tr, areompany me; and 1 hope their matementa may be seek as
Induce the government to interfete.-1 am, Sm., Gao. IL Lava,
Mayor.—Town-ludi, 0.. t. 15, 1547.
- - -

The success of the mission is anxiousls looked for ;
but an opinion extensively prevails that nothing will
be done. It is gratifying to be able to say that no
failure has been announced to-day.

ENGLISH FUNDS.
Bonk Stock, 181 79 82 78 81 India Donds..ClfYl. 80
3 per C...mL Rot Am., 7U 818 I DIM wrier Z 1.09. 41.1
oi 84 South Sus Klock, ei
3ri Cl. Con.. Awe, 191 84 91 i C 04•8094 1,84f.0. ccount, 80 791 111)1
?ice 3 pre Cont. Anne. 7918; 9ll Es. 114118, DMA, X, 33 30 35
LoMig nor.. cap. J.. 5, 184)0. Ti 8 30 din
I,ltto 9, p.a.. Oct, 10, 1059. 71 DD.. 000 ..30 33 1.3 die.
fedi. Btock, VI Ditto.
TORPION FOND&
3pa CL IhullKh Ran.. 182.5. 791 891 5 per Cwt. Sinnbth Bomb, Acct.,
24 lee Ct. I,:quvlor 1td..,21 Oct. 29. 1 .1 17
1 p.m Ct. Orem& 1314.01 d., 313 3 per Cent Do.. Acct.. Oct. E/. 271
5 pl,l Ct. Mexican. 1040. 171 17 16/ 0 per CL Vent:oat MU., Dof . l
4 per CL PortAteuee 18.te..1% 19 113 per CooL Hclel. Meat", 80 8
Do., Acct., 19 per CL . Web Enaange. 12
. c.j.s.. met Bona', Dlr. 8t1.6 5.2 L-11,

EXCHANGES AND

been. , Clew[.
—7545 76 45
115 1 116 05
a5O il " I " I .4
.. ..
lathing'. on .I;adon (.4.4D. 26 76. ..
limey.
Deem 6. 101 97t I Ward. Rents. I 140 arv2.s.
Do. 6. 1642 I OS; I Doman Loan . ..... .. Ml.O
Do. 4 9l Troao=do ...... 44
Do. 7250
MADRID. ol:T. I.3.—Tbree per Cent.. 276 at 60 day, 204 erli
Pita Kr C.a... 106 &cannot . Paralt to, bi ; Cuatia n, IN; Bank ~t at.
Yonlinosol. 124 ; lizok of St. losbas. ix i5..b..0, oo 1.0.1.45.
48 8).100U1a. .

11;iiit• n CrrUf., 818011
MOORS ♦BROAD.

p•• imams.

PAIIII. act. Il
3 per Ceuta .....
Pn•

Dn. I
4 Du.

-
AVerrIIROAN, Orr. 17.—Doteh Two:and4,llalf per Cents.. 23i;
ApanWi Thee: per Cents.. interior, 244116; Spanish Firs per Cent,
lArdoin's/.124; Ditto, Coupon, 1
Hat :ono Ocr. 18.—Loan of Id4li. 98i ; Ditto, 1842 981 money:
Ditto. 1644. Put Money ; Ditto, 1836, PO bilis; Ditto, 1838 i 64
City ism.. 1832. :4,1 money ; Ditto, 1843, 834 money' Fite
iser Cent. Liquklatlon. 134 inoney Dank of Delirium 821 money. En•
change on Loudon. 25 75 money ; wt Amsterdam, at 1 10...
Fes sarollT, 16.—A164. Flee per Vents., 1030 money :
Four per 934 1411. TIMM per Cent... G 7 ; Hank .4
Vienna. 1,917 inolley Pros.larl Pram. non, 84 bIW : Ileatrieti Hall..
ten money: Prot. Win. North. Nall., Mot money: Taunus LLvL tper
Lai. 348 bills, 347 money.
VIZMPA, OtT.l2.—Au4rian Five per Cents.. 1043 ; Ditto, Four pre
Cents.. 034; Ditto, These per Cent,. 66 Ditto. Twoand Half par
Conn,. 53; Loon of 1634. 155 ; Ditto. 1614. 121 ; Rank Slam, 1.610.
BRXLIN, rielitild Soh. Three and a•lialf xer
Cant 1.111.. tr2l money. P.:schwa, on London, £1 6 27f ti ..1;
Paris, 3U14. 814 81.

WEEKLY REPORT OP THE PARIS BOURNE AND MOSEY
Maagivr.—FACM, 17.—English stock fell thin week from 84A to
814. French stork rose: the Threes, 40 cents. • the Fives, SO cents.
The contrary movement of the bourse. of London and Pllto, dowse
to be notice', eapecially when it occurs on the eve of a loan, the ends.
alon of which, once made public, anti at an early period. might hare
canoed • depreciation of public Mock. But, far from that heicg the
me, stock of every kind raw in value the Instant it was known that
government had come to a resolve, and had Aged the loan for the 10th
of November neat. And in fact, one of the princiged MDes of the
heavinens of our market hemming from the unorortatoty which
existed relative to the time and amount of the loan. The moment an
end was put to this uncertainty we had no longer any but the financial
embarrassments of England to withstand, the counter stroke of which
has not vet been felt here Man alarming manner. 'that is so true
that the iminenne decline of the Gonads has not shaken our stock,
which remains steady at the prices of 7Sf. ana 75f. Stk. It
moat be owned, that the solid state of oar banking-houses PO
contrants with the innumemble bankrupteien which take
p ace on the other ride of the channel, that our fund. cannot but
feel the advantage of our commercial situat.on. Thum we see the
difference of 10 to 1: franc, which has almost constantly minted
between the French and Engli•b stock, decrease to the half in favour
of the former. Railway shin, have participated In the steadiness
of the Threes and Fires. The lent settlement was not elgnaliud by
any important delivery, which leads us to believe that we have no
longer any reason to fear the are:a...nem( which moot have taken
place on account of the great demand of cash on the London market.
The ready many market in more animated than ever, and some shares
are in great requent. Nobody now entertain, the least doubt relative
to the new line. of communication, on w 'lncasing the increasing
receipts of our first-rate ham and especially that of the Nord. The
shares o: the secondary lines improve in the puha' Lad.

BRVSSELP, OCT. 19.—FaiLutta OF A PROVINCIAL
BANK.—We learn that rather alarmism rumours prevailed
in Brussels on Monday afternoon, respecting the pecuniary
condition of a bank in one of the chief provincial towns.
The establishment in question is one in which (we believe)
not a few Englishmen are concerned.