The Express.
London, England, 1857-11-10 00:00:00

EXPRESS FROM PARIS.

(RON 0111 OWN

PARIS, MONDAT ErfatlNG.

The financial crisis now excites intense intererit.
There is such a vehement outcry against any
further augmentation in the rate of discount by the
Bank of France, that although the Bank of Eng-
land has this day resolved upon charging 10 per
cent. (!) I have a very strong opinion that this
bank will stay at 71 per cent. It appears to be the
general opinion that no conceivable rise in the rate
of interest would suffice to remedy the evil, and
French financiets arc therefore beating their heads
to discover some mode of preventing the oozing out
of the precious metals which would be leas dis-
t:suing to trade than en approximation to the
Bank of England rate of discount, which in this
country is viewed with positive terror. All that the
Bank of France has hitherto donee to scrutinise
with extreme vigilance every bill presented for dis-
count, and to reject all that are suspected to be
tainted with exchange operations. But this, too, is
Alt to be a wholly insufficient measure. The cir-
cumstances of the times are such as to put bullionist
theories toe severe trial. If it be true, and it is indeed
difficult to contest the truth of the proposition, that
gold and silver are merely articles of merchandise,
like any other, the fact is now painfully apparent
that a country, while essentially rich and pros-
perous, may by possibility be drained entirely
of the precious metals by an extraordi-
nary demand for them elsewhere. The ques-
tion therefore forces itself upon men's minds whether
a paper currency under the guarantee of the state
may not be safely substituted for gold and silver—at
least for a time. Although it is understood that the
Emperor strongly sets his face against a forced cur-
rency of Bank of France notes, hopes are enter
tained by many that he will be constrained to re-
consider his opinion. The proposal to put an export
duty is still upon the tapis, but is not in so much
favour as it was two days ago. It is felt that the
measure is bad in principle and difficult in practice.
This evening's Petrie contains a leading article,
signed by the proprietor, M. Delarnarre, which, if
not important, is at least pretentious, and which
some people are inclined to regard as a shadow of
coming events. M. Delamarre, after reviewing the
situation, and laying down the maxim that none of
the measures proposed to protect the bullion would
be sufficient to relieve commerce, unless accompanied
by a considerable diminution in the prevent rate of
discount, boldly proposes the following remedies for
the crisis :

Three measures ought to be taken at once .-1. A forced
currency of bank notes, together with an issue of 50fr. notes
[at precut no notes of a lower amount than 100 fr. can be
Issued), pursuant to the powers reserved to government by
the law of June 23, Itis7. 2. A sufficiently high duty upon
the exportation of specie, with severe customs and police
meseures to discover and punish all attempts at fraud.
3. Lastly, and as a necomary part and troltdpensable comple-
ment of them exceptional and transitory measures, the dis-
count of the Bank of France shovid be isatocffiately re-
duced to three per cent.
_ .

If this plan were tillowci (the ratrit continues), nobody
would have cause fur complaint. Commerce would find
abundantly at the Bank the capital of which it stands ie
seed. The epeculaton in the exportation of the precious
metals would find it very difficult to send them out of the
country, and they would no loner be supplied with them at
the Bank of France. The Bank cellars would rouble an
amount of bullion proportioned to the circulation of its notes.
Money would be to be had at • reasonable rate, for it is evident
that money is not really worth mum in France at this moment
than 6 per cent.; and tho proof of this sasettion is that in-
vestments are made every day at the Bowie is railway
obligations, which do not yield or much. If them com-
bined measures should be adopted, France may calmly con-
template bankruptcies in other rountries without bar own
commerce brag injured or her prosperity interrupted.
The Bourse opened with a certain degree of buoy-
ancy under the impression that the news from the
United States by the Atlantic was on the whole so
favourable that the Bank of England would not ad-
vance its discount beyond the enormous rate of 9 per
cent. But when the telegraph brought the news that
10 per can thad been thia morning resolved upon, there
was a smart downward movement, though not per-
haps so great as might have been expected. The
Rente, however, felt 23c. for cash and 30c. for ac-
count, closing at 60fr. 36c. and 66fr. 73c. Mobilier
fell 7fr. 30c. The Orleans and Lyons Railways fell
7fr. 50e. each; the other lines not more than from
26. 60c. to 6fr.