The Express.
London, England, 1861-08-26 00:00:00

TO OUR READERS.

SPORTING nrrnuonict.

A !ate edition of the Express is published every
evenisg during the racing season, containing the
results of the day's races.

THE question of the supply of cotton, which is
quite as important as that of the supply of corn,
has, as our readers will admit, not been raised
prematurely. Day by day it grows in interest.
Having long formed a prominent topic in mercan-
tile circulars, its discussion is now occupying the
broad sheets of the daily and weekly press. Not
only do merchants and brokers, spinners and
manufacturers, watch it with the liveliest interest;
the financial world, as well as railway share-
holders, are almost equally concerned. An intel-
ligent statement from Messrs. Nutt, Brothers,
of Manchester, given in our impression of Friday,
shows what some of our most practised mercantile
intellects think of the present position of affairs.
We are rapidly approaching a crisis in the cotton
trade. The total computed stock of all kinds of
cotton at Liverpool is now 912,130 bales ;at this
date last year it was 1,127,780 bales, or 215,6501
more than now. But the chief anxiety is with
regard to American cotton, to the consumption of
which our mechanical appliances have been mainly
adapted. A comparison of the stock of American
shows a much more marked deficiency, the total
held now being only about 640,000 bales,wheress
at this time last year it was 660,000. The im-
portance of the bearing of this is easily shown.'
Between the 24th of August and the 28th of
December, last year, 775,000 bales were taken
for consumption and 68,000 fur exportation,
making together 843,000. Were the consump-
tion to go on at the same rate this year, nearly
every balls of the existing stock would be used up,
the supply of American would be completely ex-
hausted, and the long-dreaded cotton famine would
actually arrive in its worst form, for the arrivals
of the article 6m other quarters will probably be
totally inadequate. We see by a circular of
Messrs. Vii Brothers, received en Saturday,
that the total clearances of cotton from Bombay,
the great cotton port of India, to Europe, since
the let of January last, have been 719,000 bales,
against 319,000 at the same period of last year.
This fact shows what India is doing, and gives an
idea of what she can and will do, now that the
required spur is being applied. But all that India
can accomplish at present will merely mitigate the
distress which must ensue from the with-
holding of the American supply. Bombay,
through the combined exertions of the mercantile
community in India and here, manages to ship off
an additional 400,000 bales, which we accept
gladly, but the immediate question concerns the
American production, which ordinarily represents
six times that total. One week hence—namely,
the Ist of September—is the date fixed by custom
as the commencement of the new shipping season.
Seeing that the American porta are now sealed,
that date may be said to mark the actual com-
mencement of the cotton crisis.

There is apparently only onereasegly inthe present
condition of affairs. We find that the recommen-

dation given by the Mims. Nem'. is precisely the
same as that stated in this journal on the 10th
instant, and on pgevious occasions. It is that the
faster the consumption of cotton in the United
Kingdom is reduced, the less difficulty will this
vast interest have in ultimately tiding over the
crisis. The policy of our spinners and manufacturers
must be not to wait with folded arms until
the cotton famine overtakes them, but to
advance boldly and meet it halfway. It would
seem cruel to say that the great consumers of
cotton would do well at this moment to enter into
a combination to give their people employment for
only three days in every week, yet there is too
much reason to believe that this seeming cruelty
would prove to be real mercy. The policy of
limiting the hours of labour is already being acted
upon, and the Messrs. Neu add their testimony
to the fact that there is " a pretty general resolve
" on the part of the trade not to ' light up' at all
" this winter, or at least, so long as the deficiency
" in the supply of option continues." The object
must be to husband the stock as long as possible,
un.il new fields of supply—particularly the Indian
—can be rendered available. This is entirely a
question of time, and of its being made worth the
while of growers in India to exert themselves.
The price here is still steadily rising. As
stated in a former article, Indian cotton is now
worth upwards of 75 per cent. nueethen at this time
last year, and the average rise in American qualities
is between 35 and 40 percent. The advance itself
has obviously a remedial bearing, as it tends both
to diminish oonaumption and to attract supplies.
It is solely to this double action that we mast look
for ultimate extrication from the present serious
difficulty. Unfortunately it is much easier to talk
of curtailing the consumption of cotton than to do
it without causing inconvenience and distress. For
months past there has been a great deal said about
adopting this prudent course, and the rise in the
price has operated in the same direction ; yet
what economy has been practised ? Scarcely any,
for the quantity taken for consumption this year
has been 1,584,800 bales, against 1,616,500 at
the corresponding date of last year, so that the
saving has been only 31,700 bales. Throwing
together what has been exported and what has
been consumed (and the exports have a precisely
similar bearing upon our stocks), it is a note-
worthy fact that instead of a saving there
has been an increased dranght upon the
stock. to the extent of 24,135 bales. It is
not to be forgotten that eontinental--poesibly even
American—consumers will compete at Liverpool
with our own spinners for the possession of 'the
slender 'apply now on hand. The Continent
would supply itself in America, as usual, if it
could, but, the American ports being shut up, it

cannot entirely shut up its mi b but will ilr
fallibly draw upon our supply to a greater extent
than usual. There is • painful inference to be
drawn from these details ; it is that, since
Lancashire, after all its talk, has gone on using
cotton to nearly the same amount as usual, the
effect of curtailing, its industry to the extent of
one-half, when the necessity for that step can no
longer be avoided, will be felt with proportionate
severity ; in other words, the manufacturing dis-
tricts have not yet really begun to feel the pres-
sure of the cotton dearth.

Passing from this difficult topic, it is gratifying
to observe the general feeling of relief which has
been occasioned by the progress and prospects of
the harvest and by the great improvement in the
money market. It is universally felt that the
check which has been given both to the extent and
to the profits of trade during the last twelve
months has arisen mainly from the deficient
harvest of 1860. Even the moderate promise of
the present year's crops has therefore produced a
feeling of confidence which, were it not dashed by
the paralysis of trade with America and by the
cry of distress for cotton, would probably be
quickly attended with a great development of
healthy enterprise. As matters now stand, we
fear too much must not be expected in this respect
Of the existing dulness of business in most depart-
ments there can be no question. The diminution
in the supply of bills seeking discount, is an un-
mistakeable feature, and will yet have a
great influence on the value of money.
There is room to apprehend that we may before
long witness some increase in the less legitimate
and more speculative class of business, simply be-
cause the openings for legitimate trade have
become fewer. A slackening trade is always
attended with an accumulation of idle money, and
this leads ultimately to speculation, possibly to a
wasteful application of the surplus. At present
all is buoyancy in the stock markets. A fall in
money means naturally a rise in public securities.
In the first place, there is more demand for good
investments. Bankers and capitalists can no
longer employ their money at good rates in mer-
cantile bills. They must therefore invest it in
government or other safe securities. Those
bankers who sold stock, or raised loans upon it, in
order to employ the proceeds at a high rate of
discount, are buying back or redeeming their
stock now that the rate of interest is com-
paratively low, and that the supply of
bills is relatively still smaller. It may
be well not to overlook the fact that the London
joint-stock banks, by their last balance-sheets,
hold the unprecedented sum of 47,315,3581.
sterling of deposits and current balances. The in-
crease gained since the 30th June, 1860, is no
less than 6,387,4831. Why this increase ? Chiefly
because, the rate of interest having been carried
to a high point by the drain of gold for corn, the
banks made an unusually largo allowance for
money lodged with them. But now that the rate
allowed has fallen from 6 per cent. to 3i, with a
prospect of descending to 3, the depositors natu-
rally look around for those investments which they
did not care to touch as long as they could get a
good rate of interest with the privilege of with-
drawing their capital at pleasure. After all,
however, this process amounts rather to a displace-
meat than to a withdrawal of deposits. If a depo-
sitor takes his money from a joint-stock bank, where
he gets only 31i per cent., and invests it in the
India Five per Cents., or other good security, the
money is not consumed or wasted. It simply
itravels from one banker to another, and remains
equally available.
Whilst this is the effect of the fall in the value
of money as regards inreannents, the influence upon
speculation can be only in one direction. A high
value of money always acts as a cheek to specu-
lative enterprise. That check is now removed.
When the community are kept very busy with
their regular and legitimate transactions, they
have neither leisure nor inclination for anything
else. It is when trade no longer absorbs undivided
attention that speculation finds an opening. No
doubt there is still much caution in the rub-
he mind, but there is also a good deal
of money rusting in many quarters. The
first sign of the development of the speculative
spirit will probably be the launching of a number
of joint-stock projects, the promoters of which
have long been waiting for an opportunity.

THE QUEEN'S VISIT TO IRELAND.

DUBLIN, iIiTUIWAT.

Thousands smembled at an early hour this
morning in the park and at all the approaches to the
Crest Southern and Western Railway, to witness
the departure of her Majesty and the royal party
for the Curragh. Shortly before ten she arrived
at the terminus, accompanied by the Prinoe
Consort, the Princess Alice, the Princess Helena,
Prince Alfred, the Lord Lieutenant, and a
numerous suite. The royal party was re-
ceived by the chairman of the company, Mr.
William Haughton, and the train •t once pro-
ceeded ou its journey. Great crowds of ladies
were assembled on the platform, and the Queen
was most warmly greeted on her way from the
park to the railway.
CCIIRAGH CARP, SATURDAY.
Her Majesty, the Prince Consort, Prince Alfred,
the Princess Alice, and Princess Helena, arrived at
the Curragh Camp at 11 this morning, and were re-
ceived with a royal salute of 21 guns. The review
commenced with the marching past of the troops in the
centre of the plain opposite the clock tower. A
sham fight then ensued, and occupied several hours.
The inawouvres were on a most extensive scale.
The Royal cortege was followed in its movements
over the plain by a vast crowd who frequently
burst forth in cheers. The weather was showery.
The number of troops ou the ground exceeded
fifteen thousand men, and there was a vastconcourse

of spectators., not only from Dublin, but from Kil-
kenny, Carlow, and the surrounding country.
The sham tight concluded at 2 o'clock, when her
Majesty and the Prince Consort proceeded to the
quarters of the Prince of Wales, where they par-
took of luncheon.

DUBLIN, BATCSDAT NIGHT.

The Queen and royal party returned from the
Curragh shortly before 6 o'clock, and proceeded to
the Viceregal Lodge, amid the reiterated cheering
of those who lined the route. It is understood
that her Majesty will not leave the Vioenigal
Lodge to-morrow. Divine service will be read for
the royal family in the private chapel of the
Lodge by the Rev. Um Dean of the Chapel Royal.

DUBLIN, SVIDAT.

The Queen did not appear in Dublin to-day.
Divine Service waa read in the private chapel of
the Vice-regal lodge ; but in the earlier part of the
morning, her Majesty, accompanied by Princess
Alice and Princess Helena and Lady Churchill,
walked in the private ground► of the lodge. The
Prince of Wales arrived from the Curragh today,
and joined his illustrious parents at dinner.
To-morrow, at 10 minutes to one o'clock, her
Majesty and the royal party will /let out on their
journey fur Killarney.