The Sun.
London, England, 1855-09-25 00:00:00

BRITISH LOAN OF 16,C00,000/.

. . -
Oct. 16, instalment of 10 per cent.
Nov. 20
II 10 per cent.
Dec. 15 tt 10 per cent.

Total on British loan
TURKISH LOAN OF 5,000,00 a.
Oct. 20, instalment of 20 per cent.
Nov. 23 „ 15 per cent.
Dec. 14 „ 15 per cent
'Jan. 1 f t 10 per cent. ..
Jan. 25 „ 12g per cent 631,250
Total on Turkish loan £3,631,250

Grand total on British and Turkish loans £8,431,250
Of the probable demands upon our Money Market in
respect of the French loan of 31,200,0001. no accurate
estimate can be formed, in the absence of information as
to the amount of the scrip retained by English holders.
One•tenth of this loan, or 3,120,000/a was paid up on
subscribing, and the rest of the amount is to be liqui-
dated by eighteen equal instalments, each of 1,560,000/.
The first of these was paid on the 7th inst., and conse-
quently seventeen snore remain to be met, representing a
total of 26,520,000/. The dates fixed are the 7th of each
month, terminating with the 7th Feb., 1857. Bearing
in mind that the commencement of the new year will
doubtless witness the announcement of a British Govern-
ment loan exceeding in amount the last of 16,000,0001.,
and that a large portion of this will be disposed of in the
comparatively unproductive form of war expenditure
abroad, the same lesson of caution is again conveyed.
• The extraordinary opinions upon this important sub-
ject, to which the City correspondent of the Times gives
expression, continue to excite considerable attention and
no small surprise. This writer furnished sufficient evi-
dence of his shortsightedness and incapacity to discern
the real nature of the influences in operation upon the
money market by his emphatic assertion, made on the
first rise in tee rate of discount, that there was "reason
to rely"'that no additional advance would be needed,
and that no further disturbance of the money market
would take place. The signal falsification of this gra-
tuitous prediction it might have been expected would
have induced more moderation of tone and caution of
expression on his part. This anticipation, however, is
completely disappointed. In the Times of last Friday
we read as follows :
" Since the first advance in the rate, a fortnight back, not
only has the expectation of large receipts from Australia
been disappointed, but a sudden, and, as the tendency to
reaction has since shown, a rather unwarrantable rise in
the corn market has been witnessed, which has stimulated
the transmission of about 4U0,0001. to the Danube and
elsewhere for the purchase of wheat, and which will also
have the effect, when the news reaches New York, of
hastening the substitut:on of flour for gold in the future
iiipments from America.'
Probably few other writers would ha dogmatic enough
hastily to stigmatise the rise in the coin market as " un-
warranted." Though sweeping assertions of this nature
find favour with the Times, the appearance of that mar-
ket and of the crops in Western Europe might perhaps
lead cautious men to derive hope rather than otherwise
from the prospect thus afforded of supplies of grain from
the East. Passing this by, however, we request atten-
tion to the progress of the Times' argument :
"As the amount overdue from Australia is at least
800,000/., we have here a total of 1,20J,000/., which, but
for peculiar and improbable events, would be at this mo-
ment in the Bank coffers, and which would have brought
their stock of bullion to a point in excess of the average of
the past year. Another of its effects also would have been
to have prevented the idea of a scarcity of money getting
to that height which in itself begets scarcity."
We hope the subtlety of this latter remark will be
duly appreciated, but we fear that by many persons it
will be pronounced almost unintelligible. The final con-
clusion arrived at by our contemporary is that " there is
full reason to believe that the (Bank) movements lately
witnessed, notwithstanding their intensity, are of an ex-
ceptional, and in many respects of a purely accidental
character." The whole tenuur of of the writer's remarks
is evidently directed to prove that the present
pressure in the money market is a species of accident,
mainly occasioned by the want of this unhappy
1,200,0001. Fortune and the winds appear really to have
been most favourably disposed towards the Times, for
they did not permit the week to close without realising
its utmost wish. On Saturday was notified the arrival,
singularly enough, of
.gold to this identical amount of
800,0001., and the other specie arrivals of the week re-
presenteupwards of 400,0001. We may hope that these
seasonable supplies will afford relief to the market, and.
check the drain of gold from the Bank ; but, inasmuch as
they fully make up the lamented sum to the absence of
which our contemporary attributes all the aftiety of
the last fortnigt, ought we not, according to his argu-
ment, to consider our trial altogether at an end, and to
expect the Bank immediately to retrace its steps Seriously, does any thinking man in the kingdom view
the case in thin narrow light? and does not the evi-
dent absurdity of the idea furnish sufficient illustra-
tion of the fallacy and shortsightedness of our con-
temporary's argument ? At a time when our mercarks
tile' men are anxiously watching the drain of gold.for war
purposes, for our foreign supplies of grain, and for the
purchase of heavy remittances to India—are earnestly
discussing the great question of the corn supplies of
Western Europe, and are even reminding one another
in grave discussion that our present currency syitem has
never ye; experienced the ordeal of war, is not the
almost insulting the understanding of its readers in step-
ping forward so complacently and jauntily to assure
them, out of its peculiar stores of knowledge, that our
present strait is a mere " accident ?" We cannot help
expressing our sincere gratification at the sound, semi-
hie, and cautious attitude maintained at the present cri-
tical period by the commercial community, who evi-
dently take a much truer view of the position of the
country than does the Times. Our misgivings that grave
mischief might result from the language of that journal
are thus allayed.

It is worthy of remark that the influences in opera-
tion in France are in many respects analogous to those
prevailing litre. In that comitry, too, a heavy foreign
War expenditure, and the necessity of making extensive
ptirehases of foreign 'grain, are stimulating the efflux of
gold; .Does the Times then think that the movement
observable in France is also of an "exceptional and purely
accidental character ?" In another portion of the article
above referred to, our contemporary announced : " The
'Bank of France to;day have increasei their rate of dig-
count from 4 per cent. at which it had stood from May,
.1854, to 5 per cent." It so happens that the' Times was
wrong in this poSitive announcement, the step in ques-
tion not having been adopted by the Bank 'of Vranes-
' The writer proceeded to observe, however : "The im-
mediate effect of the increase of discount will be towards
a revival of the demand fin. dold from this side, and it
will therefore operate as a direct inducement fur the
Bank of England. to raise their rate t, a similar amount."
Does not the Thri,s here contradict itself, and prove that
the position of affairs in England is not "purely acci:.
dental," but the result of a combination of circumstances,
the origin and operation of 7,l7ich are deserving of the
most Attentive fairly r - .