The Sun.
London, England, 1864-01-25 00:00:00

turbance and revolution, and nothing short
of one or the other in the presence of such a
gap. It was the very use of the co-operative system
which brought the means of the middle classes to
supply the literary requirements of the age. That
there was an appetite throughout the country for
literature--and for pure literature—no one could
doubt. They saw it at every railway station. Those
railway bookstalls were not supplied with libraries
of indecent and corrupt literature, such as were to
be seen in other countries, and he would venture to
say there was not a single volume at any railway
bookstall in the country which a lady need be
ashamed to have in her hand. (Hear, hear.) This
showed that there was a large demand for healthy
literature throughout the country, and it was a
hopeful sign of the age. (Applause.) The right
hon. gentleman went on to refer to local topics,
with which he concluded his address.

The Cotton Supply and the Means of Paying

for it,

(From the Money Market Review.)

On the 28th of November last we offered some
remarks on the cotton supply of 1864, and the
question of the means of paying for it. As time
advances we see more clearly that the difficulties in
the money settlement for the supply of cotton to
be imported this year will be serious, and that we
by no means overstated the derangement which that
settlement will probably exercise in our money
market for some time to come. We may divide this
question into three parts :-
1. The payments for cotton to cotton producing
countries nearest to England.
2. The payments for cotton to countries east of
the Cape of Good Hope:
3. The French payments for cotton in 1864.
To understand the true bearing of the question
before us we must remember that, although the
Bank of England may influence to a considerable
extent the operations of the commercial public in
local business—where the probable extent of the de-
mand for money to carry it out is pretty accurately
known before the public became involved in money
obligations—it has no power to put an end to, or
check in any way, contracts actually made in
foreign countries by our merchants for produce re-
quired in England. The Bank does not hear of
such obligations or know their extent until the
time arrives when the merchants, either at home or
abroad, are called on to make good their contracts
by receiving such produce and paying for it. All
the Bank of England can do at this point is to act
in strict accordance with the spirit of its charter ;
and, if gold be withdrawn, meet the drain by rais-
ing the rate of discount. But this proceeding will
not put an end to the difficulty; the merchant must
still fulfil his contract, although his means of doing
so are grievously contracted by the opposing influ-
ence of the Bank action.

With regard to payments to cotton-producing
countries nearest to England, the sudden advance
which occurred some weeks back in the Bank of
England rate of discount induced a pause in the
outflow of money remittances. The firms engaged
in these operations in London hoped that, as the
general business of the country is sound, and capital
abundant for all the ordinary transactions of com-
merce, the course adopted by the Bank of England
would attract gold into its coffers, so that by wait-
ing a few weeks they would be enabled to procure
at cheaper rates the bullion they required. But
this suspension for a time does not involve the can-
celr-eent of the cotton purchases, but only a short
delay in forwarding the funds. We must still
expect an outflow of bullion to meet these obliga-
tions, and even within the last two or three days
the value of money has been affected by them.
With regard to the payment fcr cotton produced
east of the Cape of Good Hope, on the 28th of
November we expressed an anticipation that a heavy
demand for bullion from this country would be expe-
rienced, but up to that date the premonitory indica-
tions of a rise in the rates of exchange in India had
not commenced. Now we hear that such a change
in the value of money, and in the rates of exchange
at which bills on England aro offered, has taken
place, as to make us imagine that the houses inte-
rested in the export of cotton from India have
been taken by surprise ; and we are prepared to
hear of a marked derangement of the In-
' dian commercial system until the pressure
shall be relieved by time, and by the settlement
of this year's cotton exports. We fear that those
who have calculated that the full value of all the
goods exported from this country, either in hand in
India or on the way out, will be applicable for the
payment of Indian cotton, will be disappointed to a
considerable extent. The native population of India,
as a whole, are poor, and cannot purchase a much
larger value of goods this year than last. The dif-
ference of price, therefore, in our last year's exports
of goods must of itself tend to diminish largely the
extent of consumption ; and if to this be superadded
the check involved in the rate of money being 20
per cent, in India, it is easy to imagine how cautious
the native speculators who bay from the European
importer must become, and how greatly reduced will
be the extent of their operations until the derange-
ment subsides. The stocks of our goods in first
hands will probably increase ; the native holders in
the bazaars will get rid of their purchases at a dis-
count, throwing supplies into the markets of the
interior at low prices ; and a stop will very likely
be put to the usual course of business until the dis-
turbing causes disappear.

It is stated that considerable remittances of gold
from Australia to India are in progress, and also
large shipments of sugar from Mauritius. Gold from
Australia will be immediately available to clear out
cotton from India by the purchase of bills ; but the
sugar must first be sold, and this may not be accom-
plished quickly. If we place these supplies as a set-
off against the smaller sales of European imports
into India for some months to come, we shall pro-
bably not be far wrong.

The question, however, of paramount importance
yet to be defined is the quantity of cotton which
India will export during the present year. A million
of bales of °oolb3. each for all India may be settled
for without serious pressure ; but if the quantity
exceed that figure we must be prepared for serious
difficulties in the money settlement, and more espe-
cially should the supply extend to the large quan-
tity which some of the estimates make it.

With regard to the third part of the subject—the
French payments for cotton in 1864—we believe
that much of the gold taken from this country for
France has been for this purpose ; and as the public
are perfectly alive to the close connection which
exists between the withdrawals of gold from the
Bank of England and those from the Bank of France,
we need not say more than that English merchants
speculating in cotton can draw no comfort from this
quarter, for there is certainly no amelioration in the
bullion difficulty as connected with France.

No Ho3IE complete without Wttcox ANT) Ginn
SEWING-31A0IIINE. Simple, Compact, efficient, durable, and
noiseless. Warranted, to fulfil all the requirements of a
perfect family m7.chine. Prospectus free on application at
No. 135, Re:ent-street, W.—{ADVT.]

rAws7cirrisEmENT.J—Consumption, all nervous, bilious
liver, and stomach complaints, in every stage, are only aE,r-
gravatel and accelerated by drugs of every description, but
perfectly curable by Du Barry's health restoring Revalenta
Arabica Food, as proved by thousands of cases which had
been considered hopeless. We quote a few.—Cure No. 62,914.
Miss Lange, 18 years of age, cured after the medical men had
abandoned all hopes of her recovery from the last stage of
pulmonary consumption, with fearful cough, expectoration,
exhaustion, spitting of blood, perspirations, hollow cheeks,
emaciated to a skeleton. She is now, thank God, a perfectly
healthy, blooming, fleshy girl,—N. Lange, Commissaire de
Police. Cure, No. 46,270. Mr. James Roberts, of Frimley
Surrey, of thirty years' diseased lungs, spitting of blood, liver
derangement, and partial deafness.—Cure, No. 47,121. Miss
Elizabeth Jacobs, of extreme nervousness, indigestion,
gatherings, low spirits, and nervous fancies.—Cure, No.
54,816. The Rev. James T. Campbell, rakenham, Norfolk,
of indigestion and torpidity of the liver, which had resisted
all medical reatrnent. In tins, 11b, 2s 9d ; 21b, 48 6d ; 51b,
lis ; 121 b, 225; 241 b, 40s. Barry du Barry and Co., No. 77,
Regent-street, London ; also Fortnum and Mason; and all
grocers and chemists in every town of the United Kingdom.
[ADVERTISEMENT.]—HoIIoway's Pills.—The reputation
of these purifying pills for maintaining, preserving or re-
storing the health needs no confit mat ion here. T,
he perso-
nal testimony of thousands who have regained strength and
comfort by means of llolloway's medicines should outweigh
any distrust which invalids, who have never tried them,
may naturally feel. The action of the pills is so mildly
alterative and tonic that it cannot shock the most infirm
constitution, or debilitate the weakest frame. The pills
give fresh vigour to the stomach and natural activity to
the liver, kidneys, and bowels, Holloway's harmless and
efficient medicine has been in constant use for nearly 30
years, and its present popularity proves how highly its
virtues have been appreciated by the public at large,