The Sun.
London, England, 1839-12-06 00:00:00

MONEY MARKET and CITY NEWS.

(THURSDAY EVENING.)
TIMES.—A strong expectation prevailed in the
city during the greater part of the day of some new an-
nouncement from the Bank parlour relative to loans
and discounts, but nothing of the kind appeared during
the hours of business. Owing to the great extent,
however, to which this impression prevailed, it is be-
lieved not to be altogether without foundation, and the
notion is that it will be a relaxation rather than a fur-
th-_.r pressure upon the Money Market.
By the advices from Hamburg the price of gold is
429 per mark, which, at the English Mint price of
31. 17s. 101 d. per ounce for standard gold, gives an ex-
change of 13. 7, and the exchange at Hamburg on
London at short being 13. 5/, it follows that gold is
0.59 per cent. dearer at Hamburg than iti London.
The premium on gold at Paris is 10 per male, which,
at the English Mint price of 31. 17s. 101 d. the ,;once
for standard gold, gives an exchange of 25. 40, and thZ
exchange at Paris on London at short being 25 322, it
follows that gold is 0.30 per cent. dearer at Paris than
in London.
The course of Exchange at New York on London
is 1081 per cent., and the par of exchange between
England and America being 199 23-40 per cent., it
follows that the Exchange is 1.07 per cent. against
England.
The funds were heavy during the greater part of the
day, and Consols were at one time no better than 91i
for the opening, but towards the close of business the
market became more animated, and purchases to some
extent in Reduced and Consols improved, the latter to
91i buyers for the opening. As the books were shut
yesterday preparatory to the
aynicrit of the January
ni
dividends, there was, of course, no
p
oney price. Bank
Stock 178 to 9 ; Exchequer Bills, ss. to 3s. discount.
In the Foreign House a rather considerable
went may be noticed in Dutch Stocks, the Two-ark:-
a-Half per Cents, having advanced to 53i to ; the
Five per Cents., 994 to which is equal to 1 per cent.
on the first, and on the latter. It is accounted for
by the higher quotations coming from Amsterdam,
founded on reports that no new loan, or at least not to
the extent formerly stated, would be required by the
Government. Some financial reforms were also said to
be in progress.
A case of some interest is reported in the French
papers, arising out of the late blockade of Mexico. In
the month of April last year a policy of insurance was
opened at Paris with the French Lloyd's by Messrs.
Cardozo, jun., and Leches, for the sum of 13,000 f. upon
merchandise estiatated by common accord, and shipped
on board the Casimir at Havre for Vera Cruz. The
vessel was on her voyage out when the manifesto of Pre-
sident Bustamente alarmed the shippers for Mexico, of
the coasts of which, besides, the French Government an-
nounced the blockade. In consequence the French
Lloyd's, in consideration of an additional promium of 1
per cent., covenanted to take to its account by indorse-
ment on the policy, the risks of war, capture, hostilities,
reprisals, and all other molestations on the part ofany Go-
vernment whatever, or States acknowledged or not ac-
knowledged by the French Government, and of the sub-
jects of the said States or Governments, as well as of
all the consequences which might result therefrom.
The ship on its arrival out in sight of Vera Cruz, at
Sacrificios, could not enter the town on account of
the blockade established by the French squadron. In
consequence the captain returned to Havre, which he
re-entered on the 23d of August. After the discharge
of the merchandise there, the owners resolved on its
abandonment to the French Lloyd's, according to ar-
ticle 369 of the Code of Commerce. On refusal of ac-
ceptation, the question was submitted to arbitration.
In December last the three arbitrators came to a de-
cision, by which the claim founded on abandonment
was rejected, as not being justified by the assured ;
and'in respect of their subsidiary demand to be indem-
nified in the shape of damages and interest for the pro-
bable depreciation in the value of the commodities
insured, through non-arrival at the place of destina-
tion, seeing that in the law the assured could only es-
tablish the claim of indemnities by the way of aban-
donment or by that of averages, and that the first was
not open to them, they could only proceed to claim
for the amount of the averages by which the mer-
chandise was damaged, in which case strict legal re-
gulations were in force for their government. But
that the " moral depreciation" to which the mer-
chandise had been exposed through not reaching the
place of destination, and therefore its return on hand,
did not range in the list of gross or common, or simple
or particular, averages ; that this character be-
longed only to the extraordinary expenses oc-
casioned during the time that the owner remained out
of legal possession of his goods. In the result the ar-
bitrators condemned the insurers to pay, first, 895 francs
for loss on three bales of goods damaged and sold at
Havre ; and secondly, 112 francs 55 cents., being the
amount of the extraordinary expenses occasioned by the
forced return of the merchandise. On appeal to the
Cour Royale of Paris, in which the advocate of the
plaintiffs insisted strongly on the point that the insurers
took at their own risk " all the consequences of War,"
the original finding of the arbitrators was confirmed on
the ground that a blockade was not a case of war pro-
perly speaking ; that the insurers and the insured had
in view only reprisals or the molestations of privateers ;
that it could never have entered the mind of an insurer
to guarantee the entry of a vessel into a port blockaded
by a squadron ; and that the word " consequences" re-
ferred only to war risks, which were all the Lloyd's
Company intended to cover. It was thus established,
" that the depreciation of merchandise, because of a
forced return occasioned by block_Ae, is not a maritime
risk to be covered by the insurance policy in case of war.
even when the insurer has taken to his charge all the
consequences."

CHRONICLE.—During the early part of the day
a perfect calm existed in all the markets, without the
least appearance of business ; but subsequently a sud-
den change for the better took place—Consols advanc-
ing fully 4 per cent. The only rumour out of doors to
account for this rise was, that the Bank had it in con-
templation to reduce the rate of discount : this we
believe to be premature, and that the advance in
question arises from a feeling, ❑ow very prevalent
amongst the most influential bankers and merchants,
that the tide so long set in against us is about to
change its course, and that a better state of things may
be looked forward to ere long. Some of the better
descriptions of American Stocks have also advanced
from 2 to 3 per cent. within the last day or two. This
may be accounted for from a better feeling generally
existing on these matters since the arrival of the Great
Western. Exchequer bills have receded Is.

HERALD.—The publication by Mr. Jaudon of a
condensed statement of the assets and liabilities of the
United States Bank has very naturally created much
interest and comment with all who are interested in
the commerce and the almost endless variety of stocks
or public securities of the United States. In fact,
much depends upon the final settlement of the affairs
of this bank i❑ reference to the existing state of things
in the United States, and Mr. Jaudon's statement has
been looked upon in a very favourable light by many
persons whose future prospects in some degree are de-
pendent upon the solvency of that leviathan the United
States Bank. Other parties take a rather gloomy view
of the affairs of the United States Bank ; but it must
be remembered that whilst there are many whose opi-
nions are biassed much in its favour, there are many
more who have condemned and still do condemn that
institution in many instances in the most wholesale
wanner, without any reason.

The operations of that institution have certainly done
much for the go-ahead system of the United States ; it
has fostered all the improvements and many of the wild
speculations of that community, frequently to its own
peril and that of the people who were aided, by its
power of creating an enormous, unwieldy amount of
paper money based upon every description of loan or
security. The gigantic operations of the United States
Bank may have done much for the commerce of the
Federal Union ; at the same time they have often been
the cause of dreadful commercial distress on both sides
of the Atlantic. The commerce of Great Britain owes
it but little gratitude—witness the three monetary crises
that have taken place within the last fourteen years. It
has been the means of introducing a trashy system of bill
credit into this country, which, perhaps, never would
have acquired so much head if the Bank of England
many years since had refused to countenance the system
indirectly by tolerating a dangerous species of paper for
discount in the Bank parlour.
With reference to the statement published by Mr.
Jaudon to-day, we do not think this the time to express
any decided judgment upon its value to the commercial
community in general ; but we do not doubt that it has
been as fairly got up by the committee appointed as could
be expected in so short a time. The stock of the United
States Bank, however, has rather improved upon it, and
is quoted at 161. 10s. buyers.

POST.—The funds were rather upon the advance
again to-day in both the Stock Markets.
_ Shares also
were done at somewhat higher figures. The news from
Holland was considered more satisfactory, the expla-
nations given by the Government to the interrogatories
made in the Chambers, relative to the budget, having
been such as to cause a general rise in the value of the
home stock in the Amsterdam market on the 2d instant.
Numerous purchases were understood to have been
made there for account of the interior. The uneasi-
ness evinced by the public with respect to the project
of law authorising the negotiation of a new loan
for millions of guilders to the debit of the
colonies fifty-sixloniessems to have induced the Finance Mi-
nister to modify it. According to the Dutch Papers
of the Ist inst., an annual report will be made to the
Legislature of the total amount of income, and of the
sum requirett-for the budget. The heavy amount of
the latter is amounted for by the circumstance of the
whole expenditure of the kingdom having been classed
under one general head. Great economy will, how-
ever, be observed in the several departments of the
iSntearteea;soand although the expenditure should exhibit an
excess is to be covered by means at the
disposal of the Government, without resorting to any