The Sun.
London, England, 1862-09-16 00:00:00

CONDITION OF CANADA.

(From the Toronto Globe of August 29.)
The season, as a whole, has been a profitable one
for the farmer, so far as filling his barns are con-
cerned, and as to price he has had and will have
during the fall he has no reason to complain. 'there
is no sign of scarcity in Europe. We are thankful
that the miseries of the manufacturers of England
are not aggravated by the evils of a short crop.
There is no surplus, however, from the past year,
and every season shows the agriculture of Western
Europe less able to find food for the commercial
communities depending upon it. The American
surplus will be needed, but there will be no scarcity
to cause a high price, and there is no reason to sup-
pose that rates in America will be higher next
spring than they are now. Fall trade seems to have
rendered it impossible that the price of an article
capable of transportation a long distance, like wheat,
should ever rise to a very unusual height. As this
fact comes to be understood there will be far less
speculation in the grain trade than has hitherto
existed, and less hoarding by farmers in hopes of
receiving the traditional " two dols. a bushel." The
Canadian farmer will this year get a fair price for
a full crop, and the earlier he sells the more he will
realise. When the Canadian farmer is prosperous
the whole province rejoices. Were it not for the
American war we should be a long distance on the
road to inflation, which occurs almost with the re-
gularity of nature at intervals of ten years. Five
years have elapsed since the crisis of 1857, and of
the disasters which were the result of the inflation
which culminated in that year but few traces re-
main, at least upon the surface of our trade. The
farmer is generally free from debt, money is plen-
tiful, the rate of interest lower than it has been for
10 years past, the stock of goods in the country is
light, and the indebtedness not greater than can
easily be met. In ordinary times large sums of
money now lying in deposit in the banks would
very speedily be put in motion in various enter-
prises, commercial, agricultural, and manufacturing.
Credits would be liberal, and inflation would be the
result. But the American war has aroused a strongly
conservative spirit among merchants and capitalists.
The Trent affair alarmed many. It was a startling
thought to be brought home to the minds of men
largely engaged in business, having their means
spread out over the country and not to be recalled
save by years of labour, that in a single day, by
the rash act of a Yankee sea captain, they who
thought themselves far above the world might be
compelled once more to commence the battle for
the means of existence. Sensible men, it is true,
do not believe that there is any danger of war ;
but the mere mention of such a danger has a ten •
dency to alarm the conservative and cautious man
of business. The effect is to create the utmost cir-
cumspection in business operations. No large en-
terprise requiring the investment of a heavy amount
of capital is entered upon. The importations are
not greater than can be easily sold. Credits are
short, and merchants are desirous to do a safe
rather than a large business.
It may be said that it is not desirable in
a country like Canada th it capital should lie
idle, and fertile brains remain untilled. But,
nevertheless, we are inclined to rejoice that
at a time when there would be great danger of our
people embarking in enterprises of a hazardous and
speculative character, there should be circumstances
which compel them to be prudent in their operations.
It may be taken for granted, we presume, that no
enterprise which is absolutely needed to the ad-
vancement of the country will be neglected on ac-
count of apprehensions created by the American
war. Steady, permanent, solid advancement, the
clearing of the forests, the construction of roads, of
vessels, of barns, dwellings, and warehouses, will
go on, not forced by the stimulus of over abundant
capital and diseased activity, but by the ordinary
process of demand being met by supply.
With all the caution developed, there is abundant
evidence before us of an increase of trade during the
coming fall. A very large quantity of goods, chiefly
tea and sugar, was imported in anticipation of the
rise in the tariff; bat we are informed that those
articles have all gone into consumption, and impor-
ters are now giving fresh orders. The stock of
manufactured goods in the country is, as we have
said, light, and large importations will be needed
to supply the current wants of the population,
which will be larger than usual on account of the
good crop. No dread of war will induce men, for
a very long time together, to keep their money in
idleness, and we shall all see new enterprises put in
operation before long of a more important character
than have yet been initiated during the last few
years.

MARKETS-THIS DAY.

HAY MARKETS.

SMITIIFIELD.—Meadow hay, £1 16s to £5 Os; clover,
do., £3 lOs to £6 Os ; and straw, £1 16s to £2 Os per load:
Trade very firm, especially for good and fine stuffs.
CUMBERLAND..—Mewtow hay, £1 16s ton Os ; clover,
£3 10a to £6 Os ; and straw, £1 16s to £2 Os per load.
A good demand.
WHITECHAPEL.—Meadow hay, £1 16s to £5 Os; clover,
do., £3 108 to £6 Os ; and straw, £1 16s to £2 Os per load.
Trade somewhat active.