The Sun.
London, England, 1862-07-29 00:00:00

COMMERCE OF NEW YORK.

According to the commercial accounts from New
York by the present mail the financial community
had at length opened their eyes to the catastrophe
that has come upon them, but were disposed to for-
bear from denunciations against Mr. Chase or the
Government generally, to whose unscrupulous or
ignorant course they were now conscious it was to
be attributed. It does not appear, however, that
coupled with this disposition, there is any symptom
of regret for the language hurled at England week
after week during the past year for the warnings
she has all along ventured to express. Apparently,
also, there is no sense of the injurious part played
by the few persons on this side who sought to en-
courage the Washington politicians in their folly by
assuring them—first, when it was predicted there
would be a suspension of specie payments, and next
when anticipations were expressed of gold being at
10 premium, and subsequently of a financial Bull
Run—that all such prophecies were merely the
virulent outpourings of an anti-American feeling,
and that it was monstrous to attribute ignorance of
political economy to the people of the United States,
when they were known in commercial matters to
be the most acute in the world. But, although the
due acknowledgment is wanting, it may be inferred
that a conviction has been arrived at as to which
were the true advisers. Meanwhile the remedies
proposed from all quarters are as wild and ridiculous
as the original causes of the evil. The nearest ap-
proach to a rational admission consists in the inti-
mation that there has been an over-issue of paper,
but those who make this statement couple it with
an opinion that a limitation of this issue would meet
the difficulty and prevent any increase of deprecia-
tion for the future. The delusion, therefore, as to
the monetary resources of the country is thus still
flattered to its full extent. Of course, the real evil
cannot intrinsically be either mitigated or aggra-
vated by any decision of Mr. Chase as to the amount
of notes he will issue. The only cure must
lie in a reduction of expenditure. If the expendi-
ture is to continue on its present scale, the money
must be raised, if not by an issue of notes, by an
issue of stocks or some other form of obligation, and
a large portion of the amount so obtained must con-
tinue to flow out of the country in the shape of
specie, to pay partly for the importation of such raw
produce and other articles as can still find admis-
sion under the new tariff, and partly for other goods
which will be smuggled in at all points. It is this
demand for specie that will control the value of all
classes of securities, whether consisting of promis-
sory notes or postage stamps, stocks, or bonds. The
amount of Federal notes at present out is stated at
between 20,000,000 and 30,000,000. Should Mr
Chase issue 30,000,000 more, the currency Would
experience a proportionate depreciation; but should
he prefer to issue 30,000,000 in bonds, then the
effect would momentarily be transferred to the stock-
market. The ultimate bearing would be precisely
the same in either case. The issue of 30,000,00 J of
paper would by raising the rate of exchange depre-
ciate the value of United States' stock when mea-
sured in gold, although not when measured in
paper, while the issue of 30,000,000 in stocks
would depreciate their va;ue in United States' paper,
which for the moment would maintain its previous
quotation. Under all circumstances it is the total
of United States' obligations that must sustain the
damaging
effect of the general expenditure, and no
shifting of the form of the security issued will per-
manently alter the result.
The private letters from New York state that
great depression was felt among the mercantile
body at the slow progress of volunteering, and the
consequent fears that a conscription would be
found indispensable. Apprehensions were again
rife of a raid upon Washington by some portion
of the Confederate forces, while it was also con-
sidered likely that when the waters of the Mis-
sissppi fall, as is always the case in July and
August, so as to be no longer navigable for gun-
boats, the Confederates will regain most of the
places captured last spring.

A HINDOO DIFFICULTY.—The Madras ?Imes
tells the following story :—" During the late sitting of the
Legislative Council in Calcutta one of the members—a na-
tive of high rank and caste—prepared the draught of a bill
prohibiting the killing of cows at the four most holy cities
in India—viz,,Juggernaut, Benares, Muttra, and Bindra-
ban.
He showed
w ed the draught to another native member of
the Council, and asked him to second the proposal. The
person spoken to replied that he, being himself a Brahmin,
could not be supposed to be Et ft iend to cow-killing,
he must decline to second the proposal on two gr°,,unciaB; first, he thought the time was gone by when
thereOndwly, he
chance of such a bill being carried ; and, e 6 rceof cows at
considered that a bill prohibiting the sinegwilunt t to admit-
the four places mentioned would be but th a t
tax:lt-all other place"..._
ting that cows might lawfully beftlithed out a shudder,, On
an admission not to be thought '9I,A, it up."
this the framer of the draajbt t°