The Sun.
London, England, 1841-01-15 00:00:00

MONEY MARKET and CITY NEWS.

--
(WEDNESDAY EVENING.)
TIME S.—The sales of stock made yesterday by the
;overnment broker are now understood to have been a
ortion of that invested for account of the savings-banks,
)ut the proceeds it is believed are not to be for the use
tf those institutions, but of the Government itself. The
sales were in reality much beyond the amount at first
stated, and were partly in Consuls and partly in Three
per Cents. Reduced, making together about 100,0001.
stock, which will be delivered, it is said, in this week.
That the money is not for the savings-banks themselves
is apparent from the fact that no run exists upon any of
them, and that the deposits are on the increase; and
hence the transaction referred to assumes greater impor-
tance than would otherwise belong to it, since it now
becomes a financial measure of the Goverment, the
extent of which is almost without limit and without
control, and of which advantage may be taken to
cover the deficit of the year, and to obviate the necessity
of corning into the market for a loan or with a new issue of
Exchequer Bills. The impression among the leading
brokers is, that it is intended to continue a series of these
operations, as the market may be found in a condition to
bear them, and that this will be the chief reliance of the
Chancelior of the Exchequer in recruiting his " ways
and means" for the present year. His friends in the city
even go the length of assigning some substantial reasons
why this the proper course for him to pursue. They reckon,
fi:st, upon the fortunate events which have occurred in
Egypt, and India, and China, not only to bring aboat an ,
early diminution of expenditure, but to supply him,
if the Chinese fulfil their engagement, with a large
sum of money ; and next, they calculate that there
will be a great increase of revenue in the course of the
year, as our trade is manifesting great activity, and a de-
mand fur our manufactures is springing up in all parts of
the world, so that he may not only be enabled to dispense
with a loan, but to repay at the end of the year by a
surplus of revenue the sum which he has raised in the
manner described in the beginning of it. We give these
as the sanguine speculations of a party determined to take
the best view of things possible. They are not likely to
have much influence upon prices, as the rise of stock to
be produced by the golden prospects of the Ministry must
be counteracted for a time by the continual throwing of
stock upon the market for sale, which is implied by the
operation alluded to.
There is required evidently, in this state of things, the
most careful and judicious conduct on the part of the Bank
of England to give free scope to the new enterprise which
has arisen among the trading interest, without encouraging
overtrading and speculation. After the lessons which the
Directors have lately had on the subject, and the respon-
sibility they are under at the present moment to perform
their exact duty to the commerce of the country, it is
really to be hoped that they will give to it all the encou-
ragement that it ought to receive, and in the manner best
calculated to make that encouragement effee;ive. They
have already lost more than one similar opportunity in tak.
ing the alarm when they ought to have felt and to have
inspired confidence, and have been punished for it by the
lowest stock of bullion, taking the length of the time it has
continued low, that the Bank has ever experienced. A
legitimate trade, ascertained to be so, and made prosperous
by well-timed advances, would soon replenish the coffers
of the Bank, and prove that an alliance upon sound prin-
ciples between the trading interests and the " managers of
the circulation" is the only real security for the prosperity
of both.

It appears probable, from some of the accounts from the
manufacturing districts, that the great scarcity of money
has placed the middle class of manufacturers, among whom
industry and character usually constitute credit, under disad-
vantages to which they ought not to be exposed, and which
tend to throw the whole business into the hands of a few
large capitalists. Such men are frequently less liable to
overtrading and speculation than their more wealthy com-
petitors, and the trade promoted through their means less
subject consequently to any dangerous reaction ; yet they,
in the event of any pressure, are sure to be the first to
suffer. The great fault of late years in the management
of banks is, that they seldom discriminate in the degrees of
credit, but give all their confidence to a few persons, who
are thus led on gradually to their own ruin and that of
those who confide in them. We really believe, from what
we have heard, that a careful inquisition into the means of
credit among the middle class of manufacturers in Lan-
cashire and Yorkshire, and a proportionate assistance to
enable them to follow out their legitimate and safe opera-
tions, would he at this moment one of the most useful ap-
plications of capital that can possibly be imagined.!
Without any very great deal of business having been
transacted, the English funds assumed more firmness, and
a slight advance took place.

PO ST.—We have bat little change to notice in the
value of the public securities. The Foreign Funds were
nearly stagnant the whole of the day, and, upon the close
of business, both markets exhibited some depression of
prices as compared with the earlier quotations.
Accounts from Lima to the 16th of September have
come to hand. They state that the present Government
would very well sustain itself. Gamarra, the President,
bad been adopting some very liberal measures, and was
daily becoming more popular. The commercial regula-
tions of the country were on a good footing. Callao and
Lima are to be connected by the construction of a rail-
way. Everything is, in fact, described as looking
well, and it was considered that this encouraging state
of affairs would Le materially assisted and upheld
by the introduction of steam, the prompt intercourse
that would be established between one point and another
being calculated to eradicate smuggling, and put an effec-
tual stop to all revolutionary proceedings. The existing
difficulties between Peru and Bolivia were to be settled by
New Granada. Chili was going on prosperously, and it
was expected that her resources would be immensely im-
proved by the aid of steam. Her political institutions
would, moreover, there was no doubt, be greatly strength-
ened through the same medium. She had exported two
hundred thousand bushels of wheat to Australia in the past
year, and her mineral treasures would, it was certain, ren-
der her before long one of the richest countries in the
world. " The French Minister," says a private letter
from which we write, " is giving this country ( l'cru we
believe is meant) a good deal of trouble. He has chal-
enged the Minister of Finance, and rendered private
quarrel a matter of public importance. It would be a
happy circumstance if we had never seen a Frenchman
this side of Cape Horn."
Neither of the steamers (Peru and Chili) had yet made
her appearance at Lima. The whole of the population
of that city was, in the interval, in anxious expectation of
their arrival, Ore most extraordinary interest respecting
them having been excited. It is known in London that
both vessels were seen in the Straits of Magellan some
time since, so that long before this they must doubtless be
in active operation between Valparaiso and Lima.

Major-General Sir Howard Elphinstone, begs
to say that the Spectacles he has now had some time in
use, have fully redeemed the assurance of the Messrs. S.
and B. Solomone as to their excellence, and having found
so much comfort and advantage from their use tar prefer-
able to every other kind of Glasses which he has been in
the constant habit of making use of for a great number of
years he, therefore, feels a pleasure in recommendinc,
them to his friends. 13, Norfolk-street, Park-lane, the 6th
November, 1340.—Messrs. Solomons,39, Albemarle-street,
Piccadilly, opposite the York Intel, and 76, King NVil-
liam-street, Bank of England, state that immediately
those newly. invented Spectacles aro ed before imper-
fect vision, every object becomes ear and distinct, and
the most minute particle is se vith distinctness, so that
the most aged imperfect ecomes bright and brilliant,
and is brought to its yo ful, natural, and original state.
Their Invisible Oper we Voice Conductor, for deaf per-
sons, is not the least perceptible nor more uncomfortable
than having a piece of wool in its place; they give imme-
diate relief to old standing extreme cases of deafness.
These valutble inventions have also gained the patronage
of the Royal Family, and the unqualified approbation of
above four hundred of the principal members of the medi-
cal profession, and numerous individuals of high distinc•
tion, who have been greatly benefited by their use. No
connection with persons of the same name. 39, Albe-
marle-street, opposite the York Hotel, and 76, King Wil
ham-street, Bank of England.
ACCIDENTS FROM THE FROST.—NO less than
eleven persons, who had met with accidents from the frost,
were admitted into St. Bartholomew's Hospital on Satur-
day last.