The Sun.
London, England, 1841-01-14 00:00:00

MONEY MARKET and CITY NE \VS'

( WEDNESDAY ZVENING.)
TIMES.—The sales of stock made yesterday by the
Government broker are now understood to have been a
portion of that invested for account of the savings-b nks,
but the proceeds it is believed are not to be for the use
'1 those institutions, but of the Governmeet itself. The
sales were in reality much beyond the amount al first
-,tated, and wore partly in Consols and partly in Three
per Cents. Reduced, making together about 100,0001
-toek, 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 coming into the market for a loan or with a new issee 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
Chancellor 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,
upon the fortunate events which have occurred in
Egypt, and India, and China, not only to bring abort an
early diminution of expenditure, hut to supply him,
if the Chinese fulfil their engagement, with a large
sum of money; and next, they calculate that there
7111 be a great increase of revenue in the course of the
year, as our trade is manifesting great activity, and a de-
matid for 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 beat view of things possible. They are not likely to
stave much iniuence upon prices, as the rise of stock to
be produeed 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
)f England to give free scope to the new enterprise which
batiltrisen 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
caleulated to make that enoouragement effective. They
base already lost more than one similar opportunity in tak-
ing the alarm when they ought to have felt and to Lave
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
l
egetimatc 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..
e1;:les between the trading interests and the " managers of
.no circulation" is the only real security for the prosperity
tif both.

It appears probable, from some of the accounts from the
manufacturing districts, that the great scarcity of mcney
has placed the middle class of manufacturers, among whom
i,,dustry and character usually constitute credit, under di3ad-
lantages to which they ought not to be exposed, and which
tend to throw the whole business into the hands of a few
liege capitalists. Such men are frequently less liable to
•-vertrading and speculation than their more wealthy corn-
vttitors, and the trade promoted through their means less
subject consequently to any dangerous reaction ; yet they,
n tho event of any pressure, are sure to be the tic,t to
suffer. The great fault of late years in the mansge;nent
banks is, that they seldom discriminate in the degrees of
redit, but give all their confidence to a few persons, who
thus led on gradually to their own ruin and that of
iossa Rho confide in them. We really believe, from %%hat
'`g I,o',.t.fleard, that a careful inquisition into the meal-s of
'':.sit among the middle class of manufacturers in Lan-
4tWitre and Yorkshire, and a proportionate assistance• to
i•nmble them to follow out their legitimate and safe ol•era-
►,ions, would be at this moment one of the most useful ap-
ti;ications of capital that can possibly be imagined.!
Without any very great deal of business having Leen
transacted, the English funds assumed more firmness, and
a slight advance took place.

POST.—We have bit 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 c.ose
of busness, both markets exhibited some deprcssico of
prices as compared"with the carlirr quotations.
Amounts from Lima to the Pith of September have
come to hand. They state that the present Government
would very well sustain itself. Gomorra, the President, •
had been adopting some y,ry liberal measures, and ..vas
daily becoming more popular. The commercial regiila-
tina of the country were on a good footing. Callao and
Lima are to he connected by the construction of a rats,
"ray. Everything is, in fact, dcaerib,d as looking
well, and it was considered that this encouraging •sate
of effairs would t'e materially assisted and upheld
tho introduction of st C4lll, the prompt intercomse
wound beestablished between o::e point and ;mother
being calculated to eradicate smuggling, and put an efT•c-
Nal stop to all revolutionary proceedings. The existing
tf,Fietiltieo between Peru and Bolivia were to be r,tt,ed sty
NVW Gra,:ada. Cerli was going on prosperously, and it
was expected that her resources would be immensei)
provcd by the aid of steam. liar political institution;
would, moreover, there was no doubt, be greatly strenvh-
t teed through the same medium. She had exported two
hundred thousand bushels ef wheat to Australia in the past
year, and her mineral treasures would, it was (—rain, ran-
, 1. her before lung one of the richest countries in the
bcotld. The Frencit Minister," says a private, letter
tom which KC write, " is giving this country ( Pero we
bdieve is m,.-art) a good de,d of trouble. lie has di d-
,rnged the Minister of Finance, and rendered pr ytte
riu.rrel a matter of public importance. It would ha a
•ppy ircumAaree if we had never seen a Frencicuao
of Cape Ilorn.".
:ither of the steamers (Peru end Chili) had yet mule
• appearance. at Lime. The whole of the population
lately was, in the interval, in anxious expectaticn of
arrival, the most evraordinary interest respecting
'witting been excited. It is known in London ilia+,
•i vessels were seen in the Straits of Magellan some
.•• sine,,, so that long before this they must doubtlys ; be
• • - operation between Valparaiso and Lima.

SUN.—The ralvices received from Canada state the
iorubdr of emigrants arrived out la.q year was 1'2,C00,
in :oy of them b ing persons of some pecuniary means,
mall body. emi;zrated in one party, had, for
in.tance, no less than 60,000/. among them.
The navigation io C .n1(13 was entirely eloced on otie
i ult., and a ;4. qn:intity of ni;releandide, cu
co,!'. hae. been shut liy the frost.

Tty.rc w 1,3 a fur of beta fide business tr,dis-
iwted to day, and . ~,,,,ovetnent in Cons,,lF. rf a per
yen!. took pin,e. the honk-broker, sold ilgLin,
and MiFsrs. M;nli.tter and On. pm-chased, so that the
s;:ppTy of :!n.i demand for Stcck were pretty cet-t
C•Josols clos,•d Ally at 894 to 'a for money and
c•mot. Ex.:ll goer Bits were I Is. to 9s. premiorn,
„rd the B.:duced Three-and-a-lialf per Cents. 98 to 4•
Th,re was nothing done in India or B ,nk Stock alt d
Toe Foreign sccur;ties were much the same as yes-
-day. Spanish Active Bonds brought 24 to 1 ;
rtugue,:e, N 32 to ; Mexican 281 ; Bel ton
and Da ii "1: ner Cents. 50.1; to
The Sh;;re M aket was not very active, but prces
were wcl! supported.