The Sun.
London, England, 1870-02-07 00:00:00

MONEY AND BUSINESS.

(From the Springfield Republican, Jan. 22.)
The abundance of money at the East is oppressive, and
t at the West is more than sufficient for the ordinary de-
• mends of circulation. The New York banks last week
received an increase of deposits of about $12,000,000, of
which $2,000,000 was specie, $4,000,000 legal tenders, and
$3,000,000 National Bank notes, the rest being loans.
The increase in deposits since the New Year has been
over $24,000,000. The rates for money at New York
have been at 6 to 7 for ordinary collateral and 5 for Go-
v. rnment Bonds. At Boston the banks are loaning at 7,
good outside paper is current at 7} to 8, while choice
names are honoured at 7. Suspicious paper pays about as
high as ever. The supply of personal securities from
Providence, Fall River, and the smaller cities on the
eastern coast is quite large. This plethora of money is
being made the excuse for the circulation of a memorial,
requesting Congress to authorize the issue of bonds bear.
ing 3 and 65-100 per cent. interest, to be presented to
the banks in exchange for National Bark notes. The
banks ask to be allowed to hold the bonds as a part
of their reserves, as though they wore notes, and to
have the right also to present them to the Government
at any time for conversion into currency. This pro-
position, if carried out, would have these results : —The
banks, instead of holding their reserves in the shape
of non• interest-bearing bank notes, would receive in-
terest on them of 3 65-100. On the other hand, the
Government would exchange a large debt on which it did
not have to pay interest for one on which it would have
to pay the above rate and the principal of which it would
have to hold itself ready to pay on demand. This mon-
strous proposition, that the Government take all our loose
change and pay us interest right along and the principal
On demand, could never have arisen except after long
schooling in the idea that the Government is a savings
bank, obliged to undertake the investment of the surplus
capital of a whole nation. In fact, the memorial is
avowedly made " in view of the fact that there is no op-
portunity offered to the public, at the present time, for con-
verting the non-interest bearing promises of the Govern-
ment into its interest-bearing obligations, except by pur-
chasing United
wStiathtesgoßvoenrdnsmienntthsethmeaket at a
nrtopayipnrteemreisutm."
oa
tllaseiitr°cbirlicgualat°trhYag media? Ought not the Mint-master to
stamp on every penny piece a promise to pay 3 and 65-100
interest on it, lest, perchance, the holder should not [have
the interprice to invest it in business ventures, and should
through his own sloth let it wear out in his pocket? In
the present case, if the national bank note currency piles
up in New Y ork, it can at least be returned to the vaults
of the outlying banks that issued it, or it can be deposited
in ono bank or several, which might issue on it certificates
of deposit, as the Government does upon the gold deposited
w it h it by private parties. Or it might be invested in 5-20'Fi
even at a premium, in which we see nothing that should be
more appalling to a national bank than to the thousands
of private individuals, who are every day buying those
bonds and congratulating themselves that they have got
theiz money's worth. The Bank of Montreal took one
million of them on Tuesday, and other Canadian parties
$400,000 more. This memorial is said to have been largely
signed by the national bank officers at New York, who
thus hope to gratify their greed by keeping up the price
of interest. The brokers and the great public, which banks
were made to serve, have turned on it a deservedly cold
shoulder. Speculation is another use to which to put this
money, and a revival in that phase of investment is looked
for in the gold market. A speculation, caused by the ease
of money, would probably return the capital thus absorbed
to the more legitimate channels of business when it was
demanded. Gold, however, has not yet felt this impetus so
much as was anticipated, and has continued very dull and
heavy throughout the week. It stiffened a little on Mon-
day, because the Senate tabled the bill for the admission
of Virginia, it was alleged. We thought the time had gone
by when the premium on gold was quite so accurate a ba-
rometer of the nation's faith in its own preservation. Fo-
reign politics are accredited also with setne.influence on the
market. Government Bonds had a down turn on Saturday
with the lower price of gold, but have since recovered
rather more than was lost, and on Tuesday were de-
cidedly firm. On the day of the lowest price here they
were highest in London, 62s touching 871. In our re-
smile two or three weeks since we casually noticed that
our bonds were higher in London than British Consols
A writer in the London News having, by some unusual
dispensation of American arithmetic and sympathy, ar-
rived at the same conclusion, it was thought sufficiently
important to cable his result over to us. Of course the
American public laughed at the jolly greenness of the
British to require enlightenment on so plain a matter.
But here comes the London Times of January 4, comment-
ing on the disparity of American 6 per Cents. at 86 and
British 3 per Cents. at 92, still ignoring the difference in
exchauge, which, when added, briugs our bonds up t 95
The policy of Congress is yet so crudely defined as to have
little effect Qll our bonds At /191110. The twat prominent A

finance bills agree pretty well as to what measures should
be accomplished, but disagree as to the order of accom-
plishment. Mr. Boutwell says—(l) Pay the debt, and
(2) thus extinguish taxation; Mr. Sumner (1) Reduce
taxation that (2) we may the more easily pay the debt.
On the question of free banking, however, there is more
drifting and groping and less concert. The Southern
Legislatures are in session and occasion some fluctuatiois
in the prices of the securities of those States. Virginia
has the means to pay her interest, and promises to do
so promptly. South Carolina Bonds are in request, by
insurance and other Corporations doing business in
that State, to deposit with the State Treasurer as a
pledge of their solvency. This State has also put her foot
on all railroad schemes, a cause of depreciation that
operates sadly in Tennessee, Massachusetts, and North
Carolina. The last named State promises to imitate South
Carolina, and thus secures au advance in her stock. In
fact, the whole line of Southern securities is strong and
gradually, through much fluctuation, improving. 31°re
speculation has been engendered in stocks than in gold
by the present ease in money. Cleveland and Pittsburg
has advanced from 884 to 92, Merchants' Union expres3
from 32-i to 36, and New Jersey Central, which a few
months ago was 127 and since dropped to 95, has re-
covered to 105. Rock Island has fallen from 105 to 93'
Express stocks aro all active, United States being a strong
card. Cumberland coal, an old speculative stock, is reviving'
and bin largely dealt in at an advance. In breadstuff3
flour has arrived sparingly, and holders have not been dis-
posed to press sales, except iu some cases from the wharf ;
but the rapid decline of wheat has enabled the local millers
to undersell the Western stacks, and prices have, conse-
quently, given way, the lowest point being reached on Sa-
turday last. Wheat has been pressed for sale, and on Satur-
day as low as $ll2 was accepted for No. 2 iu store, when
the demand became active, and there has been some
reaction. Corn is in light stock, and new is coming
forward sparingly, but there is scarcely any demand, and
prices have been weak and unsettled. The receipts of oats
are quite large for the season. In other grains a period of
much depression has been felt, but the close is more steady
The market for hog products during the past week bas
been devoid of any excitement. Some hopes were enter-
tained of a reaction in a speculative way on the leading
articles, but lard has scarcely varied, and though pork re-
covered about $1 per barrel from the lowest point buyers
operated with extreme caution, and the movement Was
looked upon in many quarters as merely an attempt to
bolster the matter. A Chicago circular says :—"The
continued and increasing receipts of hogs and the "nag";
ficent condition of those being sent to market are sad
disappointments to those theorists who have been holding
that by this time the number of hogs to be had would b°
so small that the packing season would be virtually
closed. Yet as to condition we have bad finer and
heavier hogs this week than at any time during the
season ; while as to numbers, we have had far rn ore
than the market could stagger under, and a serious decline
has resulted. The absence of any consumptive demand
for mess pork still continues very marked. The product
is essentially a fancy stock, and is only valuable for
gambling purposes. In dry goods the prospect is said to
be flattering, especially for an active foreign trade.

(From the Wall-street Journal.)
FRIDAY EVENING, Jan. 21, 1870.

Tho money market is easy, and on call the ruling role
is six per cent., with exceptional transactions of five and
seven per cent. Discounts are easier, first-class double
signatures selling at 71 to 10 per cent., and at 10 to 15
per cent. for single names. Gold is heavy, and closes at
1201.

The following are the quotations for specie:—
Amer. silver... 96i to 97} 1 Eng. sovs 486 to 48.8.
Mex. d011ar5...1031 „ 104 '2O francs 385 ~ 381
Eng. silver 470 , 480 y Thalers
Five francs .... 96 „ 97
Foreign Exchange is generally firm, with a fair inquirP
Sixty Days. Three Da96'
London Bankers
London, Prime Commercial 108;-108' .....
Paris, ankersi 515
5.22 i -5.17 i 5.16 •
....

Bremen, Bankers
tlamburgh, Bankers 3si-351-
Frankfort, O.M. 4oi-40i
Berlin and Cologne
•
Antwerp 5.24-5.17 i.
Amsterdam, Bankers Bankers
Swiss 5.22-5.17 .... i
Railroad bonds show an active demand, and Fisk and
Hatch have in a few weeks closed out with the exception
of about $150,000, the $2,800,000 loan of the Western
Pacific Railroad. We also noto that the Kansas Pacific
Railroad loan of 56,500,000, and the Danville, Urbana,
Bloomington, and Pekin Railroad loan of $2,000,000 are
almost exhausted.

Railroad stocks are generally weak, the transactions
being principally in Chicago and North-Western, 11°°
Island, Lake Shore, Wabash, St. Paul, and the Vander"
bilt clique stocks. Some excitement has been created 13.9
the issue of an additional batch of the stock of tLieChicag°'
Rock Island, and Pacific Railroad Company, but when
and to what amount are thus far matters of varied al'
mour, one version having apparently no better basis than
another. The stock was issued for paying off $1,400,000 of
the old Rock Island Company's bonds, and $600,000 of the
Rock bland Bridge Company, and for the completion and
equipment of the Dos Moines branch of the road.
N. Y. Central Gs, 1883... 881 Tol. & Wab. Equip 73i
N. Y. Central Os, 1887... 87i Mil. & Pr. du Ch. Ist M
N. Y. Central Gs, IL Est.. 85 Gal. & Chic. Ext 101
N. Y. Central Gs, Sub'n.. 85 Gal. & Chic. 2d M 91
X. Y. Central 75,,1876...100 Chi. &R. I. Ist M ?6'l
N. Y. Ceu. 7s, con. 76 Chi. It. I. & Pacific 7's -16,
Erie Ist Mort, Ex 93 Cleve. & Tol. S. Fund... 9'
Erie 7s, 2d Mort, 1879 B9l N. J. Central Ist M ...... 102
Erie 7s, 3d Mort, 1883 B4 N. J. Central 2d M....., 91
78, 4th Mort, 1880 7B Pitts. F & Ch. Ist 141.100 f
Erie 7s, sth Mort, 1888 7ll Pitts. Ft. W & Ch. 2d M. 94
Long Dock Bonds
Buff. N.Y. &E. lstM, '77 B3 Cleve. & Pitts., 4th M..• 73
Ilud. R. 7s, Ist M, '69 102 Chic. & Alton. S. F. Inc.
Iled. R. 7s, 3d M, '75 99i Chic. & F. lstM. 97
Harlem Ist M, '6B '72 9B Mil. & St. Paul Ist M..• 9104
Mich. C. Ist M, 69'72 ll6 Mil. & St. Paul 2d M... °
Mich. new Ist M £ss 'B2 --Marietta & Cin. Ist M... 8',./`
Mich. So., 7p. 94 Morris & Essex Ist M... 100
N. Ind. Goshen Line '6B Morris & Essex 2d M... 95
Mich.S.&N.l.S.F'd7p.c. 961 Joilet & Chic. Ist M...
111. Cen. 7p. c, '70...,,, 116 Chi. & Gt. East'n n"'
&Ron &T. H. let M 92 N. Y. &N. H. 65........ ,
Alton &T.H. 2d pfd
Alton &T. H. 2d M. Inc 731 Peninsula Ist M......... 90
Han.& St.J.LandWrntslos' Ohio & Miss. Ist ...... 92
Han. & St. J. Con Ohio & Miss. C0n.........
Chi. B. & Q., Ist M 105 Tol. P. W. Ist M. E. D..• 7"
Chi. &N. West, S. F 95 Atlantic &G.W. 2d 3/1 • --,
&N. W. Con Cony 9O Del., Lack. && W. 2d 2d M. 97,,
Chi. &N. W. Int B 7l/ Lake Shore. Div.. Bonds
& N. W. Ist M 934 Cleve, P. & Ash. N. 8...
Quincy & Tol, Ist Id, '75-70 Do. 0.8...
111. & So. lowa Ist M._ 70 Union Pacific Gold 8... 81
Gt. West. Ist M, 'BB B4 Central P.RR. Gold 8... 91
Gt. Western 2d M '93 77 Pacific RR. guar. by Mo. 914
Tol. & Wab. let M Ex 9oi
Government Bonds are dull but steady, and we not.,
that 6's of 1861 and currency 6's are especially in donee('
Sixes, 1861, registered ll7l to 118
Sixes, 1881, coupon
Sixes, 1868, coupon
U.S. Os. Pacific Railroad
Five-twenties, 1862, registered
Five-twenties, 1862, coupon
Five-twenties, 1864, coupon
Five-twenties, 1865, coupon
Five-twenties, 1855, coupon, new
113
Five-twenties, 1867, coupon
U.S. 5-20 Coupons, 1868
111 to 111 f
Ten-forties, registered

Oregon War Lcian, Sixes 1881 to
Miscellaneous Stocks are quiet, the principal transactions
being in Pacific Mail an I Quicksilver, the former closing
at 41k, and tho latter at 13k.
N. Y. Cent. & Hud. Er 921
Erie
_ 4
_ _

Pacific Mail
Atlantic Mail

Reading
Quicksilver
... 1-B''
Mich. Central 1179' W. U. Telegraph
Illinois Central
Cleveland & Pittsbrg. 94} Mariposa Preferred
Chi. & North-West .... 73; Ohio and Mississippi '2
North-West Preferred 884 Boston Water Power lul
Canton... s,li Cumberland
Rock Island
721
Cleveland and Toledo M & St. Paul
Fort Wayne B7l IM & St. Paul Preferred 86i
Express Stocks show a good business at higher prices.
Adams 631 to 64
American Merchants' Union 37 to 37.1
Merchants' Union, old Stock to
United States
Wells, Fargo, and Co 2l to 21-1
Adams Company's stock has been exceptionally strong,
and had advanced to 641 on report that tho differences
between that company and the American Express Com-
pany have been satisfactorily adjusted; also that ten per
cent. dividends on the Adams stock will be resumed at an
early day.