The Sun.
London, England, 1869-06-09 00:00:00

RACING IN PARIS.

The contests between horses at racing meetings in
England are becoming more_ and more a sul2rclii2M9

tart of the business ; but in France they nave Peen
from the first a mere pretext for the gathering together
of an immense quantity of people. The French care
nothing about racing. But they care a great deal about
dress, and a racecourse furnishes admirable conveniences
for a fashionable display. Even the Grand Prize, a most
valuable stake, excites comparatively little interest.
Toilette absurdities are the chief concern of the gay crowd
which assembles at Longchamps. On Sunday the
Empress, who, with countless other lady magnates, was
present, was dressed very " simply." Her costume looked
as if nankin was the material of which it was made, but
it appears that it was of China crape, and must have cost
£2,000, Even this extravagance does not represent the
height of fashion at Longcliamps. The dean-monde conk
Pete most successfully with the ladies of the
beau-monde, who, indeed, are obliged to dress simply
in order to keep up the contrast. They cannot
compete with the glaring red locks, the diamond
powder, the " humps " adorned with tufts of ribbon and
laces, and the extravagant costumes which carry every•
thing before them. An attempt was once made to keep
the demi-monde out of the ring, but it miserably failed:
The beau-monde has found it necessary to give up the con-
test. By the correspondent of the Daily News we are told
that the sensation of the ring was an American
Anonyma. She came to brave out the Queen of
Holland, who, she heard, was to be in the Imperial
stand, and whom she has her_ own reasons for not
liking. This Transatlantic beauty, although she has four-
teen horses in her stables, rode from the Parc des Princes
in a tricycle with a blue satin cushion and silver mount-
ing 9, followed by a groom on a bicycle, who took charge
of her vehicle while she was making up her book. The
Emperor witnessed the great race, and was, perhaps, the
most bored by it. He was visibly out of sorts, and looked
weary. An attempt to get up a demonstration before the
Imperial stand failed utterly.

A AIERICAN FINANCE.

(From the Anglo-American Timer.)

When 111 r. Boutwell was appointed Secretary of
the Treasury many pre-dieted misfortune to that
most important of departments in the hands of one
who knew nothing of finance, and whose notions
of political economy were, ia was said, grounded on
error. Whatever may beSecretar, Boutwell's know-
ledge of economic laws his common sense appears to
guide him;iright in dealing with the Treasury Funds.
It is a simple rule in onsiness, an.) one wort volumes
of theory—to pay your deots when you have the
money. If an interest-bearing bill must be paid,
the sooner it is discharged by any unemployed capi-
tal the better, and it is clear the Secretary is acting
on this rule. But the financial affairs of great na-
tions are always complicated, and more especially is
this at present the case in the United States, where
the precious metals form no part of the currency,
but are commodities altogether distinct. No move-
ment can be made in one direction without finding
the equilibrium destroyed in the other, and so deli-
cate is the adjustment, so insecure the irredeemable
paper basis, that the Secretary, when even taking
the step his common sense dictates, sinks, and doubts
whether the cry be true that he is in a quagmire.
To understand his difficulties in deciding on selling
a million doPars of gold every week, now increased
to two millions, and in purchasing Bonds with the
currency proceeds not soon needed to -meet the
Government expenditure, something should be
known of the finances with which he deals. The
revenue of the United States must be thus di-
vided—the import duties receivable in gold, and
the internal revenue and other imposts receivable in
greenbacks. The United States expenditures are like-
wise under two heads—the gold interest payable on
the National Debt, and the salaries in currency to
the army, navy, officials, the payments for contracts
and other general expenses of the Government.
The import duties bring in more gold than the
Treasury requires for the payment of the interest
due in gold; the internal revenue and other taxes
bring it less greenbacks than the Government re. •
quires to meet its disbursements. The suggestion
would then arise in any mind that tiie Secretary
has but to exchange the accumulating gold surplus
into the amount of greenbacks required, and thus
adjust the difference. Now this is not only what
Mr. Boutwell is doing, and what Mr. M'Culloch was
compelled to do, but the new Secretary does some-
thing besides, and it is more especially that which
has raised a controversy in the financial centres,
and led many to condemn his policy. The present
average monthly gold receipts from the Customs'
duties is ,$15,000,000, while the auto tnt necessary to
redeem tk,, coupons attached to the national bonds,
is about $10,500,000 a month. [fence a surplus
would accumulate in the Treasury every mouth of
four and a half millions, if these figures could be
maintained. But the Customs' receipts have lately
been unusually large, and cannot be relied on to con-
thine by the G wernment. Still experience has shown
that they will always be considerably in excess of
the gold required for interest. According to the
Secretary's return for the Ist May, the coin in the
`Treasury was $92,031,732, at which period the
total amount of gold interest due or accumulating
against. tine Government was $45,000,000, which
leaves a oalance of $17,000,000 in gold, the
property of the nation. At the same time the cur-
rency in the Treasury was but $7,896,564—a sum
wholly inadequate to meet the expenditure of the
Government. By the telegram received on Thurs-
day the cash in the Treasury on the Ist June was
$124,000,000 ; of which $104,000,000 are in coin
and $20,000,000 in currency. On the Ist May up-
wards of sixteen millions and a quarter of what was
called coin were gold certificates of deposit, no more
coin than Bank of England notes ; and therefore if
a similarsum be deducted from the $104,000,000, it
will be seen that the gold has decreased, though the
currency has very largely increased ; but the figures
from Washington by telegraph are irreconcileable,
except by attributing to them a blunder of no less
than ten millions of dollars probably in the currency;
which may have been mixed up with the Sinking
Fund operations. Secretary Boutwell then stands in
the face of a large accumulating gold surplus,
and of a small and declining currency balance,
and if he had merely to sell the one to increase the
other his task would require but little skill or con-
sideration. The affairs of a great nation cannot,
however, thus be dealt with, for the moment he gets
outside the Treasury he becomes involved in a chaos
of conflicting interests. We say chaos advisedly, for
it comprises things which " no feller can understand."
Gold is, in the full sense of the word, a commodity
in New York, and financial transactions on au
enormous scale daily take place in the Gold-room,
where is to be found a screatning, rumour-speading,
panic-creating mob. The outsider might consider
it a Bedlam, while, in truth, it regulates at least for
the moment the value of property in the United
States. A rise in the price of gold means a fall in
nearly everything, and a considerable rise, such, for
instance as was lately experienced, is a disturbance
of all values. Englishmen may, in some degree,
understand it by conceiving bank-notes only to be
in circulation, and then that within a week their
purchasing power had fallen, say eight per cent.,
so that if everything for sale had time to ad-
just itself to the price of gold they would be
tnulcted about one shilling and seven-pence on each
pound sterling of money in hand, of income, rents,
salaries, &c., &c. The fluctuations then have a
very serious meaning in America, and when Secre-
tary Boutwell takes his place in the market as a
seller he adds considerably to the disturbing ele-
ment. It is said that there are no more (though

we much question the assertion) than $100,000,000
in specie in the States east of the Rocky Moun-
tains, so the man acting with $92,0,)0,000 of
that amount can seriously affect the market. No
doubt there is gold hoarded which finds its way
neither to Wall-street nor into the Treasury, anl
the $100,000,000 may represent the stun with which
these operate. If $92,000,000 of it be in the Trea-
sury, only the narrow margin of $8,000,000 remains,
which must cause great sensitiveness, the pyramid
being on its apex. To such an extent was this felt
last April that our English readers m-ty recoleet
coin began to flow from the vaults of the Bank of
England to New York, as the quantity had become
so limited that the importing merchants could not
get what they required to clear their goods without
sensibly affecting the premium. It was then that
the Secretary offered to anticipate the interest on
the coupons at a rebate of 6 per cent. When, then,
Mr. Boutwell comes into the market as a seller of
$2,000,000 a week the effect must be- considerable,
unless counteracted by other causes. A heavy fall
in the price of gold makes it, the cheaper, t o send to

Europe, if the National Bonds du not droop in a
corresponding degree, in payment of the difference
between the values of the exports and imports. Tile
tendency in America, in spite of all warning and
every effort to restrain extravagance, has bee°
largely to increase the orders for foreign luxuries,
while American exports have been in the inverse
ratio. For the first four months of the current Sear
the imports at New York were $'31,530,000 1n ex•
cess of those for the same perio 1 of last ye tr, being
£24,000,000 sterling against £17,000,000, and that
against £11;700,000 in 1867,as valued abroad witil°tl
freight and duty, which nearly double the am >ant'
while the exports were $15,500,000 less than thee)
and are still on the decline, though we tbi° 3
change may be anticipated, for the country is raPielif
resuming its old industrial course. The differcilf,
has to be adjusted either by the export of 5-20's e.
of gold and silver, and were it n )t for the fortcer
many good authorities think the present luxttri'
ous rate of living would soon be brought ti°
an end. Thus the bonds and these inetO'
are of the highest importance to the merc.Pa?;
tile community in conducting their operations. \
only, however, does Secretary Boutwell sell golu;
but he buys bonds with the greenbacks not require'
Hence his operations tend to lower gold and to raise
the bonds, and this it is which has called forth sack
opposition. The Secretary's operations interfere
then directly with trade, and as the speculatice
spirit is rampant in New York, hundreds basing tbei',
transactions on air, merely acting as " bears" a%
" bulls," his course makes or mars fortunes, and
furiously assailed or strenuously upheld from sett
fish motives independent of its merit. Some asseh,
that the rise in gold would be beneficial, as it is
cheapest commodity in the country which has a bane;
ful influence in causing the imports and theluxuriou
style of living. The result of the gold sales t 134
be to substitute gold for the Five Twenties,
so largely exported in payment of American istle,bt;
edness, and those who oppose this policy contend ttls
the effect will be to sweep every coin out of the c°ll°:,
try, and end by raising the very premium it was °.;
of the Secretary's objects to lower. But here, stgal.je;
another cause comes into operation. Five-Twel3te-e
already, through their free exports, growing scar -0
in Wall-street, by the purchases of the Secretary, 3.1
becoming scarcer still, and Mr. Boutwell's
policy has bad the direct effect of enhancing `b
e,
value even in the face of the heavy fall in Elar°Pto;
hithert°
and the threatening aspect following on Se°3o,
Sumner's speech. There is yet another subject /la
volved, perhaps more important than either the qeio
or the bonds, and that is the currency ; for it ee
it that the whole community traffic. The intlue°ei
that a strong man may have in making 91°13iis,
" tight," even in the great American metro Pie,
and
fr
thereby affecting the entire mercantile traaes`v
tions of the nation was seen by the amblinsc Othre‘if
Lions of a few Erie directors. By having
hand on this string they dance 1 all Ainericac
perty up and down like a Punch shownsaa, vi'
m t
English merchants an 1 owners looked acre'sit
forwondering,ibe
could see the effec, but few the hidden cord•
eet
policy of the Treasury in the face of a stri°bg el;
money market has been to reduce its green2ep-
balance to the lowest ebb, for the purpose. of
11 "liic
mg the largest possible circulation afloat. eci3
Mr. IiouTwELL purchases bonds with the FOce:itti
of the gold sales his course does not interfere
the currency in the hands of the public; Yet
this effect, he sells the nation's hoard, whereby "h
Aloe eti.
the return to specie payment can be accolnPlia
If we confine our attention entirely to Ae,
viewed from this point his policy might be wr°jf
but it has a wider range, embracingthz
the. obvious power of the Treasury to rede3tll,,,if
principal of the Debt in due course be thoroobo'
appreciated in such financial centres as Loncl°l-1 octi
Frankfort, the United States could borrow on
less onerous terms, and when that credit is thorouga be
established, the return to specie payments w°1.0,10
fiti 'if
licilitated and be less costly, through the
ability to obtain metal for the purpose chef:rot
Europe.
abroad. We have no hesitation in asserting taro';
had it not been for Mr. Sumner the SNrecloo
policy would have raisedFive-Twenties on the Le°, he
market at least 5 per cent. The insinuation -
Times that £150,000,000 sterling of these I'oooo
were ready as a reinforcement to the £150,0001.1,
now in European coffers, to keep up the Prc.se.°,llll'
Hatton in iNew York and end in repudiatio'.l° tbd
tine ; for the bonds are becoming scarce 111
thehands of tlies. who will sell them in Auicriel' are
bulk of the debt being there held as Colls°l% to
held in England. The object of Tin /9.5 rt3ie 14
damage American credit (about which so IlLer.4
known in England), as a retort to Senator Stl`" ir,Of
speech, and this, coupled with the rise in the 'llntliots
England rate, caused a heavy fall, fornotwiths
Mr. Boutwell's measures. Had it not been of the
foreseen circumstances the upward tendency , Ili°
Bonds would have enabled the importers stl.l'
them with advantage in spite of the decline I° ie
for if a 5-20 Bond would sell it an enhance3Prra to
London, the New York merchant could IT, °caiglit
give a higher price for it in New York, andl, rero
still remain better worth his while thus `.° ore.3t
than to buy gold cheaper. Nor would this:ricsil,
benefit have been all, for while enablingtheAToceci
merchant to obtain more goods for the eu'e die
bond, though with the same figure on its fag DA4
Secretary could have established the propose bleat
in London, and readily floated a loan redee;t
longer dates and lower interest, payable b.oogil
and Frankfort. our impression then is, that a' poet
t
Senator Sumner's speech defeated Secretaryci 05.
well's policy, at least temporarily, the 01100 th°
sudicious, and would have been attended rod
ide the water, but for the speech, with
.3 Pof $133
success. Indeed, in spite of the hostility
atoll
English class, the Secretary will assuredly by thd
the end he seeks, for the advantages offerea alp
investment in United States Securities are t 099 Of,
able to remain long concealed from the ;31,:t
English investors. The United States, as "egged
ia.ngaplanyianngdthaegiani.innesiapiadiasiswtehlel oanslythneaitriintearees;:ioitfirty:
debt... Though the Union stands in the
position of having the ability to do this, Yet 11%itt
here so ignorant of its resources, that they c':-posl'e.
the category even below Governments wh°3-dotibt'
to pay the interest of their Debt is more tbaticupPiis'
ful. Notwithstanding, then, the shock 3
.o,oo°'
tercel by the hostile attitude so abruptlytiooa
and the caution inspired by the undoubted il3'ropiai
New York, these Securities are even 131°red
than we anticipated recovering lost grctifti;e Acfa
is falling, and we hope to see the policy satisb
rican Finance Minister receive fair P'
that at least on this side, the result Will ens
expectations.

003
fee-
me,
LADVERTISEMENT.I -- Holloway's Pius.-- ,cit• o.
Existence.—This medicine embraces every attribute '-istico;ooo
a general and domestic remedy : it overturns the °l, st#gals
disease laid by indigestible food and impure air. Di voier
or congestions of the liver, lungs, bowels, or sa, °Bo:ce::cio6
these pills are especially serviceable and eminent rae'tior
They should be kept in every family, as they orhei -
e c 005.00
without a fault for young persons and those of fee"4-t setz,,' 1,
tions. They never cause pain or irritate the 01%, s t gD
nerves or tender bowels. Holloway's pills are the 'lop tio'n.cloo
purifiers of the blood, and the best promoters of ob°.i." Ps
secretion which remove all poisonous and obuoo—
both solids and fluids.

EASTON—On the Bth inst.,B ~,,, "st°ll;
wdaiufegohftesri.ndney ‘lftTEffnBd.sleigh-strtee_t: iiti'rl'i °0
w ssquare,o N— of Percy Shaw EaS OD
Othethe 6th inst. at Wick Lodge, '-'l4—gbt°l:4
Illt'llt tsisrte7l,l Esq.,
OA
Wilson, of a daughte-nr.
MARRIAGES.
BurTt._ol,u. GHEs—RUSSELL—On the 7th inst., at •rif js., IV'
S I;",°tt°ll'
,EtosqS.,uosfanßitig;iintnu
_", Pimlico, Thomas Henry Burrou,lies, Esq" { J. Y.
HAWKINS—KixsEE—On the sth inst., at St• Petielaw.fl'il. .1'
gravia, George Lacy, eldest son of gr. Ge°late ?".".
of Barnsbury, to Ellen, only daughter of tho
Kinsey, of Bermondsey. • 1;1'
asll,"lstnoCtlitnugpbtotenrsbire;,i, lie 310:
DEATHS. f 10,131'
DEUCE On the Bth inst., John Druce, Esq., °• f,
ter-square, and Dulwich, aged 69. ll°
tb°
IlAmmoNn --On the sth inst at Ilaudswortb,
Oti
..,
John Hammond, aged 94. -Pt L5ll/
inst., MU 0
L .131 BERT —On the sth Ad •al Sir Geo.
te f
G.C.8., aged 74. Escl , It'
LOWE—On the sth inst, Whatson G. Low,?, -
the Temple, aged 57. ---

London : Printed and Published by WILLLOI ;
2,-, ;
112,0 f No. Strand, Printer, at THE SUN OffiCe, 5°.;;;0100%.
!Lt!. Precinct of the Savoy, in the County of
Wednesday, June 9, 113C9,