The Sun.
London, England, 1869-01-19 00:00:00

TRADE AND FINANCE

The new year has now fairly opened, but, so rar, we do
not observe any great signs of the long-promised and long.
delayed return of confidence and expansion of trade. The
money market is exceptionally easy, and is likely
to become more so, and the discounts at the
Bank of England shew a considerable falling off.
The amount of commercial paper afloat is small,
w.nd, with a continually increasing supply of capita
in the market, we cannot anticipate higher rates for the
present. The quotation for good short paper has declined
to 2i per cent, in Lombard-street.

These appearances, however, may be partially accounted
for by the usual inactivity in trade at the spring of the
year. There is evidently a decided though gradual return
of confidence in the manufacturing districts, especially in
the hardware trades, and the new year is looked for.
ward to with hope. In cotton goods, however, the
reverse is the case. The quotations have not
risen in proportion to the advance in the
value of the raw material, and spinners are, therefore,
compelled to refrain from going into stock. Much dis•
tress has prevailed among the operatives in consequence,
and it is more than probable that the half-time movement
will have to be resorted to throughout Lancashire. In
cotton the transactions have been to an unusually large
extent, and prices have been daily on the advance. The
operations, however, are of a speculative nature, and
indicate the unsettled state of the trade. The market
has taken quite an unexpected turn, and the movement
has resulted in great loss to many of the speculators for a
fall. We hear of the failure of Messrs. Neilson and
Nelson, of New York, in consequence of a rise in prices.
Their liabilities are stated to be £BOO,OOO.

The Board of Trade have determined to publish weekly
statistics of the import, and delivery, and internal move-
ment of cotton, in supplement to those published monthly
during 18G8. The publication of such a return will place
the trade in a better position, and tend to prevent many
of those foolish panics to which the market is so subject.
The reaction in the corn trade has, so far, not succeeded,
and factors have this week been compelled to accept is. to.
2s. per quarter less money. Even at this reduction mil;
lers shewed no anxiety to operate. We etill incline to
the belief, however, that wheat has now seen its lowest
point, and that there will be no further decline in prices
throughout the winter. Much depends, however, upon
the importations and the prospect of the ensuing crop,
about which it is yet too early to have an opinion.
It may be remarked, in passing, that the
young wheats are well above ground, and are
looking exceedingly strong and healthy. The growth,
indeed, has been too rapid, and farmers desire some slight
frosts to check the too forward vegetation.

The stock markets have been very steady, owing to the
payment of the dividends and the large amount of
capital lyingrket.
The swaltiiscrha
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thhas given additional firmness to the quotations, but this
having been anticipated, its effect has in some measure
been discounted. Large numbers of foreign stocks are
now hold under advances from the banks, which
the present state of the money market is highly
favourable to ; and it is to be noted that bankers
are again offering this accommodation to a large extent.
The success of the Brazilians in the Paraguayan war, and
the apparently total defeat of Lopez, have given great
firmness to Brazilian stocks, and the quotations have
tended upwards. In this movement, Argentine and
Buenos Ayres bonds have participated. The principal
feature in the stock markets during the week, however,
is the great buoyancy which has existed in Metropolitan
stock, in which the operations from a rise have completely
beaten the " bear " speculators out of the field. The loss
on many of the adverse accounts, which are known to have
been very large, both here and in the provinces, must have
been very heavy.

It is stated that Lord Stanley and Mr. Gathorno
Hardy have accepted invitations to a forthcoming banquet
to be given at Cardiff to Mr. Giffard, who unsuccessfully
contested the borough at the last election.
The South London Press understands that it is in-
9tended to present an address to Mr. Locke King, M.P., in
!recognition of his efforts to promote an extension of the
suffrage, and the teduction of the rental raluirei for the
County franchise.