The Sun.
London, England, 1858-01-01 00:00:00

THE SILK TRADE.

The following is from the trade circular of Messrs.
Percival and Ludlow, of Manchester
"By few could it have been anticipated, even by
those least sanguine, that the apparently prosperous
condition of the silk trade at the commencement of the
past year was so soon to terminate. From the calami-
tous effect of over-trading and excessive speculation—
which has shaken the commercial credit of the trading
communities of the world, and caused an amount of dis-
aster before unequalled, either in magnitude or in the
wide spreading of its kfitience—the silk trade has not
been exempt. W hether it be the importer, the manu-
facturer, or the throwster ; whether those engaged in
the European, Asiatic, or American trade, all have suf-
fered to a greater or less degree. At the commencement
of the year all appeared encouraging, with a fair promise
of a continuance of the prosperity of 1856. The impor-
ter having a good demand both for home and foreign
consumption; the manufacturer being well employed;
the throwster being full of work ; money tolerably easy ;
and the raw material, though certainly rather high in
price, not more so than the relative position of supply
and demand seemed to warrant ; consumption certainly
on the increase, but not beyond what prudence appeared
to dictate ; and so all went well until gradually a spirit
of speculation set in, first originating with the Italians,
and quickly followed by the French, who, sti-
mulated by the failure of the last European crop,
becourmaermk very
and large
in buyersgh causingChina
asilk,n increasedboth
in
drain of silver to the East, which quickly acted upon
aeeShaoaoi f,
the fiscal arrangements of the continent. Meantime
the fever of speculation spread to this country, and the
legitimate demand was overtaken, and paralysed ; faci-
lities were obtained too readily, and the paper money of
houses of straw was found current to a ruinous extent.
Then came the American crisis, In Lyons, St. Etienne,
Italy, Switzerland, Prussia, and our own country, the
trade became prostrate. Silk held on foreign account
was thrown on the market to be forced off at any price ' -
a general depreciation was the result ; failure upon fail•
ure followed in rapid succession, and prices fell lower
and lower, without even a temporary pause or reaction
till they now stand at the lowest point of the year, a
reduction from June prices of 40 to 45 per cent. This
extreme depression has been in great measure caused,
and in the first instance precipitated, by the reprehen-
sible currency which has been given to the acceptances
and drafts of men of no means whatever, thus trading
upon fictitious capital, to the serious detriment of the
bona fide producer. Several of these reckless traders
have since succumbed, but unfortunately not withon
dragging in the vortex others who have the full sympathy
of the trade.

" CHINA SlLK.—There has again been a very large
import of this silk, the common result of high rates, but
the quantity of really available and useful sorts at
market is not so large as generally supposed. There
are complaints of the imports of the present being even
fuller in size than usual. The consumption has again
been large, the scarcity of European silk still causing our
manufacturers to substitute Asiatic wherever practicable.
Again, we may notice how desirable it is that this silk
should be reeled finer. It has been taken largely for
foreign account.
" The year closes with a decidedly better feeling, and
we cannot help looking forward to the future with
confidence. We have a purified atmosphere; a large
stock, which will prevent a recurrence to excessive rates
for some time to come ; and great probability of early
monetary ease : these are good reasons for expeotmcv:
f air and legitimate trade which will be remuneratz
and satisfactory to all concerned."

THE AMERICAN MAI-----LEI.—SOTJTHAMPTON, Thursday.
—The United States' mail steam-ship Ariel, C
ape; th G.
D. Ludlow, left Havre this morning,
and ()is
evening, for New York, with the German,
F:renoh, and
English mails, 98 passengers, 1,0001. in specie from this
port, and a large cargo. Dense fogs at Bremen and
Havre are assigned as the cause of her detention,
terday being her proper day of departure, yes.