The Sun.
London, England, 1857-10-20 00:00:00

DISCOUNT. I MIDDLE&

ii!SE IN TH,

(From the Times City Article )

Tl.e Bank of England yesterday raised their rate
of discount from 7 per cent., which was adopted on
Monday last, to 8 per cent.
TE is step is solely in consequence of the Ameri-
can news. According to the latest dates, the rate
of exchange even for the best bills had fallen to a
point which- would give a very large profit on gold
from England, and, although, owing to the possi-
bility of a sudden rebound, speculators on this side
might hesitate to undertake the operation to a
heavy extent, the amount of bills transmitted from
New York, with direct orders for returns to be
made in specie, coupled with the sums being des-
patched by our capitalists for the purchase of securi-
ties, involve the certainty of a further drain, against
which the most prompt precautions were requisite.
Tne public were aware that the question of an ad-
vance to 8 per cent. would depend entirely upon these
advises, and if the Arel had arrived at her expected
time the movement would doubtless have been
adopted 3 or 4 days back, since the later accounts,
trought via, Boston, are scarcely so bad as those
with which she started. The rate now reached is
equal to the highest known in modern times, and
our only experience of it was for four weeks from
the `:sth Oct., 1847, when the railwaypanic attained
its cdraax, and Consols were down at 80, the Bank
bullion having been re luced to 8,312,0001. and the
reserve to 1,574,0001. In the present instance it is
unlikely that the pressure will last even so long as
four weeks, but as our condition upon the course of
the Americas disorder, and it is impossible to con-
jecture what may be the next turn of frensy, we
must hold ourselves prepared for all contingencies.
Ace erdiug to the accounts yesterday everything had
beeii brought to a dead lock. Debts could not be
paid between distant cities because there were n•
safe means of remittance, and produce ready to be
con Terted into gold could not be forwarded to port,
owing to the absence of any power of obtaining ad-
vances upon it. Everyone saw that it the machinery
of ordinary custom could again be set in motion all
would instantly to righted; but in no quarter was
there power to bring about such a result. Whether
escape would be found through some final convul-
sion, or through a slow and fluctuating convalesence,
no ene could predict, but it was certain that matters
could not continue long in their then state. Among
the considerations on the favourable side was the
fact that the stock of specie in the New York bank
still stood at 2,280,0001., which is beyond its average
amount, and more than 500,0001. in excess of the
total held at the cor eeponding period of last year,
while their note circulation was less than at that
time. The Califorei in arrivals of about 250 ,000/.
each feraiight would also be retained, and in less
tbae a week the Vanderbilt would be due fi om
Havre with, it was believed, 200,0001., to be fol-
lowed shortly by the 320,0001. lately despatched
front London and Liverpool. Against these pros-
pects the only alarming point is the possibility of the
run upon the banks for hoarding purposes, which
had already assumed disagreeable proportions, be-
coming ungovernable. Meanwhile, as regards our
own position, in all those branches of trade not con-
nec ed with America there is a total freedom from
une iciness. The circumstance merely of an advance
in the rata of discount to 8 percent. for a few weeks
to meet a temporary evil in which all other nations
participate can inspire no dread on the part of any
solvent houses. The difference between that and
5 ptr cent. even fer two months would amount only
to in extra 10s. per cent. on ail the accommodation
they might require, and if their capital and current
prcrits are inadequate for such a contingency they
can scarcely be considered fit to be in business at all
on their own account. Of course, there are c see
where, owing to heavy contracts having been en-
ter( d into, or other similar causes, the effect may be
pee "Early severe, but these are altogether excep-
tional. As a general rule, there ought among a
sound mercantile community to be no terrors in 8
per cent., or any other rate of discount, supposing
it not to have been occasioned by a reckless course
of national extr tvagance, and hence there is reason
to believe that the announcement of yesterday wil
be received throx;hout the country, as it has bee.
in the metropolis, without the slightest indicatio
of confusion or alarm.

THE MONETARY CR,ISIS AT ILLTIBURG.

I rA3IBURG, Out. 17.—The pressure of our money
mar ket,. which hid already shown itself last week,
became much more stringent when the telegraph
brtught the intelligence of the Bank of England
ha: frig made a further advance in their rate of dis-
conat, and even for the most unobjectionable paper
it has been quite impossible to obtain cash on lower
terms than 8 per cent. per annum, while many,
wh ) to meet their engagements would readily have
giv ,n 10 per cent. for good but not select bills, found
that they could not get them converted into money
on any terms, and the consequence has been that
heavy sa3rifices of goods of various kinds have been
freely made to meet the exigencies of the hour. At
En men the tightuess has, if possible, beenstill more
sevixe, for as the direct intercourse between that
city and the United States is comparatively greater
than that which is carried on between America and
this city, they have been in addition exposed to
many advene circumstances from the monetary
and commercial disorounisatou in the chief cities,
of the Union which his latterly prevailed. Both
here and there, however, the evil bat been increased
by the almost simultaneous announcement, from
official authority, that the punctual payment of the
call on the Russian railways, which falls due in
De:ember, would be rigorously enforced; and as,
from the financial connexion of Messrs. Steglitz
with Hamburg, and with Germany generally, a
considerable portion of these shares is held here
both by private parties and by public companies,
this intimation has come upon them at a very in-
convenient time, and may yet lead to much mis-
chit f. It is fortunate that in England there will
be iio aggravation of the effects of the present crisis
from that cause, for as their eyes were there opened
in duo tune to the various evils that might arise
from a ready adoption of that scheme, it is
understood that only a very small proportion
has lazen allocated in that country, and the
effects of this exaction will not tht•ri fore be felt
in any degree so insensely there, as they cannot
fail to be not only in Germany, but in Holland and
France also, where the great capitalists were not
so cautious as it is found that those who now take
the lad in such matters have proved to be in
Eno. laud.

Emigration to America goes on from hence on a
large scale. Yesterday five vessels cleared out with
1,201 passengers. Of these, 938 were for New
York, and 263 for New Orleans. Of the former,
some were destined ultimately for Canada ; but as
the whole chiefly consisted of families, and were,
in general, people of some property, they will be
found, whether they settle in British America or in
the States, to be a great acquisition to the country
of their adoption.

c—Oct. 19,

The criminal business of the October Quarter
Sessions commenced yesterday morning, at Cler-
kenwell, before Mr. Bliss, Q.C., and a bench of
magistrates.

there were 58 prisoners for trial-47 charged
with felony, and 11 with misdemeanour.
Mr. Bliss delivered a short charge to the grand
jury.

- The Rev. R. Maguire, the recently-elected in-
cumbent of Clerkenwell, attended, and went
through the ceremony of taking the oath of allegi-
ance.

William Thomas, 18, was indicted for feloniously
breaking and entering the dwelling-house of James
Hickman, and stealing therein a coat and other
property, value 8/. 10s. He pleaded guilty.
Sentenced to one year's hard labour.
James Crayford, 49, was indicted under the first
section of an act of Lord Campbell's for unlaw-
fully having in his posseession by night a certain
instrument called a crowbar, with intent to break
and enter the dwelling-house of James Wagstaff.
He pleaded guilty.
Sentenced to three months' hard labour.
Michael Henry, 31, was indicted for unlawfully
and maliciously stabbing Edward Macdonald.
It appeared that the prosecutor and some ac-
quaintances had been drinking at a public-house at
Wapping, whence they proceeded towards the
Thames Tunnel. They met the prisoner in com-
pany with a young woman, who spoke to the pro-
secutor. This ultimately led to a quarrel, and the
primmer, after threatening to mark him for life,
drew out a knife and stabbed him with it in the
thigh, and severely bit him in the fleshy part of the
left arm. The wound in the thigh was in close
proximity to the femoral artery.
The jury founi him guilty on the second count,
and th 3 Court sentenced him to six months' hard
labour.

Elizateth Hunt, marine store-dealer, in Victoria-
cove, Cambridge-hoath-road, who was convicted
on Wednesday last of having feloniously received a
number o' pewter-pot* which had been stolen by
three boys from public-houses, was brought up for
j udgment.

- Mr. Creasy said it was a most aggravated case, and
sentenced the prisoner to foury,ars' penal servitude.
The b rya, who pleaded guilty of stealing the pots,
were sentenced to seven days' imprisonment and to
be whipped.

Dennis Ilaydon, 30, a repulsive-looking man,
wa; indicted for unlawfully assaulting James Burt,
a police-constable, in the execution of his duty.
The jury found him guilty, and Mr. Creasy seri-
t3nced him to be kept to hard labour for 14 calen-
dar months.