The Sun.
London, England, 1868-11-30 00:00:00

FOREIGN NOTES.
THE OUTBREAK TN NEW ZEALAND.

The sort of autonomy which New Zealand has obtained
does not answer. The colonists cannot ciomplain of undue
interference in the management of their affairs ; the Crown
names the Governor, and the colony itself does everything
else. But our countrymen in New Zealand are still open
to the force of public opinion at home, and, as the Times
truly remarks, it is full time that this public opinion
was duly exercised. The history of the colony which
possesses some of the greatest natural advantage. in the
world has been for the last few months a series of disasters.
One hundred and eighty native convicts have made a suc-
cessful and a decidedly creditable escape from a group of
islands 400 miles distant from New Zealand. The " war "
which has followed has increased the glory of the Maoris,
but has done nothing to advance the credit of England.
Several checks have been experienced, the last being the
repulse of an expedition consisting of 250 colonists
and 110 natives, with the loss of .fourteen killed
and five officers. It is clear that the colonial
force, which has been allowed to dwindle to 300 men, is
much too a' ii. A respectable colonial army have
altogether prevented this insurrection. Now, nothing
remains but to put it down, and perhaps, as the Times
remarks, it will be necessary to put it down " sternly."
But it is surely a deplorable issue of colonial policy that
we cannot live with the finest savage race in the world on
terms of amity. We manage very well with natives who
are scarcely a step above the brutes, but we can do nothing
with Maoris but exterminate them.
MR. HOWE AND THE CANADIAN DOMINION.

Mr. Howe, the quondam leader of the Anti-Confedera-
tion party in Nova Scotia, has published a defence of his
conversion. He has given up the idea of separating Nova
Scotia from the Dominion of Canada as impossible, and
his defence is entirely devoted to proving this impossi-
bility. He relates the history of Mr. Bright's attempt to
procure an inquiry into the question by means of a royal
commission. Mr. Bright's motion in the House of
Commons obtained only 87 votes out of 300, and a similar
attempt in the House of Lords found only two sup.
porters. Even after the rejection, Mr. Howe hoped
that the Reformed Parliament might consider the matter.
But Mr. Bright could hold out no hope of this. He gave
Mr. Howe to understand that " unless the circumstances
materially changed, Nova Scotia could not expect Mr.
Gladstone and the leading men who would form his
Cabinet, if they got a majority, to reverse a policy which
they claimed as their own, and which the Conservatives
had adopted under their pledge that it should be main-
tained." Mr. Howe demonstrates quite satisfactorily what
no one was ignorant of—that the project for separating
Nova Scotia from the Canadian Dominion was hopeless.

MONEY AND BUSINESS,

(Front the Springfield Republican, Nov. 14.)

The New York money market has relaxed its terrible
stringency, and money is now plentiful, and loans easy at 7
per lent. in currency and without commission. This was
the state of affairs yesterday, and for the two or three
preceding days, but statements of the money market and
reports of Wall-street are, and will be for some time to
come, " good for this day only." The recent experience
has demonstrated the power which an organized, unscru-
pulous and desperate clique can bring at any time to bear
on the market, and so long as this fact exists, any set-
tled, reliable, and satisfactory condition of things is not
possible. There is nothing to prevent another lock up
of the currency at any time the speculators determine to
effect it, and the stringency and embarrassment in the
market most immediately and inevitably ensue. The
lesson of last week's events has already almost com-
pletely stopped legitimate borrowing and lending, and the
market has not yet begun to recover from the terror which
then ruled it. The demand for money in business is
limited, almoet'the only use for it now being to bring for-
ward the cotton crop of the South. The grain trade of the
West was sharply checked by the tightness at New York,
and the pork crop will not come into market for several
weeks. The demand for currency will thus be for some
time comparatively light, and there is nothing in the near
future to produce a brisk movement iu the market at New
York, whence the whole country draws its supplies. In
the absence thus of all competitors the speculators will
still hold the market at their command, and another cor-
ner may bo sprung at any moment they may elect. The
ring so well understand each other's schemes and designs
that they work admirably well together, and have reduced
their mode of operations to a few quite simple manoeuvres
It is said that one of their methods to lock up a certain
amount of money—say ten millions—is this :—Five mil-
lions are deposited in one bank, a certified check for that
amount is taken, and then, on the same check; an equal
amount is borrowed from another bank. With this and
similar means the speculators have little trouble in con-
trolling the market and exerting their crushing pressure at
any time and in any direction they may wish.
Secretary M'Culloch has won no laurels in the recent
panic, and had the pinch held on a day or two longer it is
certain that his reputation would have suffered still more
severely. The truth of a large number of floating and
contradictory reports from Washington and New York is,
that the Secretary did yield to the pressure for infletiou,
and, sending $3,500,000 of three per Cent. Certificates to
Assistant Treasurer Van Dyck at New York, did authorize
him to issue them when he thought the exigency demanded.
About that time, however, the stringency relaxed a little,
and Mr. Van Dyck has not put out any of the discretionary
funds at his command. Ile thinks, and it is reported that
Mr. M'Culloch agrees with him, that cessation of the
Treasury's sales of gold and bonds will be all the relief to
the mousy market that is ❑eeded and all that the Govern-
ment can properly afford. This conclusion, reached at a
late day, and made public at a later, is where the Govern-
ment officials should have started, and then their subse-
quent progress should have been in exactly the other
direction from that in which they seem to have beet
driven. Mr. M'Culloch seems to have almost succumbed
to the pressure upon him, and his course has been
that of inaction and indecision. His previous record
has been against inflation, and his financial policy
has apparently been governed by principles which would
lead to moderate and steady contraction, but his action of
the past few days has greatly shaken public confidence in
his integrity and respect for his ability. It is unfortunate
that the Secretary should have been so sorely tried, just
after the country had elected Grant and pronounced de-
cisively and overwhelmingly for, financial honesty and a
return to specie payments. The Secretary has exposed
his weak point and painfully shown his want of a settled
policy, which the New York Tribune declares "is the
worst feature in the whole business, and has become so
great an outrage that the whole commercial public are in-
censed at the frequent repetition of it." It even goes so
far as to charge criminal complicity of Government offi-
cials with the Stock Exchange, and aids:—" For the past
few days a number of despatches in the interest of the
Treasury Ring have been received here that have caused
frequent rises in Government Bonds, and equally sharp
declines, and has produced a conviction in the public
mind that almost approaches a certainty that the whole
thing is a thimble-rigging game, whereby a few people
are in control of the department, and have the power of
advancing or depressing values as they choose. It is not
believed that any more greenbacks will be issued, and it
is more than doubtful if therm is any law under which a
legal issue can be made ; but the pu bile have been led to
suppose that it could be done, and have been buyers of
stock on that hope, which now is likely to fail them."
Government bonds have handsomely recovered from the
depression which seized them during the money panic,
and have been, and are now, slowly and steadily advanc-
ing. The amount of transactions is very large, and the
tone of the market firm and confident. Dealers who, a
week ago, were throwing largo amounts on the market to
force the price down, have found that they had undertaken
a difficult task, and that the recovery was correspondingly
rapid and easy. The election of Grant assures an honest
payment of the debt, and the public confidence in the Go-
♦ernment securities seems to have received a new stimu-
lus. Prices advance of themselves under the quickening
demand, and if the money and stock markets should afford
any hope of stability or settled values for a few days toge-
ther, we should seo a rapid approximation of gold and
bonds. The feeling iu the foreign markets is also
improving, and London and Frankfort lately show
more confidence and steadier estimate of our sects-
rides than do the markets of our own financial centres.
Gold is weaker and declining, with little business either
for customs or for shipments. Wednesday's steamers took
out no specie, and only a small amount went on Thurs-
day. The price has ranged at 133 to 134 during the week,
and there is a good prospect that it will subside below 30
in the course of the next few weeks, and probably not re-
appear above that horizon so long as peace is prolonged
and prosperity encourages commerce and business. The
foreign demaud is already essentially relieved by our
large exports of cotton, which is rapidly and abun-
dantly coming forward to market, and we shall also
soon be sending abroad large amounts of breadstuffs
and sugar from our bountiful harvests of the past
season. The exports of specie from New York for the
week ending ou Thursday were but $2,943,195, and for
the year since January 1, $141,564,277, being nearly
$25,000,000 less than for the corresponding time last year.
The stock market appears feverish and uncertain, and all
signs indicate that something or other is "in the air," and
pretty near. A special drive has been made for the Lest
two or three days on the " Vanderbilt" roads, the New
York Central the Hudson River, and the Harlem. The
Central stock has gone down sharply, and Hudson River
has almost as readily subsided, and with these stocks the
bears seem to be having it all their own way. The sudden
closing of the transfer books on Monday, with only one
day's notice, excited general suspicion, and a panie
was easily started. It was rumoured that Mr.
Vanderbilt had sold out his immense interest in
the Central Rea 1 during the reign of high prices, and
that lie will henceforth consolidate his attention on the
Hudson River and Harlem Roads, which must inevitably
command a great share of the New York traffic. The
Now York Times, however, which is as reliable as any
current authority, distinctly declares these rumours un-
f ouuded, and advises all timorous and weakened holders ,