The Sun.
London, England, 1868-09-05 00:00:00

the facts that the deposits in the city banks declined

eight millions last wOok ; that as deposits declined, so

ust loans ; that the diminution of loans will first bo
felt in such heavy fancies as Erie ; that as loans are called
in, the stocks ou which they are based must to some ex-
tent go upon the market. It would seem, also, as if this

purely speculative stock, which has so long been beaten
back and forth by the bulls and bears, like a shuttlecock
between battledoors,' was at last finding its true level.

iVith a capital, leases and bonds far above the value of tho

road ; with its receipts absorbed by past litigious proceed-

ings; with a worn-out road bed, splintered rails and
necessary new equipments, which would involve the
further expenditure of eight or ten millions ; with a de-

pleted Treasury, and with no probability of a dividend

Within the next dozen years, no wonder its stock declines.

;uite likely good roads will suffer with the bid, and sell

'Or less than their actual valua until the market is fairly

settled again.
Some of the causes which have opsrated so disastrously

,n Erie have helped to bring down New York Central;

:ortainly sympathy with another stock would hardly have
lepressed it so much. When Vanderbilt, after ono or two

failures, at longth got possession of the Central, it will bo

remembered that ho told how it would ba run in tho into-
rest of the stockholders, so as to make sure and fat divi-
dends. He clipped of every possible extra expenditure,
tnd made parsimonious reductions which disgusted the
oublic, however much they delighted the stockholders.

;ut he has acted upon this shallow policy of economy too
)ng. Expenditures have been reduced beautifully, bat

t does not require great talent in railroad management to
-educe the current expenses of any first-class equipped
.oul for a year, if the repair shops are closed, and the dis-
tbled engines and rolling stock sent to the general hospi-

,al, the road bed neglected, and the many minor details to

secure permanency ignored. This seems to bo the
penny-wise pound-foolish plan upon which Commo-

lore Vanderbilt has run the New York Central. There
was a similarly brave reduction in expenses at the
idoosae Tunnel for a while, as everybody will remember,

and it proved in the end the same costly experiment. No

one will b 3 surprised to learn the fact, therefore, that Van-
lerbilt is selling out his interest in the Central—a fact
which has, of courso, only aggravated the downward
tendency of the stock in the market. We note continued

improvement in Boston, Hartford, and Erie. The stock
is called for a good dual at Boston, and is struggling up
tmong the T wenties. Tho parties who foster this" great
midland route" complain bitterly of coldness towards it at
the State House; which, being interpreted, means that the
commissioners are holding on to the throe million loan,
and intend to do so, until they see their way clear to the

Hudson. Work commences this week near Turner's, on
the Erie road, in the direction of Newburg, on the line of
the Boston, Hartford, and Erie. A tunnel of some 5,000
feet is required to make a good grade between Turner's
and the Hudson River.

The export demand for gold has been comparatively
light this week, and the price has receded to 141 and a
fraction. The Now York stockholder says —" There is no
occasion for any advance in the premium on gold, except
such as rises from distrust in regard to political events,
and from this cause both.the bonds, which are the fund-
_ _ _

ng debt, and the legal tender debt of the United States
Government are alike subject to be depreciated. The rise
in the gold premium simply marks the depreciation of
United States notes." This is as far from the truth as
possible. Gold has ceased to measure the valuableness
of the currency. There is no reason in the nature of
the case why it should, and it doesn't in fact. The
Legal Tender Act destroyed all necessary connection
between the two. The " general prices" of the country
mark the depreciation of the currency ; the premuim
on gold simply obeys the law of supply and demand.
General prices are at 180 to 200 in advance ; gold at
only 145. The Stockholder, in saying that there is no
reason but a political one for an advance in gold, forgets the
fact that the United States have exported more than sixty
two millions of specie and bullion since the first of
•farmary, and that the Government will have to disburse
five millions in the payment of interest on the public debt
in September, twenty five millions in November, and
thirty-three millions in January. Even if it was the
function of gold at the present time to weaken the depre-
siation of the currency, so great a reduction of the supply
could not but cause an advance in the price ; but so long
is gold has no such function under a system of legal ten-
ler, it is still more likely to feel the excessive export. It
seems impossible that any one should deny that tho
Lmount of gold in the country is less than ever before, and
that, as a necessary consequence, it should rise as an ar-
ticle of merchandise.
The market for Government Bonds has been dull and
heavy, though with an occasional rally, and a decline of
more than 1 per cent. has taken place within a short time.
There seems to be no especial reason for this state of
things, except an almost total absence of demand. Jay
Cooke and Co. say :—" The movement is artificial and in
advance of the regular September decline, in which the
supply of the bonds from the country and the sales of
banks and saving institutions, whose money is required
by their borrowers, weigh down prices. The large
tealers have been out of stock, and some of them sh,rt,'
and therefore to make lower prices has boon common in-
terest." There is also a decline in express stocks, attri-
butable in part to rumours of forthcoming assessments,
and in part to tho numorous and extensive robberies
which have. recently occurred, and which, if carried ou
.navy months, will peril the stability of the companies
.vhose financial condition is now none of the stout-
ist. The New England Express Company, which has
just begun operations in New England and Canada, is
mainly a down-east concern, with Ezra Carter, of Port-
land, for president. Its capital is $2,500,000 in $lOO shares,
Lf which no ono person can take more than 10J. Five per
,ent. is payable on subscription, and future calls will not
messed five per cent. each. It is announced that a largo
part of the stock has already been taken. The company
is organised under the laws of New York, and, like other
new corners in the business, will make a reduction of rates.
Tho railroads ought to bring about a still further reduc-
tion, and they can do it if they will make a trial of the
system of "parcels deliveries." They ought, at least, to
try the experiment.
The export specie from Now York, last week, was
$653,193 ; export for the year (since Jan. 1) $63,268,156
against $40,720,46t; receipts from California in the
same time $27,455,723 against $18,995,126. The total
exports from New York since January 1, not including
specie, are $99,514,835 (currency values), a decrease of
$18,318,897 as compared with last year; imports,
$157,498,332, a falling off of $9,605,683. The earnings of
the Chicago and North-western Railway from Juno 1 to
August 14 (two months and two weeks) ware $2,784,816,
an increase of $646,425 over last year. The Atlantic and
Great Western Railway earned $1,103,092 in the three
months ending with June, a decrease of $152,422. An
exhibit of the business of the Pacific Mail Steamship Com-
pany for the past year gives the receipts at $7,639,708, and
the net profits at $2,643,514, which latter is a little more
Ulan 13 per cent. on the company's capital of twenty mil-
lions. The capitalists of France seem to have a good opi-
nion of the prospective stability of the empire. The new
Loan, amounting to nearlys9o,ooo,ooo, has been subscribed
for many times over, though the rate of interest is only 41

per cent.
The breadstuffs market for the past week has boon
drooping, so far as flour and wheat are concerned. The
former has been pressed for sale in excess of the regular
wants of the market, and lower prices have inevitably re-
suited. Wheat has dropped to about export figures, the
milling demand being crippled by the downward course of
flour. The reports as to the quality of the now wheat now
coming into the market are quite favourable; it is said to
make excellent flour, of better colour and strength than
last year's wheat. Corn and oats have been speculated in
considerably, and with reduced receipts and an increasing
demand have ruled rather firmer. Reports from England
show that whiie the wheat crop in that country will be
excellent, oats, barley, hay, potatoes, and other small crops
two almost universally a failure. The drought has done a
great deal of damage, and the United States, whose crops
will generally be so abundant, will undoubtedly be called
upon to make up England's deficiency. Already we are
sending over considerable; quantities of hay, and the ex-
port demand in this country for butter, cheese, and various
farm products is likely to be quite large.—Cotton is ad-
vancing somewhat, and the demand for export has re-
vived.—The cattle markets are still well nigh paralysed
by the fright over the cattle disease, which has broken out
in various quarters near home. Trade is very stagnant;
and there is, of course, a decline in prices, though hardly
so great a one as would have been expected.—There is
nothing to note about dry goods, except continued and
excessive dullness, and that report has become stale by
reiteration. Prices are generally unchanged.

(From the Wall-street Jourtu-11)
FRIDAY EVENING, Aug. 2

Paper's more plentiful for discount, and primp names
pass current at 6to 7 per cent. Government Stocks con-
tinuo heavy, the decline in price not only not having
brought in investors, but has increased the quantity
offering and stimulated the desire to sell. The Treasury
Department now estimates that $3,508,000 of the Seven
Thirties are still outstanding, and that. of these enough
will never be presented for redemption, to more than cover
the entire expense of their issue. bathe Border State Bonds
there is very little doing—scarcely enough, in fact, to fix
quotations. Railroad Stocks have been very dull all the
week, but to-day, with the exception of Erie, prices have
generally advanced. Erie has been greatly excited, hav-
ing opened to-day at 441, advancing to 47*, and again
falling back. It is instructive, in view of the gradual
tightening of the money market, and the prospects for
Railroad Stocks, to compare present prices with those that
ruled in the spring of 1867. To make the comparison
faithful, we add to the present prices the dividends just
declared. The table is suggestive:—

Low water Present Advance

Stocks. mark, 1867. price. per share
New York Central
Reading
Michigan southern ... 64 . 9B

Pittsburg
Rock Island
Fort Waynno B9f 107
St. Paul
Wabash ... . 37
north Western
NOW Preferred , ..... „, 07 , ~,,, „, $l. 0, „ ~,, 2* Q 0