Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1816-04-24


jects. But any man possessing more of
the Mercantile character, than the mere
name. and giving currency 10 such an OPT
Mon, IN my mind, exposes himself to the
imputation otgrass ignorance, or o. some
thing else not qlite so excuseable. 1t is
one OF those subjects upon winch tine most
driveilng shop&eePers cannot make a mis-
take. The opinion rests upon supposed
scarcity OF money produced by curtail-
ments; when the fact is, that since the
hrst OF January last, besides the discount
inS OF business or temporary paper, the
Banks have loaned money, not to be repaid
unu, the first Of November next, to a
greater amount than what will be curtail-
Ell up To- that time. So that whatever
may be the scarcity OF money in circula-
= t!oH then, there can exist none now.
Tic price of produce, however, at all
times, depends upon the demand, xisting,
or anticipated, and the price it bears in
foreign markets.
rs respects Flour, the price had been
raised, aud kept up TO nine dollars. from, a
knowledge that our last crop was small /;
from reports of snort cropsin Spain, Por-
tugai. and on the coast of the Mediterra-
ne ~ aDdfTom belief tn the maintee
nance OF immense Armies in France, would
prevent expectations thence, and leave tie
supply OF the Peninsula. ct the Medterra-
mean coast, AMI of the West Indies cx-
clusvely to the United States. These
were disastrous must ks. 1t is now known,
that the prices in the Peninsula, would not
justify six AMI half dollars here and AS
to the West India market, it is needless to
say mo C, than that cargo of American
flour, purchased in one of the Islands, was
~, -ShIrNnAH m oh ~.
AT nine dollars, pail q han, some pro-
fit.
Whether the dreams of the tobacco pur-
chasers, are to result like those of the
flour shippers, time will determine. There
certainly is amongst them, a painful fore
boding on the subject. But you will hear
none OF them attribute the present state of
the tobacco market here, to Bank curtail.
ments. The last quotations from Liver
pool, and they only nominal, were from I'd.
TO l4d--which prices, If certain of CONT
nu'ng, will not Justify even the present
prices here. AMI rothng prevents the
article from being much lower, but the
hope ola revival in Europe, entertained by
some, and the circumstance that the large
holders feel it necessary to keep up the
prices, that they may have a Chance of
hedging.
No commercial man ofany information,
believes that the operations of the Banks,
have produced thu decline Of prices in
Hour or tobacco.
The prediction ofrun and bankruptcy to
the customers of the Banks, as the neces-
sary consequence ola perseverance in their
measures, | am convinced, is as groUndless
as the opinions which have been already
mentioned. And the fears entertained up
on this subject, arise from the want OF ac-
curate knowledge Of what the Banks in
tend doing, and of the means which their
customers possess of meeting the calls to
be made upon them. 1t cannot be forgot
ten. that sl"ilar predictions were made in
DeceDber last, when the payment of a
prodigious amount Of curtaiments, at the
reqoese of the payers, had been postponed
until the end of that month. Yet, there
were no protests, and the payments ware
mad, apparently with ease.
1t is not believed that the two Banks in
THIS place, calculate upon curtailing, what
are called commodation accounts. to an
amount, which viii exceed one half of the
deposit money standing upon their rcspec-
tive books: at all events, the present rate
of curtail, viii not produce a greater
result before December next. And sure
ly. it this be true, no one can believe there
will not be money enough in the city, to
meet the curtailment. Tie deposit money
generally belongs to merchants and men of
business. Other men, instead of leaving
their money unproductive in the vaults Of
Bank, convert it into property or some
kind of stock, bearing int, rest, as soon as
possible. But that part of a merchants ca
hitak, not inve sted in produce or other OBJ
Jects OF speculation, assumes the shape OF
deposit money in the Banks.
1t will also be recolected, that the cur
tailments viii spread over space of eight
months, during which time, the produce of
the country will have been shipped, and
either advances or products of sales drawn
for. The tobacco alone OH hand, belongs
ing to merchants of this city, and which
will be shipped before the end of August,
cannot be estimated at less than three
millions of dollars--nore than four times
the amount Of the curtalments for the
year, to be made by both Banks.
If any further evidence was wanted of
the ability Of the merchants Of Richmond,
to meet any calls, the Banks may find it
necessary to make, | will refer to the fact,
that the Farmers Bank in this city, alone,
between the 1st OF Jan. 1914, and 1st Jan
1915, curtailed to the amount of $500, 600
and from that time to the 1st Jan. last,
further amount of $4,000 TO rebut
the for OF these facts, / have heard it
urged, that, having met so heavy cur
tailmcnt, the merchants must, Of course,
be less able 10 meet additional calls This
reasoning might be allowed to be just, but
for another fact which is, that since
May, 1915, the commercial cspital has
been enCseased by an amount more than