Richmond enquirer. [volume] (Richmond, Va.) 1815-1867, 1833-11-29
MONEY MARKET

meree journal. tn. political bias of which az .ius tie
Administration has been often and so
shown tht s testimony now against the ronrss and mo
uves of the United States Bank must weigh ,uurL mar,
with the reader, III IN the same arguments would from
J'urnA prsdpoed To coAsider that tuition in t,
wrong The Journal oil Commerce. besides, /. p.p.r
which has given much attention ,h- sc.nc. ct pohc.l
economy. and generally discusses its topics
c. spirit Than most oh.r newspapers lts reluctant
missions oil the misconduct OF the B,nk ia wuliy .yiny
without any real orea-'" to depre-s the money make,
must be considered valuable is e,Ience.-.N y. Ere
Post.
From the Journal Of Comms,ee1
ihe scarcity vi money which has prev allied for soue
mon hs past has puzzled the political economists aud GU
selves among the rest Our country was pro. porous to
an "ne Aanped extentt reign exchanges ere in our
f"vor, showing III other ions were In debt Il, u,anJ
money plenty in those foreign markets who's. ronIi
ton affects our own We Attributed IN. sc.rri,v ~
he high prices OF me- chandis~ the extended rou ion Of
business. a'i The accumulation OF surplus reve ue We
were sure oil the existence o these ea.ons and have no
doubt now OF their infurncr, but was difficult to be.
eve "A' 'hey were sufficient o couneraet the tide OF
prosperity so completely to produce money
Recent disclosures have solved the mystery, by exhibit
"g q" adequate cause IN the which the Uni
led states Bank has cur,aed is accomiDod atoms 4,
appears oy The uins OF the Bank, that in lay 1882
discounts sou ted tan seventy millions OF dol.
lars On the lt Of last August they were six,y -four mil
ons, aud on the Is, Of November they were If seven
h,mons; exnioing c rtaiim~nt OF than thirteen
miihons Ia all, anu seven millions within three mon
~ me process o. drawing in Is still continue the hole
am unit euiaed cannot at this he much slor, Of
neen millions, or nearly quarter the whole amour
OF accommodations ia Nav 1853
Cur-'men rom May 1888 to August 1893, So 900 900
N'o" august 10 ne present time, 600 600
Total, $4,000, 900
On the lat Of August the amount Of govern.
~ ment dePS'i'e' in the Bank was. S759oslI
y" vac " -'''"oe'' S,23l3ll
Increase, S0s2, 47o
So that. up to the first OF this month"; there had be.n mn
letting OUT any where, councrsct in any degree az
& amsms in Since then, portion OF the govern
e" uePosi's nave been put in though their
Is reason to believe that the Bank curamens ar.
than those payments s@'
| In lhpsp i.rtst l
cay wient is considered that il any great moiej ;ns
luton calls In its debts, il miue bring. n her ma,
eu institutions around IL in debt TO ITSELF so checks
heT cspacHy 10 accommodate the public, in proportion a.
wihdraws its own accommodations. IL ~sc, Rant in
Wa street di.connt' daily hundred thousand dollar.
e ois Issued hy each likely fall into the posses
sion OF line rest, just about balance and
mus ia Inc absence Of any exaneous demand for spe
Gle, the Banks may 20 discount to an EATEN, HAUNT
oy oy me demand Tor loans The goud sense of the
directors But II one OF these Banks changes its ~ lcv
anu cans IN It's debts at once receives larger amounts
oil the bills OF the neghboring institutions than thev are
able 10 balance except by spece all are required 70
check operations.
The pressure so far has yet gone has not
ne gfea! BODY Of The merchants. They have generally
oeen doing profitable business lateIy-are of cour.. ~
soo' circuit with each other; and able procure as
much accommodation as is essential. Some n,erc.n,
operations have been particularly Inv The
BANK stopping its usual discounts of internal bills Of
change, in some directions altogether In the Marker
money has become quite scarce and those - ho Iavs @
caon Tor extra loans compelled to pay dearIv ami II
no 20 oe DOUBTED that the u s. Bank continues TO call
III It's debts at the rate Of two millions month for month.
70 come wii eventually produce distress and damage
mougnou' the country So great an institution cannot
out producing severe pressure. "
For the cou'se which the Bank is pursuing il alleges
| l. he approaching termination OF its charter
e nat I've di'inuon Of discounts results in nat NJ
from 'hs being the at which bills of
a due rapidly, aud by the natural course Of
'he'sts discounts re paid up. But
D. Aud chiefly, ,e hostility OF the governuen, of In.
country. " WIG
In speaking of what the Bank alleges VIC do ,ot r.f.
from, tI.
officers Tor there have been such declarations but 70
Nose declarations which made by its friends and es
Peca"y ny The newspapers which advocate its
us wen known among Editors, that il he wspaper as.
sunes 10 De ,he advocate OF any great interest," il must
conduct advocacy in with the of those
ty TO speak, denied. $3.50 80 o''
As TO the first OF the allegations, which we have emu
nefaeu he charter OF the Bank has yet three wears to
rum and after that. it has all the powers nece:srv f
winding Up II may be time to cut down accommodation
noes which have lain for years if there are such. Inn, NO
Bank ever yet refused 10 discount mercantile Al ;Y
yuays because the money would be wanted trse years
The second Legation is probably time 40 a., hs,r,o
PoPo'n'oh and were money abundant would hav We some
enec'; out IN times OF scarcity, when all sums
pau ih aie immediately invited by the offer of goud
paper It's influence can hardly be felt besides il il incoo
sent with the third and main allie CATION which assumes
S e e1raiment is from the necessity Of having the
The third reason is the alleged hostility of the govern
mei admitting this hostility to be great and un.
as has been represented il amounts only 10
the hostility of creditor his debtor The pmrs, us,
sop when The debt is paid The government had de
Poseu I'D tne United States Bank some eight millions nj
aouds' winch u determined 10 draw out The B,nk D. al
out 10 pay the money, and the persecution of the govern
e' rreVengeful, would be deprived of ali power
to do mischief. T " " PO"e'
In 1881 aud 1882 when the discounts were I'M TO $40
voo'ooo' 'he BANK was charged with overtradine When
,he removal OF the depoes began to lie siouy talked Of
ast June and july the Bank declared itself ready AT anv
nme topay The whole. Yet, before the l., NovemIer H.
cult not to believe, either had found i,s busimes H.
idc too much extended. and not we'll pre,.reJ 10 49,
he deposes III July, hat SO large were n
Necessary " "
Len upon the let Of November the pro.nsc,;vs col
zee ION OF duties was transferred from the u s Bank
was declared TO be the intention government NOT IN call
or TIE sums then actually lying Ia the Bank faster Than
over eigh millions were then ia the Bank euoupb IN
meet the disbursements OF nearly half YEAR We, witl
h'eeh mions collected, several millions of il within
pey DAYS, me government deposes uupaii and an as
'a' nearly six months would be occ upied in ,eir
WI Tie Bauk went curisi!iug as RAPIDLY "a
SEVERN OF me papers which actively engaged in vim,
uicahg The Bank, that IL has now ten millions nj s,so
w Jus vaults, aud balances of several millions sgai To-
cal Ba"k', payable any moment. 'e'''' ~
upon 'hese iacts We say, il is treating the Bank with
eh;iiy 'oa tribute the curiailmens cen In. frs, nj
august anu the rst OF November ation In
he prepared Tor any hostile movements of the government,
Inc curlai'ens since the first OF November cannot bv
any process OF reasoning with which we are aroan,.j
De accounted Tor in the manner II seems unavd
anc 10 conclude, that they made either Lecausa e
sH'irs OF Tue Bank in tie bad condition ,lIea sd m
s opponents or Tor the purpose OF distressing the ron,mu
y' we eel obliged TO select for ourselves the Ie,
ALTERNATIVE abd TO believe that this pre- ssure is upnece.
safy and created for The purpose of con,radicno d.
nv A, ~.