Vermont phÅ“nix. [volume] (Brattleboro, Vt.) 1834-1955, 1837-04-21
From the N. Y. Courier and ENQUIRER.
BANK OF ENGLAND.

on The subject OF Currency are considered
high authority in that country by those who
are IN favor Of the exclusive privileges which
were enjoyed by that institution, has recent
Iy published in London, pamphlet under
the title OF the causes and consequences Of
the pressure on the Money Market" which
has excited considerable attention there
Mr. Palmer is OF course violently opposed
to the system of Joint Stock Banks in Eng.
land, though he admits they may be highly
useful elsewhere. How strange il is that
vulgar notions gradually gain ground-un.
I'll at last they become such authority, that
however erroneous they may be, they are
not even questioned by those best able TO
perceive their iaSlacy. Now. the Bank OF
England is joint stock Bank, Offering no
other securities to the public, than any other
well conducted joint stock Bank. lis CON
neXlon with the Government, certainly does
not increase its solvency. Yet, it is the
Bank OF Eng land. and the mere title seems
TO have magic charm with every native of
the British Isles. We heard the other dav
OF an lrishman, who, wanting to remit
money to England, insisted on having bill
on the Bank of England. On being told
that at any rate he ought TO look to the
character Of the drawer, he said he didn't
care who was the drawer; if it was on the
Bank OF England. that was enough for him
But we are wandering from our object
which was merely TO introduce the follow.
ing statement from Mr. Palmers book. Of
the causes which produced the reduction of
the bullion in the Bank of England. on
which, all the subsequent pressure of the
money market has been consequent 1t will
be seen II exactly tallies with the statements,
over and over again, made by this paper.
The reduction which took place in the
bullion Of the Bank from April TO Septem.
Der last, is that to which il is now necessary
to advert The diminution amounted TO
f2500,000 and was effected in the follow
ing manner
f2'000000 amount Of Silver sold.
100000 Gold do.
100000 Sovereigns, sup
posed 10 have been exported TO America.
In order to explain the cause and origin
OF the American demand, it NAV be proper
TO advert TO the proceedings in America for
the two preceding years The avowed hos
uity of the President, Jackson, to the re-
newal of the Charter OF the Bank of the
United States. terminated after a violent
struggle, in compelling that Institution TO
prepare for closing all its transactions in
1886, and for repaying that portion of its
capital that belonged to Government In
order, however, to increase the embarrass-
ment OF the Bank, measures were taken for
removing from its custody the deposites of
public money, and for placing them in the
hands Of various States Banks, under condi-
lion that they should be prepared to pay
given portion of all demands upon them in
golden com To facilitate this object, Con-
gress passed law reducing the quantity of
fine gold in the Eagle, the equivalent of ten
dollars from 2i6 to 232 grains This de-
probation OF the American gold coin had
he effect OF raising the current value of the |
English sovereign from S444 TO 4S7 l.2, or
per cent. above It's previous current value |
simultaneously with and in aid of these |
measures several of the States were pur-
suaded TO prohibit the circulation of notes OF |
less amount than five dollars. In taking
hese measures ii was an avowed object on
he part OF the President to endeavor 10 es- |
ablish gold currency in conjunction with
silver throughout the Union The hostility |
eyinced towards the Bank OF the United |
States and the refusal TO renew its Charter, |
caused an immediate contraction of the use |
ul accommodation granted at the numerous
branches of that Establishment, and further,
entailed upon the favored States Banks the |
necessity of procuring an additional supply |
d gold to enable them to fulfil the condi- |
ions under which they received the deposites |
d the Government money. This combina-
ion OF circumstances, having no relation to
he ordinary commercial transactions exist.
ng between this country and America, ma
erolly reduced the rate Of exchanges with
Europe, so much as to afford a profit upon
he importation both of gold and silver from
england and other parts of Europe. The
resident 100, in order further to aid his IA
orite project of increasing the metallic cur
ency throughout the States, directed in the
arly part OF last year. his agents to remit
n gold to America, the whole Of the indem-
llty money TO be received from France and
Naples. About the time of that remittance
having been made, loan for a million or
welve hundred thousand pounds was nego-
lated IN London on account OF the United
'lales Bank TO facilitate the settlements upon
he expiration of the Charter The effect
( that loan upon the currency Of this coun-
ry was further increased by much larger
mount than usual of American securities
r of States stock, bank and canal stock,
&c. having been sent TO Europe for sale, and
pom which credit had been given by some
the principal houses in England in anti
lpation OF the sums they were expected TO
ealize, thus throwing an inordinate amount {