The Caledonian. [volume] (St. Johnsbury, Vt.) 1837-1867, 1838-09-25


some extent, is revivng in parts of the
country while in it is but little improved, if
any, from The gloomy aspect Of the worst part OF
1887. Exchange, which is pretty correct index
of the state of business, has fallen in most cases to
one half of what il was IL, 9, q months ago; but
il now stands at enormous high rate compared
with the rate il stood for successive years during
the existence of the u. S. Bank--and the present
facilities and comparative low rates at which ex-
change is effected, are derived through the medium
of the United States Bank Of Pennsy lvania, which,
so far as It can, with its limited operations
than those of the late Bank, by the aid Of its branch
es, answers similar purpose. The arrangement
entered into some months since by the Pennsylva-
mia Bank and the banks at New Orleans, has had
the effect, as it was designed, TO reduce exchange
from ~ and s per cent to and 1.2 upon New
Orleans and TO and upon other places; but this,
it will be perceived, is much too high, and would
not be endured eight years ago; but the "experi-
mcnts' and the "beier currency have taught peo-
pie to receive with Knocked ihanklulness at least,
whatever comes from The tyranny of the age
When the late u S. Bank was in existence,
change between those points where il now is 6 and
per cent. was uniformly, for years, only 1.2 of
/ per cent We find the following in the New
Yorker, an intelligent and no party paper
THE TINES. %-
Within the last month every stendy and crafty
ing improvement in the Currency and Exchange
of our country, has been experienced, with cor
responding increase in the Trade of the Northern
Cities, and the business of the Manufacturing towns
and villages. To this improvement, Michigan and
the Chicago and Wisconsin region would seem to
offer a singular exception. We have every reason
TO believe that tho Harvest is as abundant and the
productive energy generally quite as vigorous and
successfully directed throughout the Northwest
ton of Michigan would seem to be the at this
moment of any State in tho Union. Some reason
for this is found in the vicious aud loose General
Banking Law of that State, which has resulted in
lnu CHI bankruptcy and mischief; some in the unac-
coun,able failure of the State loan, which, though
said to have been negotiated by Gov. Mason, does
not begin to be realized as yet. Michigan funds,
an average, are now worse than they were three
months ago, and worse than those of any other
State in the Union -trr
But another ground of the strong contrast pre-
sented between the Nor west and the South west,
is the influence of the u nited States Bank and the
great none yed interest connected with il, which
has been exerted for sometime TO hasten Resump-
ton in the South west, while il is scarcely felt at
all in the North wcs.. The u. Bank has very
heavy credits in the Cotton States, but lew dealings
or dues across the Ohio, aud must be greatly bene-
flied by speedy resumption on the pari of the
States which its debtors or embarrassed by their
proracted delinquency Its directors have of
bent their efforts to tho negotiation of Southern
State Loans and ohei arrangements to facilitate a
speedy resumption in that quarter, even by the in
terposion of the Banks established credit as an
endorser and we shall be greatly disappointed if
the Banks Of Alabama, Mississippi and Louisiana,
do not resume on before the LIST of January
Even now the rates of Exchange are reduced to 6
g on Alabama, z l-2 on Mississippi, and 3 l-2 on
New Orleans--a very great Improvement within
three weeks. Tennessee holds hack and some
of her leading journals and fnanciers earnestly
contend that attempt 10 resume early as Janu-
ar, will prove disastrous. We do not think So
To resume without making preparations for it,
would doubtless prove calamitous failure but
the banks of Tennessee may easily negotiate loans
or other accommodations TO meet the heavy de-
mand which would otherwise be made on them
In other words, they may readily nterpose their
own better credit in place of the debts of their
planters and merchants now outstanding on the
Atlantic, SO as to afford time for their gradual ex
tincton. We hope To see Tennessee encouraged
to take an early stand in favor of Resumption
with all the South west, as the LIST of Junu-
ary IF she does there will be nothing left behind
but the half dozen Banks that have proved posi-
lively insolvent, and few Michigan Wild Cats, of
very dubious character and this notwithstanding
the last Legislature of !" hard-money' Alabama
granted a legal suspension TIL some time in 1910,
and that of Mississippi passed several acts equally
iniudciousi in their tenor. Louisiana with credita
bic cauton refused TO egislate at all on the sub
fject -
! 1FThe Vermont Legislature the second
Thursday orOctober Our subscribers will be fur.
nished with early and full account of its trans