Morning herald. [volume] (New York [N.Y.]) 1837-1840, 1839-06-08

This table great fluctuations in the oas arising out
Of the peculiar position of Connescut with regard to her trade
with the neghborng States Her exports being mostly manu-
small articles Of domestic consumption, the
tera for which great furnished by other States
follows therefore, that her loans and circulation follow the
puaons Of trade and the activity intercourse very regularly
but the in the ordinary OF bust
in other States but directly the Thus Will De
perceived that the greateat expansion of loans and circr
aon from the fall of 1886 May 1887 This arises from
the fact that t greatest proportion OF the bills discounted b
the banks of Connecticut i, made PAYABLE in New York
At the period for money began to be very
great New York. and the Bank capital of Connecticut
largely employed in discountng procured New York
The bills thus payable furnish of funds much larger
than they find it necessary draw for The balance used
directly indirectly for the redemption of their notes. These
they redeem through broker bank at the market rate Of
discount and take the exchange which banks forms
considerable item in their profits paying the agent for his SER
The small amount Of specie hand in proportion to
their circulation accounted for by the fact that most Of the
Banks bills both New York and Boston, and
the redemption those cities hundred fold greater than
their In fact almost the only demand for specie
which takes place within the state for
rinkets, for which Connecticut is famous.
The demand for this purpose in the winter is usually
far greater than for all other purposes and also regu
lated by the activity Of the markets in other states
past year, which evinced by the table $ssO The de-
from Oct 1885, to March 1887 $ll0O0 arising
from the payment Of the deposit insalment of the ls Jan
and also to pensioners, who required portion of it spe
Gle The rapid reduction in the circulation during the year
1887 is incident upon the raPdiy with which the bills crcu
late and return upon the banks for redemponThe average
period of the circulation Of bills for six was
tanned to be 30 days for two thirds and As days for the balance
This fact has led the institutions to adopt many plans pro-
their circulation which in strict accordance with
banking principles Thus has been the practice place
of funds in Of the banks of Western New York
to be used dscounng paper payable in New York Bos
ton 60 10 days sight, discountng the interest per
per Some Of the banks have gone far
money for six months Brokers in Illinois Of
private mark placed upon the bills by which they could
identified they returned to the Bank before the erp
Of the credit in which the bank authorised
sight for the returned the agent the
Brokers' The whole arrangement equivalent agree
indemnify the Banks against the liability redeem
bills circulation in that might be created
unlimited extent but the system papable violation Of
the charter Hence its dsconnuance. The preseR coad
ton Of the Banks is safe aud healthy.
Rnies the Stock Exchange.
100 Bank of Commerce loas30 so do l0 IS do 0ib3o-
IS Del Hud rat IS do 73b20, so do 7sls5 100 do 73
Ohio L 1910 An s9f, IS do s9s Visksburg 55s3O
so do 65b60 10 do $780, rs do 643 -
l53 do $3.50 Bank Of Kentucky so do sS330-l3 Amer
lean Marine insurance Co. 740 Caaton a. 10 do 80
do ala do 100 do 42b30 10 do 475 Mohawk 64b6O
~ NJ n D~.l- no l. NIL Il