The daily union. [volume] (Washington [D.C.]) 1845-1857, 1847-03-06
COMMERCIAL.
From our Commercial Correspondent.
New York, Thursday, 4 D. m.
March 4 lS17

Mareh4, is47.
The money market has become sight under the opera
ton the prominent causes These the negotiation of
the government treasury notes and the importation of specie
This singular ascrbe for the scarcity
money, but nevertheless such is the temporary effect of the
movement The specie operations very extensive
SCALE and this is the when from the pressure
the great crops OF cotton rice and tobacco added the
unusual exports of farm produce, bills most abundant
The greatest exertion made by bill houses TO
possessed of them The import of specie the United
States for January and February have been very large yet
bills constantly declining Theyare dull "a per cent.
at NJ Orleans and 6Oday bills n York II "a discount
Hence, specie flow that point both from Euope and
from this city. One arrival recently from London that
point brought 100000 of which the largest portion
S. Nicholson esq., agent for Brown Brothers In this city
bills Al per cent, and falling This is the price for
6O-days bills, and usually it is cash price IL happens
now, however, that the bill houses pay their CATIONS
80 days in Exchange for sterling bills and those OBJ
legations discounted by the banks. As thus if ship
900 bbls. of flour, and have draw against it for
e. 900, sell my bill perhaps to Brown IL Brothers for
their note at 60 days, instead of cash That note is
very desirable species of paper for the banks to
discount, and large absorbed for that purpose
The arrival of the specie will necessarily cancel many OF
their Obligations and produce plethora In ordinary
seasons, perhaps, the banks would conne their dis
counts rgdly the choicest paper but the OF
negotiating the treasury notes, gives them pretext for
holding Thus, proposals issued for the notes. and
the specie be deposited with the ub-treasury and
delay then of fourteen days before the
are received When they hand they are not cur
rency but valuable investment convertible into stock.
They received by those who 10 pay them
away but by capitalists who remove their gold from
the banks the treasury, whence it leaves the city,
and money returns TO the institution They there
fore hold up their discounts firmly from stocks and
the choicest paper, and they inclined favor that
just described which facilitates the importation OF specie
If now instead of issuing proposals exchange with capt.
tasts per cent treasury notes for specie, notes bearing
per ORD per cent paid out TO the govern
10
they worth more than par TO fund in 10 years
stock, they would, a currency pass from the govern
its creditors, and from the latter TO the hands OF
capitalists without moving specie at all Thus the
ter stands the government creditor has agency
the dissemination of the The capitalist buys them
directly from the government and do take spe-
Gle from the banks, and put it in the treasury vaults,
whence the government pays to its creditors. The spe-
Gle performs the circle OF Indebtedness, while the pa
per goes directly its destination. Now, as the
law allows of the payment of the the creditor,
it as well to dispense with the specie by the
paying the to the CREDITOR and there end far
the government is concerned The creditor will sell them
the capitalists for bank credits, and specie will be
disturbed in procuring the loan wanted Thy the department
The disturbing of the specie hostility the part
of the banks which argue that if the whole eighteen mil
lions to be taken from them, and carried away by loans
their only resource is to dscred the notes. and refuse all
accommodations connected with them, and endeavor by
doing knock them down under par, and therefore stop
people from buying them
The receipt of specie in the regular of the govern
ment business is beginning to be regarded favoaby by
those formerly opposed it, but loan operations for
contingencies governed by principles of trade they
be carried to any extent and is the duty Of govern
ment to make them in least to interfere with the
currents of business The receipt and expenditure of the
ordinary of the government gold and silver
most admirable mode preserving the eainess of the
currency and promoting the healness of financial affairs
The operations the New York custo-house have been
large this month. The imports have been follows.