The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1847-11-22

meditated. On Monday, in the middle OF the
day. the official document was made pap,, H.
The effect of the measure was electrica,; !" 'ne
| general eagemess of spectators for iaii I" ouy
In their accounts the market became WIG. Coh ION.
soils in day or two advanced; after tne in nos,
violent fluctuations, NOT less dsnrsss;on of the
| upon their extrem, Fl point OF dePressII: y nj
previons week Shares Of railways, Whicn had
! hem rninously depressed, rose ranhly Lon
don and North Western rose ,aNin =, ahoa, Ia
| 80 On, discount The sugar market became more
active and cotton and corn advanced consider
ably The difference of opinion amongst the
nress respecting the policy of this virtual abro-
cation of Peel's bank act was most striking.
| The London Times with an Unsurpassed feel
| ing of disappointment, boldly reproduced all the
arguments which they have lately so unfiinch-
insIy urged against the intervention of govern
ment, which was again pronounced as most mis-
chIevous.
On the other hand, the London Morning
Chronicle, having urged the Government to in
terfere, in a series Of articles, when the measure
was announced, INDUCED in the most extrava-
CANT expressions of salts faciion and emulation:
Ministers had saved the country, that journal
said. and had given deathhlow to most eb.
snrd law, which only imposed letters on trade.
The Morning Post and Morning Herald were
equally unresiryed in their mnbounded satisfac-
tlOn at the acknowledged failure Of Sir. Robert
PeePs Act, which was condemned bv them ail,
in the most unequivocal terms. The Daily Ns.cs
was the only paper which, carried away ny thu.
delight OF the moment at seeing "the charm OF
the act of 1914, dispelled," went 80 far as to ad.
vocate, an unrestricted paper currency. That
journal said, "We cannot for our lives see IN
what way the public is more benefited by the
Bank giving into the hands of the private bankers
a number of its notes, instead OF the private
banker issuing his own notes to the same mount,
seeing that the security would in both cases be the
same" The experience of the h story of the last
twenty-five years, and all of the failures of private
banks of issue, which spread at various periods
universal ruin, seemed for the present quite disre-
garded. The sati sfacton of some OF the jour-
mails which have applauded the Government
measure obviously arise, from rancorous poll
teal luminosity against Sir Robert Peel; the grdti.
| hcation of bring triumphant Is source OF de-
light 10 others; whilst again sincere conviction
seems TO be the cause Of the satisfaction ex,
pressed by more than one journal at the virtual
repeal of P-el's act. The London Times and
the Monehsssfr Guardian, In graver view OF
the case, appear, on the other hano, equaliy and
as consci entiously impressed with the signal I'M
policy Of tampering with the currency, but as
they allege, by other causes.
The excitement and rise of stocks proved
evanescent After the first general rush OF prices
upwards, spectators began to reflect upon all
the bearings of the measure, and stocks became
at first stationary, and then proceeded steadily
to recede. Consols before the weekterminated,
had relapsed to about so for money, and London
and Northwestern shares to l47; the price OF
exchequer bills. perhaps the truest criterion OF
Government credit and the value OF money, tell
TO lSs discount; the cotton market became rs
dull and inactive as ever, and prices receded;
London, still continue to cause great dismay IN
the mercantile world. Meantime, the tone Of
the press generally has much moderated towards
the measure.
From the London Times, Nov. 81
Look at the baance-shee OF those who have
failed, and then ask whether the Banking Act,
whether a restricted currency. whether panic,
whether any outward cause is fairly responsible
for the result Nay, we will put the farther ques-
tion,-has it not proved in most instances posi-
tive adj Mt unt hat
PEELED to close their accounts, and have not been
allowed to go for years deeper and deeper into
the abyss of insolvency. When houses nth la
bilties to the amount Of some hundred thousands
can hold out better prospect than a dividend of
As. or IS. IN the pound; when the bulk of the
property was locked up In plantations, IN pro-
and all the balance at the bankers to meet
a mountain OF bills, was two or three thou
sand pounds; when 1t came out that the house
| never had been solvent, if not in the memory
| of man. at least In the experience OF the living
| partners /; when it was all credit, and a feeble
existence was only protracted by continual ex-
tension of engagements that must ultimately be
discharged by reputation when the venlal
weakness OF friendship, or some still stronger tie
had allowed a ruInous subtraction oil capital lar
beyond the power of any Legitimate profits to CO.
yer and repair; in such cases as these 1t must be
pronounced that it tcas for the good OF society, Jo
the publication of credit, for the prevention of
still morse disasters, that there should DC an ear
iy account We say 1t with pain-sLch Instances
were only hidden sores, which atoo lax system
of credit would only develope into wider mischief
of houses thus cankered and undermined can
only exist by borrowing-that is, by involving
fresh victims, The men themselves may be hon.
est and hopeful They are bound, however, oy
| the law of their circumstances. Their condltion
Is debt. The longer they survive, the WIDER
| they extend the partnership OF their risks
and their ultimate ruin. The Royal Bank
of Liverpool is SO, signal an instance that
how it will strike our contemporaries, especial
| ly those whose verdict for every bankruptcy Is
''wlful murder by Peel" 1t appears that tor
long period this bank has been the jackal Of one
| huge lion in the shape of certain speculative
house. Its credit, as fast as 1t was generated,
WAS pledged for Messrs Barton, Irlam, and Hig-
ginson. The manager, an able and faithful ser
| want, having advanced large amount upon as
surances which were not fulfilled, would have
| brought the account to close, but was not sup
porte by the directors of the day in his strongly
| expressed opinion. He fell into i'll health, as
might be expected, under such a trlal; and the
chairman of the directors took his place. Under
| this amateur management the relations between
! the bank and Its customers were drawn closer
aud closer, till the two parties became abso-
lutely identified. Whenever the question
| of further engagements arose, there ensued a
| free conference and communication of views
between the bank and the speculator. The di
rectors took review Of the cotton market, and
siderable ventures in that commodity. By-and-
| by they had but little choice, they discovered,
| in the words Of Horace-Una dies utramque
ducet ,7rinam. They must stand or fall together
At one time, indeed, they had almost mustered
courage TO cut the connexi, n, but just at that
moment another bank was broken by similar
cause, and public opinion became too excited for
the attempt So il went on and on. Meanwhile
the bank had made other large advances, for
which it had only securities of so nconvertible
a character as to be unavailable for banking pur
poses. At last cotton fell, and money rose in
value. Pressure steadily came on Panic was
the last ounce that broke the horses back and
at last the Royal Bank, which was, in Tact, u
mon dealer, from the action of low credit on i'll.
| Judged investments. 1t extended It's risks as
| long as the market allowed it.. If the eight
ness" cut short its operations at last is IL muir
! der, or Just, beneficial, and legal execu-
| ton We have not space, nor indeed much in
cnation, to enter into detailed criticism of the
| statement which appears in our city article of