The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1847-03-18

The returns from which these aggregates are derived
are not perfect and the dates they made up to vary
very materially. They arc however, as complete as
is possible to get them arc far they co. Of
official character.
1t appears by the above table that there has been
great reduction in the aggregate Of the lead
ing department. The returns nearest to January le47,
were from eight banks than those nearest to Janua
rs46 and Notwithstanding this increase in the number
there has been q material falling OF in several i'm.
portant items particularly in SPECIE The reduction in
specie within the past has been $40 while the
reduction in the circulation has been but o6l COM
parison of the number Of banks each would
show greater decrease in the amount of specie The
item Of specie funds shows increase within the year
Of 800 but it is difficult to tell what kind OF
paper the banks consider specie funds that we do not
look upon that increase any Offset for the actual de-
in specie The banks Of this city call almost every
thing that cannot be classed under other specie
funds look upon this item rather suspiciously, be-
evng to be of very different character from what the
name given conveys
The decrease in discounts is the most favorable fes
ture in the whole statement There appears to have
been greater uniformity in the line Of discounts, and
in the circulation than in any other two departments in
the aggregate movement but the strength of the banks
has by no mesns improved within the year. The great
deficiency in the amour of specie has weakened these
been corresponding contraction In the amount OF paper
Issues There should have been a contraction in the
circulation of about eighteen millions Of dollsrs to cor
respond with the In specie to have maintsn'
ed proportion Of specie hand to in circulation
equal to that Of the year previous There has been
depreciation of about twenty per cent in the value Of tho
paper currency Of the country In ls45 the proportion
of specie on hand to paper in circulation, was a. to AZ
and in 1896 the proportion as to II will be seen
that there has been very alarming depreciation, part
cularly 10 az this period the now financial system of
the Government 10 calculated to produce contraction
and the more extended the banks are and the more in
hated the currency, the greater must be the reaction
and more rapid the contraction.
The banks in every part of the country have until very
recently pursued directly opposed to the indie
pendent treasury system. They have not until very re-
Gently believed that the specie clause Of the Independent
treasury would be enforced, compromise measure
some modification of the original bill was anticipated, and
II was not until the Anal adjournment Of Congress- thai
all hope was abandoned and they became satisfied there
was NO help for hem that there no alternative but
an immediate contraction and have doubt but thai
future reports from all the banks, will show that they
have commenced in earnest to put themselves In posi-
ton meet the changes the independent treasury system
must bring about Tho principal money markets Of the
country show that very great contraction has com
menced and the returns hereafter received will with
out doubt confirm II.
The returns of the Bank Of the Valley Of Virginia,
for several periods present the annexed comparative
ststeunent