The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1848-04-20

market for many months past has induced to antic
pate The shipments Of specie from this port in the four
months nterv eniDg between the reports thsn
million Of dollars, than double the decrease
In tho amount Of specie in the banks In March
pared with November This shows that more than one
half of the amount of specie shipped from this port
drawn from other than these banks The reduc-
ton In tie line Of discounts has been moderate,
pared with the great scarcity Of money since November
last If We may judge by tho difference in the rate Of
interest at the two periods there should have been
greater reduction In tho loans 1t must however, be
borne In mind that the above reduction is in the
mont of less than half of the number of banks in
the city and that the returns of the other banks may
show reduction full as large anticipated. The de-
in deposits has kept pace with the decrease In
discounts.
Notwithstanding the reduced movement Of tho banks
in this city, most them have declared unusually large
dividends Whether they have earned them not, Is
not clearly settled We have repeatedly asserted
thatths banks have been large spectators in
stocks and treasury notes. and the returns
recently made confirm the truth of these statements
1t has been admitted the cashiers Of several instu
ons in Wall street. that their investments in treasury
the best they had and that they oppos
ed to any immediate Improvement in prices The banks
have operated in these notes. not only rise but
tho decline and their loans to the commercial classes,
and to Spectators in the street. have been regulated
almost entirely by their wishing buy sell treasury
notes. These operations have enabled them to declare
sush largo dividends in the faoe Of rapid reduction in
their regular legitimate line Of discounts These in
ssitutions may consider specuAting in stocks egiti-
mate business; ct all events the system upon which
they practise is pretty good evidence that they do
So long they confne themselves to treasury notes.
and such securities the stockholders have little to fear
hutt tof
the money market is such, that in short time they
will be compelled to depend entirely upon them for div
dends The commercial classes are becoming more ir-
dependent of the banks every year; these institutions
have to depend almost entirely upon spe
cutors and their own specuations for profits; and In
,hort time they will be looked upon and considered as
nothing else but regular shaving shops" In times
such as have been experienced during the past six
months the mercantile classes almost entirely shut
out from the banks Their offerings for discount
hardly opened and every dollar the banks have sppro
prsted to other purposes Stock spectators have the
rst chance tight times, loans be made to that
GLASS upon more favorable terms Call loans very
important and in very desirable shape when the banks
themselves ara Watching the Of things and walt
ing to enter the market buyers and sellers of stocks
The returns made by the banks under the law are
greater farce than under the old law 1t may DO very
we'll to call for bank returns for the purpose Of prevent
ing the banks placing themselves in position to repor
favorably but it Of no service to the community at
large IL does enable the merchant to regulate his
operations by the bank movement Of the day, give
him any idea Of the present probable state of the
money market. It may keep the banks from sud
denly expanding; but 1t has no effsot upon their
contraotions when they may be disposed, OF. cir
cumstsnoes may compel them, to reduce their move
msnt The object Of these returns is to make public
the condition Of each bank possible to the pre-
sent moment that the commercial GLASSES may be able
to form opinion Of the bank movement for the f
ture 80 a. to regulate their operations accordingly Tie
stockholders in each bank may be, and NO doubt are
interested in having the banks kept much possible
before the public, that there may be no deviation from
legitimate line of business but the public generally have
different and greater interest in these institutions
The returns six weeks back of importance to
the public than those Of six months previous Is the
present they look ahey want something FOX the day.
and there lies the strength of the argument in favor Of
weekly returns monthly returns with weekly aver
ages The wisdom Of Legislators is proverbia and
It is useless to expect anything in the shape Of an i'm
provenen in the present system, 30 long as the bank
influence continues powerful 1t is. The only way
to avoid the dincultss and endorsements the move
ments Of the banks likely produce Is to keep clear
of them altogether. They specializing machines, and
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