Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1848-10-05
Money! Matters.

Beyond all question the strlngency in the mo-
ncy market which has SO long prevailed, IS due
to the Free Trade Tariff OF '46 and the Sub
Treasury. The one has flooded the country
with foreign goods, and the other has drawn the
specie from the country to the seaports to pay
the duties. We can't have change of these
measures, and consequent relief to the bust
ness of the country, without change OF the
government There must be Wing Congress
and Wing President Tor that Van and Cass
are alike wrong on these great questions.
The Boston Traveller, of Saturday week,
gives the following under the above head:
The demand for money has increased during
the week, and as the supply is not ABUNDANT
rates Of interest have advanced The Banks are
subject TO regular calls for specie TO pay duties
on imports, which continue large, and us balan-
ces are now in favor of New York, they are in
constant fear of specie drafts from that quarter
To this may he added the fact that the circula-
ton of city bank notes is very limited. Money
being scarce through the country, bills are not
boarded as is often the case, but collected by
country banks and sent back to the city, to nuke
their deposits good at the Suffolk.
Manufacturing stocks are much neglected,
even when offered at very low prices. 1t is I'M
derstood that wooen manufacturers are losing
money by present operations, while those OF cot
ton are making little or nothing on their goods,
prices of most kinds being extremely low. As
a consequence we hear Of some mills stopping
entirely, others reducing their hands, and merely
working to keep their machinery in order. The
new mills at Lawrence, Hadley Falls and other
places IRE in progress, but the times are unavor-
able for a profitable return TO their enterprlsnG
projectors. The facts seem to be that this branch
of business has been extended beyond the wants
of the country, and while we have to contend
with the lower prices and cheap labor of Europe,
there is not much prospect of Improvement.
The NewYork Express gives the following
as the State of affairs in that city:
The demand for money yesterday was more in
advance of the ability or inclination of lenders
to supply, than for long time, and high rates of
interest were paid in many cases. No paper Of
tered in the street could be sold under eleven per
cent. and the price varied from that to eighteen
per cent. for well known names. Upon Treasu-
ry Notes, in small or moderate amounts, loans at
call or short notice were obtained at seven per
cent; but no large operation was effected SO low
as this. Government bonds receded at the Stock
Exchange, l.6 TO IA, and Treasury Notes l-S
facts which, taken in connection with the an
nouncemdnt that one half million OF the public
debt will be paid off on the 9Th Of October, show
bad state OF things in the money market.
There is no doubt that great part, if not all
Of the tghtness Of the money market is caused
by The operation of the Sub-rreasury, in keeping
such large amount locked up useless and idle.
Extract of letter from prominent Democrat in
the Western part of this State dated the 18th
ult.
"rhe operations OF the Sub Treasury are be-
coming more manifest to the public, and it's abu-
SEES more obviously apparent. What curse il
would be to all the business interests of the
country, in the event of full Treasury. Ina
CINE its effect with the Government out of debt
aud 40 millions on hand, as was the case PROF
to the distribution among the States The ma
chinery of business could not move with such O
sum in specie locked up in the Government
vaults. Ii is an evil which is only bearabe il
fair weather. shall rejoice if 1--we to see the
day when it is repuda,ed by all enlightened
men, aud erpunged from the statute books.--.N
Y. Jour. Of Com.