The New York herald., 1850-05-20

range two and three cent above those current
at the close of the previous week Government and
State securities do not vary materially from prices
ruling two three weeks since In fact
ing the apparent steady and rapid Ia most Of the
speculative stocks prices for majority of them rule
lower than they did two months ago. The only stock
In which any great imitation is going on is Erie Rail-
road and II the speculative clique Of the management
continue to put prices up several per cent higher
and get rid Of their supplies without breaking
down the market, may expect large issue Of new
stock, out Of the balance of the capital of the
pany According to the last Official report there were
about four millions Of stock unissued; and thss
company have other sources of income for
extending the road, but this stock and income
certificates the management viii not let good
opportunity slip fer getting rid Of portion OF this
unssued stock at fair prices, and doubts but
that it would be better issue stock at eighty than,
sell per cent bonds at eighty fve for after the
completion Of the road the management have nothing
to do with paying interest the stock beyord what
the net earnings of the road will give It would,
therefore, be well for those who have been purchasing
this stock at high prices speculation upon the basis
Oh certain amount issued to look for increase
In the supply The company probably wiz not, for
years never havea better opportunity dispose Of
s STOCK than the present. for speculation has
run prices higher than the most sanguiue friends
the road could have expected from the traffic opera
tons Of the line. We find the stock OF railroad COM
panies in all parts of the country which are beyond
all question actually earning six per cent on the ca
pita invested, selling fifteen and twenty per cent be-
low the Erie, and IL is therefore natural conslusio
that nothing but the excitement Of speculation. and
the concomitant combinations attending such moyo-
ment have inflated prices for that stoek to such an
extent, and so "a pdly, compared with sod substan
tal securities If the Eric Railroad Company do noh
avail themselves of the high prices now current
ther STOCK TO increase Its capital and provide meass
10 reduce It's enormous ing debt upon which they
are paying ten, twelve fifteen Der cent interest
and are continually shining Wall street to raise
money, even ut these exorbant rates they will mako
a great mistake.
Most Of the other fancy stocks have advanced enor-
mously within the past four months and snecuators
have been furnished with any amount of means to-
carry these unguaranted unproductive securities at
the most moderate rates. Even unlimited faeiities
will not however suffice to sustain prices 40 much in
Hated and so much beyond the real value of these
stocks 1t Is the easiest thing in the world to buy
STOCKS In Wall street Any amount OF capital can bs
invested in them without the slightest dHicuty and
holders can fix any price upon them after they have
got them but 1t does not follow that people can as
easily be found to give the price demsndsd That Is
the rock upon which all cornering combinations split;
ana we nave never known one to escape. 1t matters
not what the state Of the money market is what
the resources Of specuators what the extent of
tue conpination, now many nttu0uaSyes engaged,
it Is utterly impossible to avoid the fate which has
overtaken every similar movement ever attempted.
To those who have had much experience In Wall
street. 1t is only necessary to refer to the attempts
made to corner Harlem, Norwich and Worcester Nor
ris Canal, Long Island Reading Railroad Canton Com
pany Farmers Loann fact every fancy stock in tho
strest-for confirmation OF our statements What
has within the last fifteen years, bankrupted 20 many
specuators hut buying and carry large
lafs q. .x1~ ~h~1 49,
in the street how he has made large losses, and hs
will tell you by buying and holding fancy stocks A.
for outsiders they always lose because they always
buy in anticipation of an advance. They always
looking for fortune and realize one but on tho
contrary, invariably get well neeced. OF the thou
sands Of outsiders have, during expsrisnse met
in the street, do not know Of who has not left
portion Of his fleece in the hands Of some broker
who had induced him to buy some worthless fancy
stock, upon the assurance that no could not BY any
possibility, fail to realize an enormous profit as the
stock was to RISE solely upon its merits nve
ten or fifteen per cent Outsiders believe
In Wall street. that any fancy stock rises upon It's own
merits, and that every the list is calling 20
much less than what 1t is actually worth that no svsas
can take place calculated to depress prices
porsriy II must appear extraordinary 70 the pro-
fessional broker Of Wall street, to men OF MEANS
and apparently possessing average share Of com
mon sense buy these worthless stocks thin
bergger to see the bet that they souldtsu
where the little joker the horse Jockey to SEQ
men betting such horse will win when 1t was al cut
and dried that he should not and we have frequently
imagined seeing them laugh in thes sleeves whom
some rich outsider had finally been induced 10 take
two three hundred shares Long Island or Morris
Canal
We have not alluded to tn, existing con dition Of
affairs in the financial and world because
In connection with the imitation going In the fancy
stock market IL was not necessary show the inevi
table result Of that movement That bubble viii coll
lapse In time, IRON its tension; but Il may be
FASTENED BY the revulson about being realised In
mercantile matters. II only requires glanee mt the
daily record Of receipts at the Custom Of this
port for duties importations from foreign countries
to learn the fact that the value Of merchandise daily
entered immense; and weekly statements Of sx
ports chow how limited the shipments of products are
In payment or In liquidation OF foreign indebted
ncts After comparing these things. tn. question
naturally arises how is the large balance against US
ON our foreign trade TO be iqudated what prevents
large shipments Of specie the answer to which s,
by the remittance Of millions upon malions Of our
public securities Public credit Is substituted for pr-
vste credit and with this exchanges cannot bo
Kept more than fraction below ten per cent We
sendrg cur stocls to Europe at the rate Of half mil
lion OF dollars weekly, and who have prcten
sons TO shrewdnsss point to that fact an evidence
sfour great property; whereas the best evidence
in the world that rapidly approaching national
bsnkrurtcy. But for the demand abroad for our
public stocks. we should by this time have been
drared ~ at least twenty millions OF specie and
have merely put OF the evil day, to u dis
astrous when 70 comes. We have received nothing
In payment for the millions of American stocks sent
abroad but morcha ndise this given artificial
impetus to consumption, exrsvsance where
was extracting capital instead Of earnings. We have
imported tens of millions than have sxperted
and We have sustained the credit of individuals abroad
by transfer Of that ef the Federal and State govern
menis. In the Of the next sixty days shall
have TO rsmt. In payment Of interest American
stocks held by Foreigners. at least seven millions of
dollars and that enormous amount must be paid In
specie. in products, or be invested in government