The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1851-02-17


not proved one The revulsion WAS bt fastened
BY several circumstances which trsnspirsd in Wall
street. but under the most favorable auspices could
not have been put of much longer. The decline was
very rapid and the depreciation In ten days near
" equal to the appreciation Of the previous six
n6aths The rise in prices divided among large
class Of operators while the fall fell upon few This
. usually the result Of q panic. Spectators know
u well the result Of these ments but they
learn by experience.
Prices now just . bout where they were six
months since, and q movement that would cover one
half Of the margin existing at that time, would not
initiate prices Of the leading railroad stocks
beyond their actual value create artificial state
Of things in the market to extent endangersg the
market value of dividend paying securities. We
have carefully considered the present state of fnan-
cisl affairs. We have, like the skltul nsviga-
tor, before the gale when 1t would be
less to contend with it in keeping our original
We have advised all exposed to prepare for
the coming storm, by making every thing snug in
time Those who listened to our note of warning and
Needed it, have escaped unscsthed while those who
ventured too far from land in their frail barks
skilled In navigating amid the shoals and quickaus
Of the stock market, and unmndful Of the advice
freely given to of the dangers that beset them
have been wrecked. Many have disappeared, and
have not since been heard Of
Since the elements Of speculation have become
quiet and the storm of revulson somewhat subsidized,
have been able to get clear observation and have
found out true position. We find wrecks floating
about In every directon have partially repaired
damages, while others will be total loss The under
writer's principally bear specustors, who put up
with their losses with their usual equanimity. Such
things have happened before, and will happen again;
but that is no reason why we should not again ven
ture upon the Of speculation but it should teach
caution and circumspsction, and keep US within
proper limits After q storm comes q calm, is old
bat true remark. We have had the storm and the
calm and gentle breeze Is about springing up, which
viii watt those who provide themselves with sufficient
ballast good pilot, and trim their sails skilfully
rapidly into the port Of prosperity.
The from Europe by the Africa is fourteen days
later than that received by the previous steamer 1t
does not amount to much either in Q financial
mercial point of view Cotton remained the Same as
previously quoted This is, doubt, considered IA
vorsble, decline in prices was anticipated. The
cern markets steady. Provisions we're inactive
without change in prices. The money market pos
sessed feature Consols firm at quota
tions, and the Bank Of ugland had made further
alteration in the rate Of interest On the continent
everything continued quiet Political affairs general
y, less portentous than appeared by previous
manency In tho position of the different governments
snd the preservation of peace in the political relations
Of the world at large.
The announcement that bank with capital Of
two millions of dollars to be called the Bank Of the
Metropolis" about starting, fer the purpose o.
compelling the country banks to redeem their circu
lation in this city has created considerable excitement
in financial circles and caused great deal Of specula
ton in the public mind relative to the feasibility of the
proposed PLAN and the effect In the event Of the system
being fully established The Suffolk Bank stem of Bos-
ton IL referred the friends of this
sfan illustration Of the advantages Of par redemptio
20 the community at large and pront to the bank de-
voting Its capital to such purpose. 1t must be ad
mitted that par redemption would much benefit the
merchants of this city, those doing large country
business, and receiving a large amount Of what is
now called uncurrent money. They would
large sum annually, which is now paid to the bro
kers OF Wall street, for discount country bank
bills On this account 1t Is highly important to
that class that system OF par redemption should be
perfected, and possible, sustained We not
that any other class would be benefited in the least
par redemption and 1t will probably be opposed the
whole banking capital of the interior In the first
place doubt the feasibility Of the plan, matter
how beneficial it might prove We DO not believe that
bank, with q capital Of twenty, instead Of two mil
lions could accomplish the object he protectors of the
Bank the Metropolis have in view. The geogrs-
phical position Of this city alone is sufficient to de-
feat any such intention and such will be the result Of
this movement. Boston is most favorsby oituated to
sustain system Of par redenptions, where it extends
no further than the New England States, and even
with all its advantages In that particular, 1t was with
the greatest dfcuty that the Suffolk Bank succeeded
IN bringing the banks Of those States into the arrange
ment We venture the assertion that there Is not in the
Six New England states, out Of Boston single bank
hut that would break loose from the compact
row. fit not for the power welded by the Suffolk
Bank and the disposition exhibited and efforts made,
by that instuten to crush every bank not submitting
to the terms laid down, and so rigidly enforced
The monopoly Is CALLING to every country bank
IN that section Of the Union; sti seinerest induces
them to continue the connection. New England is q
very small section compared with the area the re-
dsnption bank OF this city you'd be compelled to
cover with Its system. New York New Jersey, Penn
syivsnia Delaware, Maryland Michigan, Ohio the New
England ststes-in fact, IL must embrace the whole
Union in It's system Of par redemption What Boston
Il to New England, New York 10 TO the Union-the
centre Of financial operations aud the regulator of
movements In the currency IL b therefore plain that
system OF par reds pton emanatng from the city
Of New York, eau succeed, without embracing the
whole Union; and to establish such system, would
take than the entire existing banking capital of
this city. We are not opposed to par redemption,
where 1t adds to the security and convenience OF the
bill holder, and where 1t weud be sufficiently ex-
ended to prevent the circulation Of . deprecated
paper currency. and place all bank issues upon
the same level; but We are opposed to any sytem
that would food with a paper currency not
secured by itock deposits but of the M st deprecated
character In the event OF the Bank Of the Metro
polisn succeeding in establishing system Of par
dsmption for the State Of New York, We should be
fairly with Issues Of banks located ia New
England, New Jersey Pennsylvana, Michigan sc, SC,
and the discount would be sufficiently large to attract
thee who have large weekly payments to make to
chsncs and others In this way the circulation Of
State banhs would be reduced and II would result in
the liquidation Of large number Of free banks in
the creation ofbsnks in neghboring States and in
fact in complete dersn cement eff the existing stock