Richmond daily times. [volume] (Richmond [Va.]) 1850-1853, 1853-05-13
MONETARY AFFAIRS.

The following extracts restivs to the present
aud prospective condition ofthe money market,
&c. are taken from the May No. of Hunts
| Merchants Magazine. They contain food for
| reflection, and are earnestly recommended to the
serious attention OF our readers:
The money market has gradually become easier, and
capital can be readily obtained upon all prime
curtes at or near tue legal rates of interest. The
srngency however applied to loans for doubt
full enterprises is removed and capitalists WILL be for
some time come cautious in regard to the nature
of their Investments. here would seem to be
son why there should not be adequate supply for
money throughout the remainder of the season. although
we can hardly look for return to the lew rates of last
year. Business is too much extended in every depart
ment to leave surplus capital unemployed and the mar
ket is always favor OF the lender, unless there is
strong competition for investments. The increased i'm
ports have undoubtedly done something towards crea
ting demand for money, but have had less infu-
euce than generally supposed. This is easily shown
from the limited exports OF specie. II capital had
been wanted many assert, for the purposes OF
remittance, foreign exchange must have continued
above the specie point; while the actual shipments OF
coin show a very considerable decline, ss compared
with the same period either of the previous years
when rates ofmterest were much lower. Thus, from
the LIST Of January TO the goth OF April the total clearan
ces of srecie from The United States foreign poris
were in round numbers only $1,000 900 against $4,000
900 orthe corresponding period OF 1852 and 530O000
for the same time in 1851. The amount of money
qured for duties has 1t is true been increased by the
excessive imports but the balance in the United States
Treasury notbeeu SO largely increased as to exert
The great drain of capital has been in the large
increase of that class of eprises which are carried
on by borrowed means. Of these, the two most con-
siderable are the construction Of railroads and the I'M
proyement of real estate in the erection OF dwelF
ings From all parts OF the country borrowers
have applied to the centers Of capital for loans
carry the various railroad enterprises and millions OF
dollars have thu been drawn away and dsbursed which
it will take long time to return. The building of
houses has beer reduced to such SYSTEM that little or
capital is required from the Spectator
buys few lots of ground giving mortgage for most of
the money lie then contracts tor the erection OF
al snowy dwellings, repete with modern conveniences
When finished, they of increase the value OF the
location, and will sell for enough to clear off all ncum
bra ces and leave the builder a handsome surplus
very large amount of capital is nov employed in this
way; and far has this fever of building taken hold of
people without means, that it is very difficult to borrow
upon bond and mortgage at the highest rate the law al
lows.
In regard to the future Of the money market, it
is impossible to venture any prediction based upon rea
BILE Indications If foreign exchange should rise above
the specie point and considerable ID be sent forward
there be partial cont uation of the recent strn
gency Still the receipts from California large, and
supplies of gold from this quarter the increase.