The Evansville daily journal. [volume] (Evansville, Ia. [i.e. Ind.]) 1848-1862, 1854-10-24

NO such pressure in the money market as
that which now prevails, has been expert
enced since 1897. The difficulties OF 1912
were OF somewhat different character, and
the panic was less serious than it is now
Stlli our condition prospe ctively is better
than at the last named period. A discussion
OF the causes that have led to our present
difficulties, would be out of place in this con-
nection; but we may remark that the course
OF our Leg stature for years past, in connec-
ton with undue expansion in business. and
the organization OF Banks without real capi-
tal-have been chiefly instrume ntal in pro-
ducing the state of business that is now OPP
pressing every branch of trade. Remove
these causes and matters will very soon as
sumo a comparatively easy position. The
money-the real capital is in the country;
statistics show a steady increase in the sup
ply OF precious metrls, notwithstanding the
current heavy exports to Europe; and to
make this supply available we only need
the re-establishment of confidence. For
several months past, business men have been
rapidly curtailing their operations, aiming to
bring matters as nearly as possible to a COM
pass that they may be covered by their own
means. This is the case with reference to
both our foreign and domestic business, and
we ind the foreign dry goods imports are d.
minishing. Private expenditures are also
being contracted, and this OF itself is
change that will have an important bearing
upon matters in the future. The Banking
institutions to which we have referred are
travelling rapidly on the 70 to retirement,
and when this point is reached, debt of
seven or eight million dollars Chat was trans
ferred from the East, wh.re parties could af-
ford to hold it, to the West, where there is
no surplus capita,) will be returned to the
the former, and 4 is amount will be repre-
sen Ell by real money, instead Of Bank notes,
which cannot be kept afioat. Unwise leg
isiation has also been ey osed. and the peU-
pie are now prepared to act understanding
ly. This is a lesson that was much needed
by the people of Ohio. They now see that
burthens, pl ced upon monIed institutions,
finally settle upon t. cir own shoulders; and
that, instead OF the interests of the two class
es being antagonistical. they are, in their re-
suit at least, identical. Thus it is seen, we
are in the way to effect speedy correction
OF errors and abuses, aud so far the prOsects
are favorable.
Rates Of Interests are irregular, and as the
is terg done out of doors, aud the demand
for money exceeding the supply, lenders are
generally permitted to fix their own rates.
We quote los per cent. per month as the
range. We will, remark, however, that cap
italsts abroad must not expect to be able to
make permanent investments secured ty
mortgage at over ten per cent. per annum.-
Paper ootainable at high rates has generally,
but a short time to run.
An arrangement is in progress between
our Bankers and the Banks of Ohio, Ken
lucky, Vince ing, and h, State Bank of In
diana, to which the former have already
agreed, which promises relief to the money
market. Under this arrangement the Bank
ers agree not to sell exchange above J prem.
for six months, and not TO return the notes
of any Bank for redemptio for the same Pc
riod. This will put sto p to the "assorting''
business, TO which we referred last week,
and the good banks W Il therefore be able to
keep out their circulation. This arrange.
ment will go into operation on the lst prox-
imo.-[ Gin. Price Cur. 10Th.