The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1855-10-08


AASD.-The extraordinary movements in pro-
duce on Saturday, embracing sales to the ex-
tent of nearly half million Of dollars, Is cal
culated to provoke the minutest inquiry into
the causes which are operating upon buyers.
A few days ago were published from the London
Times and the Paris Moniteur positive declara-
tons Of considerable deficiency in the grain
crops in both England and France-in the
latter country TO the extent of seventeen mil
lions Of bushels. We were further advised that
considerable orders had been sent to this coun-
try to supply the demand in France and we
are now informed of an alarming deficiency in
portions of Germany. Our Berlin correspon
dent says that orders from that country had
also been sent to the United States, and that
army from our productions See our market
report in anther column.
1t is now certain that there is very marked
failure of the crops of France and portions of
Germany, and to some extent in England and
that there is large surplus in the United
States. The first effect of deficiency in Europe
is already visible in the movement of specula-
tors who have extensively accumulated the
stocks on hand, which they hold for higher
rates. 1t is quite probable this fact may
account for the large orders sent to this coun-
try and the extraordinary activity Of our grain
markets at the present time.
Granting our surplus to be fifty millions Of
bushels-the amount we long since estimated
it seems now probable, since the Danubian
productions are wholly locked out from the
army of the East and from the demands of the
west of Europe, that all of it will be required
to meet the deficiencies in the three countries
referred to. 1t should be borne in mind by
American producers that an alarm in the old
countries upon the question of food may be
stimulated to some extent by interested opera
tors; and in this view it is quite likely that
prices may range as high at the present
moment as at any future time. Those
who have operated in advance, who
have large stocks on hand, are apt,
standing behind their own immense accumula-
tons, to underestimate the stocks of others.
To some extent this is the case in our own
country, where means of acquiring information
on all subjects is limitless. In Europe the pub
lie mind is still more liable to be misdi-
rected. II is, therefore, not unlikely that the
present moment is the very best time we shall
have to get rid of our surplus at good paying
rates
The movement of grains upon the exchange
market must be favorable. There is one thing
to be thought of in this connection, and that is
the effect Of the war upon the manufactures
and commerce of Europe, and upon the con-
sumption by It's people of our cottons and
grains 1t is quite impossible that there can
be anything like ordinary activity in the great
branches Of industry in England or France.
If no other cause can be found, the immense
arrangement of the money MARKET the diver
sion at short periods of the disposable re-
sources Of individuals in what is thought to be
safe and profitable stock investments, to carry
on the operations Of the war, will, of itself,
raise the rates Of commercial interest, and re-
strict and cramp the movements Of trade and
manufacturing industry.
In Europe, far more than this country, all
the branches of labor are linked together, and
share, to great extent, the same fate. If the
great cotton works of England are seriously
affected, it will be because grain is high-be-
cause the rates of interest have advanced-be-
cause commerce is paralyzed-and as we are
the chief producers of the raw material, it is
quite likely that we shall witness a limited de.
mand for that kind of production. This fact
should be considered in connection with the
activity of the grain trade, in estimating the
probable effect of the general markets upon
our foreign exchanges.
Again, in reference to the shipment ofspecie,~
it should not be forgotten that the great money
establishments of England and on the Cont
nent, in consequence of the war, are liable to
be driven to extreme measures to sustain them
selves; and at such seasons we may look to the
overthrow Of all ordinary laws Of exchange, in
obedience to the force that shall be used to
withdraw from us portion of our precious
metals.
ABATEMENT OF TIE PEsTILENCE IN NORFOLK
AND PoRTsMouTH.-We have received the deep