The daily union. [volume] (Washington [D.C.]) 1845-1857, 1855-08-09
spe &c in The Bank % France

The bank has lost since March in addition
s32 900 paid in loan instruments in the time
making 600, at period of the year when In the
usual course specie acoumulates in bank Alter July,
when the crops are purchased specie leaves Paris
the provinces and less slowly according to
circums ances political otherwise This year the eiux
before the usual time The new loan may have
the effect however, of staying the decline in species and it
is in the hope of this that the bank keeps down the rate OF
interest continues expand its discount TO favor the
new loan When thai has been subscribed not impossible
that the interest be raised in France which would
draw hther in addition to that subscribed and cause
of gold from both the United States and
England continent fact h here pretty apparent
that in any those governments will require
per the next ten months in gold for war purposes
The remaining sal 900 per month viii least
act the tendency Of gold to depreciae The material
of is gold cotton, WOOL &C., the material
manufactures Europe has fit the largest
the world has known and the demand for gold will be
proportioned it, Cold cotton and farm produce Uni
ted States products and all likely TO sell well under existing
circumstances The first material is little in demand for
coinage 1t is mostly into bars for export, while the
banks daily becoming active in substituting paper
The export Of all these articles favorable terms involves
the of large quantities of dutabe goods payment
since of them to be given subscribed
loans The extraordinary influence which apparently
such demand for gold does not it must be borne in mind
affect capital in any other shape The export Of gold may
continue active regardless of the range Of exchange
under the present exchange system mcnopozed by those
the supply of capital not thereby be affected by it, The
influence which the abundance penness Of gold has
the OF money depends upon the extent Of existing credit
obligations which require bank aid to qudae II those OBJ
legations small in proportion to the abundance of
and commodities the rate of interest will be cheap notwh-
standing the export gold The country produces this
immense supply agricultural capital and there has been
little disposition to increase the quantity of capital employed
in business while there has been entire absence of those
great enterprises like railroad speculation which alb
sorb capital rather turn floating into fixed capital Hence
there every prospect Of very cheap of interest for
the use of capital.
very clear that the returns OF the large exports of all
kinds that promise to leave the country
it in the shape Of duabe goods producing large
Nearly all the products of European industry taxed
Importation and, the debts due by America abroad
small the cotton 500 0oo gold $50 900 900; breasus
and PROVISIONS SIS 600 600 manufactures &C. S2 600
tobacco and other produce, SIS 00o 0O0akng S275
o00mus be paid for in something In face Of the export
prospects of the year. returns should reach $500 Civ
ing SIS coo of customs II follows that produce this
import general demand for goods spring up based
upon the prosperity which la sc crops good prices will
doubtless engender and Europe will supply those goods
cheap prosperity, therefore, promises in the
double ratio of dear sales and cheap purchases The
mutation of this is in the bank returns which
follows
Loans, Spfce ticaring.. Deposites.
July e9... $50 0e3 p9 Sis 900 $40 S5a5545 sos