The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1855-07-16
FINANCIAL AND COMMERCIAL.
HONEY MAR X n p.

SUNDAY, July 1875 p. n.
Tho week just closed has been rataer quiet ono,
Tie stock market has settled do wn into the iusc
tyity ususl for the season. Many spccalaton are
out a. town, having abandoned for the time tho OK
stteenert Of tho stock arena Toe bulls and bears
have In this way paired of and left the market In
he hsnds Of the smaller class OF opstors. This In
uuaasure accounts Tor the dulness that prevails at
ths Exchange; but there Is another and moro deep.
" roo<sd cause for the pause and inaction in the
nsrtrek The position Of financial Affairs Il such o.
to create In the minds OF the moro caut ous capt.
talists feeling Of apprehension, and In the minds
q ho11ers Of stocks desire to realize. The change
thai ID about being rea ICED s one calculated 70 ad
yance the most important interests Of the country
and can Affect iDjariously only those who are ic-
yo,ved deeply in Ste OK speculations. The demand
fer mensy which II likely TO arise from the NOR an
tile classes, win draw capital from stock invest.
neots,s and tho probability is that the mar
ket VIII be over suo oiled for some time to
come. Az soon ~ this movement commences,
10 shall find half az zen sellers to one buyer; and
~ the sellers Will be those Of compilation, buyers
viii easily control the market. There 10 no doubt
but th the haYvesss will be all that has bsen anti
oipated-that the yield will be sufficient 70 insure
enormous surplus. This point being settled, 1t fol-
lows that credit and c0ndeI CO increases all Sides
TIE fact that the producing classes are in pros
peroas condition ia sUc ems to give great impetus
to business. The agricultural interest regulates all
others In this country; and when that Ia sound tse
consumption Of ali articles Of Importation progresses
rapidly. Tie mercantile classes are preparing for
. vexy active fall trade. The country Is rich, aud
ths demand for goocs is likely to be very great
This viii require tho employment OF larger capital
amorg tho merchants, and the banks must supply
the dsmaHd. Loans which are row out on stocks
must be called in and put ont on busiress paper.
The hanks may not enlarge their discount line
materially; b0t they must change ita character and
sacrce tho stock speculator, essasy to acco.
nodAte the merchant The brokers now have large
favoRs nom the banks and the amount of loans has
bsen run up to high points by the bypothecation Of
stocks. few weeks will place stocks in position
very dinsrent to that they now occupy.
hcorrection with these remarks, we give the
anLexsd extract from the Boston Courier Of the
18th inst, relative to the depreciation Of stock
sscaritee:-
The truth Of tho axiom that riches take vInrs and
ay away" was fully sxempliasd yesterday BY the sight
bsndt beloBging to ndvicusl and valued eighteen
montM ego ct little over $S74 000 the market value
sss ,s slis de-
loss Of interest These soc writes wers pledged ss col
lateral security for borrowed money, and - they de-
cinsd IN value other property placed with them to
could rspond NO further and finally obliged to fail
Anoe the securities enumerated bonds and shares
q The Grand Junction, Vermont Central. Ogdsnssurg,
and Bosten and New York Central Railroads. This Il
on enc Of many oasss not Of the magnitude, Of
courss but similar In kind not degree The system
Of borrowing pledges is . serious evil which often
enticss people TO ruin At the present time It IL prac
Used N New York to fearful extent Tas bank loans
and discounts there siresey reach to the enormous
aesreSss u sse, 600 oeo very large per centags Of
which y demanded loans collateral Pledges liable to
Be roefed at any time by giving Days warning.
This expansion Of the currency has inf ated the
Ter stocks and bonds in that city auch extent that
sudden collapse II likely to occur at any moment
The expectation Of gecie from this port last week
was considerably uI der that Of the week or two
previous.