The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-11-04

CtInmunHy, coOjunCtiOn banks,
interests exhibit amount of self imposed sacrifice truly
astonishing and exemplary is much to be feared they
may finally have TO succumb TO strangely sudden pres
sure. Already the list OF bank and mercantile suspen
sons are most numerous numbering from first TO last
between two hundred and three hundred, Of which
have relations with England Of Europe The
lamentabe state of financial affairs need be
minutey described-they too we'll known and their
effects too manifest On the Continent the state OF none
tary affairs likewise unfortunately very much disturb
ed rates of discount varying from Ave TO ten per cent
with very heavy depreciation In securities At home
we have only to contend with the direct action Of all
these evil Unfit but sudden and increasing dearth
and demand for money, those who have il refusing to
lend and those who want having to pay enormous rates
for MS use the Bank of England with rapidly declining
exchequer having to meet an increasing pressure Yet
with all this, we hnd II ADMITTED on all hands
that the trade the country is sounder and healthier
than il. ever has been, and such we also consider
and declare it TO be- Then why all this which
peryades the whole commercial fabric OF the country
The answer is the inability of the Bank Of England to
meet the arising from outward disturbances ana
internal wants, real and imaginary why Is unable 70
meet this dranY We answer because the Bank Charter
act OF 1874 like everything else framed by Unite intel
Iect Is arbtrary-regulates, and more unfortunately
still iorcby aminshss the note csui n ns c0un
most restrictive measures incpg ruin upon the entire
body Of traders order TO keep itself state OF perfect
solvency At this present moment when the promoters
of the Bank Charter act OF 1874 are most
applaudng its powers Of meeting the pressure by nnct
ing injury all around il is fact that many show their
fear Of threatened and anticipated danger, by placing
their money on the Stock Exchange for security
rather than lend il to the bank ana discount
brokers,
that appear TO the bank rate goes higher SO
much for their consistency and real reliance upon the
powers Of the bank TO stem the present tide OF financial
arrangement il not intended that the vitality OF the
mercantile stability Of the country shall be utterly de
sroyed we must have either some mobilization IN the
bank charter or totally different system Of the currency
for long the nordnate drain the bank continues
and its power meet Is so weak, the rate OF discount
60 up higher. There has been great demand TO-
day money at and afterwards at per cent and the
applications at the bank have been very numerous There
Is ample employment for all the supply in the market In
m hs abopss here a. in
fact perfect gut and Is placed there for security
This necessarily bctokens an uneasy feeling on the part OF
capitalists The joint stock banks have raised the rate Of
interest allowed for deposits to per cent the discount
companies allow III per cent and the discount brokers
allow per cent for money demand and IA per cent
with notice Of withdrawal
from the London Star fCity Ar,icie) Oct. col
The great event in the money market today has been
further advance by the Directors of the Bank Of England
Of per cent in the rate of discount was only on
Thursday week that the rate advanced from 5 to
per cent last Monday il fixed at per cent and now
II has been further raised TO per cent, thus making
total advance Of no less than 20 within the short
precedent in financial history; and is expected to
be followed by corresponding advance upon the CONT
nent
This decided measure like the previous advance was
not expected particular il was not adopted until
after two O'Clock IN the afternoon Is understood to
have been decided upon ler full consideration Of the
advces from New lOra by the Canada and the Ariel,
which there can be doubt OF character stimu-
late continued export Of gold upon large scale TO the
by the withdrawal to-day from Il = Bank of more than
$50 600 in soyeregns for immediate transmission, and by
pressing demand for specie for export to the continent
This demand has already absorbed the whole of the Aus
traan gold brought by the Royal Charter
The American letters are exceedingly gloomy. The
Of mercantile disaster had extended in nearly all
directions; additional suspensions are reported
in different parts Of the country of banking and CONNER
cia houses which have hitherto enjoyed good credit and
II considered that the not Most urgent
acquisitions made for gold from this side against
breadstfs and other produce 10 be Shipped before inter
alnat Ia he lint Rank M Ri
sh North America has is stated directed lis agents 10
send f1o0 900 In Of the letters it j. mentioned
that the bills sent 20 England will cause drain OF bullion
the Of $500 900 per month until the crisis
and this is considered very moderate estimate.
From the London Times (City Article), Oct. 81
The quotation of gold ut Paris about five per mile
premium and the short exchange on London Il IS ~ Z
per IL sterling On comparing these rates with the Eng
sh mint price Of f317s per ounce for standard gold
appears that gold Is nearly 3loths per cent dearer in
Paris than in London
by advices from Hamburg the price Of gold s23 u
per mark and the short exchange London IL 1874
per fl sterling Standard gold at the English mint price
Is therefore at about the same price IN London and Ham
burg.
bills co days sight is varousy quoted at from par up
30 ie5 per cent the latter bong for first class paper only
There a. consequently Of advantage IN sending
gold from this country compared with drawing bills
from America
The public continue TO support the funds by investing
largely and there has been recovery TO day Of half
per Consos for money, which left Oh yesterday al
s., first quoted So to 4. For some time they re
purchases exercised strong Influence, and an
advance took place TO ss which fairly supported TO
the close the Last official transactions being ut So. TO
for money. and ssa for the 10Th Of November.
After regular hours the disposition TO 6rmncss was
maintained and the quotation for the account was
sss. to a. In the early part Of the day the rate for
loans government securities was Or per cent,
but in the afternoon large were obtanabe with
AT per cent At the bank the applications were compa-
ratsey moderate, and in the discount market choice
paper negotiated slightly below the bank minimum
OF Per cent Bank stock ief of at 22 to Ga, India
sfo.k IN nd md To lix.
The IN the hank rate has led to sales
OF Ehequer bills and the price has reoedodo los to los
discount
me Bank If France how today raiscd cr rate If dis.
com. fvo, Ga per cent. al vhich cds fired ON The lah
inst 10 ! y-r cent Although rate 80 high has not pre-
ycusy been experienced in France, the limit until the
modification oi tho charter Of the bank having been
the movement does not appear TO have created
any additional upeasincss on the Boursc,
The foreign stock market has been quiet, with ten
dcncy 10 advance. In Turkish there was recovery Of
about y per cent A tram action marked In swe
digh but notwithstanding the ANNOUNCEMENT Of the new
loan, showed no alteration from The previous rate
In the foreign exchanges this afternoon the rates for
Paris higher than last post the only other import ant
alteration was considerable advance IN the cases oi Vi
and Trieste.
Paris BcuTse this evening" 6sf zoe for both money
and account showing decline Of only an eighth.
The Heaihcrbei has arrived from Melbourne with II, 6sI
ounces of gold. valued nj IS ,5ss pounds sterling
About IS 600 pounds sterling Of Australian gold was sold
the bank day y sad that about 10 900 Eovercgns
brought nv the late arrivals hsy. also been paid In there
Arago which sails southampton for New York to
morrow would take about 100 900 pounds sterling In
gold Jp this evening the fetal engaged 10 be sent was
600 sovereigns II u understood however, that fur
,hcr parcel viii be despatched from London early 70
morrow morning.
The rate Of discount at Hamburg has advanced to Of
per cent
ie,crs from Milan 10 day announce the suspcnson Of
the respectable banking rn Of Baabo Co. OF that city
n had been difficulties tor some time.
zach day furnishes TO the financial world an llns
raion The way which they strive for distant facilities
and neglect those al their door II the Atlantic telegraph
operation hat would be the rs mcsagcs sought
The state Of the bullion tho banks both sides but
kgards the Rank 81 England have the power 10 get
tho Information, and permit % he kept back until prsc
cally, Is useless All tho calculations Of merchants
aud manufacturers should be made With reference 10 the
probable movements Of the money market yet only
after lapse oi days that they eecome ac-
quain'ed with each return o. the Bank Of Eng
land on which those movements depend While
every effort u made n dcyclope ~ any cost the
sysem of instantaneous communication through all
regions ~ the globe, o knowledge OF the few pgHes
npon which more than anything else our COMMERCIAL
hr a