The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-11-24
The Financial News nom Europe.

| appliances and false pretences of the enemy.
The Financial News from Europe.
| Well, the news is what we expected, the rate
of interest is going up, and the Anglo-Ameri-
can houses are coming down. 1t was impossible
either to prevent the outgo of bullion to this
| country, or the ruin of those overgrown com
mercal establishments which had become inter
mixed with all that was enterprising and much
that was rotten in this country. 1t is very sad,
of course, to see the downfall of old and highly
respectable houses like Dennistoun's; but that
and much more, too--was written in the book of
destiny, and was legible enough three or four
weeks ago. Commissions IKE the one through
which we have passed cannot blow over like
April showers; we owe millions to the people of
England, and when we break, they must suffer
There is grave reason to fear that, even now
we are only receiving the first of the storm from
the other side.
The London Tines, whose influence over the
commercial classes in England is known to he
large, is clearly seen to have been acting in this
affar as the instrument of interested parties
| Its whole power has been devoted to the task of
| proving that there was no danger, no panic, no
,.ant of money, no breakdown in American
| securities, no trouble of any kind anywhere;
and that if people would only go home quietly,
think about nothing, and deep on both ears, as
the French say, they would get up and find
all right in the morning. The Times and its
friends have assured every one that the furry
here was mere stock jobbing affair, got up by
the HERALD; and that if people would only close
their eyes to it it would blow over in a day or
two. The dffculty-to believers in the Times
theory-has been that bad news from the United
States succeeded bad, and worse, worse, until
at last quarter of the merchants suspended
and the banks broke; and further, that every
man who had bill to pay and money to raise
| in London had to pay twice the usual interest,
| and was glad to get accommodated at that.
Thus il has come about that this Times theory,
which at one time enjoyed such favor, has now
somewhat fallen into discredit; and that journal
itself, though not openly regulating the near
and dear friends who may have compromised its
character as financial authority in order to
postpone revulsion possibly fatal to them
selves refers to the subject of the American
panic, and the possible consequences to the An
glo-American banking houses with a gingerly
discretion. II does not often happen that the
London Times sets its wits to work to delude the
public, but ii has done in this instance and
it will require some dexterity to efface the eff
fleets of the blunder.
| As to the consequences of the failures in
England upon our community here they can
not well be very serious OF course the cores
pondents of the English houses which fail must
60 and If they happen to owe largely here
which, az a general thing, il not the case-some
Of their debtors may be dragged down with
them. But here the disaster will end As the
debtor country we do not sufer-in a compre-
hensive dcgree-by the failures Of our credi-
tors A few bankers more or less, can be spar
cd without national injury. Even viewing these
events in more general and ultimate light,
the immediate injuries they may inaict are not
equal to their rtturo beneficial effects. For in
stance tho hovy the effect OF depressing cotton
std Other w ,duce for The tme thica ney
prove very d. astrous to certain houses In tbC
South which have advanced rashly ~ The cot
ton crop. But If cotton falls, more buyer. are
brought in, and the chances Of wholesome and
prot able trade in it are increased, an ~ with
other products, A fall n she price of agricui-
tural produce is very annoying to the farmer
who has il for sale ut the moment Of the fall
and may be very disastrous to the merchant or
banker who has advanced upon It; but, as a &C.
neral rple. ii il beneficial to the country at
large, as aiiording basis for sound trade,
and stimulating the healthy employment of
capital.
We see nothing in the European news that Is
| calculated to alter the opinion that we ex-
pressed few days since, namely that we are
on the verge of period Of imitation such az we
have rarely seen. Every day confirms the rea-
sons on which that opinion was based. True.
the houses which have failed will find
difficulty IN fulfilling the obligations they have
undertaken toward their creditors; very many,
which have shown a surplus consisting in arti-
Giles of luxury and show, will when the worst
comes, show heavy deficit; very few will be
able to take up their extended paper at maluri-
ty. But there arc other men and houses ready
to take their place. The country has not gone
down. though few men are wrecked: The trade
is there, though some merchants are missing.
And most assuredly there never was more
promising basis on which to build up a great
trade. will great commercial imitation. than
the present state Of The financial and agricultu.
raj resources Of the country. Here we have the
New York banks actually containing twice their
usual average Of specie, all thc country banks
thriving and increasing in strength and gold
steadily pouring in from Europe, California and
The West Indies; cotton and corn both cheap, 20
cheap that il il hardly possible TO lose money
buying them; and witbal commercial commu-