The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-10-11
LOUISIANA.

rHs FINANCIAL caIsIs IN NEW ORLEANS.
From the Ne~ 0seans Delta, 0a
pestilence5 sometimes burst with mysterious on
nipresence upon nations without premonition and
pass away, terrible riddles never 70 be solved. Ia
similar manner panics and crises not infreqnently
come upon the financial world without any precur-
sorry symptoms, ana after brief or protracted ps
roxysm, leave nanciers and economists equally per-
picked to discover the true cause OF their advent or
disappearance.
Such seems to be the character Of the monetary
crisis which has just swept over some of the princ
pal cities OF the United States, causing many lofty
commercial house to tumble, smashing up factories,
shaking banks to their foundations coapsng stocks
and deranging exchanges In the face Of peace in
Europe and peace in America. abundant money,
plentiful grain crop and prospect Of larger cot
ton crop than that of the last year the crisis came
Wall stseet was paralyZed; the kites OF the kite
flyers were torn into shreds by the sudden
tempest; Philadelphia, Boston and other cities
felt the shock, and even here In New Orleans,
where the financial basis is the solidest in the
world, the money market has caught the contagi0n,
and cotton itself has been for Q moment staggered.
But this shock to the cotton market is merely tenn
p0rary In fact the crisis In question is essentially
superficial and cannot affect deeply or permanently
any interest 80 firmly based as that of cotton. The
sudden sqrall which burst upon the Northern fnan-
cial community can cause no shipwreck Of any sea-
worthy vessel in the South. We may be brushed by
the fIinges Of the Storm ittlespray may be dashed
in our faces; but have cause TO fear that the
black pal of disaster will envelope u.s. or that clouds
will close In our horizon all around.
IL 1s true, as our monetary article predicted, cot
ton without setting at any definite quotation, has
ranged little lower within the last day or two on
account of the almost dead lock to which the ex-
change market has But If this be an evil, ii
is one which will surely work out its compensa-
tion. II will rid New Orleans of dependence upon
Northern exchanges in efecting the sale of its
great staple it will bring the solid money from
Europe TO pay for Southern cotton. and will tend to
put in that direct rapport with European buyers
and consumers which has been so long desired, and
yet so long baffied. In such an event the English
and continental dem and for cotton will be the
governing standard Of prices at New Orleans, aud
not caprciouH exchanges or uncertain banking faci.
lities- The planter, therefore, and the planters fac
tor have only 10 look forward with sanguine antici
pafions Of improved relations with the European
cotton market. Cotton may waver a while buyers
may have their hands tied while but the equili-
brium between Liverpool and New Orleans must at
last be adjusted money will pour in by millions to
purchase the indispensable staple, and cotton will
rest on foundation frmer than ever.
IL is idle to think Of crisis SO superficial aud tran
sent in its nature resulting from excessive imitation
OF business reckless speculation in stocks, invest
ments in unproductve wild lands and town lots in
imaginary cities in the West-a state of things much
more likely 70 in time of profound peace and
general prosperity than any other-it is idle 70
think Of such 8 crisis AZ that materially or perma
Denty injuring great interest that rests on such
basis, and Is surrounded with such guarantees as
that OF cotton.