The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-11-30
FINANCIAL AND CONNER GAL.
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MONEY M A Il k E r.

SUNDAY, Nov. 29-6 P. N.
At the close Of the stock market yesterday there
was a strong downward tendency in prices, and
very little activity prevailed. The absence of buyers
appears to be the great difficulty. At the present
inflated condition of railroad securities no one out
side of the speculative arena is disposed to touch
them. The abundance of money and the cheapness
with which it can be obtained, on call has been the
whole cause of the present high range of prices.
1t has enabled combinations of brokers to put up the
market by active purchases, and by holding large
lots under hypothecation to keep the imitation going
This may possibly continue for time longer, but
ultimately the whole market must give way. The
combination alluded to does not include more than
half dozen or brokers, and it therefore has a
limit. The cash purchases have been large, but the
great bulk Of their operations have been on time,
their own option. The shorts are well
supplied, and the stock daily coming upon the
market at current prices is more than suni-
cient to meet any demand the bulls get up. I'M
der this state of things the buyers time dare not
call for their stock. Their position is at the best not
a very enviable one, and they no doubt wish them
selves well out of it. The imitation which has dur
ing the past month taken place in railroad stocks is
one of the most extraordinary and unnatural move
ments of the day. We see by the quotations that
several of these securities nearly as high as be-
fore the financial revulsion, while the property the
stocks represent has been rapidly running down in
productveness and actual value. The monthly re-
ports of receipts on all the roads where the mana
gers dare make them public, show q falling off of
thirty, forty and fifty per cent, with prospect for
the winter of the most gloomy character. The New
York Central Railroad earnings for October this
year were about $500 900 less than those for the
same month last year. The month OF November has
been particularly disastrous to this road The reshe
in the early part damaged the line to the extent of
$3.50 900, and the earnings for the month will show
decrease of from $3.50 to 100000 In the face of
such facts folly to expect four per cent dividend
in February. The probability is that it will be
passed altogether The Erie Railroad is no better
of. We learn that the company have given up all
hope of paying the interest due January l, on the
1862 bonds and that it is the intention Of the Board
of Management to offer the road for sale on the LIST
of February. This is about the best thing they
do. Subscriptions to the loan have, we believe,
been abandoned. For some days past there has been
no addition to the amount, and 1t Is about given
up as bad job. The last act in the Erie Railroad
drama is about being played, and then the curtain
win fall forever upon the old stockholders All the
prominent lines OF railroad in the Western States
are not in much better condition. They are doing
very little business and doing that under great dis
advantages The traffic is all way, and therefore
done at double the usual expense. The business is
principally freight, and that never paid much
profit for transportation. We must look for at
least five months Of great duness and depres-
sion in our railroads. None Of them can expect
within that time to pay their current expenses
Many companies are struggling along with floating
debts borrowing money from day TO day, rest
ing quietly in the hands of assignees. All of them
are embarrassed and must before they can be placed
again in position TO do large business, add heavily
to their liabilities. With these facts already before
the pubic mind, and new ones daily developing
themselves il is not much short Of rank insanity for
spectators 10 make such desperate efforts TO keepup
prices for the stocks representing these roads with
the hope Of attracting purchasers at the advance
No prudent man dare touch one Of these securities
for speculation. Outsiders have money for such
investments even If they had the disposition TO in
vove themselves, and the natural effect of such
rapid rise in market value IL 10 induce holders to
realise and retain their capital for less dangerous
pigments
The banks will II Is supposed show about the
same movement in their next returns at the last.
The discount line viii not vary materially The specie
reserve will be little less and the deposits about
the same. The news from Europe, by the Africa
and Vanderbilt, has put of to an indefinite period
the resumption Of specie payments, and our banks
viii pursue the sound and cautious policy Of contrac
ton. The process Of liquidation going on among the
old insolyent concerns will occupy the attention Of
our bank managers until the revival Of business, and
then they viii have a new class Of merchants to deal
with. While the banks are looking TO their old
debts, with an eye to getting as much as possible
out Of them, they will have an opportunity to en-
courage and foster the advent of new and fresh
class Of mercantile men. The two movements will
be entire9 opposite directions and both necessary
10 wipe out the vestiges Of the old rcyulson, and to
build up new system, with more vigorous material
TO work with.
The annexed statement exhibits the expectation OF
specie from this port during the past week =
smrwEvrs or SFEs1R FROM nm PoRr NEW YoRK.
Bark Teresa Maracaibo, Am. gold. ..... $4,000 %
ship parana, Buenos Ayres, Am gold ..... 800 %
str Arabia, Liverpool, Am gold coin .... 662,a95 %
" U. =. Mint bars ......... ~ ,Es3 ~
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