Nashville union and American. [volume] (Nashville, Tenn.) 1853-1862, 1857-12-29
monetary and commercial.

Monetary and Commercial.
The amount Of Treasury notes authorized to be
issued by the bill before Congress is S20,000000,
the operation Of the measure being limited to the
Ist Of January, 1859, and no note to be issued of
less denomination than $780, Upon the first six
millions the rate of interest is to be fixed by the
President and Secretary Of the Treasury, while the
remaining fourteen are to be awarded to the highest
bidder. The notes are to be receivable in payment
of all public dues, and are to be re-issuable.
The New York Tribune, of the 18th inst, says:
The Secretary has been in consultation with several
financial gentlemen upon the subject but has not yet
fixed he rate Of interest which the six millions
shall be issued The point is to fix upon the lowest
rae a which capitalists and institutions viii absorb
them at Par for temporary investment, and this rate
II is thought is y cent. Several Of city banks
have expressed a willingness to take considerable
amounts at this rate, for the temporary employment
of their idle funds, and applications have already
been received from individuals to some extent for
the same purpose The Government officers enter
tain doubt of their ability to exchange these
notes for all the gold Whichthe Treasury will require
If the rate of interest is not put too low. Another
rate has been suggested, 65-lOO Z cent. and has
met with some favor for two considerations one Is
that il is a medium between 3 and II cent, the
latter rate being considered too high by parties
while the former is thought TO be too low, and the
interest it being just one per day the hun
bred dollars ASH is expected that these notes will
pass freely from hand 10 hand, and be used remit
iauces between the various portions Of the country
this facility Of ascertaining the accrued interest will
be 8 very desirable feature. il Is not unlikely that
ap5rtion Of the six mill Gus may be issued at mere
" nominal rave Of interest, and the option be given
% parties having claims upon the Treasury TO take
notes gold Il is believed that many parties would
prefer the notes TO gold less bulky and more
yenient for remittance, &c.
The Tribune Of the Dist says:
Money is very abundant in Nall street, on call or
short time and is offered freely good State secu
rites al b II cent. Strong commercial signatures,
which are very scarce sell steadily at from to 10
- cent and fair which have stood the test OF
the crisis without showing signs Of weakness, sell at
from J. 10 ID. These the highest quotations OF
the market for paper which nay properly be called
saleable among careful lenders. Negotiations at the
higherrange OF from TO T. cent 4 month, are in
class Of names which have, comparatively speaking,
but a very limited market.
The Ereaing Post Of the same date says: the bank
g atement to be published the following day. would
probably show increase Of nearly million IN
the line Of discounts, and that the specie reserve
would show So 900 900, which is up to the amount
Che banks contained when they resumed specie pay
ments on the l4th
The Cincinnati Price Current, Of the 23d, says:
The feelings Of doubt and dstTust that have
heretofore hindered the circulation Of business pa
per are gradually giving way to healthy conf
deuce. aud the difficulties in our money market AT
present are more the result Of an absolute scarcity
of capital than Of indispOsiton TO give II free
circulation. The demand for money, however, Is,
in the aggregate, very light, comparatively, and The
ur0specI as decidedly favorable for increased
supply Of capital, than II is for increased offerings
OF paper la the first place, contraction Is still the
ain Of business classes, and new obligations are
created with great caution and 10 avery limited ex-
teIt only Ia the next place, II requires from one
th,gd 10 onehalf less money TO carry on business IN
the leading branches Of trade than was necessary
wear ago owing 10 the deprecated value Of staple
commodities For example, a thousand barrels OF
flour that cost 1t this date last year, $4,000 can
now be bought for 81, 500; thousand hogs that,
last year cost SI4 .UU9. can now be controlled for
$4,000: and so with Grain, Sugar, Molasses,
Coffee sc. The great reduction that has taken
place IN prices, must exercise marked lnhnence
Itpou The money market. Banks Of issue Will find
itfmpos-hlc TO use their currency to the same ex-
tent they did last year. and they will be hardly able
SO get ont much ii any, fifty per cent Of their
late contraction. In rates Of discount We have no
change TO notice. The regular houses charge lUaI2
per cent, IOr good names.
In our general markets, prices Of all the leading
staples have been very much depressed, and the IN
dicatons are that bottom has not yet been reached
reaction therefore, is not, probably, 10 be an
even Of the immediate future, but that Breadstuhs
possible.
The Augusta Constifafioualisi Of the oath says:
Cotton has gradually declined in price an during
the past week recedei about cent. T. III. in this
and other markets OF the quantity coming for
ward here and Offering for sale, had the slightest
influence on prices, the market would advance: but,
IN The face Of very light receipts and a very little
Offering stock prices have continued TO recede.-
This has not been caused by scarcity Of money 10
Vay for Cotton nor by difficulties Of shipment TO an
Atlantic porg, nor by an Insuincieucy OF vessels,
nor low range OF irelghts TO distant marAeis
We can only search for the cause Of the gradually
declining pric0 OF Cotton to the conyulsed, and still
couvuisiug condition of commercial affairs IN every
country on the globe; aud we can only reasonably
hope Tor anything like stability IN the price Of our
great southern staple, when commercial confidence
Is restored. and the manufactures OF the world are
uut in operation 20 supply the demands OF trade
created by return Of confidence and business pur-
suits.
Oar planting friends, who comfortably siJua-
ted al heir homes may express their surprise nj the
fac that cotton has declined thirty dollars per bale
within "a few mouths; but the cullyaiors Of wheat
have seen their grain decline nifty per cent IN price
sugar planters have experienced stan greater
decline IA she price Of their Froducts-and al '"e
productions of the earth, OF machinery, ana OF
muscle. have felt severely the commercial convUl-
FIous of the fines All are hopeful that The worst
has been realized and many are fearful that the
storm Is not V. over. And when the fury OF the
that farmers viii obtain better prices for their pro
ducts.
The Legislature of South Carolina has passed an
act lega,iziug the susgeusiouot specie payments by
the banks OF that STATE until the list Of January,
1853. and the Legislatures Of Georgia and Alabama
have passed similar acts, legaiziug The suspension
of spece payments by the banks those States I'M
Ill the 10Th Of November, 1855 The hanks of Ala
hama are inerJcteG from issuing paying out bills
of less denomination than i've dollars after the LIST
of January. 1859; and those Of South Carolina OF
less than zen dollars after the Ist Of January 1860
The foreign news by the Adratic is regarded as
more favorable in financial point OF view than that
nv The Europa. There is evidently improving ten
dency in the money markets. both Of England and
France. accompanied by those peculiar features Of
apathy and staguation which follow in the track Of a
wild and intense panic. England and France have
gone through the ordeal and recovering from its
effects as rapidly could be expected. Germany
has just caught the lu force Of the hurricane and
the burghers of Hamburg bend and break under it
as easily as their younger and more excitable breth-
ren Of the mercantile community in this country.
its mitigatedsevery, however is the surest sign
Of speedy recovery, and may presently expect TO
hear OF an easier feeling, and the commencement
of an improvement similar TO that Witnessed here.
The Cincinnati Price Current Of the 23d, has the
following paragraph in regard to the reported dam
age to the Cora crop:
Paragraphs have been going the rounds" of the
daily papers, for a week TWO, stating that the
crop hes been much damaged by the cold weather
in November and the very wet weather which pre-
ceded and succeeded tins cold "speu." We have