The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1857-11-27

Of wealth to the principles which ensure the dura-
ton Of power The financial crisis is not an isolated
event. The abuse OF money is merely an incident in
the violation OF the general laws OF statecraft and
this explains why nations in Q state Of revolution
accept willingly ideas of bankruptcy-for bank
ruptcy is naught but revolution.
From the Pari. Constitutional, Nov. lal
What is the amount of the specie reserve imposed
on the New York banks The law exacts that every
bank shall have specie reserve equal 10 IA per
cent or an eighth of its circulation in notes. Inus
when the majority of European banking institutions
believe it necessary to possess reserve equai 70
third Of their ISSUE the American banks command
only reserve of an eighth This is quite sufficient
to explain the actual state OF matters reserve OF
an eighth may suffice in days of confidence and
prosperity; but it is rapidly exhausted in moments
Of difficulty. Even were the issue placed on more
equal footing with the specie reserve, it would not
suffice to meet excessive speculation, particularly in
a country like the United States where commercial
holiness and rashness are proverbial We believe
that security will only exist whenas is the case in
England and France-the issue OF notes shall have
been placed under the c0ntrol ana dependence OF
central institutions.
from Galirnani's Messenger, Getty Artcle Nov. 1877
The arrival of the English funds with decline
tended to make this market heavy, but prices were,
Notwithstanding pretty well maintained until near
the close when considerable agitation was caused by
reports which became in circulation that the Bank of
England had raised its discount to IL per cent that
very serious disturbances had taken place at Gias
v,
the advances it had made on public securities, and
that failures had taken place at Vienna. These
rumors together-though the first named, il is proper
to add was not generally credited-had depressing
effect but without causing any very material decline.
For the Account Threes, which had commenced at
66f 75c., and stood between that and 66f. &c., re-
ceded to close at 66f. &C., with fall of &c., Four
and half per cents left off at 90f 75c. For cash,
the former &C. lower and the latter Csc. higher,
the prices being 66f 55c. and 90f. 75c. Bank of
France shares UNMARRIED; Mobilier have fallen IF.
SOC. Railway shares have been offered, and quota
tons are generally lower.
THE BANK OF FRANCE
The monthly return of the Bank of France as
made up to Thursday, the 18th Of November shows
the following results the exchange taken at 25f to
the pound):-
Coin and bullion. ct 5s1 200 Decrease 81 $40 900
Bills discounted ....... % Sal 600 Decrease SOC 500
Notes in circulation 20, $50 800 Decrease 963 700
Treasury deposits. 2S95 900 Decrease CO.,, 700
Private deposits. .... 1882 900 Decrease 1903, 600
Advances French ,oo .oo y,ouu.,o :, 400
government securities A''o''o' i A'''
Advances railway On, ooo rroro,so Tee ooo
The principal alteration is the falling off of
81, 44O 800 in the coin and bullion, following the de-
cline of 1896 500 shown in the previous return
This has occurred too in spite of increased artificial
purchases of gold the sum expended in premiums
on gold which during the last month or two has
averaged 10000 or Ell 100 per month"; has now
increased to fl5,000.