The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1858-01-07
MIR. BUCHANAN'S MESSAGE In ENGLAND.
Its Effect I'm England -OpiniOns or the Lon
don Press-Tlie Clayton BulSver Treaty.


don Press-The Clnyton-Ruiwer Treaty.
From the London Shipping Gazette, Dec q
We have before US the Presidents message at the in
auguraton Of the Thirty fifth Congress OF tho United
States il is like the generality Of such State paYers-a
document lengthy ard elaborate extending over several
columns of small type, and entering very fully into the
financial revulson the affairs Of Kansas and OF Utah. the
tariff, the Buiwer Clayton treaty, the fbustering
expedons--in short, into every question which can AZ
the present moment occupy the American statesman in
the foreign domestic relations Of the Union As it
would rot be possible within the limits Of single article
to review these TOPICS shall select for the pur
pose of immediate comment those which engage the
largest share OF public attention both couniiss re-
serving To- mother day any remarks which the remaining
portion Vi me message NAY suggest
When in the month Of March last Mr.. buchanan pro
no1nced the financial prosperity of the States TO be with
Z a parallel in history he little knew what few
months would bring forh-ndecd he seems IN taye had
no idea whatever that causes thon ut work
which were silently bat surely produccng their dsls
trous effects and which in the nature of things have
resulted III the CONFUSION which have all witnessed
The President must have known that the American
part OF the 400 banks throughout the Union and there
fore Mir Ruchanans own words, not responsible for
the existing anomaly, that government endowed with
the sovereign attribute Of coning money, and regulating
the value thereof should have no power b. pre-
vent others from driving this coin the country
and filing up the channels of circulation with paper
which does not represent gold and silver" But although
Mr. Buchanabs sagacty appears to have been q. fault in
net anticipating tine evil which, no man will deny,
vigorously at WORK in the States eight months Since
has traced the monetary disturbance to its source with
great fidelity and has enuncated his views for the pre-
venton OF its recurrence win remarkable clearress and
good Il appears from report issued By the Trea
sury Department that IN January aggregate amount
specie in the vaults Of the various banks throughout the
States $50, SIS, while their circulation amoued
to SHAFTS So and their deposits 81 $3.50 ,351 352,
showing that the ratio OF the specie in these establish
meDs 10 the amount Of circulation and deposits less
than TO sevenhst is 10 say, that OF the entire cir
cuaton Of the States there last January. but
seventh represented by specie The inference from this
OF things overwhelmingly, that the very first
pressure must drive banks so situated into suspension
deprvIng the people OF convertible currency and pro
ducing the w5c spread havoc which will make the close
OF 1887 long memorable IN the annals Of commercial dis
aster. Sin all former revulsons (says Mr Buchanan)
the blame might have been fairly attributed 10 variety
cooperating causes bu not so upon the present occa
sion II is apparent that existing mislortunes have
proceeded solely from extravagaut and vicious sys
ten of paper currency ard bank credits exciting the PEG
pie TO wild specuatioRs ana gambling IN stocks" Aud
since is manifest there can be protection against tho
successive recurrence Of these rcyulsons so long a.
The l.4oo banks possess The power OF Increasing
encouraging unprncpled spccuations aud stimulating,
the import trade Of the country by excessive loans Of
such paper. Dir bnchGnan suggests that the banks shall
be required by law to Keep hand eat all times :"
dollar Of gold and silver for every three dollars OF their
circulation ana deposits: that self-executinc enact
menti shall provide that the moment bank suspcnds IL
shall 90 into liquidation; thai there shall be weekly
turn frcm each bank OF lis condition and finally that oy
uniform bankrupt law the suspension Of specie payments
shall produce is civil death These suggestions will we
have doubt have their weight with Congress well
h the different States of the Union aud trust sin
cerey they will produce prompt legislation in direction
much needed, and TO extent b. oxaggor.
ated in the message before
II would that the Dallas Clarendon treaty still re-
mains Wadjned phiie The Buoer Clayton treaty Is rr-
naiy abgogFdted b as actual GirogaOq recommended
The controversy upon the Central Amer an questions
which Is stu open, not, at least IN the opinion Of Mr.
Buotaran present any very encouraging prospect ut the
same time he admits that the British government have
approached the subject recently m the most friendly spirit
spirit which Is fully reciprocacd by the Cabinet of
Washington. Nevertheless the opinions OF the two gov.
ernments are upon INC questions referred to 50 directly
settlement Ct the controversy may De remote than
many seem 70 imagine our space, as have SAID does
not permit US the present occasion 10 follow the President
topics 10 which he has addressed himself with
much ability and abundara command of informaton but
desire invite readers attention the policy de-
beraiely adopted by the American government, with
ference 10 China, and their estimate Of the rights Of
civilized nations Involved in the collision with that
try" Whilst our Minister has been Instructed to occupy
neutral position in reference to the existing hostucs at
Canton he will cordially Cooperate with the British aud
French Ministers IN all peaceful measures TO secure by
treaty supulaons those just concessions to commerce.
which the nations OF the world have right 20 expect and
which China cannot long be permitted 10 withhold From
Assurances received entertain no doubt tpa the three
Ministers will harmonious concert to obtain similar
commercial treaties for each Of the Powers they repre-
sent"
lFrom the london Times, Dec. 221
The message Of President Bucbaia delivered TO
the senate and House Of Representatives. Washington
the sth Of the present month. To American the
document may not have than the usual importance,
inasnuch there must always be succession OF local
questions which interest him az much as airy that are
treated Of here, But on THIS side OF the the
sage will not fail 10 be read with especial attention.
II deals with two subjects on which the public mind has
lately been more or les occuped-the monetary crs
and the position Of Central America The principles
which our Bank Act Of ls44 "a founded have
lately received the acquesccnce Of men Of all
parties !. this country. Although Tor years there
has been dcsultory warfare Kept up by It's oppo.
ncnis. sooner has danger seriously thrpafeDed
Than every one VINO nad reputation 10 lose fastened TO
discam all sympathy with the advocates Of nres,rct
cd sse, much with the propouuders Of the doctrine
OF inconvertbty. We have now tribute 10 our none
iary sysm from the first magistrate Of the other great
world. buchanan
representatives Of The states and of the people that though
the material wealth Of the country had suffered no absie
ment though the fruits Of the earth plentiful and
the demand for every American staple remained largo,
yet through acommercal disaster manufactures
rcnoed public works retarded, private enterprises aban-
doncd and thousands IL aborers reduced want Tho
of these caames bc finds in the monetary system
Of hi. countrymen. &c" Is apparent that our existing mis-
fortunes have proceeded solely from our cxtravsgani aud
vicious system OF paper currency and bank credit exciting
the people to wild speculatons and gambling in stocks
The President complains that whereas the constitution in.
vests Congress with the power OF Coming money and
hibs the individual States from coming metal OF issuing
bills Of credit, or making anything bat gold and silver
legal tender yet by the operation Of the bank syrtcn
the country plagued with excessive and irredcemabe
paper currency The control OF paper issues has been
dividua states, which have exercised 20 neggently
that has been "vrtually transferred 10 more than 400
State banks acting independently Of each other and rcgu
atng their paper issues almost exclusively by regard
10 the present interests Of their stockholders" No
has been taken by the States that these
10 Ss5,o banks s ss%SsaSp r
They 10 certain extent, obliged 10 hold an amount
Of United states state debt, but this give
rny case OF n sudden demand for gold. Each bank has
only small Of circulation, and in few days the
depositors and note holders might demand sufficient
amount Of specie 10 It's suspension, though
had coin in its vaults equal TO third Of s liabilities
yet only the banks If Louisiana have been required to
keep this any other proportion Of gold aud silver.
The consequence Of ali tbs has been that according
returns In January 1857 the aggregate amount OF
specie the United states banks bu, sos 3ie,s3s
while their papcrcircuaiou amounted 10 s2i so and
IN Tho hapl IN he
gegate have considerably less than dollar in seven
Of gold and silver compared with their circulation and
deposits. After showing how AZ ANY OF pressure
the American banks must necessarily suspend payment IN
specie the President urges on the several states the duty
OF controlling the banks within their limits More thsn
this he declares his opinion that Congress has 20
Iass uniform bankrupt Law applicable 10 al banss IN
the United States and strongly recommends the exercise
Of such power "Ths would make IL an irrevcrsibe
and organic iaw OF each banks existence that suspen
sion Of specie payments should produce us civil keath
In piamer terms, Mr. Buchensh would enforce the Gem
mon senss law that when bank cannot ray Y shond
Il tf.d lut