The Ottawa free trader. [volume] (Ottawa, Ill.) 1843-1916, 1858-03-13
Revival of Speculation and Confidence

Some time since we noticed that the reac.
ton from the late financial catastrophe had
already commenced in Europe and that II
was fast been communicated to this side of
the Atlantic. London, the great money
centre of the world, the revival of conf
dence and the reaction from the late finan-
cial CONFUSION are most marked. Every
day vast accessions of gold are being made
TO the reserve Of the Bank of En- gland,
while vessels fairly loaded down with the
precious metals are arriving from Australia,
the steamers by the way Of the Seuz 18TH
mus and the sailing vessels by the long sea
route.
So great is the PLETHORA Of money in Lon
/ don 1T the present time that the discount
7 houses arc loanirg at 2a2! per cent, On six
] ty days paper, while on call there is but a
very limited demand at one 1a1! per cent.
Thus it will be seen that money is literally
a gong begging.
The cause of this rapid recovery from the
extreme depression of few months since
is easily explained. al over the world,
when the Revision came npon business,
every man in trade commenced taking in
sail, all new projects were nipped in the bud,
while the cutlays on old were curtailed as
much as possible, if not altogether stopped.
commenced econom;zing in every possible
way. Every merchant, man OF business
and householder followed suit. The gen.
ticmen cut short their extravaganza and
the ADDE'S were not slow to initiate the good
example Thus in few months the bust
ness CT the world was reduced nearly fifty
per cent, ard OF course the amount Of mo-
ney required to carry il on was proportion
ate'y diminished The rapid extinguish-
msnt OF outstanding liabilities, and the
degire Of every Capitalist 10 have his means
Snuciy in hand also drew immense sums, in
specie or its equivalent, 10 the great money
centres. And TINS it is that we see a pie
tboTa Of circulation at the heart Of the com
ucrcial world, whilst the cxtremities are
suffering from the absence Of il.
Bat this state CT affairs will soon remedy
itself, aud, indeed, we observe that the re-
action has already commenced in the ex-
;Eomities OF the financial body. In our city
Tor instance, there IS = daily tendency TO
ease IN the money market. Exchange has
gone down 10 per cent, with 4 tendency
. still farther decline We would not be
surprised to see by the opening Of spring
q very ii0UTsI;rg and healthy state Of trade,
at once profitable 10 the merchant and high
beneficial to the farmer and manufacturer.
The late cri-i. has had an excellent effect
ir reducing al c1sravacsEt expenditures;
IN looping Of al useless and wild uuGertaa-
In.s and in restoring back our commerce to
It's legitimate channels. Il has, Ike one Of
those violent storms In the tropical regions,
or in hot and Su'Ty weather, served TO clear
tie faaucisi and commercial atmosphere
so that the honest and economical merchant
and trader may now be able to see their
;ray clearly, and prepare themselves for an
active and profitable business.
ia EeT York We observe the extremely
cheering news from England is having ts
l1~tt mate effect. There IS = rapid reaction
and intense excitement in stocks. In feet
the rapid accumulation Of money, there &C.
ing over *53. 600, oyJ Ct specie IN the bank
vaults. is prcdGcjGs q gambling spirit which
may not have very happy effects il carried
10 too great excess. Orders from outsiders
ase constantly coming in from all quarters
for the purcha-e Of stocks, while the bears
Of ferg months since have become the bulls
Of to-day. After realizing large profits by
selling snort, they with g-ea: sagacity turn
el N the critical moment, a. cut the time Of
IL. suspension Of Tire banks and more han
doubled these profits By selling largely long. F..
Fortunes have been made in day by the
Sudden imitation, al still the progress IS up +
ward.
n view Of q. tbs We again reitcrato, that
We cannot see any reason why ihere Should
not lee an active revival Of trade IN tie
spring upon healthy basis. and that our .
city especially should no. enjoy the benefits .
"a be derived frc1a it in an eminent degree.
The immense accumulation Of mo e. in .
London and New York cannot remain there
forever to be uae1 ployed in stock specuia- .
tons Il be aow westward aud be employ .
cd in the legitimate business OF the country. .
Already We notice the Illinois Central Rail .
road Company, through Mr.. Osborne, the .
President, has obtained surplus accumu!a-
ting SO rapidly in London. Tuis must ,
eventually bentfi. our city, as large co.- /
ton OF it vii necessarily be expended in .
Eur CITY and S.ate-CA. Dan.