The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1860-07-23
The course of the Stock Exchange during the pas

The upward movement in stocks noticed fn our
last weekly review was checked by free sales on
Thursday. Some stocks which had advanced
pretty freely were apparently higher than the
facts warranted, and since then the market has
been rather lower. From the aspect of the mar
ket however, we should judge that the reaction
was not likely to be Of any great duration or seve
rity. The current Of public opinion, both in and
out of the street, is setting strongly towards hope
fulncss and buoyancy. The bountiful crops Of the
West the prosperity of trade, and the general re-
oovery from tho prostr alton Of the past two years,
encourage people 10 look for better times: and the
natural inference is that stocks which fiuctuate with
the ebb and flow of hope and confidence will, in
the long run, rise more than they fall.
The condition Of the financial world at the pre-.
sent time naturally suggests review Of past years
Financial, Ike political, cycles repeat themselves
in endless succession the horoscope Of The future
may be discernod in the shadow of the
past. In the year 1850 the commerce
of the world at large was on a sound
basis and was in 4 regular course of gradual
development. In about that year the rate Of COM
mercial progress was disturbed by the discovery Of
gold in California. In the following year further
perturbation caused by similar gold discove.
rics in Australia. These discoveries were beneficial
at least in the sequence of their actual addition to
the worlds stock OF specie; the new country they
opened TO agriculture, the increased demand they
created forabor and anua ctures of all kinds, were
really more sorviceabe than the mere bullion they
threw into circulation Altogether, they impaired
such an impetus to commerce that. notwithstanding
the French coup d0dt in 1851. the whole world was
more actively commercial in 1852 than it had ever
1ns,, Lof. 4
progressively for three or four years, during which
the foreign commerce Of France increased twenty.
five per cent. and that Of Great Britain and the
United States nearly as much. II was checked in
1915 by the outbreak OF the Crimcan war. This
was the first shock given TO CONFERENCE.-The Grst
drawback TO commercial enterprise.
II was no, felt directly or as severely here rs
IN Europe. for the reason that the war created an
unusual demand for food of which this country had
a large surplus. Thus While the commercial world
at large was in reality growing poorer. in conse-
quence Of the reckless expenditure Of men and
money in the war, We appeared to be growing
richer, in consequence Of heavy sales of bread
stufs and provisions at high prices. Bat the laws
Of finance can never be eyadcd. Within q year
or two after the war it, consequences were felt
The poverty Of Europe deprived us Of a market for
our securities; the natural reaction from the fever
oflsjj6 set in: and the crisis Of 1851 was the re-
suit. This was the second check to the tide of
prosperity which began to flow in 1851.
The year 1858 was generally year Of liquidation
throughout the world. Commercial confidence was
well nigh destroyed and the dramatic suddenness
of the events of the previous year had warned all
men TO be cautious. In this country the failure Of
the food crop operated to plunge the North
into even deeper depth Of poverty than II had
known in the winter Of 1857. It was believed by
farsighted observers. In the fall Of 1885, that the
subsequent year would witness a swift recovery.
That hope was quenched on New Years day 1869,
by Napoleon's oracular speech TO the Austrian
Ambassador. Then followed after some months
Of terrible anxiety, the war with Austria, which ef
fectualy checked commercial enterprise. This wes
the third blow struck at the Of prosperity which
copmenced in ls5o-l.
The war ended as rapidly as II had begun. Ma
poleoa left behind him. II IL true good deal Of un.
finished work for Garibaldi and Victor Emanuel
TO complete; but IL was in such q shape that Gas