The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1860-04-24


April April a. IT. ssss IS 1ss5 sssss
Decrease sl,47c,i47 sss.eos l,oas
Increase 1892 -
This movement is unexpected. The decline in
deposits proceeds from the withdrawal of funds
by country banks, which require their means
at home, in consequence of the opening of naviga-
ton. This DECLINE appears to have compelled the
banks to redu heir loans more rapidly than their
mclinations and their specie resources had led OBJ
servers to expect The loan column is now as Icy
as it three weeks ago, and 500 900 lower than
it was year since. This statement will strengthen
confidence, and impart courage to the mercantile
community. Before another statement is made
another shipment will have been received frou
California.
The news by the Australasian that the Bank Of
England had advanced the rate of interest from 4
to per cent, though generally expected by bank
ers took the public at large somewhat by surprise.
The cause of the advance is clear enough. The
heavy drain of specie to India pay for the rupee
stocks which have been so favorite an investment
of late with the speculative public in London; VI"
general activity of buainess Tho long credits grant
ed to foreign purchasers of British goods, and
above all, the unusual hardness of specie remit
count for the phenomenon. Up to the present
date, our specie shipments to England since Jan.
are 81 100000 less than the shipments of the cor.
responding period of 1885, and S. 800 900 less than
tthose of the corresponding period Of 1868. Had
the cotton crop last year been less abundant than
it has proved, the London money market would
have probably received, between Januaryl and
the present date, over $s,O0O,0OO more gold than
we have shipped, which would have enabled the
Bank of England to supply gold for the drain to
France, without raising the rate of interest above
q 81 per cent. We have kept the gold, and the
consequence is British bank rate of per cent
rather higher than the current rate here. Some
uneasness is felt in certain quarters as to the effect
of the movement upon our money markets. Some
persons this morning seemed almost apprehensive
of panic. Such fears are gratutous Panics and
commercial disasters will never arise here from
embarrassments Of foreign communities, but a.
ways from imprudences of our own. If the bank
rate of interest in England remains at per cent,
while money is very easy Gas is the case ct
presently at in New York, certain foreign houses
which have large balances here will send them to
England for temporary employment; and the
transfer will speedily equalize the rate Of interest
in both countries It is further probable that the
advance in the value of money in England VIII
hasten specH shipments from this side; but 80 long
as our commerce is conducted on sound principles,
and our staple products continue to be supplied in
adequate quantity, there need be NO apprehension
Of any evil consequences from q resumption Of +,
specie shipments. Indeed, it is now becoming
rather desirable that the usual summer export
of specie should commence. The United States
should-to make their exports balance their
imports-ship at least s45 100000 of specie to
Europe this year. Thus far-though one-third of
the year has nearly elapsed-the total exports
have not been over SS,0OO,000. There was rather
more activity in the exchange market to-day, and
bankers asking 1904 for sterling go day bills,
and ll0t for short sight; but even at these
rates It requires very nice management to ship
specie without netting loss. The leading drawer
on Paris has advanced his rates to 5.l24 and Sis.
The Persia will take out between 100000 and
$4,000 in specie, about 100000 of which will be
in silver. Money was not affected by the news
from Europe. is still amply supplied at s per
per Cent on call, and for short, and 81 . 6 for
long first class double name paper. An advance
Of one per cent in money seems quite likely, If
specie begins to flow outward freely; it would DO
healthy Indication.
The realization Of profits by operators on the
Stock Exchange, which began on Saturday after
noon, continued to some extent this morning. and,
the news from Europe being unfavorably construed
by spectators, general decline was the result.
It may be remarked, however-and the circum-
stance is noteworthy as throwing light on the cha
racter of the market-that the bond market did not
share in the decline State stocks were very firm.
and the issues of the Hudson River Michigan
Southern and other railroads were all either firm
or fraction better than on Saturday. The decline
was most marked in Central and some of the West
ern stocks, which have been largely bought on
speculation at lower prices. Central declined I'd
794, closing at 79t bid, against 79s bid at
the close on Saturday. Other speculative
stocks fell off nearly as much. Comparing the
transactions at this mornings board with the cloAt
ng prices on Saturday, Rock Island declined a.
Toledo, I; Galena, D; Illinois Central, J.; Michigan
Southern guaranteed, Z; Michigan Central ]. Pacific
Mail and Panama were steady. This afternoon tho
market was quite active and stocks closed weak at
the following quotations:-virginia 6's, 934 . 1;
Missouri 6's, 81 q 1; Canton, Fl a ]; Cumberland
Coal preferred, 15 Pacific MAIL 1O4} a los; New
York Central, 79t . 1; Erie, III a ID; Hudson
River, II /; Harlem, 49, /; Harlem preferred.
80 I; Reading, At 3; Michigan Central, 472 49,,
Michigan Southern and Northern Indiana, III Is;
do guaranteed, ESQ "a; Panama, 1864 !; Illinois
Central, 500 60; Galens and Chicago, 8si al:
Cleveland and Toledo, 2sa 4; Chicago and Rock
Island, $50 GA.
The following are the last quotations of sight ex-