The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1860-08-10
FINANCIAL AND CONNER GAL.
THURSDAY, August 9-6 p. n.

THURSDAY, August 9-6 p. n.
The money market is rather more active to-
day, and rates are q shade firmer Several
lenders state that they are putting out nothing
on call under per cent and many borrowers
admit that they are paying 81. Still there
is good deal of money seeking employment
at per cent Mercantile paper is still scarce, but
the brokers say that rates are about per cent
higher; say q for short prime and @ for the best
six months notes 1t is generally believed that the
banks win show curtailment next week; some Of
the bank men profess to look upon an expansion Of
sl35 600 900 without any evil consequences be-
tween this and October. The Sub. Treasury bust
to-day was fair: the receipts were s29S l42 of
which 1891 900 from customs; the payments,
$50, JOY; the balance this evening, s5,so57s3.
Tie market for foreign exchange has hardly
opened for Saturdays steamers; the asking rates
at the leading drawers are the same, to wit: 1907
a 10 for sixty day bills on London and ll01 for
short sight; for bills Paris 5.l3 5l4' for sixty
day bills, and 5.Ies for short sight. The bulk Of
the business for Saturdays steamers will be done
Tomorrow From present appearances the ship
n.ent Of gold on Saturday VIII be from million
and quarter to million and half; this, how
ever, will be increased tomorrow should the eX'
change market harden, OF the bullion brokers low
er the price OF bars.
This has been another very active day in the
| stock market very large number Of buyers at
lower prices realized profit to-day; but for each
seller at least two buyers appear to enter the
market The speculative classes, not only
| in This city, but IN Boston, Philadel-
| phia, Chicago, Cincinnati st. Louis and
| throughout the country, appear TO have suddenly
| awakened TO the prospect of making money by
| buying stocks; the telegraph is kept busy all day
| with messages to brokers, directing purchases TO
be made: and thus, notwithstanding the sales
which take place daily, the market continues TO
advance. The phenomenon takes most of the brok.
by surprise; but after all, the Wall street opera
tors and the old holders of railway stocks-who are
the sellers at presentare an infinitely small body
In comparison with the outside public. Every buy
of stocks within the past month has made money:
could it be expected, under the circumstances, that
there would be any lack of buyers at present! The
declaration OF the three per cent dividend on the
| New j ork Central was received favorably in the
| street. being regarded as an indication that the
| future policy of the company would be conserva-
tive. The stock advanced at one time to So clos
/ ing $50 bid after the second board-an advance of
| j.. There seems to be doubt but mex; spring
| the old four per cent semi annual dividends will be
| resumed and the road will be enabled to accumu.
| late handsome surplus besides. Galena was
much excited, and, after selling at SO on
time, closed s0l bid, against 79l yester
| day. Some rumor of the settlement with
the competing roads found its way to the ears of
some Of the jobhers before the close of business.
Rock Island jumped up to 81, closing at $50 bid,
| an advance Of since yesterday Toledo sold at
49, an advance of u over yesterdays closing price;
$50 freely bid at the close of business Illinois
Central advanced per cent on the stories OF in
creased traffic; the foreign houses are selling out the
bonds pretty freely. Michigan Southern preferred
steady; the common stock advanced per cent.
Next year there will be something for the stock
holders in this road TO divide Reading adyancedi
per cent. Michigan Central declined !; rumor
states that the Boston party are selling out at
| the advance. Hudson River sold as high as
! COZ on time; il was held at G0-an advance of 4
al The close The business in bonds was large. and
| at advancing prices. The Erie bonds are higher,
and tho Michigan Southern issues. The fol-
lowing were the closing quotations to-day
Virginia 6s, 9ll a !; MssourGs, s2l I; Canton
l9i 20l; Cumberland Coal preferred, Ii a -;
Pacific Nsil, s0l a 81; New York Central, $50 a q;
Erie ga !; Hudson River, So co; Harlem,
l7s l.; Harlem preferred, s9i so; Reading,
~ Michigan Central, CO a GS; Michigan
Sopthcrn and Northern Indiana, q q 4; DO.
guaranteed, @Sl a 40; Panama, 1924 rs; Hi
nois Central s5l a Sc; Galena and Chicago, sOl
~ I; Cleveland and Toledo, isl :; Chicago and
Rock Island, $50 a 81.
We understand that the Michigan Southern Rail-
rosd Company have this day instituted silt against
the Corn Exchange Bank for the recovery Of
$50 900 and interest, beinr the par value of $50
second mortgage bonds Of the Michigan Southern
Company Illegally detained by the bank. The
facts OF the case have already been laid before the
public. Some months since the Michigan Southern
borrowed s25 900 from the Corn Exchange Bank,
and gave ne security $3.50 600 in second mortgage
! bonds. When the loan fell dne IL was duly paid,
! and the coiaterals claimed. These the bank
which, il sec,as speculates in stocks as well as in
wheat refused to deliver, on the ground that It
| (the bapk) was owner OF 81 second mortgage
| bonds, on which two coupons were over due: that
| in consequence OF such default, the bonds them.
selves had become due, and iha. the $50 900 dc.
| posted with the cashier must remain ne security
for the payment of the principal of the above Al
bonds, with their coupons. Il is hardly necessary
TO remerk that II any petty dealer had been guilty
Of such a trick IS this he would have been taken
forthwith before the Mayor, vino would have made
! Linn disgorgc in very quick style.
| The Michigan southern Company. acting under
the advice of counsel, have merely instituted a
! civilaction agains, the bank; the issue Il would
seem. can hardly be doubtful. This is the second
occasion on which the Corn Exchange Bank has
obtained an unenyiabe notorety. No, long since,
in tho hope Of saving 81 600 II actually refused for
mny DAYS 10 admit that II had heen tho victim, Of