The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1860-03-13

The increase Of discounts, though bad feature,
is not unexpected. The banks are increasing their
loanssby lending money at FIVE per cent on CALL and
by discounting paper which cannot find currency
among the note brokers. Their loans are now high
as they were at this time last year, when they had
three or four more millions Of specie. The decline
in specie is quite unexpected, in view Of the light
export and the gain from the sub-Treasury; i.
suggests the idea that there was an error of a
million in the statement of Monday last. Assuming
that the banks held $2l 900 on Saturday, they
win probably hold over $23 100000 by Saturday
next, as, In addition to the remittance by the At
lantic, vanderbiIts boat is due with probably not
less than half million more, and the Sub.Treasu
~ viii continue to disburse money throughout the
week.
We hear Of sales of paper today at 81 per cent,
the lowest point of the season; it is needless TO add
that the paper was very choice and very short.
The supply OF good business paper with 4 a 6
months TO rum continues small, and all that is de-
sirabe is readily picked up at per cent. Lenders
continue shy of second class paper the banks viii
probably take what cannot find sale at the discount
houses. On call money is superabundant, and rates
already show declining tendency. The current
rate is FIVE, but for balances left with brokers less
is paid. A few loans are still running at 81 G.
The Sub-Treasury disburses slowly; the payments
to-day were s4o0, 45l, s66 900 Of which was for
California drafts; the receipts $l31,52 of which
tll5 900 from duties-the balance this evening
1895 ,97s.
The recent silver discoveries in California are
calculated to produce some effect on the money
markets OF the world. 1t seems probable that the
Washoe mines can yield 500 tons Of ore month,
worth from 50 900 to $4,000 ton. Scientific men
state that the great silver veins, which have con-
stituted the wealth of Mexico for more than a
couple of centuries, pursue northwesterly course
from the mining regions OF Mexico, through
Arizona and Sonora and finally crop out in Cali
fornia, and that the wonder is that they were not
discovered and worked before the gold mines
Letters from San Francisco describe the excite.
ment there as intense and increasing-as might
well proceed from prospect OF a new staple ex-
port, yielding $20,000,000 to SIS 900 year.
Messrs. ". T. Coleman & Co. aud others are
preparing to advance upon consignments of ore;
and we notice that Duncan, Sherman g. Co., of this
city, have opened an assay and smelling Office in
San Francisco. Some Of the ORE which arrived
here some time since, has been sent to Marseilles
to be smeIied; few barrels which were kept here
Companys works. on Staten Island, and yield
about % GOO ofpure silver to the ton. An ngot Of
silver extracted from these ores will be on exhibjs
ton at the Exchange in day or two. Altogether
the prospect is very promising and giittering; stA
there is always great deal Of exaggeration in the
frat stories thAt are told about new mines, and
the public must receive them all with caution
Foreign exchange was moderately active to-day.
This morning Messrs. A. Belmont & Co. were
sellers Of sterling at 1885, later in the day they
raised their rate to 109 at which figure the demand
was very light. Other leading bankers were ask
ing 1857 100. There were good mercantile bills
in market at 1854 !. Francs are steady, the rate
being 5l5i 5.l7l, with occasional sales of out of
town bills at 5.ls4 $50. The bankers are still
drawing against cotton and produce bills.
The following are the last quotations of sight ex-
change on New York at the cities mentioned, the
quotation being in all cases for gold:-
ca II