The daily exchange. [volume] (Baltimore, Md.) 1858-1861, 1860-11-23
THE FINANCIAL PRESSURE
ACTION OF THE PHILADELPHIA BANKS,
THE NEW YORK ARRANGEMENT.
THE SOUTHERN AND WESTERN BANKS

press the opinion that the condition Of affairs th
afternoon, evidence healthy state of trade. Their
| is more cheerfulness among business men, and the,
| has been more discounting to day than any day fc
| two weeks past. The banks are manifesting ever
disposition to accommodate, and no failures are RI
ported. The quotations for specie are unsettled
but they may be rated at from 3 to per cent. Tn
| latter for small purchases.
| BANK SUSPENSIONS
WASHINGTON, Nov. 22.-The Banks of this cit
and District suspended specie payment this morn
ing. There is, however, no panic or excitement
PHILADELPHIA, Nov. 22.-The Bank President;
met to-day at noon to consider the propriety of SUI
pending specie payment.
SECOND DESPATCH
PHILADELPHIA, Nov. 22.-The Bank officers have
resolved upon a general suspension of specie nav
ment at one o'clock.
THIRD DIsPAToH.l
PHILADELPHIA, Nov. 22.-The action of TIE banl
Presidents suspending specie payments during tn,
present exigency, is generally regarded will
favor by our business men and the press, having
been determined on as a precautionary measure Il
enable the banks to expand their discounts and pre-
ventive of panic like that of 1857 An immedi
ate meeting of the Legislature has been suggested
Tor the double purpose of relieving the banks from
the operation Of the banking laws and consider
slave law.
The Bank of Chester county will suspend to
morrow, and all the country banks of this Stat,
will probably take the same course.
VIRGINIA BANK SUSPENSIONS.
NORFOLK, Nov. 22.-The branches of the Virpini,
Banks at Norfolk aud Portsmouth, and the Farm
ers' Bank of Norfolk, have suspended specie nav
ment.
SUSPENSION OF THE WHEELING BANKS
WHEELING, Nov. 22.-The banks of this city al
suspended specie payment this morning.
EXCHANGE ON NEW ORLEANs-ExPoRTs OF COTTON.
New ORLEANS, Nov. 20.-There have been sales
of very good sterling bills in the market at 96@97
but the feeling is now little better
The money market remains stringent, but tn @
banks are dscounting quite freely. The exports OF
Cotton hence for the week to England we're 80 OOO
bales. and to Havre 5000 bales.
The exports from Mobile to England during the
week were 10000 bales. The market is IRREGULAR
and nominally 9M for middling. Bills on London
have been done ats per cent. discount.
EXCHANGE AT SAVANNAH.
SAVANNAH, Nov. 20.-There is no market for
sterling, and transactions in Cotton are quite small
Merchants are becoming sick at the prolonged
"'7''"n p 7S'@'"6fL'iV9 = svvr-y, =,
ACTION NEW YORK BANKS.
The managers of our banks yesterday morning
became thoroughly awake to the precarious char
acter of their condition, and held meeting to con-
slider measures for the relief of the mercantile
III
Gle payment by themselves. A scheme was pro-
posed and adopted, subject to the approval of an
adjourned meeting, to be held in the afternoon
This plan contempates general and liberal expan-
sion of loans to meet the full wants of the CONNER
cial world-a committee of five to be appointed, to
whom any bank which should be drained of its
gold could apply and by the deposit of bills receiv-
able, stocks, &c, in trust Clearing House certif-
Gates to the extent of rs per cent of the deposits
would be issued, which certificates to be receiv-
able at the Clearing House in payment of balances
This practically establishes a community of all
the specie in the bank vaults, and no single bank
can be broken so long as it has good assets In the
present state of our foreign trade, there being no
shipping demand for gold, see no danger in
this expansion of loans contemplated, and if the
step had been taken two weeks ago much suffering
would have been averted. The want of leading
spirit in the banking circle has been painfully evil
dent and the banks, each one for itself, have gone
scrambing for coin until the merchants and
banks have together been brought to the brink OF
bankruptcy. We trust the action of this afternoon
has averted the danger, and that the relief to be
afforded will be sufficient to niuse vitality into
all the avenues of trade and commerce.
No better proof of the thorough fright and ear
nestness of the bank officers is needed than the fact
that for the first time since the organization of the
Clearing House there was complete unanimity of
opinion to the policy and necessity of the action
adopted. 1t appeared to be generally conceded
that the existence of the banks themselves could
not be assured for many days unless the mercan-
tile would receive the needed relief by an imme-
date and extended expansion of loans. The screws
had been turned nearly to the last point of endu-
rance and we were witnessing the anomaly of a
severe stringency and money panic Mt a period
when on all sides were the elements of prosperity
such as this country has seldom seen. The official
report of the meeting is as follows
At meeting of the officers of the banks of the City OF
New York. at the Merchants Bank, Wednesday, the
21st Of November 1862 the following proceedings were
unanimously adopted, viz:
In nr6a tn thp hqnlra aft bn No
to expand their loans and discounts and also pur
pose of facilitating the settlement of the exchanges be-
tween the banks, it is proposed that any bank in the
Clearing House Association may at its option, deposit
with committee Of five persons-to be appointed for
that purpose-an amount of its bills receivable United
States Stocks Treasury notes stocks Of the State
New York, to be approved by said committee, who shall
be AUTHORIZED to issue thereupon to said depotng bank
certificates deposit bearing interest seven per
per annum denominations of five and ten thousand
dollars each, may be desired to amount equal
sevenyve per cent of such deposit These certificate;
may be used in settlement of balances at the Clearing
House. for period of thirty days from the date hereof
and they shall be received by creditor banks during
that PERIOD daily in the same proportion as they bear c
the aggregate amount of the debtor balances paid at h
Clearing House. The interest which may accrue upor
these certificates SHALL at the expiration of the thirty
days be apportoned among the banks which shall have
held them during the time.
The securities deposited with said committee above
named shall be held by them in as a special depos
it, pledged for the redemption of the certificates issued
The committee shall lie authorized to exchange any
portion Of said securities for equal amount of others
to be approved by them at the request of deposn
bank and shall have power to demand additional security
either by an exchange or an increased amount at hei
discretion.
The amount of certificates which this committee ma
issue above shall not exceed SIS, 600 O09.
This agreement shall be binding upon the Clearing
House Association when assented to by threefourths
its members
Resoped That in order to accomplish the purpose Sc
forth in this agreement the specie belonging the
cated banks shall he considered and treated
fund for mutual aid and protection, and the commte
| hall alivaf bao
otherwise.
For this purpose statements shall be made to the CON
mittee of the condition of each bank the morning
every day before of business which sha
be sent with the exchanges to the manager Cea
| ing house, specifying the following items, viz:
l. Loans and discounts.
2 Deposits.
s. Loan certificates "
Res0lred, That after the LIST of February next ever
bank in the Clearing house Association shall have o
hand at all times, in specie, amount equal to
fourth of its net liabilities, and any bank whose spec
shall fall below that proportion shall not make loans
discounts until their position is re-established; and
members Of the Clearing Association agree tina
we will not continue to exchange with any bank whc
shall show by its two successive weekly statements this
it has violated this agreement.
The Chairman appointed the following named gentle
men the committee:
| Moses Taylor of the City Bank.
James Punnett, of the Bank of America.
| R. W. Howes, of the Park Bank.
| A. S. Fraser of the Seventh Ward Bank.
Charles p. Leverch. of the Bank of New York.
| JOHN A. STEVENS, Chairman.
W. F. HOOKER, Secretary.
From The Washington Star Of Yesterday EUeningl
SUSPENSION OF THE DISTRICT BANKS.
Yesterday the Baltimore banks resolved to su:
pend this morning, and as consequence our ow
banks have already been compelled to follow thei
example. Had they hestated forty, eight hours i
doing so, every speculator who could reach Wasl
ington per railroad in that time with their not
in hand, would have drawn specie for them; thu
putting it out of their power to aid their regulf
business customers to the extent of dollar in the
unsettled times. The consequence would have be-
the bankruptcy of hundreds here whose business
really in as sound condition as that of any men G.
gagged in trade in any American city.
They (the Washington banks) are to be con
mended for thus promptly taking measures to s
cure their depositors as well as their borrower
against the injury which would have resulted fro
inviting speculation from distance upon their meal
OF securing all who do legitimate business with the
against any ultimate loss whatever, from the IA
that they do do business with them.
We need hardly add that lack of coin had notl
ing whatever to do with this bank action here, as
never was in greater abundance in Washingt(
than at present. The city brokers continue as us
al to regard their balances as specie, and all
trade in WASHINGTON will doubtless be able to o