New Orleans daily crescent., 1861-08-20
srATE CREDIT,

Anexchange says:
1t is a remarkable fact that Kentucky bonds de-
preeiated Ia the New York market, upon the re-
oept of the news of the success of the Union party
in that State.
we don't consider it at all "remarkable.o IT
was result precisely snoh as might have been ex-
pected. The fnanciers of Wall street knew eS.
actly what they were about when they refused to
buy Kentucky bonds at the SAME rates they had
bsen ruling. at before.
They know that by Kentucky's remaining in the
Old unioH she thereby becomes responsible for hel
proportion of the enormous national debt that old
scott and alincoln are now creating. They know
that she must pay her share of the annual direct
tax that is to be collected from all the States
loyal to the Union" They knew that by tile es-
tablishment of the blockade, Kentucky is cut of
from heEouthern marketfor her hemp, her bread
sttifs, her cattle and mules and everything else
she has to SELL The credit Of any State is in pro-
portion of its ability to pay--and if Kentucky be-
comes responsible for oppressive national debt,
ct the same time that her sources of individual
revenue are allS exhausted it does not take a
shreWd Wall street operator long to arrive at con-
cluson as to the probable future value of her bonds
Bat while he'success of the Union party at the
| late election in that State has deprecated her
bonds the bonds Of the Confederate States have
all advanced in value since the victory at Manassas
Just in proportion as the chances for success in
crease, so do the market prices Of our Southern
securities lis true, they fell heavily at tine be-
ginning of thewar. Bat they are now gradually
going up every day. They fell because Northern
holders could not expect payment, even Of the ill.,
terest while the North was making war upon u.s.
But, very soon, there came an active demand for
them from parties across the oceau--snd it is this
demand from European capitalists that has doubt
less putup the price, and confounded the financial
bears. And this foreign demand, too, existed be-
tore news was received in Europe Of the great
victory at Manassas. If, before that event capi-
tailsts had confidence enough in Southern securi-
ties, and the future political independence of the
Southern States, to invest their money in our
bonds, still more will they do so when they learn
that victory has SO signally crowned our arms
everywhere there has been an engagement within
the last four Weeks. 5.
lit needs no argument to prove that the credit Of
the Southern States, individually, would be weak
ened, il not entirely destroyed, by the success of
the North in this war Of conquest and subjagation
en the other hand it is equally clear that oa2sue-
cess would establish eur credit on such a basis
that it could not be shaken. We would net be
responsible for the heavy war debt of the North,
which will be five times as large as our own. and
onr varied and valuable agricultural productions,
released from the Northern grip and control and
hnding markets all over the world, would penr
into our laps the wealth ogeyof which we have SO
long been cheated by the iniauitous operation Of
Federal laws Exporting, Of cotton alone, two
hundred millions Of dollars worth per annun- and
freed from the expressions of high tariffs, nothing
could prevent us from attaining an unparalleled
degree OF prosperity. Financially, the old Union is
wreck and ruin and is becoming worse every
day the war lasts. The South is gust beginning a
career which will insure to her tie profits of her
own industry out Of which she has been long
sgindled, and the future is all bright and glorious