The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1861-02-11
FINANCIAL AND coMMERc IAL
SUNDAY. Feb. 10. 1861


as the corresponding weeks Of the two previous
years in the import trade, and the export OF
specie-chiefy to the West Tndies-was quite
light. But the export Of produce and merchan-
disc was heavy, rs usual Of late. The moderate
importations at this and other ports, coupled
with the heavy export Of produce suffice to &C.
count for the reaction in the foreign exchange
market How long this condition of affairs can
last it is Of course difficult to say, though it is
clear that so anomalous state Of things must
be Of short duration. The following are tue Gus
tom House tables Of the trade of the port for the
week and since January Il
IroRrs
Fbr the ,oeek. 1859. 1850 1851
Dry goods ........ $s,7iot4o s,6ss say 2,oas,o7s
General merchandise. 2,4ol,6o5 i,eSa,els l7e5 loes
Total for the week. $3.50, eS4 2o2 GAS a,7s7,l44
Previously reported 1s3s97l2 20 9s8 s42 20 s9S
Since January i.. s2S COL aes 20, ,se7s7 23Sl7la2
EXPORTS PRODUCE AND MERCHANDISE
For the week ........ ssassi7 1909 ooa sso,s e4
Previously reported... s2elol 5sos42 10 SAL 2sO
Since January l. s.74ssls 1878 400 Il, 49,, os4
EXPORTS or SPECIE.
1859 1890 1861
Fsst as Sss ssys,,:a 3s ss
Since January I..... 50 $40 2ss eagle 42s,222
The banks continue to receive specie. Nearly
half million was received last week from Europe,
besides some $500, 900 brought by the Canada and
now on the way from Boston for New York ac-
count; and on Sunday last 81 5l3 693 arrived from
California Besides this, the Sub-Treasury has
lost money to the banks; so that there being no
drain except to the South for the purchase Of
cotton bills it is reasonable to expect an increase
in the specie average which will be published to-
morrow. Last Monday the banks showed specie
average equal to $3l ,O54 ,5O9-an increase of
2,0S5 ,568 from the week previous. The decline in
exchange must lead to still larger Accommodations of
specie than were expected a week ago. The de-
crease in the bank discounts last week 50 O27-
22O, the average shown being only 1921 ,907, 924.
The curtailment since December is thus about ten
millions of dollars, an enormous reduction to have
been effected in so short space Of time and with
so little suffering. The fact is, the moment trouble
began in November merchants began vigorously
to hquidate; the process has been so rapid and so
thorough that in very short while the banks will
find it difficult to keep up their discount line with
out dealing in single name paper, or lending on
call at very low rates indeed.
The money market is dull; the right sort of
paper goes very readily at seven per cent per
annum, and on call the supply is superabundant
at 5 per cent. Second class paper and
names not generally known are very hard
of sale almost at any price. The failure
Of another dry goods firm Saturday hurt
the market somewhat. Paper connected with the
Southern trade especially is avoided by buyers.
Collections are almost impossible in the Southern
States, and the passage Of stay law in Georgia
has not improved the credit Of parties who are
supposed to have money due to them in that State.
We are witnessing a revolution in the discount
market as well as elsewhere. In 1867 and 1853
every buyer Of paper wanted names in the South
ern trade; Southern notes were considered almost
as good as cash, and no one was willing
to buy names in the Western trade ex-
.cept at a very high rate of interest All
this is changing rapidly. The inquiry among note
buyers now is for names in the Western and
Northern trade; very few buyers will now touch
Southern names and then only at very high
rate indeed. As more than half our leading houses
have been more or less in the Southern trade, the
effect of this discrimination can readily be ina
gined. Whatever issue may be reached in our
political difficulties, years must eapse before the
Southern trade will stand as well in this city as it
has done in times past.
Foreign exchange fell last week. closing at
about los a "a for bankers sterling bills
There is no demand for bills; importers do
not seem to be renting as usual and the
market is quite fat At this time last year there
was active demand for exchange at 100. Several |
leading bankers find it difficult to cover with |
satisfactory mercantile bills, and have withdrawn |
from the market for the time. The recent fall in
exchange viii be a disappointment to the |
English. The steamer of Gath Of January from |
this side took ont adyices of such an advance In
bills as will probably have led to the belief that
the specie drain from Europe was ended; last !
Wednesdays steamer from Boston took the
news Of a reaction in the market, and of
sales of bills ut rates which leave q profit !
on specie inpertatons from London to New
York. 1t would not be surprising ii these
advices led to something like panic ON the other
side and to further shipments Of American stocks
for sale here.
The following table shows the course of tbs
stock market during the past week and month -