The daily exchange. [volume] (Baltimore, Md.) 1858-1861, 1861-08-17

The negotiation, which has for some days past
been pending in New York, between The Northern
Bankers and the Secretary OF the Treasury, has
finally terminated. An arrangement has been eff
fected, which is heralded to the world by the New
York press as the most triumphant success, and as
most convincing proof Of the patriotism of the
capitalists of that city, and their determination
TO support the Government in this, its trying
hour Of need. The proposition finally adopted
was slightly modified from the report of the Com
mittee. We extract synopsis of the arrange
ment from the New York papers of yesterday:
IAN immediate issue to be made by the Treasury De-
parment dated August l5 1861 and bearing interest from
mat date treasury notes bearing interest at per Ct
TO the extent Of fifty million dollars The banks of New
York Boston and Philadelphia associated to take Jointly
ths NIFTY millions at par, with the privilege of taking
par an additional fifty millions, October 15 by giving
Their deciso1 10 the department October1 and also at
par nifty millions December Is, by giving their decision
December |, unless said shall have been pre-
Fousy subscribed as anaona loan; being understood
and agreed that other government stocks bonds or
treasury notes. except those pay demand shall be
negotiated or paid ont by the government until February
y looz should the associates avail of both prvilegesor
un December 10 1862, should they avail of the first
only; or until October To- 1861 if they take but the
present nifty millions, except that the government may
natioal loan"
1.-The sixty-day Treasury notes, and all overdue
notes, adds the Tribune. care available in pay
''ment OF drafts under this arrangement"
IN ms one sentence lies the solution to the
"hole matter. There is large amount due by
Inc Government to the banks and capitalists,
winch had been borrowed only for short time, and
which Nlr. CHASE has found himself utterly unable
10 provide for. 1t will be recollected that, after
tue oeieat OF the Grand Army, it was perfectly i'm
possible TO effect even small loan, in New York,
lot sixty days, at any rate, although money was
Pehty on good security at less than four per cent
"uu "llhoush similar lean had been eagerly
taken out very short time before. 1t was under
INNS Sv"e oi circumstances that Mr.. CHASE pro-
ceeoed 10 New York to confer with the bankers
lneie These, however, refused to take any
action OF themselves, but insisted or the
cooperation of the Boston and Philadelphia
Banks. 1t was evident to the patriotic
directors Of these corporations that they de-
cdedly in a corner, from which nothing but a
bold aud decided move could eXtricate them. The
plan they have hit upon is decidedly clever one.
30 clever, indeed, that we are inclined to believe,
from the jubiant tone of the New York press, that
HIS Tor the moment completely mystiiied. But the
brokers' at the Stock Board will hardly be so readi
y taken in, or the bears fall into the trap which
mas been SO adroitly laid for them.
The first object OF the banks and the capitalists
Is naturally to protect themselves. We all know
what Yankee patriotism is Government has
not one cent TO repay the short loans already due,
OF about to fall due, and they must be provided
w. IN other words, they must be shifted from
He shoulders OF the present holders on to those Of
,e'S cunning men. To accomplish this the
"'uAS carrying this loan have called TO their
"o their sister banks, and entered into an
''0'o'oh' This association is TO take the
Co. os Ds'"een them. New York is to take
.. V'oOo'ooo' Boston $l5, 900, 600 PHILADELPHIA
0'0'o'ooo, ms being about the relative propor-
"ou o' the bank capital in each CITY. The asso-
NNon Is TO have the entire control IF thu tbrao
49,. o,Ao per cent, Treasury notes They are n
Ia cola .ll NO one else and consequently can only
,,,o,,t a.aa1 'su The association. Bv an orrapoa-
iii0n. ~ ecu upon, these notes arc 70 Voc,
Tue Inherent banks as CURRENCY ., 90 een
dollar, Tor the payment of baIanoa. oeii'' oh 'ne
expiration of the association. on1. anu at the
no'es remaining on hand is to be diva 'n'e Vi
dl-.Ons 'Ig inherent members. This is evi6entIs
uone ior .iie purpose of preventing any bank fron,
a unueiseiiing It's associates, and thus pet,ina
oiear oi us notes Or Government sacnritio,
"a AZ ,no same 'me no other stocks or bonds ara 70
&c thrown into the market, by the Sacrotonr -.
the Treasury. '10 secretary OF
tne OBJECT of all this is patent. 1t is proclsi0,.,
10 tne WorId mat the Government bao 'u
loan OF 300, 100000, with conditional nrnr.ia
of $780, 100000 more. 1t is however p.on,se
concealed from the public that the Govsrn eluliy
in reality, receives but ten per cent. of this lnan
the commencement, and that large proporton as
the balance will be absorbed in the payment of ar.
commodation loans, which the credit of the Gov
eminent absolutely requires should be promptly
II lhere be any balalance left, it will, in all
fSO"Aoli'y' be deposited with few banks, for the