The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1861-12-23


The bank statement which VIII be made up to-
morrow afternoon, will be looked for with some
anxiety, as it will shed useful light upon the spe-
Gle movement. On Monday last tie banks showed
q specie average Of s39, ass ,i7a, which was de
crease during the week ending December Ia Of
81, 1888, 49,. 1t is generally supposed IN Wall street
that the average to be published tomorrow will
be in the neighborhood Of S37 900 600. If So the
banks will have lost nearly &C. eco 600 in fort
night, less than $500, 900 Of which has gone abroad
In the face of these facts, the baas evince undue
sensitveness when they seek t. prohibit discussion
upon the natural tendency Of TIE present state Of
things. 1t is better for the banks better for the
government, better for the people, that the truth
should be looked boldly il the face. Alarm and
panic are the frnit--not OF the calm discussion OF
well established iacts-but Of attempts TO conceal
what is true, and to deny in pubic VIVA. every body
admits i'll private. Aa matters stand at present,
the expenses of government are being betrayed by
the proceeds of A!r Chase's last negotiation with
the banks. or this ten per will be paid in to-
morrow, making thirty per cent paid in all, and
leaving seventy pei cent st.ll liable to call II is
estimated that only about twotI rds of this seventy
per cent will be paid in money, AID the balance in
Treasury notes and demand notes. However. Mr.
Chase believes that lie will lius derive means suIi-
cient to carry on the war ill about January l5
On or about that day his cxchequer will be ex-
hausted. No plan for It's rope uishnlcnt has yet
been ventilated. When Mr. Chase was here last
week he lad project before the banks. and they
laid none before him. 1t was, indeed limited bv
the Secretary that in the course of the current
month events would tlanspre which would change
the financial prospects OF the government and
would render it easy TO place loans among the
people, not only in this country, but abroad. Its
earnestly to be hoped that the prediction VIII be
verified. Startling and decided successes would pro
| badly enable the banks to place tie second fifty
million of 7.30 notes in the course of a few
weeks, and, in this event, they could at
once lend Mr.. Chase az much more But
if any mischancc should preyeot The realization OF
the hopes expressed by the Secretary, what then?
1t is the part OF prudence not only to foresee this
| result, bat to examine il in Ill its bearings to
study how it would affect trade and the currency.
aad to be prepared for its effects if disappointment
should await US. This is what is being done daiy
not only by spectators who arc looking out for tho
contingency Of geld rising to premium, but by
merchants engaged in trade with foreign countries,
who are purchasing from contractors Sub-Treasury
certificates and By bankers, wlo stipuating in
ehccting loans that they must be returned in coin
or its equivalent. Let Us hope that the successes
| of our armies will be SO rapid and so thorough
| in the next three weeks that these speculations
| may fail, and these precautions prove needless.
Money was easy ut tie commencement of last
| week. but soon after the news from England was
| received the banks called in their loans, and
refused TO renew them. Call loans rose at
once to per cent, ana something over,
and there was for day or two great difficulty
| in getting money even as these rates. Yesterday
! and day before money was more abundant but it
is still easy TO employ funds in Wall street at
| per cent. This will be good news to many capital
| lists whose means have been lying idle sor long
period of time They will be quite willing 10 take
the place of the banks in lending money, and the
latter will by and by discover that they have no.
thing to gain by shutting out their customers Paper
| is scarce; the best names sell readily at ner
! cent.
Foreign exchange rose last week to ILL., and
| closed at ll0I for sterling, and 5.l5 l2j5 for
| francs. At these rates there is profit on ship
ments of specie, and we look for O stcaay flow Of
coin to Europe until the rates of exchange decline
| II is probable that this will not be long DELAYED
We have not imported enough, and we have ex-
| ported too much, TO owe much On the other side
At the same time, foreigners who are afraid OF war
are renting their means to Europe, ana many
European houses are directing their correspondents
here not to wait till they have sold goods consign-
| cd to them, but to rcmi. at once.