Indiana State sentinel. (Indianapolis, Ind.) 1861-1865, 1862-01-13
From the Cincinnati Price Current, Jan. Q
Financial and Commercial summary
for the Past Week.


The disordered and unsettled state of financial
affairs, consequent upon the suspension of specie
payment by the Eastern banks, and the United
States, as regards the redemption of the demand
notes, have to some extent passed off, and things
wear a more settled aspect. The currency basis
in New York is composed of the notes of the
suspended banks aud the demand treasury notes,
but this settlement is, and under existing circum-
stsIces n be- but temporary, because the future
is a there matter of speculation, and the fate of
bo.h the financial and commercial affairs of the
country depends altogether upon what Congress
will do. Ii seems probable, from present indca-
TONS that treasury notes will be made legal
tender, and an additional hundred million dollars
of them put into circ,lation and they, conse
quently, made the carrency of the country; that
they will be redeemed by United States or
per cent stocks at par, and these stocks be SUBJ
sequently used as basis for banking This is
about the plan promulgated by the Secretary of
the Treasury, and the disposition displayed by
Congress just now is to carry il into effect. Ii is
true the Constitution of the United States pro-
ydes that specie shall be the only legal tender,
but it is likely this will be evaded or disregarded,
on the ground that the exigencies of the case de-
mand it.
The settlement of the currency question in
New York induced dull exchange market, aud
rates declined to the old range, par buying and
IA premium selling.
The demand for gold has been quite light and
the market is dull at ld2c premium Bankers
are supplying their customers with all they want
at ] c premium, but this can not continue to be
the case under the advices from New York where
the rates are up to 234 premium buying aud ga
selling rates, and sterling exchange not TO be had
at ll2@ll4, which p to Az above par.
This will render the shipment Of gold inevitable,
and put up the rates of premium on it to cores
pond with these rates.
The Board of Control of this State has passed
a resolution that the banks of this State will hot
suspend specie payments, and the managers of
the Bank of the State of Indiana have arrived at
similar conclusion The Northern Bank of
Kentucky has suspended. Now to our mind this
alternative of suspension or no suspension re-
solves itself to this: II our currency is to have
paper basis resolution passed by bankers not to
suspend means retire from business if they stick
to their resolution, because it would be simply
impossible keep their notes in circulation whilst
they could be redeemed in coin along side of cur
rency one, two or three per cent discount, com.
pared with gold So that all banks which will
not suspend will have to retire their circulation
In New York, yesterday, exchange on this
city was prem. This is strange, but is caused
by the fact that gold is Il per cent. nearer our
currency here than there.
The closing rates for exchange and gold are
as follows:
Buying, Selling.
New York. par. d prem.
Gold. ............-... prem 2 prem
Owing to the advices from New York on
| Change, the above rates were nominal. Bankers
were not buying.
The merchants of \ ew York have been greatly
agitated the past week, owing to the increasing
probability that the duties on all foreign goods will
be largely increased, and such goods are in
consequence being held out OF the market, to
great extent.
The weather has been cool and the temperature
sufficiently low for pork packing, and the de
mand has been good for hogs and the market
buoyant all the week, and prices were a shade
higher
Yesterday the market opened dull, though the
receipts were light; but the news from New York
and the want of shipping facilities, caused pack
ers to withdraw to great extent, and prices at
the close were nominal at SO 25613 IS for hogs
averaging 200 to $50 ID. The sales were: