The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1862-06-30


the payment Of July interest and dividends. are
called in from the hands of parties who have held
them on temporary loan. The money market is
always more or less stringent about the LIST Of
January and the LIST of July; in the course of a
week or so after these dates money is generally
abundant enough. We quote call loans a s per
cent; paper, very scarce, for the highest grades
and for ordinary mercantile names; certf-
Gates Of Indebtedness, 100 1905; green backs,
lOAss.
Foreign exchange rose higher last week than 1t
has been since 1887. Sterling was sold at l2l4,
and francs at ass. The closing rates were 10
1907 for sterling, and 40 4.65 for francs. Gold
rose to 1927 on Friday, but closed in large supply
at 1887. The advance in gold and bills is due
mainly to the operations Of bankers in American
stocks. For year past systematic efforts have
been made by the leading newspapers in England,
and by some continental journals, to depreciate
American securities and break down American
credit. II has been supposed here that these at
tacks on our finances and our stocks were mere
outbursts of idle malignity There now seems to
be good reason to believe that they were prompt
ed by . more substantial, though not more worthy,
motive. number Of bankers, among whom the
house Of Messrs. George Peabody & Company is
prominently mentioned, have been quietly awaiting
themselves Of the panic in American securities
created by these newspaper articles to buy up
stocks from foreign holders at low prices, and
send them here for SALE These operators have
had one advantage-they have had . splendid
market to sell on. But, in another point Of view,
they have been unfortunate. They have sold their
stocks at period when we had nothing to export
but gold. and the demand for gold which their ope
rations have created has caused the precious metal
to rise to 9 per cent premium. This premium,
which they are compelled to pay in order to OBJ
tain the proceeds of their exports of stocks to this
country, will make serious hole in the profit
their operations. So far as the public interests
are concerned, we see no ground for alarm,
in the present state of the bullion and exchange
markets. In ordinary times we have been in the
habit OF shipping gold freely to Europe at par
are now shipping it at a per cent premium.
No one thinks Of regretting an advance of 9 per
cent in the price of other staple exports, such
as provisions or breadstus; neither is the advance
in the price Of gold a msfortune-so far as our
foreign trade is concerned Again: what we have
been in the habit Of getting for our gold has been
British manufactures, French wines and fancy
goods and the like. We are now getting our own
obigations--the best possible investment for our
money. With regard to the future Of the gold and
exchange markets, everything depends on the
trade in American stocks. If foreigners continue
to export our stocks freely to this country, the
premium on gold will be maintained, and perhaps
increased and bills will rise in proportion. If the
supply Of American stocks from Europe falls of,
gold and bills will decline. All the bankers report
q diminished supply of stocks by the last steamer
tic commerce are concerned, they warrant no pre-
MUM geld. No one here is boarding except
few Wall street spectators. No one in this coun-
try, except q few foreign merchants, who are
in the wrong place here, has the least ap-
prehensions regarding the soundness of our ma
tional currency. There has been, and there pro-
badly always will be, some speculation in gold in
Wall street. That locality is unfortunate as to
contain few men who would not scruple to
ruin the public credit for the sake Of making o
few dollars. 1t is due to truth to say that the
leading men of the street have steadily resisted
an advance in the precious metal. But there are
others who have not only operated so as to de-
preciate the currency, but have not blushed to fill
the street with loud predictions of an enormous
premium on gold, and with lying reports of sales
at fabulous rates. The event will probably soon
enable the public to gauge these alarmists at their
true value. On Tuesday next some $6,0OOO00
81 900 900 Of gold will begin to be discussed for
interest on national and other debts. At the same
time il is understood that some large amounts,
which have been held on speculation, may shortly
be expected to come on the market. If there be
the least check in the foreign demand gold and
bills will fall as quickly "a they rose. There is no
home demand for the precious metal and the sup
ply is increasing daily
The following table shows the course Of the