The New York herald., 1863-07-27
FINANCIAL AND CONNER ClAL

unsafe buildings had 1t to be as rces
ble ana perfectly capable Of being filed with tour.
FINANCIAL AND CONNER CiAL
SUNDAY, July &c, 1868.
The past week has been one of increasing ease
in the loan market and thus far the successes n
the national arms appear to have given confidence
alike to capitalists and to operators for the rise in
stocks. 1t has often been maintained that gold
and stocks would move mp or down in sympathy
during all the period in which the Treasury paper
remained inconvertible and frequently events have
seemed to support this theory. But this connectiuo
was only an apparent one, and, as time has gons
on, we have seen cases in which the divergence
between the prices Of securities and the precious
metal pointed to clearer account OF their move
ments. We have seen panics id which stocks have
fallen while gold has beer unmoved or even risen.
and at last we have seen general Improvement
stocks in the face of very considerable fall n
gold. The price Of gold has not been affected By
speculation to anything like the same extent ~
the prices of securities for it does not depend
the same causes. While the volume Of currency,
every dollar Of it inconvertible, was steadily IN.
creasing, and while our arms were held in check
at so many important points, gold steadily ross:
and its rise was due partly to the present incon.
vertbty Of paper, and still more to fears for IL
ultimate redemption. But, now that 50, many mix.
tary successes have come to encourage the ns-
ton. these fears are very generally mitigated.
confidence in the ability of the country to carry
and gradually pay OF its eleven hundred millions
Of debt is universally felt. the public temper u
hopeful. and in consequence, gold has been freely
sold out and has largely fallen in price. Success
in the war has, always is the case revived nan
cial courage, and people are amazed that goid
ever went SO high. 40 &A&As
But with stocks the case Is entirely different
The enormous quantity of paper money issued BY
the government, Joined to the increased bank cir.
colAnon in certain parts OF the country, has sup
pied the loan market with funds which the present
business needs Of the North cannot make use Of.
With very little business paper making, compared
to average seasons Of indestry, the supply of
money seeking short and sale investment is larges
than ever. As consequence, rates of interest
rue very low Five 20 six per cent 10 as much 80
can be got from first RITE notes. Good bonds have
gone to sueh premium that IL is poor economy
to invest in them and interest paying stocks have
advanced in proportions that are, IN the rough,
similar to the advance on Donds. New York Cen.
trial. regarded perhaps the securest OF the seven
per cent stocks, and long tho criterion Tor r&i.
road investors. has stood for some time ID the
Of 100. Now this must certainly
be considered high for a seven per cent invest
men, and il would never have been maintained
but for the controlling fact that people are
obliged to be content with lower returns
Tor money than formerly. II is probably |
safe to consider that this proportion Of 100 OF in.
y.f Il ID
ed by the entire state Of paper money, business |
requirements and immediate financial prospects |
Df the country This calculation would lead us 70
xpect To see all sound per cent stocks ut par. f
together with less established stocks Of per cent
The application to existing circumstances 10 oh.
nous. and most of the money made IN Wall street
,lnce the rebellion begoh has been made on just
.hese principles. boldly adhered to. both In stocis
and in gold.
The Harlem Railroad Company give notice THAI
hey will pay Of. on lst August, their bonds due
ugust l, 1869, and February l, 1861, Dover ex-
.cnsen bonds due 1867 and 1851, and redemption
bonds due 1861 and 1868 This will leave the
mortgage bonds only to be provided for, and for
his purpose 4 consolidated and sinking fund mort.
rage il arranged. with thirty yesfs s per cent
,onds. The friends Of the road ready to see
his exchange carried out. by which one per cent
interest will be saved on the debt, to the benefit
II stockholders. Perhaps only one point remains
o make this operation ell that could be desired,
Ind that is the adoption Of the principle used in
he case Of the Prairie do Chen first mortgage
n that example the conditions Of the mortgage
equire fixed annual payment, ell Of which. be
iond what 10 used for interest, is handed to thx
rustees Of the sinking fund. who designate by ios
o many bonds as shall take up the money in Their
ands, and pay them on. This plan has the double
advantage Of keeping the bonds steady at aboi,
par, and Of protecting stockholders from the EN-
,arrassment Of large accumulation In the sinkin,
und The principle 10 familiar In Europe. ana
vorks well.
It will have been noticed that tho steamboat LIN
'erial reached New Orleans from st. Louis on th
9Th instant, and started on her return trip mex
lay. Admiral Porter has also issued notice tina
rom the 10th Of August he will furnish convo,
o steamers for New Orleans every Monday mora
ng at vicksburg. Thin partial resumption Of wafi'
n the Mississippi, though trammcIled BY govern
nent regulations and exposed TO guerillas, ha
iven confidence to holders of stocks Of sucl
Dads as are likely TO be Immediately benefited
he sustained rise in Illinois Central reflects thin
hut there are other, and perhaps surer. ground
Or this Improvement. II Ia well known that tn
lea OF the original projectors sf the lllinoie Cen
raj was to make the lands granted to the ros
,sy for the whclc property. But the attempt
uild the road on credit failed, and the ssocl
olders we're csled upon until fSc has been pal
N the scrip. At length, however, the origins
alculations bid fair TO be justified, and the cas-
e. eipts from sales Of lands viii for the future b
kelly to take care Of the whole interest on tn
bonds. The sum Of this interest !
s63, being for April and October Of both classe
q and 6's, was sLOos,ss so. But since ocs'
,sr, 1867, the Acaah payments on account