, 1863-05-20
FINANCIAL AND COMMERCIAL,
THE MONEY MARKET.


The case In the Money Market continues, tand
come Of the banks have reduced the rate Of dis
count to meet It. First class paper Ia now taken
by come Of them at per cent, and If payable in
New York, even per ceut has been accepted.
The rate, however. Is 10 per cent, yet at most
Of the houses, but should the abundance Of money
continue 1t cannot remain 20 many days or weeks
1t most Money, at 7per cent, is certainly better
than to have 1t remain idle.
The demand for New York exchange Is still
heavy, and the market closed at quotations, viz:
pargk buying and 1sQ51 selling. Only best Gus.
toners get any concessions from the higher rate
almost Of the banks.
The rates 70. gold in New York were 1491a<, 147H
and at the closing 149H. The brokers here paid
1i,l148. The amount changing hands is very
email.
svcr-1sa9Is7. Indiana State Bank and Zen.
tucky, 10a0103. Canada, 145.
EsLAnGED AND 1XrAovEp.-C. c. Parks & Co.,
Bankers. corner Of Lake and Dearborn streets, In
front OF the fremont House, have greatly enlarged
their premises, occupying now what was formerly
two Offices on Dearborn street. This evidence Of
aprosperity-fullg merited-will be noticsd with
satisfaction BY our business public.
Are We Soon TO HAVE coLIAPsE.-Upon this
subject and the general tendencies Of our present
financial eyetem, the New York NeTald Of yester-
day has the following:
Thcfeatu1e Of Inst weeks financial movement
| was further increase OF speculation especially
history Of hat body has The yollmc ofits business
been elarge as It is at present never IN thr his
tory ofthe American people did there appeas to be
eperuation and, while the speculative excitement
il much grcaterthau it was in October February
e "oaT an a n
Of the national currency. While stocks have been
going up goiad has gone down The he rage to buy
1ead coapss in s eullencg 9o but out Sas
ofa wide spread conviction, based fact that the
perity created by paper money are going 10 render
| productive properties which have been unprodnc-
tive, and tolarsely increase the profits of concerns
as sfossTa aSd sanfes q e.
| not comprehend and cannot realize the crisis in
| which we stand. uAsing been accustomed 10
times in theft life seen speculative upward move
mcnts, predicated upon, temporary and trivial
causca followed bY equally. lively reactions, they
cannot understand the steady advance IN ralues
4shirh commenced eighteen months ago. and which
[ has nerer been. followed By panic Or even
customed to deal in Elie and HUDSON 1t a0I30,
they cannot understand the present active inquiry
for them ut 10 9l3 though really both were dear
but are cheap ut 100G130, as they can earn 15Ia5
| per cent per annum on their stock In point Of
fact, there lg nothing unnatnsal,, aud nothing
which should have been unexpected, In the pres
ent speculation, or the present rise in values:
They arc the inevitable consequences Of issnes Of
paper money IT was tue paper m money a,' syste H.
blcd the British Empire to carry on for SO long A
perioo 60 costly war. and to maintain for years
Is ats5 a9 h1d p1e sea oy hs
| system mnEt be ascsibcd the continued and pro.
grcEsivc r:ac Of rents and fail in the value Of
money, increased expenditure, the growth q
| ideas and EStfAY8EAut habits III all
classes Of society,", unbonns,cd speculation;
predictions prots Increased q wages ESnarnl ~
any age Of the world; creation Of property. in
some anda destruction OF 1t in others - &C., SC.
Of paper m 4 piee ice % ali
articles Of life more tha doubled; rents
al persons nho lived hy buying and selling found
it, both public and private. immensely Improved !;
Industry was yividcd. and difficulties were over
b Se The sapd ion d nsns, in the wsyht Ct
lie historian thus writcs. Il viii T.: remarked,
never collapsed, like the Fra,sch aes!gnats or the
continental money, but simply, like our legal ten
der money, fell to certain point of depreciation
| as compared with gold, and remained there.
There can be no collapse so long as the WAT lasts
md The expenditures Of thu Government continue
ae large as they are and tic paper money issues
ccrious. There will be pan sns, and there will be
Blight reactions; but the uniform course OF prices
must be upward, aud the uniform tendency Of
| speculation muet be toward increase, nntil the
| grent causes above mentioned cease to operate.
So far from having reached it, climax tue fnhica.
tions that We are only on the threshold Of the
n'Eount Of pnper money afloat is only about $5s5.
MQ.0tD t$4lO,t CO. GEO Government currency and
$1sb,t OF, eco hank currencr}-say twice as mich
money (of all kind} rs we had before the war.
Now Government has S45t ,0o9 more legal ten.
der money to issue, which its necessities, vii
| rompel it TO pnt forth before New Yrar; aud Mr.
| Cfasce act provides for $500. 900 600 more bank
currency. most Of which. 1t now seetus likely, vii
be set afoat this year. We can thus sec o,lg way
I $
 .aF
c0V0, and. If the war lasts longer than this year
at least another $500 COS will have to be added
to this cyery three months.
There is no present reason to believe, however
| that this paprr mourY will collapse AZ the assis
mats ind Continental money did. Thesecurrcncie
were iesued in countries where there was no com
Mcrcc to abtorb them, aud no field for their en-
J p1oyment. 1t was no ones interest hut the Gov
e1nlucnte to euEtail. them. Here, on the contrary
ae in England during the Napolcouc wars, trade
industry and enterprise are all intensely active
| ! and the new paper money, Instead OF heing es
clcwcd and avoided, 10 eagerly sought for By a!
e'nsees Of people. and turned to good account. I
81 new land, establishing factories Of all kinda
c building ships, steamers, rnil-cars. and In
IN extent TINT the aggregate railway traffic thi
year will probably show au increase Of Afty pe
ce! over laet ycar. III return for the benefit thu
a a1s ePs%n e Paptb pn lie pros
them to make reciprocatc By projecting the papt
from depreciation. It is thr eonree Of their 10
s times, and they cannot afford to let 1t 60 to rnil
Between it aud gold there will always BE- an intc
, | val, which will increase or diminish as the 70
!, tunes Of the war fuctuate; but, 80 long as tt
| bonpdlcsB resources Of the country and opportnn
tits Of employing money in lucrative. pnrsui
af!nId employment for money, legal tender not
b power, even though the Issues be swelcd
| S1,5LQ,QN,G