The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1863-02-03
FINANCIAL AND COMMERCE.
MONDAY. Feb. 2-6PM
694,02i
Increase. 500 ,235 $50, 23s :
sl76.922

The movement has been rather unmportant
though showing steady continuance of the flow
of capital TO the city. The deposits rise more than
the loans. 1t may be remarked that the circua-
ton continues TO show decrease. IL has fallen a
million dollars within few weeks Some of our
banks, il view of the uncertainties of the future
are cancelling their notes as fast rs they come in
and issuing new ones. few months ago the
effort OF every bank was to increase its cir
culahon. 1t is now the other way. In
banking circles no attention is paid to the
paragraphs in the Washington correspondence
of the papers about Mr.. Chase's banking scheme
That scheme is very excellent plan for rendering
our currency uniform and safe, and two or three
years after the war ends it is hoped it will pass
As. however, it will neither provide money for the
prosecution of the war nor produce any result
whatever except collision between the general
ana State governments 1t Is not believed that it
will be seriously pressed at present.
Money has been inconveniently close to-day,
from some reason not generally understood
There Is plenty OF money in the city, and the
demand can hardly be equal to the supply; yet the
bankers were able this morning, by calling in loans
and disturbing borrowers, to mark up the price of
money to seven per cent. Ii is rumored that some
action is going to be taken either at Washington
or at Albany to prevent loans on gold. The Bank
Superintendent OF this State is decidedly opposed
TO the present system, by which the banks of this
city. with about s23 900 900 of gold really hand,
report S3S 900 O0o--the difference between the two
being gold owned by Spectators and deposited in
bank as collateral for loans Should this gold be
forced into the market and sold, the premium
would decline rapidly. But the effect on the
money market would be rather to increase than to
diminish the supply of money, as all the money now
used in carving gold would then seek employment
elsewhere.
This has been another exciting day in gold. At
the opening this morning gold sold as low as
1861 to 1873 fell to 1861, sold in the after.
noon at that price, and closed that bid. Exchange
fell to ia, and closed ia ITO. The operators
in gold who throng the corner and sidewalks of
William street puzzled how to act. On the
one hand issues of paper money, which every one
sees TO be inevitable are calculated to put gold
up; but on TIE other, the increasing difficulty of
carrying gold. and the uncertainty whether no
measures may not be taken by the Legislature or
by Congress to render speculation in the precious
metal more perilous game than it is at at pre-.
sent. are not encouraging to the bulls. 1t is quite
certain that gold has risen far more in proper
article of merchandise or description Of pro-
pcrty whatever. Many kinds Of staple goods
aud many leading stocks were selling as
high as they are at present when gold was
rs per cent lower Gold has, in a word, gone
ahead OF the market and shrewd operators are
neglecting it for something which has not risen as
much.
The week opened this morning on rather blue
to rumors Of some preposterous action by the
Senate Finance Committee. which was said to have
agreed to prohibit further legal tender issues; and
partly to the activity in money. which inconve-
nienccs weak operators very seriously and causes
them to throw over stocks which they would much
like to carry. Government skies fell a per cent,
$50 notes 4. and debt certificates u. Some of
the banks privately said to be quietly turning
their United States bonds into money. good
deal Of mystery prevails the subject, as, if it
were known that the banks were selling there
would be stampede in the market. State
stocks were steady. Bonds we're generally
rather lower especially the newer descriptions.
All the railway shares were lower. Pacific fell
2 Central I Erie 4 Erie preferred 4, Hudson
n, Michigan Central l, Southern old 2, Cleveland
aud Pittsburg Galena d Rock Island 2L, Prairie
du Ohicn g. At the public board at one p. NJ. the
"money question seemed to govern the market.
There general desire to sell stocks for cash,
and Erie fell per cent on forced sales Of this
character. At the second board the tone of the
market still heavy, and prices were. as
general rule, fraction lower than at the public
board Michigan Central was an exception and
advanced * per cent. Just at the close Of the
session a better feeling prevailed and higher prices
were BID. Al the four 2. NJ. session OF the public
board the market was quite steady, and even
rather strong on some securities. The following
were the quotations at halfpast fve:-