The New York herald., 1863-09-05


NJ ssO OO0 oOe "a oAv present stock Of irredeem'
hla nansr and in a. tain 70 make money MOI
abundant instead Of scssl 'er. and to generate. nj
to check speculation. Bas> Yesterday morning pes
ple did not understand this;Sih mere name Of
rev loan frightened borro~xArs. and the gres
speculators and bansers cav tSA therstme hs
come Loans were oalled in on arery side ss
their renewal wss declined. Oar esA1 would no
lend money at any price; another wouio wv co'a
fy cheoks OF course it is impossible 70 sy pos
tvelS Anat the officers aud directors of tncse "ssA
tutlons were short sf stocks; but tbs presunpnes
is pretty general that they were. ThU depTveA
Of the neaas through which alone they @ere Ger
rying the stocks they had bought, the sirausseos.
latOrs and weak brokers, who have been the cna
purchasers on '0hsnge for nearly fortnight, ha1
ne resource bu. 10 SELL and when thoy entered Tho
market 70 do 30 they found tbefnselvcs in comFs-
tition with hundreds Of others who were similarly
situated, and with large party Of bears wlo resr
HEED the situation and we're bent on turning IL 70
account. The consequence panic. which.
in some respecta, was more severe than any
we have ever before had in shis market Tbs
fall within week amounts to eya
20 per cent on the loading railway stocks. There
are Of course, several railway saares on the i.s
which were selling at prices considerably over
their present probable future vaiue. Bus. in
view OF the continued prosperity Of tho generaa
railway system. and the prospect Of largely IN
creased dividends on the roada, the fall OF 20 per
cent on such stocks a. Erie and Southern old, fss
instance must be considered very remarkable.
would be less astonishing II money were roaily
scarce But apart from the peculiar operations
Of the speouatng lcaders. who even to-day pre-
ierred to let theig money lie idle rather than lond
IL on stocks 1T per cent, it IL tact manifest to
every that money is very abundant indoed-
There is little or no mercantile paper afost and
the volume Of money which is in search Of esn-
ployment ia probably three timos whst Il was
before the war. The payments 70 the government
on account Of the new loan are ~ be maize n
driblcts and as we know from the experience OF
the 30 loan, the paid Out OF bank under ore
call will return into bank before another call IL
made, 40 that the same four or five millions Of
currency will pay the whole sss o00,o 900 whloh the
banks have agreed to lend.
There is chapter of nnor or secret history 70
be written about the paDies which have occurred
since the war commeRccd. 1t would be instructive
as well ~ entertaining The rank and Ole Of opef-
ators are curious to know, for instance. how y =
that Mr.. Cbases purposes are always known be-
forehsnd by few leading operators, and turned
to such excellent account by short sales. How
often has Mr. Cisco learned the purposes Of the
Department from street brokers. And as to the
banks: when bank with it's vault full of money
refuses to lend at the market rate, on sound seods
rites, with good margin. who must be presumed
to be short,-tbc president. cashier. or drectorak
or all Of themy When bank picks out one or two
stocks, OF equal ya,ue with the others for par-
poses Of collateral and declines to lend on them. ID
ii fair to suspect certain OF the directors Of being
short Of the tahooea securitesy When q bank
which has always certified its customers ohecks
up 70 q certain limit suddenly refuses to certify,
aud simultaneously throws out certain stocks of
which these customers supposed to be heavy
holders. is it natural to fancy that the bank on
ccrs' zeal has been whettcd by short contract o
tive in the stock in question. And are not the sin
gular vagaries Of some of our bank officers paving
the way. to very remarkable extent fer the sue
cess Of the new national! hanks to be established
under Mr. Chsse's act,
Money was active to-day, and call loans were
seven per cent. number Of weak brokers. with
second class collateral. found II impossible TO bcr-
row. and had TO sacrifice their stocks at the one
p. NJ. call. The established houses were gene
4 lively time between one and three.
Gold rose to l;il+ this morning. then fell back
to 1872 again to ia, sold in the afternoon at
1873, 1927, iss4, and closed at five r. NJ at 1917.
Exchange WAS l45 I46 with light demand. Tbs
sivsace in bills is enabling some Of the foreign
houses TO ship securities again, and considerable
parcels of United States bonds win 20 to Ger
many.
Tft. uts rf-af, al utr rIy ksa
ing, and before the board Erie and Southorn
old sold At LOG and ", l,,respectiveIy. At the
board these prices were dot maintained. Eric
was done as Low AS los, and Southern old at as.
New York Central WAS II. better than last
evening. Erie preferred Is4. guaranteed 2, 1iN-
noIs Central L. Pittsburg 2. Galena l. &C. On
t,se ethcr hand. Harlem fell on per cent,
Terre Hauto >. Rock Isiand /. Chicago and
Alton |, Pacific Mail 6. Quicksilver WA
steady. Governments were without change.
Missoars were rather active at decline of
I% per cent At tho close Of the board there
was a pressure al cash stock Cor sale, and al tho
one 2. N. cal many stocks were slaughtered, cvi-
IDENTITY by parties who could not carry hem
Thus Eric was done as low par. and Southern
old at 20. After tie call was over, and theso
weak parties were cleaned out, the market rallied
"a 1 per cent. Al the second hoard, with the
single exception Of Harlem. which dropped sbooe
20 per cent. The whole market was better, nnd tho
feeling was much improved. new class a
buyers. men who evidently were prepared TO take
ard carry their stocks, a. they shor ed by bidding
cash aud seller three. appeared in tho market rod
under their influence Erie rose 2. Southern old
4. Galcns !. Rock Island l, Central u. and 30 ON
throughout the list. Az the fo1r r. M. call the
huoyancy continued, and the demand FOR Erie,
Southern, 40. was very marked. Harlem rallied
Is per cent. The following were the closing que
tstons OF the day:
Us6s 81 100 siosk Hrdson River.l4 I3s
H. = 6s ipI G. los l06ts fhsrleei .I50 13ox
UST 30 notes -ive y I0sk Reading ..llsk ti5k
4 SbE, "a. Js o. Mich tentr4IlI AlIh
pb,tcar,tasstes 90 a a9as Xioh Southern 20 eoS
NJ = gold ~. .r3zA. = ta7s. Hcn ~ guar. f23
ulgsours M GIN ~ Centrsl. .12lk 12s