The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1863-01-05


and we have to report large increase OF public
speculation As the issue Of 800 900 900 OF lega,
tender notes led to an advance Of 20 a 100 per
cent in stocks last summer and last autumn, it is
inferred that another increase of like or even
greater amount, will now be followed by fur.
Their corresponding upward movement. Al the
South unlimited issues Of paper money have led TO
an extraordinary advance in all securities. Rail-
way stocks which used to be sold at IL n 20 per
cent now command 100 in the currency of the
rebel coDfcderacy Bank stocks worth so 100 in
the old times, have sold lately al gao 900 for
Confederate notes. Spectators argue that what
has happened in the rebel States will happen here;
that excessive issues OF paper, forced upon us by
the exigencies Of the crisis, win produce iheirn-
syitabie results in the appreciation Of all secur-
ties not connected with or dependent on the
government. and that time win come when
every man Of property win desire to invest
his means In something else than currency These
views have led to general an absorption OF rail-
way bonds that none Of the old first class bonds
can be bought at price which will yield the hold
CIR over az per cent. The only remaining good
bonds which are still al low figures are the issues
Of the reorganized Piitshurg, Fort Wayne and
Chicago and Northwestern roads, which. being of
recent creation, have not yet found resting
place, and are still In excess in our market. Rail.
way shares have advanced on the average per
cent since Christmas day. Hence last evening
there was q pretty general attempt 20 realize
profits, which led to decline Of Ia TX per cent
from the current prices of Friday morning. Most
OF the great cques which were formed a month
ago 10 put up particular stocks have sold out TO
the public at n profit. Under ordinary circnm.
stances some uncertainty might be felt with regard
70 the course ofthe market. But the prospect Of
new issues OF paper money renders spectators nm
willing 70 allow their means TO depreciste In bank.
and prompts every man who has thousand dol.
lars to secure himself by investing it in something
which may advance as the currency declines in
value.
The chief point Of anxiety just now in railway
matters relates to the Erie statement, which j.
shortly 20 be made public. Nothing has yet been
ascertained either with regard ~ its tenor or Tho
date Of its appearance. II 10 pretty generally un'
derstood, however, that IL will show that the road
earned in 1852: first, the interest on its entire
bonded debt; secondly, seven per cent on the pre-
ferred stock; and thirdly, ten per cent the
mon stock. The latter amount, Say u 100, 600,
hos been disposed Of in the payment Of scrip to
the holders Of overdue mortgage coupons. The
road has now no floating debt, and should the
earnings OF 1863 equal those Of 1862 tho holders OF
old Erie will divide something like ten per cent,
and the old stock will probably rule twelve month";
hence a. much above the preferred ss New Jersey
Central stock rules above the bonds Of the same
concern. New York Central has been rather
active, in consequence, as Is supposed. Of pur-
chases by bankers and others in the interior
About seven months ago q number Of bankers
and capitalists, foreseeing the depreciation Of the
currency, invested their means in New York Cen
trail In preference to gold. The stock rose In con
sequence from 90 TO lo7. At that figure II stopped
the demand for currency At the West, and the In.
creased price Of money having induced most Of
these investors 70 sell out The course of the stock
during the past week leads to the belief that these
parties are again putting their money into il. In
active speculative seasons like the present but
little regard s paid to intrinsic values In the pur.
chase OF stocks. Thus Cleveland and Pittsburu,
whose managers have ever diaclaimed faith In It's
value. has advanced twelve per cent In about
week. while Rock Island which may fairly be con-
sidered six TO seven per cent dividend paying
stock has barely risen -four. Cleveland and Toledo,
which has never been able to pay OF its floating
debt, and which pays an occasional dividend .ith
many ,hroes, has risen to the neighborhood "
so, while Southern guaranteed--a ten per
cent stock, issued by company that Il
earning a surplus over and above the ten per cent
IL selling at s6l< Pacific Mail dropped 70 100
early last week. on the seizure Of the Ariel b. the
British pirate Alabama, but recovered 70 1867, o
1917 on the arrival Of the Ocean Queen with specie
Yesterday. The Harlem stocks have been active
Iatelv without any good reason that Il publicly
known. In all probability they have been the
tools Of spectators. and will decline rapidly ne
they advanced. Michigan Central remains dull a,
the recent advance. Border State stocks have
been successfully manipulated by spsculstors.
Missouris rose seven per cent In single day mp.
parcn'ly on the prospect Of emancipation, and
Teuncssees and North Caroliras have been equally
setIye Nothing IN the position Of these States
az ~ yet justify durable Advance In ths.fbou
SnHsYExrfIns