The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1864-07-18
FINANCIAL AND COMMERCIAL.
erxpAY, July II, 1854

SUNDAY, July leo4.
me past week has been OF unusual excitement n
rebel invading force sweeping Maryland capturing
towns and railroad trains destroying bridges cutting tel
esraph wires. interrupting the ordinary
with Washington. and storming It's defences
eveus well calculated disturb the public mind and
produce the gravest approximations and most lively In
tercst and anxiety. To these may be added the
presence or the new Secretary or the Treasury
I'm New York for the purpose OF negotiating
loan with tho banks and the uncertainty OF the result
vel the sringeucy In tho money market and
ITS effect upon speculation particularly on the produce
exchange tho rapd fluctuations the price OF gold and
the n-eted feeling which consequently prevaied-a
combination Of exciting rarely to be met with 10
short space
The policy Of hr. Fessenden has occupied q large
share Of the attention OF Wall street; but the
result Of hts week OF negotiation win the
associated State banks does appear to have been
very satisfactory He has rejected che proposition
make them repositories OF government funds 10 the
sent Of their loans but IL said they still willing to
credit siu with loan OF fifty millions ON seven and
legal. tender interest in currency bear.
ing Treasury notes, convertible at maturity gold
bearing bonds direct the be payable
rin nstslmenis the the banks will
permit, but The time Of paying such instsments DO
extended much as the authority and requirements or
the Secretary will allow. U
II is sng. cs,ed by the banks, and we believe par
italy acqriesced In BY Mr.. Fcssenden, that 10
the event Of his accepting the proposed Ian, In
stead Of drawing directly upon the banks, hs
should issue d. ats upon the Treasury which the
Assistant Secretary should endorse and make pay
able either at the respective banks In their turn
or at ono specially acting for ALL It u hoped that by
these the banks would spared the necessity 10
the majority Of cases. Of paying drafts Rreenbacks
~ con tenfim ann elv
ITO The credit Of their bank lieu Of legal
aenders
She TACT Of Mr.. Fcssenden having returned 10 Wash.
fueton without concluding definite arrangement with
the associated banks leaves the public mind in doubt
to the no intends 70 adopt this exercises
dnjurous influence upon commercial interes.s Il IT,
however, believed We sighted yesterday, that be
will place lean tie market OF $40 convertible
Treasury notes bonds allowing quarter per cent
count TO oil who subscribe for twenty thousand
worth more This wi tend 10 reduce the ba.k
dep Is and proong tigh,ness the money marke'.
The old banks will cot be favorabiy affected by this and
would OF course prefer controlling the government
soans themse ves II terms they alone in q
position lend could be arranged with the Treasury
pon the policy OF extending the facilities The
State banks possessed BY the national banks
have already expressed ves fully that IL
accessory 80 advert 70 IL. further than 10 remark
that consider Mr. Fessenden. by persistence this
course will have . much harder road travel In pro
vidng the ways and than he would have with the
State banks his allies and regret for the sake OF
the country that he should have proved himself such
strict ignore general utility because
OF legal ,echr icay. The country does not
lawyer, but statesman, at the bead OF the Treasury
and Mr. Fessenden would avoid being failure like his
pr decessor, he will have adopt holder and
liberal policy and dsconuect himself entirely from these
experimental resources which have entaled upon the
nation disorder.
proper say that the propositions' published
by OF contemporaries, and which are said
to have been handed Ia printed form TO Mr. Fessen-
den his arrival hero, expressive OF what asso
cated banks willing 70 do not authorized ny
the latter cononty but supposed TO have had their
origin obscure OF q certain chamber
of know poshipgism occupying . high position in Wall
stress.
In view Of the visit OF the Secretary his probable
policy. meeting Of national bank officers in this city
hold the 18th instant at which following Was
submitted
As understand the acts OF Congress now operative
the .ms ooocoo Un"sa Tu ass r sns. ~
1881 &l27 900 OG0 Loan &40O 600 900 under the
recent act $500 900 Of III can be used in TAO rrea
sury noes, interest currency $50 900 Temporary
deposits and certificates of Indebtedness without limit
with this chart before US but the con-
-cius'on that the Secretary must, Ater bRrowing
as much as the market iii bear $500 c0 0tO
Ok 1910 notes, and the oily difhcun question Is,
now far TO push oabs en- the long gold interest
bonds before infusing portion u the clio noiee.
should s AZ effort be made 70 snrp'y the Treasury
loaus NIL soon be on the market, upderseu tho
COVE nmeni matter what price secretary may
bonds only to the extent the people viii take them with
perfect freedom and conceive Of little TO
the rate OF interest 70 be xed on such bonds The people
will take i've Per cent bond rapidly they believe no
skies are 70 come Afterwards and they win tske Elk per
cent bond az fair premium another lot equally good
bonds are not 10 be offered.
IL appears that the Secrstary's option under tho
policy and appeal 10 The people for money IL once ana
with perfect confidence that they viii his assist
Resolved that We highly appreciate tho weigh, resting
upon the financial pins.s. Of the and snas
ever he may ask We win aid him In obtaining 70 the best
OF sbility A
Resolved, That In opinion, bis great resource for
ways and with the people, and that the banks
be she medium only 10 placing the pds Of the gov
IN ths hands OF fde holders inspire
che people 70 forward wth their money ne must
on our part inspire public confidence
Moved and carried that the two resolutions above DO
declared the sediments this meeting and that Mr.
Orvs, the chairman the meeting, be permitted TO ex
press them such TO the Secretary OF the Treasury
Ia his opinion, u 10 cxpedient TO do
Tho strngepcy In the money market has been source
OF surprise 70 scmo considering that the amount Of
reucy aoat exceeds eight hundred and sky millions Of
dollars about hundred and sixty millions Of which Is
10 State bank notes, thirty millions In national bank
notes four hundred and hy millions greenbacs. two
hundred millions interest bearing legal tenders, IN
tended for Circulation and nearly twentyhree millions
An fractional currency Prior the suspension Of specie
payments there were IA the States open 10
conmercc only about hundred and forty millions
OF bank notes snd equal In coin.
The amount OF grecnbacks n present held by the
banks 10 this city s only ten Millions In addition
forty millions Of i've per cent legal tender notes. while
those Of Philadelphia are reduced 70 eleven millions Of
legal tonders and the rest throughout the country
similarly situated In proportion. This scarcity Of green
backs II chiefly attributable explained on Friday
last, 70 their gren diffusion and among the
people, partly owing TO disposition 70 board and partly
90 NE necessity existing for every Individual 10 provide