Gold Hill daily news. [volume] (Gold Hill, N.T. [Nev.]) 1863-1882, 1864-06-04
FINANCIAL.

The two great topics which, to the abandon
ment of all others, engross the public mind,
are the War and the Currency. Such being
tie case, we believe that the following article
from the Mercantile Gazette will be found as
interesting and to contain as much Informal
ton upon the important subject of finance,
as anything with which We could fill the same
space in our columns:
1.-The continued advance of gold, notwth-
standing the steady progress of armies to-
wards the capital of the rebel Confederacy, is
theme of very general remark, aud with some
matter of surprise. Ii is readily suggested by
certain parties that news of an unfavorable char.
acter is withheld from the public, and that the
actual progress and position of the Federal forces
is less hopeful than is represented in tecgraphic
advices; that the great strength and desperate
energy of the enemy, though batfled for the mo-
mept, give assurance of u struggle before the
bTiStling fortresses Of Richmond, the issues OF
which cannot but be regarded an among the doubt
full events of the future; and If adverse TO our
arms fraught with consequences OF gravest mo-
ment. 1t will hardly b. credited, however, that
any very important news has been suppressed;
and il is indeed inconsistent to suppose that intel
ligence of so unfavOrable character rs to send
up the price of gold from loo to l9i within few
weeks had been received by parties in wall
public ut large.
Much stress has been laid upon bogus dis
patches" and combinations among gold specula
tors''-all which might have some weight, II the
exposure OF the tricks and alleged consPiracies
were followed BY any natural reaction but be-
yond a temporary pause among the timid upon
the first cutlery Of indignant loyalty the discovery
of such inpoSitions has been attended with no
important results-no lasting check upon the I'D
vance of Gold Accepting, therefore, rs fully re.
IL -. nl,.
rious battlefclds and giving all due consideration
TO the dubious tactics of inscriptions operators,
We must seek some other cause for the continu'
ance of this financial phenomenon. We have al
ready, in previous comments upon this SUBJECT,
alluded to the influence of excessive issues OF pa
per money upon the value Of all commodities.
The theme is trte and well understood without
further calculation. II is TO our purpose, hOweN-
er, to show that in the general advance occa
stoned by these issues, gold has shared less than
other commodities.
We find in Hunts Merchants Magazine for
April m enumeration of twenty nine leading ar
ticlcs of domestic production, (including none OF
southern origin, the price OF which might be al
fected by short supplies which, upon an average
have advanced in value since March, 1859, nearly
100 per cent. Many of them are farm products,
and not directly reached by taxation to any con-
siderable extent Imported merchandise exhibits
n much larger advance than domestic, but this
expense is caused mainly by increase OF duties
An average of sixteen prominent articles showsa
rise of % to 40 per cent during the period above
named. Making all due allowance for higher tarih
rates the effect of currency expansion upon the
price of foreign goods cannot be estimated at less
than about 100 per cent. Now, the advance IN
gold between March, lS62, and March, lebi, the
period embraced in the foregoing comparison, was
but about - per cent. The subsequent improve
ment despite all efforts to prevent it, should
therefore, occasion no surprise Tha: gold,
under existing circumstances, should be reia'
lively somewhat lower than are many other
commodities is 20 be expected Being thrown
out of use in its most important sphere, as the
circulating medium of great commercial nation,
the ACKNOWLEDGEMENTS for it are naturally fewer
than they otherwise would be, and tue article is
thus cheapened and rendered more available Tor
export. The operation OF this rule is well I'M
derS,oOd by business men, and just at the present
time it is much stimulated BY the fact that among
the foreign nations with whom our commercial
intercourse is greatest, the precious metals are in
more than usual demand IL is idle to suppose
that the high premium on Gold Will Keep II al
home if it il the cheapest commodity we have to
give in exchange for foreign goods, and Is ut the
| same time much wanted abrOad-wanted in pre-
ference to any other article we have to spare
But the drain of precious metals to foreign corn'
tries will regulate itself if let alone they will gra-
dually advance in value until they reach poat
where other commodities will be cheaper anu
more desirable.
lfthen it is the wish of our rulers 10 retain
Gold in the country, how pAipably unwiSe thcir
efforts TO depress it. All the restrictions and
disabilities imposed by acts OF Congress but
serve TO quicken the eitluN in proportion rs the
value is reduced. and this in turn sends up the
price with greater vehemence than before. The
uoIicy adopted last summer in forcing down Gold
more than 40 per cent has its yielded legitimate
fru: i'll the more sure and irrcpreSSibie apprecia-
ton of he present year. Then the market was
comparatively well supplied, which II is now
&. ,f, oyuil IN the fAhulOus stOFieS
about the product of our mines-they have been
repeated too often. Wa may mention just here.
however that we find i'll recent number OF
the New York INDEPENDENTS respectable paper
"a religious paper even-an editorial statement
declaring that " in 1868 the export Of Bullion
from Nevada alone was S30,OO0,0O0!! " The ed.
itor is apparently endeavOring to bolster up the
speculative mining movement M the East, and
speaks most elOQuently upon the subject. Min
ing G. old and Silver" says he, is rs essential to
civilization. science, art, commerce, religion ITSELF
As agriculture or the mechanic arts. Mining IL iu-
deed the base of the useful and ornamental arts,
and without its varied products. civiziation
would be reduced TO barbarism." What ever
may be thought Of these figures of speech, the
statistical figures are very wild. Even Governor
Nye in his Message estimated the yield OF Nevada
at but SIS. 0O0.0OO, and the actual receipts were
but Sl2.5O0GOO. Protesting TO be a religious pa
per the Independent should be more cautious in
its statements.
But TO return to our aggression. we nave
dwelt at this time more especially upon efforts TO
depress the value of the precious metals, because
this is q point which has received less cOnSidera
ton than many others, and less than it deserves
To depress the price Of Gold by any measures
which do not equally depress the value of other
products, but aggravates financial evils under
which the country is laboriug, tends more effect
ually 10 drain of its treasure and to decrease the
already fearful depreciation of its currency. The
Spectator who runs up the price of Gold until it
becomes too costly for export, does the country
better service than the pretentious hnancier who
seeks to force it down by other than the legitimate
means of currency, contraction, operating uni
formly upon all values. High Gold mean
relatively high rs compared with other cOmmodi-
ties, would prove as effectual barrier to eNces.
sive importaions as high duties, Fifty per cent.
upon Gold il 50 per cent. upon duties paid in