The New York herald., 1864-10-10

20 tho future continues Tho Following comparison VIII
show currency depreciation Of the leading stocks
within q mouth
Hudsou River - -..........l2lX . 1Oe
Cleveland and Pittsburg. .........loK 9lh
Illinois Central. lI6H III
Mcngan Sentral... los iloH
New York Central ITO
Chicago and Rock Isl nd .........IO1% s7js
But although the quotations show this heavy decline
in currency the fact remains that, compared with
their price in July lat, when gold selling at 276
135 these stocks have undergone appreciation in gold
value.
We have arrived at that stage the history Of the war
when gold become the great indicator criterion OF
prices; and knows value of his property
for the time being without consulting that standard
Hence the susceptibility Of the stock produce
and general merchandise markets to the influence
OF the gold premium and gold itself just sensitive
10 the influence Of the currency value 9! all
property Is TO its rise fall This susceptible
~ is partly the result of specu alton and partly Of real
causes and in effects II hurtful; the arrangement
OF values produced being detrimental to the interests OF
the commercial community whilc by creating sense OF
insecurity and distrust il places drag upon traae. We
have practical illustration Of this in the stagnation
which has characterized business OF all kinds since
the fall in gold began. But this is an exceptional
period; for We are now passing from morbid
state OF imitation to the sound and natural
basis from which driven by ebsurd legislation
relating TO god for although the general bad manage
mept the national finances, especially With regard 70
currency, did much towards sustaining the efforts OF
spectators rise gold would probably have sold
within hundred per cent Of the highest figure reached
July had it for the Of Congress affecting
It's purchase and sae for every restriction placed upon
trac fsssered dstrus and played into the hands
OF . m nopoly.
Gold rapidly tending towards its proper level, and
the impending aspect Of the military situation will ac-
oelsrate ITS decline ill., having "touched bot,om" as II
were, Il will steady itself by its own weight.
II matters nothing that thousands OF spectators in
stocks in produce or In merchandise may be ruined by
long the people the gamers The spectators
are responsible for much OF the evil OF insiion which
makes the paper dollar worth little more than
half its vale In specie and which at time had ro
duosd Il 70 less than forty cents. With this decline Of
gold and the consequent rearustment Of values in
roucy will come that restoration Of confidence which
VIII tend keep down the premium in the future and
lead 70 reforms in our financial policy which viii be
preventive OF the dangers whcn the present course
indefinitely persevered In. would threaten hen OF
wealth will then recall their Investments in Europe,
them have already DONE in view Of the rcassur
ing condition OF the military situation at homo and the
critical state OF financial and Affairs in the
Old World.
Great Britain, during . suspension Of specie pay.
extending twenty four years. could keep the
premium gold, as compared with Bank Of England
notes premium th At averaged only twenty per
cent exceeded forty cent, there s no
reason Why We should no, emulate her example. Her
national debt at the present day hundred and
anety millions OF pounds sterling, about doube the
amount OF our stands yet Of in.
convenience her, for the fiscal year
ending the lst OF July st severity mliors and
might easily have been doubled, according 10 the bes
authorities without depressing any section Of tas popu
laon With good financial the amount OF our
would be Of little consequence but the form
securities representing is MATERIAL and hence
large Issues Of irrsdeemsole paper money to be
deprecated To the condition the and plans
for the funding OF large portion Of Il. therefore, Con.
gross will require 70 devote its serious attention imme
datsly after meeting. The blunders OF Mr.. Chase
ratified by Congress and persisted in Mr. Fessenden-
have national debt thus Tar at least third
more than would have been had the sound policy of
loans supplemented by and Issues Of Treasury
fractional currency just sufficient to supply
substitute coin Withdrawn from circulation boen
adopted.
tors In produce, and wholesale and retail dealers
OF all kinds, dread the further fall OF gold,
which they poweress 70 resist and this shows the
unhealthy Of imitation from which descend
Ing The process OF contraction always painful but IL
10 the only one by which haances aud
be restored 10 healthier basis Even allowing for the
bunderng OF the Treasury Department and the large
volume paper money circulation, the gold premium
has been unnaturaly high and Il IL therefore only nstu
raj that should down, and everything else with
Il 70 be bought with lawful money.
The stock market stil under the control OF the
"bears" who have large uncovered short interest 70
protect The "bus" made . strong effort to rally the
market last week: buttney only partially
full probabilities favor prices not because
railway selling for than their roai value,
for the Just the but owing TO be-
fore referred Co. which makes the public disrusiru Of
values Besides which the bear party have been mate
rally aasissd IN their operations recently by large
salss Of stock made by investors pressed for
money. aud forced 10 realize whatever securities
they held, their property being less
sslsbis. This was especially the case with regard 70
Western stocks sold here Western account in
qvencs OF the recent panic Chicago which has
acted sautary warning both bankers and produce
hoardess not TO place dependence upon each
other the future Of the Tor either money or
bresdstuGs.
Tho western banks have drawn largely upon the Ea,,
during the week. those o Chicago especially order
% strengthen themselves against contingencies and as
. consequence exchange on the Eastern cities is un.
usually scarce at Chicago. This Of course tends
towards sringency bere md with the drain thirty
millions o. legal tenders IN payment OF the loan be.
fore the end os the month In prospect there 10 ke.
hood OF ease In the discount line Moderate demands
from the stock Exchange will, however, continue 10 be
readily at per cent The rates FOR commercial
paper during the week have varied from nine to fifteen
per for fret clsss names, and still hssr for ord
nary
0overnmen, gold bearing securities declinedf Per
cent In the eay pert Of week, under The announce
mont Of the pe~ forty million loan fve.twenty SIX pei
oent bonds but they partially recovered before the close
end remained steady.