The New York herald., 1864-08-08
4ANCIAL AND COMMERCE.

SUNDAY, August " 1oos-
wnhstandiug the reverse before Petersburg and the
nto Maryland and tho borders OF Pennsylvania, tho
ry aspect is the encouraging one We Can nnd IN
vey OF our national affairs. The political and nnan
sspects are both calculated 10 arouse gloomy fore
Is and our lively. apprehensions for the future.
Ihd Of order, harmony and strength, we find only
discord and weakness. We fad corruption and
try In the place Of craftsmanship and ignorance
hlfsh aims where wisdom and whole e-souled disin-
edness should prevail What will come OF all this
ow soon we shall reap the whirlwind in store for us
q as yet merely surmise; but that IL is only ques
more or less time the keen observer OF events
clearly perceive.
Is something in present financial and military
ton analogous TO that of France when the First Ma
was fighting his great battles and the monetary
Of the empire were in state bordering on nsol.
I'll. The finances continued 10 deporably bad state,
10 renowned corsican went on gaining victory after
y, and it may be sad that the military victories OF
were greatest when It's finances were at the worst.
9Th, when the paper issues OF the country had be-
uext to worthless, there sudden return to
4 payments, and the currency was generally refused
il had before been tho medium Of exchange. From
me assignats were as valueless as tho old Cont
money Of our own country, and within seven years
ir first issue.
French government had previously pro6ted by
isue Of currency in the payment of debts with IL,
ls government has done with respect TO grt en-
n Napoleon made no eGor. to sustain it, ana an
is was removed from the French treasury and
when 1t passed away. Those who hold |, Of
4, suffered as provision was made for its redemp.
II conversion. Our government, from present ap.
..~..
h more currency indefinitely till such time as the
refuse 1t in payment for their goods or labor, by
H OF its great depreciation in value as compared
he standard Of gold. The fact OF Congress having
lit legal tender will not it from tie de- true.
u which that stepdy course OF imitation tie govern
Is pursuing will later consigD it, unless
measures are adopted to prevent II. The collapse
currency bubble will not, 10 any event, however,
rapid it in the OF France, because Of the
or and more enduring resources we possess, and
Ct that, 20 long as tho government has bonds for
Ader existing acts OF Congress legal tender notes
. receivable in conversion. But there Will como
when all the bonds of the government anthor.
nd purchasable with the currency afoat viii be
Ind it is by certain that the latter will
~ the same relation to bonds under subsequent
II Congress.
Engl nd, duriug her wars with Napoleon, William
iade the most strenuous efforts to sustain the vane
I TX Of FL gland notes, and In doing adopted the
ry course to that pursued by Napoleon II would
tier for this country to follow England's example
lsiain its credit by Withdrawing the currency but
who hope for that likely, we fear, to be disap
d. The course Of France will more probably be
ITO which we, in q slower way, shall relapse
IN we reach that period in the financial history OF
Ar when the currency falls into disrepute and
nay ments are resumed q severe monetary shock
the natural consequence. In Great Britain, be-
the end Of the Napoleonc wars In SIS. and the
the gold basis, in 1921. there great financial
ion and the ruinIof the majority OF sFeculators,
eat arrangement in the labor market was one OF
rect consequences; but after specie pay ments be-
universal In the kingdom the nation experienced
IMPLIED prosperity. Contraction is always oppres-
whereas expansion makes easy the road to ruin.
udation after all that has been said about it, falls
on the people, when it applies to the currency;
as II is more or less held by every one,
ancr about equally by its depreciation in
hands. The South has already practically
lated its currency and seems to be little the worse
o operation. But It Is n military despotsm, and can
Without money. Not so ours, however IF the in
md apathy OF Congress allow the country TO drift
bat state when its currency Will become next to .
less, the need OF making amp's provision for the
/, will be all the urgent and taxation will then
re 10 bo at once both searching and comprehensive,
The people will have TO be assured that further
|, OF irredcemabe paper money will be made.
past week has been one OF considerable animation
III street, owing to tho strong speculative; feeling
HAD boc haas t,s cd hve eho
disbursements OF Treasury. legal tender notes con-
|pt to some extent upon the withdrawal Of tempo
deposits by the banks here Between
10 and August Q the volume OF the
ucy was Increased by no less than fifteen
ns in compound interest six per cent notes, and the
grcenbacks reserved for the redemption Of the tenn
loan. This imitation is still going forward, and the
an the money market is very apparent in the abun-
D OF capital seeking investment at the legal rate Of
est. An increasing ease has been observable during
eek and on Saturday the amount Offering on call
in excess OF the demand.
b demand for gold on other than speculative
ant has been very light, and the same may be said
reign exchange, owing TO the large exports and re-
rtatons which still make the weekly returns OF the
matters OF considerable statistical interest. The
estimated value OF the gross shipments, exclusive
pecic from this city for the last three weeks
twenty .dvo millions. This has naturally re
d in superabundance of banKers' and mer-
ts' bills, aud a diminished demand for gold
which to pay customs duties, large proportion OF
sh hpments beng OF foreign goods held Ia bond for
of market The quotations fer sterling bills on
rday ranged from 1851 TO lo9 for gold, and Isl TO
or currency.
price Of gold advanced slightly towards the end II
seek under the reports and after selling 261%
IA on saturday at 259i4.
zero spirited demand for United States bonds,
low price in specie inducing large purchases for.
account. the five ctwentics (coupon) sold as high
and the coupon SKIES OF 1881 touched l06n. Why
q should be tins difference In price between two
,Iy good and convenient six per cent gold stocks 4
hard 10 determine on any other theory
that the one Ia bcttor known than
other, especially abroad, thanks to the
,rnmeut policy o, creating many stocks of different
snatiops that the pubic require TO mako study Of
4 In order 20 rGderstand their respective merits.
multiplicity OF distinctions leads to much confusion
NC parcr irys8tlBs in national securities, and tho
ier their arrangement is simpliaod by ihcir conver
into one great ccnmor stock, undcr conditions appi
= 10 each, the better for both the government and
reopc. The more tho lowest priced Of the geld boar
bonds advance tho stronger win be the iudacemen, to