The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1866-05-24
FINANCIAL AND COMMERCIAL.
WEDNESDAY, Nay 23-sP. N.

|
produced partial disturbance of confidence unfav
recovery of prices There were, to a great extent
unfounded for the banks have been in very easy posi-
ton as the of OF their number having ap-
| piled 10 the Sub Treasury for the accommodation
1t offered goes prove Moreover, only small amount
OF their Clearing House certificates In day,
and OF course have been presented at the Sub.
Treasury for redemption although payable at sight in
| currency.
The bank exchanges this morning were heavy, and
the checks Of the gold brokers given for the coin sold
the government appeared In the differences against those
banks with which most Of them keep their accounts
Thus the Fourth National Bank had difference to pro-
vide for Of 000 These balances payable in legal
tender notes. the constitution of the Clearing House
having been amended to recognize these in leu Of
specie after the suspension; but as it has not been
since amended to admit national bank notes. they
| arc available for the settlement Of balances Yet
the banks obliged in the nature Of their business
take them from their depostors the legal
ders, although they are under the law, only legal
tender from national bank 70 another and to the
government
Not only has there been no money pinch among the
banks but there is not likely be any, if indeed such
be at all possible under existing circumstances All the
semstringency experienced among the brokers and
private bankers who borrow from each other than
from the banks and when they found their ordinary
sources of supply running low they formed exag-
gerated idea Of the state Of the money market The
banks at the same time wished TO keep themselves
in strong position and avoid parting with their
compound interest notes year
thlcaes OF Indebtedness, Of par and interest;
but by official advertisement elsewhere published 1t
wiz be that the interest all of the latter
ing in June, July August will after the 31st
nst that meanwhile they will be redeemed, upon
al mar md Tho of INF
these certificates outstanding the 1st of May was
$6 900 000 but considerably less than half Of this
presented by certificates Of other dates than those
toned in the official advertisement Nevertheless, the
effect Of this prepayment will be to dislodge
an inert mass of currency from the vaults Of
the Sub-Treasury and put IL into active crcula-
ton in Wall street. for nearly all the one. year
certificates held by the banks and others in this
city. All this viii take place within week, by which
time the stock Exchange will be flooded with the
flow from the Golfers Of the banks and loans will proba-
bly, be made at last weeks rates. To-day the transac-
tions have been invariably at per cent, but in
order to convey idea Of the condition of the
banks here II is hardly necessary 10 do than
refer TO the fact that they held on saturday last
$s5 107 Of legal tender notes Strpgency properly
speaking, is therefore an impossibily.
As regards gold, II Is evident that the Treasury has
utterly and regret TO say, disastrousy failed in its
late attempts to control the market with which should
have uterfered IL has lost between twenty and
thirty millions Of coin at a low price, without doing any
good but a considerable OF harm, both TO itself
and the country at large and advise IN future to
leave the markets TO be controlled by the laws of
supply and demand The Treasury has exhausted
itself in an impotent effort, and is pow
erless Such plumbers sometimes worse
in their effects than crimes, and amazed at the
shortsghedness Of the policy pursued by the Depart
The Secretary of the Treasury obviously failed to
perceive that while three hundred and fifty millions Of
securities held abroad and while he had q
large commercial indebtedness 10 Europe, the hty mil
lions of he held quite inadequate TO meet a
heavy foreign drain and at the time prevent the
premium from rising He failed to that the more he
sold and the lower he kept the premium the more he
widened the difference between the prices Of securi
ties and abroad disadvantage and the MORE
therefore he encouraged the export OF gold Govern
ment interference in this case has been lamcn,abe
failure, involving warning not 10 repeat It.
AT the early session Of the open board Erie sales 600
sharos) sold s9 4, New York Central (sales 3oo)
OH Reading loI =, Michigan Southern tsales 26oo)
~ a. Cleveland and Pittsburg sales 1907 s2s s3h,
Rock Island 81 4, Northwestern lsalcs 400 26H a
preferred Csalcs 100 55 a. Fort Wayne tsales ooo
e8L &C. Ohio aud Mississippi certificates 81 Canton 81
n *, Cumberland ~, Quicksilver SIX 4, Narposa
preferred 20N, Western Union Telegraph 60x. Az the
lrst regular hoard New York Central closed lower
than the half past two board yesterday, Erie s. Hud
son River IA, Reading y Michigan Southern y, Inl-
nois Central 1E Cleveland and Pttsburg Ia, North.
western 7S-preferred ~, Cleveland and Toledo 4,
Fort Wayne ~, Ohio and Mississippi certificates -
Delaware and Hudson Canal Il. Government securities
were heavy Coupon hve-twen;ies Of 1862 declined =
q. with large sales to realize tonories ~ seven-thiy
D otes OF the third series y.
Al the one O'Clock sessions prices were y per
cent lower, AMI subsequently there continued de-
preston. Al the haifpsst two board the market
Arm New York Central closed u higher than at tho
frs, regular board Hudson River " Illinois Central
Cleveland and Pttsburg ~ Northwestern preferred y.
Erie closed ~ lower, Reading "a, Michigan Southern 4,
Cleveland and Toledo TX Rock Island x, Fort Wayne
y, Ohio and Mississippi certificates y, Quicksilver l.
Canton az Government securities heavy, except
ing coupon nvc-twcn,ies Of 1862 which advanced r.
The third issue declined y, ten fOrties T. thirty
notes OF the second series Y, third series x.
At half past three open board increased nrmness
developed and prices continued to improve except
for Erie which remained steady New York Central
cold at % o. ~ Erie es d. 81 Hudson River 1lo,, Read.
ing l07x Michigan Southern (sales 500 sharcs 7sx
d. 81 Illinois Central 1i6 Cleveland and Toledo i03
Cleveland and rittsburg s3A, Rock Island soy, North
western 2eys-prefered 50 TO- 81 Fort Wayne s3ys 10 81
OHIO and MISSISSIPPI CERTIFICATES ~ canton 56A, Cum
berland al, Western Union Telegraph 6lx. The
market finally cosed firm, the quotations at
half past Eve being under:--Ncw York
Central o2x u, Reading 1917 y. Michigan
Southern 1sx *, Cleveland and Pittsburg s31s a.
Rock Island 90 y, Northwestern 2o;s 27-prcferrcd
sex y, Fort Wayne o3S %, Ohio and Mississippi
certificates ~ ", Canton Goa n, Cumberland a a y,
Quicksilver 60 Afterwards Erie hammered 70 90,
but the rest OF the Market remained firm.
Gold opened OF 133x, and by half past one had nd.
vssced to $780, after which reacted steadily to 1854 the
quotation II r. NJ Loans made at from per cent
s2d per diem favor Of the borrower early In the day.
but the latest transactions without interest Tho
expor, Of specie again large the amount taken BY the
Tarfa from this port being % 23] ~eo and BY thc Chisa
from Boston, el,ea7.ooo the whole aggrcgs'
QlnAeA
Foreign exchange was inactive and bankers biz
ENGLAND n sixty daya Acre annted NJ l0Qs<