Evening star. [volume] (Washington, D.C.) 1854-1972, 1866-05-23
EVENING STAR.
The Financial Paa in EngIana

large number OF country bankers were in
London 70 confer with their London agents 10
Proyloe against all danger from local runs.
hnmors were IN circulation Of n severe run
on the bank OF Barnett, Hooues. Hamburg *
20, but they Were entirely without iouD-
oanon. There was run upon two or three
otnei oanks, and being well met soon sno-
sided. Both in London and the country ample
prpAratons were very generally mace ior
tneh contingencies.
In the Liverpool cotton market there was
an increased panic At the commencement on
friday, the Lth; but less unsteadiness AZ the
AtGlasgov the iron. brokers resolved 10
close business I'LL MONDAY
In the produce market at London prices
were almost wholly nominal. Taking into
account the depreciation that has simultane-
ously occurred in English funds, railroad and
foreign securities, &c. the diminution in the
ginning Of the year may BE- considered 10 reach
one hundred and thirty millions sterling 10
say nothing Of the losses on cotton, cotton
goods, and other articles.
The Times, IN an editorial saws. off any,
thing can justify the suspension OF the BANK
charter act, the panic which swayed the city
TO and fro on Friday nav excuse the STEP al
though we believe the reign of terror was ap-
preaching its end, and would have speedily
ceased had no ipfraction of the bank Law been
permitted Even now il is probable the license
allowed the baRk will not be used. 1t cannot
however, be denied that about midday yester-
day the tumult became a rout.
he doors of the most res spectacle banking
houses were besieged, more perhaps by 2 mob
actuated oy a strange sympathy which makes
and keeps mob together than by the creditors
of banks, and the tbrongs heaying and tumb
ling about Lombard street made mat narrow
tnoroughfare Impassable. Such exeIteme mt on
all sides has not been witnessed since the great
crisis Of le2J- Each man exaggerated the sus
PIGEONS Of his neIghbor, and until 4 report AT
.ntt ume Gniounded, was circulated IN the az
ternoon that the 4oyernment had au III orized the
bank directors to issue five millions addition
al IN notes, Itseemed as If the fear and distrust
OF the commercial world had suddenly become
The statemen; was baseless at the time. I'm,
served TO aIlay the panic, which had no solid
foundation.
Even then the announcement. OF Peto's sus
pension did not survive the panic IN its inteusl-
", and the statement OF other stoppages pro-
du ced little effect
The Times adds. I'VE need to he persuaded
mat had the Government stood firm tue panic
would have subsidized itself and II, as we are 20
expect, confidence " IL be speedily restored We.
shall attribute II to national causes rather than
20 the interference OF The Executive Govern
uent''
The Daily News appiauds the wise and
prompt action Of the Government and says
during Friday III" bank had extended is loans
ana discounts until The amount exceeded four
millions sterling" The effect was 10 rednca
the bank reserve by nearly three millions.
lbIs dImInuiIOn and prevailing dIs;rus, juscI-
he'd The Government intervention.
The action of the Government was m
houhceo IN the house of Commons on FrIG;.,-
al midnight, by NJ. Gladstone. who had b.r,
engaged all the evening in consultation with
bankers anu others. who represented to him
tbat the panic IN this city was without parallel
IN tne financial history OF the country. Mr.
lilacstone said he had addressed letter 20 the
Bank OF England TO the effect that If they
shonld find occasion 10 afford relief 20 he
wants OF legitimate commerce and make such
advances as would require the issue of n~tas
bey ono the amount allowed by act the Gov
eminent recommended them not 70 hesitate in
do4hs 81 ana undertook, IN the event of that
contingency. to make immediate application
10 Parliament for an act of indemnify