The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1866-08-20
FINANCIAL AND COMMERCE.
SUNDAY, August l9--o NJ.


SUNDAY, August l9-6P NJ
n, . naYrst was extremely easy throughout
a. 80, ,yaar and the usual signs premonitory Of
.,o,co ~ this state of things everywhere seen
n ia. indeed been surmlsod in some quarters that the
sreraraions for moving tho cpop which, at this season.
hayn "a tell upon loan market and to cause greater
-, Tor monetary accommodation at the chief
nanciaI centres would shortly decided activity
And higher rate OF interest. Mr. McCulloch's deter
nuston TO keep money easy however, has led him to
make the announc sment which we published on We'd
pesday that he would stop the payment OF nteres, on
about $50 600 OF temporary deposits on the 10th
ina. During this week, therefore, or at the be-
ginning OF next week, this large sum in cur
rency will now out Of the Treasury, and the
snticipation of this movement has already had
ths effect Of checking certain ncipient symptoms OF
monetary stringency which the bear spectators
were beginning base their operations TO depress the
stock market preparatory to future movement for
rise Another good effect expected from the payment
nj the present uncure, OF the temporary deposits Tho
iucome tax payable during this month"; and Will draw
Into the Treasury at least 900 in currency at
time when the revivng activity Of business makes cur
rency more in demand than 1t has been throughout the
mort season Of commercial inactivity which is just
Sosnu The disbursement Just at this crisis from the
Treasury of Of currency, on account OF the
temporary deposits added to the ST. which are
being paid out for interest the sevenhrty bonds Is,
therefore very timely and cannot but have the most
stimulating and conservative influence on all those
operations of internal commerce and trade which
depend on tranquil, healthy and easy money market
The rates for call range from per cent and on
government collateras largo amounts are readily obtain
bd by FIRST class houses low as per cent Some OF
the banks refusing lend below and prefer to Keep
part OF their accommodating surplus by them but the
larger number exhibiting more anxiety than u'a TO
nut out their idle balances demand and in some cases
heavy sums reported to have been lea Tor thirty
lsys at Az per cent Commercial paper passes freely
vt 5,s per cent But there ea applications for dis
count the bills orpr being chiefly those Of the dry
Foods commission heaaes The large amount OF uneni-
koyed capital end the very limited demand for accom-
odation both the Stock Exchange and elsewhere are
vo OF the chief points OF interest in the loan Market
4 both tend with other to justify the general
Aarssson that contrary to what is usual at this pcrod
- the year. we shall have no tightening OF tho
money market but that for some time to come
,rs shau have a low rate OF interest and adequate
and easily accessible accommodation for borrowers
The stock market has exhibited several features of
tn,erest during the week The chief OF these is the
advance in government bonds especially in the
Ian fortics which have risen from 997s to 1o2k The
0ye-twenies have also gone up x a per cent II Is
believed that Mr. McCulloch has issued very few new
bonds for some days past but the advance In the face
Or the issue OF $47,oOOooo Of new bonds during
lhe last two months is good illustration Of the i'm
movement in the government credit In the railroad
share market there little change developed until
yesterday, when Erie Reading Fort Wayne, Rock Island
and several other the leading descriptions began to
show manifest signs OF buoyancy. The belief widely
prevails that during the next four days
lively speculative movement will set in. 1t is
well known that before Mr. McCuoch's de-
Termination was known relative 70 tho Payment
or the temporary deposits certain shrewd operators
were making and had, indeed all but completed the
preimlnaries for "raid' on tho stock market The
heavy holders Of stocks had preliminary sold out
and had NOT their expectations been frussrsted We
should now in all probability have been in the midst Of
lhe depressed movements Of somewhat pancky
market These capitalists having sold out their stocks
are anxious V buy them in again, and is reported that
nssparng getting them back at lower rates they arr
prepared to go in the higher prices now current How
bar these statements correct the future VIII show
In illustration OF the statement that the railroads
shs county doing this season very profitable bust
ness we call attention to the subioined table OF IN
oss earnings Of ssmS Of tho leading roads in the mont