The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1866-05-19
FINANCIAL AND COMMERCIAL.
The Bank Of England has advanced the
ate of interest from 6 70 ~ cent. The


its rate of discount from a cent, to which
Il was lowered on the 10Th of March, to
q cent. The returns published show t,a'
the measure might have been adopted WIN
advantage q week ago. Such Is sim ,ilo
demand for money in this country .nat
people are eager to obtain IT even on terms
twice as high as those at which the COM
mercial classes of France deem 1t can be
employed with any profit. Hence II is
evident that the business OF the United
Kingdom is in state of exceptional and
UNPARALLELED prosperity, or that il has been
and is still being carried on upon fictitious
system, which, instead Of producing large
gains, is rapidly eXhausting our resources.
During the first quarter of the current
year our consignments of British produce
and manufactures were thirty-twoper cent.
in excess of those of the corresponding
three months of 1865 and if these were
profitable, and not upon greatly extended
credits, stream of money should now be
flowing in, whereas, on the contrary, there
has for nearly two months past been an I'M
interrupted drain. The operations OF the
finance companies will but partially &C
count for the existing position. Their
credit is now too low to admit OF their
having much influence on the discount
market. They are doubtless nearly all
scrambling for money at any price at which
capitalists can be found willing to lend 1t.
The fact, therefore, is, that the demand,
such as it is, must be mainly consequent
on an amount of over-trading, to the cX-
istcncc of which the public, dazzled, In,
stead of warned, by those tiourishing board
of trade returns which almost always pre-
ccdc a collapse, have, in great measure
shut their eyes. Relief, consequently, can
be looked for only by sudden CONTRACTION
which, ii may be hoped, is already Slr'il-
gently commenced. How far TINS can no"
be effected without serious disaster II u
question that will doubtless be influenced
by the effect which the news of the reaction
here will have in such centres Oh our 'raoe
as New York and Bombay.
Al the former city severe pressure Is
likely 10 he felt, because, in addition to any
Inconvenience from the fall in cotton and
the shortening of credits, they will have to
providc for n considerable amount of United
States bonds understood lately to have
been sent back.
Commercially, the German and Italian
wars are not likely to work us any injury.
Already Italy has taken the most po-
tent step in her power to drive her supplies
of specie to this country, and Austria seems
to he on the verge of a similar proceeding.
There is reason to anticipate that, assuming
an average harvest to be realized, we shall
witness before the autumn Il permanent re-
turn of the money market t07a normal
nj OF
all solid investments.
In reference to the cotton trade, letter
from Liverpool of May 5 says:
"You will observe that middling Orleans
IS quoted at IA ID. against 1890. last year.
On the 10th April last year it was quoted
1t l3i5d., and advanced to 2434d. on the
}0th October.
"Thc quantity of cotton ahoat from the
east this year is very heavy, and it seems
not improbable that on the lst September
next the stock in Liverpool, of all kinds,
nay stand at or near one million DaieS.
At present reduced prices the demand runs
strongly on American and other long-sta-
pled cotton, and the future prospects for
Ihem are much more favorable than for
East India, the supply of which promises
10 he in excess of the demand, although
very active consumption is relied on, II not
with by war on the continent.
If neace were secure, there would probably
be a reaction from present prices, as cotton
ON its own merits is probably low enough
until we know more about the future pro
duction in America"
NEW YORK.
On Wednesday, there was the large cx-
portation of s3,479,l9i in gold. The mar
ket was strong during the day, and would
have advanced above the days quotations
but that the Government supplied the de-
mand for all bids on $50. The sales Of
the sub-trcasury amounted to $4,000, 600.
To-day, in New York, the market closed
at 100.
Government stock, On Wednesday, de-
clined q. Money on call was abundant
at 4 to 5 per cent, and for commercial pa
per at $685. per cent. and G@61a. Ex-
change on London was quoted at 934 pre-
MUM.
There were sales on Wednesday of
$500 Virginia 6's, coupons, at 6S@GS34.
The New York Herald, noticing the fut-
ter occasioned in money circles by the last
foreign news, says:
"There is no danger of crash what
ever so long as the currency is not Sc
riously contracted, which it cannot be, as
a law of Congress specially provides against
more than a nominal reduction of its
amount. The cause of great panics on a
paper money basis is excessive imitation
followed by efforts to resume specie pay
ments, involving large reduction of the
currency. We are not attempting such
resumption, and are consequently as indie
pendent of the British or any other foreign
money market just now as we are of the
opinions of the Shah of Persia or the Ma
wab of Tanjore regarding the question of
reconstruction"
New YORK, May lS.-Flour declined
lO@l5c.; southern, $40 .6O@sl675. Wheat
declined 293c.; corn, lG2c. Beef steady.
Pork and lard firm. Whisky dull. Cotton
firm; sales, 1900 bales at Soc. Sugar and
naval stores quiet. Gold, 100.
BALTIMORE.
BALTIMORE, May ls.-Flour and wheat
quiet. Corn firm white, &c.; yellow, s3c.
Oats advancing; sales at G3@64c. Provi-
sions steady. Coffee dull; demand light.
Tobacco Exchange, May Il, 1866.
There were one hundred and nine hogsheads
broken open to-day, and ninety offered. Seven
boxes sold as follows s2s IS So $45 $l5. so, $40,