Cleveland daily leader. [volume] ([Cleveland, Ohio]) 1865-1873, 1866-05-21
FINANCIAL { COMMERCIAL.
sArunpAY EyxNIEe, Nav 10, 1888.

SATURDAY EvKNIEe, May ls, 1876.
The most prominent feature of financial
matters during the week closing to-day has
been the movement of gold. The recent
turn given to foreign exchanges by the
panicky condition of financial and eom-
mercial affairs in Europe, growing mainly
out of the apparent immihence of a Euro
pean war, had the inevitable effect of
advancing rates of exchange bills on this
side, and these having reached, and been
firmly maintained at and even above the
specie shipping point, the result has been
an export of specie. During the present
week this export movement has amounted
to nearly nine million dollars, the largest
by three millions ever before known in a
single week. The natural tendency Of this
heavy demand, coupled with the pro-
liability Of its continuance, and the posi-
bility of its increase in the event of any
considerable return of our national securi-
ties from Europe, was to create an advance
in the market value of coin, and a strong
upward tendency in the price of gold was
observed Immediately upon the confrma-
ton OF original adVices from Europe of the
situation there. That gold must have
advanced materially under these influences
there can be no question, had not the
government deemed it advisable TO enter
the market as a seller, which it did as soon
as the evidences Of an upward tendency
became decided. These sales by the
Treasury during the past week are reported
to aggregate about eleven millions, and
their effect has been to curb the upward
disposition and steady the market, which
has ruled pretty regularly at a range Of
13O@13Os, closing to-day at the inside Of
these prices. The question nowis, whether
this drain of gold is to long continue, and
if SO, can the Treasury SO help the market
as to prevent q material advance in the
premium, The future of exchanges is one
of uncertainty, but it is stated to be the
impression in New York that a better state
of things may be hereafter looked for in
the foreign markets land if this expecta-
ton should be realized, a diminution of ou1
kttu CAPOANo hAA VI COul 50 lNlAONy WILL q
proportionate reaction in the upward
tendency; on the other hand, should the
drain be maintained for any time upon any
thing like the scale of the past week it may
possible to keep down the premium. The
Treasury has now an available coin bal
ance of about forty-fve millions, and the
Secretary would probably not feel justified
in disposing of more than twenty million:
of this amount. To have any influence
upon the market, in the face of such a de.
mand as now exists, there could not be less
than five millions thrown upon the market
weekly, which would use up the available
fund for this purpose in four weeks. We
arc, however, disposed to accept the more
favorable side, and assume that the relic
furnished the foreign markets by our large
shipments of specie already made will
cause a reaction there and re-establist
confidence, justifying at least a partia,
renewal of cotton and produce shipments
and thus bringing about an &C adjustment o.
balances through these natural agencies.
The n arket for government securities du.
ring the week has ruled steady, and a good
demand has been shown for nearly all de-
nominal ons, with increasing frmness to-
ward the close. The New York market TO-
day was frmer and generally better. tn:
reported that the return of bonds from Eu-
rope during the past four weeks has been tc
tie amount Of ten millions dollars, and the
irmness of the market in view of this fact
should amply assure the holders of the ma
tioual securities. The great ease in the mo
ney market has of course measurably con-
tributed to this result, but the u~nimpeach,
able credit of the Government, as testified tc
in the steady reduction Of the national debt,
and as vouched for in future by the evil
dences Of economical, safe and conservative
manager ent by those having control of the
finances, is no uncomfortable influence in
determining the standing of the public Sc
c%urities.
We quote the closing prices of coin and