The New York herald., 1867-05-28
FINANCIAL AND CONNER ClAL.

MONDAY, May 27-6PM
The railway share market heavy and dun ths
naornlne hut during the afternoon u developed an I'M
pravio, tendency and hrm tho advanse prices
he,nq very slght however The bank statement Vas
eeasiroed unfay oaby, and tho demand for money
generally reported more active at six cent than last
week rhe sub-TNasury has, nevertheless, been dis
hursng freely to-day than Of late and its balance
discovering down to sl2s, ,e54 7s against $l2s 900
on the 18th INST
Although general for call loans ls per
nixed coilateras and Eve government secur
there supcrabundance Of capital available for
speculative uses and is to the interest Of the Treasury
10 keep monetary affairs al this centre as easy
possible, order to further its funding opera
mons II clear, however, from recent experience,
that easy money Market together with the prospect
cf continued for series OF months 70 come is not
Of Itself sufficient to inspire confidence in values and
10 induce the public 70 buy stocks when prices
low The public Is composed TO . larger extent than
would be generally admitted OF narrow-minded block
hesds" who have neither the sagacy the courage
70 decide for themselves in financial other questions
affecting the OF the markets. Hence. when Mr..
NcCulloch made his Fort Wayne speech, the great
majority OF people wec unfortunately for the prosperity
Of the country. foolish enough Rot only 10 be-
Hevo what he said, but 70 magnify the
import Of his words INTO threatening proportions.
There not wanting, at the time, vast host OF
bears ai the markets 70 intensity these fears Of
widespread revulsIon from Interested motives. The
bcars made their cToak and the croaking
has been both loud and long.
The Fort Wayne speech was followed by letters and
reports In which the same talk about speedy resump
ton Of specie payne induiged In and the time
for the event to place actually fixed in OF the
last mentioned The croakers jubilant, and they
cS0aked louder than before. The commonplace
Of humanity before referred 70 became still
umid, and resolved 70 take in more sail and keep
snug possible Enterprise was accordingly
dwarfed prosperity interrupted and sagnation and de-
preston gradually threw their blightng influence
the land. The volume Of legal tender notes being
meanwhile curtaed rapidly rs the surplus revenues
wondered contraction possible prior TO the passage Of the
act limiting the amount 70 zen millions for six months
and four millions month afterwards Subsequently TO
Ahis Mr. hcCuoch avaled himself OF the full authority
q the act. and, besides, offered inducements which
sesnied in the funding Of compound interest notes
rapid rate As the latter held by the banks
part reserve effect felt almost much
they had been United States notes. Another element
Was simultaneously At work absorbing the currency,
namely, tho SOUTH and here the equivalent Of
traction large scale When add TO all this tho
heaviest taxation ever known 70 any people In the
world, We can imasine how powerful were the causes
- work 70 pfoduc0 depression f0OpI0 ~ iongtn nnd
shenlselvos Impoverished and their axpaying power
eorsspondingly reduced The financial policy Of the
country has been bad and Inconsistent. Con-
gsess has saddled burden after burden upon
che people, and tho time has cooperatod with
sAe Secretary the Treasury rendering them unable
70 sspp0rt the weight The danger increases and the
Tssssury itself threatened with serious embarass
usnss and all this might have been avoided II the
traction Of the currency had been less rapid the false
prophecies Of epeedy resumption Of specie payments
IN unnttered and system Of taxation less oppres
sasa No wonder the income tax this year 10 likely
= yied 20 little and that the bears on the stock
exchange confidently under the protection Of Mr
AoCsFoOhs policy" and that they hnvs succeeded
sssshtsnne the public out Of Wall street altogether.
The statement Of the associated banks for the
ending on The 2bth inst, shows that they have been
rather heavily drawn upou and mainly In Of the
Cob Treasury, the deposits having decreased $77o3 5Os
aaA ths egA tender notes. g. ool The loans have
aise decreased s7o0oo and the specie 6ss
while the circulation has increased So4952 The totals
n nd prevous stat unants atan6 shua