The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-10-04
FINANCIAL AND CONNER cIAL.
THURSDAY, Oct SO P N.

the opening transact ous l44 and the closing
1lsx, the tendency al that point being si upward
The Gold Room adjourned Al four, instead Of three
O'Clock a. usual owing tho activity OF business and
Afterwards on the street largo changed hands
ut lA5x l451. Several causes operated TO produce
shs sudden upward movement, the most important OF
which il the project for paying or he funded debt in
legal tender ana the fresh discussion TO which Is
now giving RISE and which goss STOW that there is
growing sentiment IN favor Of this method OF dmn-
fishing taxation, by converting the intercs. bearing
debt into non-interest bearing currency. The
suppression very generally prevails that Congress will
Sake action the subject during the next session. and
there doubt that the great majority OF the people
will favor the plan OF redemption IN legal tender noes,
Abe particularly with the exception OF one loan
tho government not promised payment OF the prn
epai IN coin although originally understood that
payment be made in gold. The foreign bondhold
bra viii doubt be greatly disappointed by the change
In public opinion on the question, and bonds may DO
returned In consequence but 10 useless 70 ignore tho
tendencies Of the Time whether hoy happen 10 be right
or otherwise. The OF disturbance Ia the
shreatening aspect OF political affairs in Italy
and the critical relations which subsst between France
and Prussia and which may at any moment culminats
In open rupture. The elmo in French rentes on
She Paris Bourse to-day aud the excitement and depres
sion the Bourse Frankfort 60 10 prove that there
10 deep feeling Of dstrust there which Is not without
sufncisnt cause The apparently impending failure Of
the Credit Mober IL At the same time grave matter,
which II likely 10 result In much financial disturbance
NIL the continent OF Europe, aud particularly in
France The supply OF cash gold was excess OF the
demand and loans were made 1t 3a per cent per
nnnum and l-32 per per diem for carrying
The gross csarances amounted 00o the gold
balances 10 IFS $685. and the currency balances to
sls1asoe:
my previous day this autumn and loans made in
many instances BY private lenders at per cent In
Sod although the banks OF took only this rate In
currency. The supply was, however, hardly adequate
and the fact Of some Of the banks having called in
portion Of their loans resulted in considerable moon
Ssnience the borrowers. Lenders give the preference
20 gold collateral, and Of this there is
u large amount beiug carried 1t present. owing
70 the steady sales Of the 1reaury for some
sms past. Government securities also being
largely carried on margins, and It IL difficult for
ahs holders 10 secure all the money they need advanced
Them although the full OF interest is paid The
banks refusing discount all mercantile paper not
presented by their customers, and the supply Of
this is larger than they accommodate The rate is
still nomnay per cent. but borrowers generally
submit to q per cent discount, even Oh prime
The increasing activity Of monev is cxsrtng
tendency Of prices is downward. 1t Is probable
that temporary relief will follow the making up
OF the quarterly bank returns the It'll inst, but there
will doubtless be active demand for money until
after the return flow Of currency from the West sets in,
ana meanwhile there will be heavy drain southwark
TO the cotton CROP Prices the Stock Exchange
will nevertheless be likely 10 yed rather slowly and
recover quickly after the monetary pressure Is with
drawn, but feyerish and unsettled market inevitable
for some time to come.
Al the early session Of the open board stock mar
kss was dropping. Ere sold At 65k. Michigan South
srn SIX, and Northwestern 421l q l2x. At the nrst
regular board the market steady but only mode.
tately active New York Central closed lower than at
the same time yesterday, Erie ~ Michigan Southern
y, Cleveland and Pittsburg u, Rock Island " North
western l. do. preferred q. Fort Wayne u, Pacific Mail
u, Quicksilver sS, Western Union Telegraph ~ Read
ing higher Milwaukee and st Paul preferred u.
Government securities heavy under pressure to
SELL aud at the call registered 1881 closed q lower;
6-2o's, coupon, 1852 y; do. 1854 II d. 1865 ri do,
new issue, u; 1867 ISSUE u; $40 notes. third
sercs y. Coupon ten-forties advanced r. State stocks
were quiet and Tennessee SKIES declined y, while vr-
ginia and Missouri skies advanced y.
At the open board O'Clock there material
change in prices Erie sold at 65&, Rock Island 1927
. 1o2K, and North western 42K AK. At the second
regular board the market irregular and dull
New York Central closed higher than At the ars.
regular board Erie u, Northwestern y, do. preferred
~ Milwaukee and St Paul preferred 4 Western Union
Telegraph r. Michigan southern was 7s lower, Cleve-
land and Pittsburg Y, Rock Island Y, Pacific Mail y.
Government securities were heavy, and fvctwenty
coupons, 1862, declined y: do 1854, k do, 1885, u;
do ISSUE y: seven-tnirty notes. second series, r.
Tennessee new declined 4, and Missouri y.
Al the opsn board at hal past three tho market
weak and Inactive Erie sold Al 65,s, New York Gen.
$ral, lo9K Reading. l0lN; Michigan Southern, SIX;
Rock Island, l0lh l0ix; Northwestern, AK; do.
preferred, cox; Fort Wayne. ex.dv.. 1907.
After the call Erie declined 64 and the OF tho
market dropped In sympathy; but . partial recovery
took place Prices nuctuated evershly up the
a SIX O'Clock, when the following quotations
rsnt:-Nsw York Central, 1929. losK Eric. e4K
c4X; Hudson River l2s 100; Reading lo1k 1olH;
Michigan Southern. 81 SIX; Cleveland and Pttsburg
70 7Sk; Rock Island lol x lo2; Fort Wayne. 100
1oox; Northwestern. AK 42H. do preferred, o6s
ecx; Pacific Mail, lao,l l4oH; Ohio and Mississippi
Certificates 20 . 81 wsstsrn Union Telegraph,
3ox soX.
The annual election Of the Union Pacific Railway Com
Dany TO have taken place yesterday, but owing to
contest between the Dursnt and Amss parties formal
vote was taken. and the proceedings we're adjourned
until to-day, and to-day adjourned again until to-mor-
row. when the election u expected 70 take place.
There was considerable pressure TO sell government
securities 1t the counters Of the leading Dealers and
prices steadily declined shroughoa. the day. Tho in
oreasing activity Of the demand for money 10 inducing
sass and the national banks been sellers 10 order
10 get currency TO strengthen their prepare
slsa for their quarterly rsturna The prospect OF tho
ultimate redemption OF the funded debt legal tender
notes. and the further decline nvstwsnses also
srsd depressing effect upon tho Market which closed
1t the subjoned pricssRsgs,ercd, 1881. ii0x 1Iox
coupon, 1884, 1loH alIok $685. registered 1852 lo4
. lotk; sos coupon, 1851, l12S ll2x; s2os, cou-
pon 1904, 1osH los5s sos coupon. 1866, losX a
1osH; sos, coupon, 1896, January and July, lo7x
1o7,f; sos coupon. 1857 1o7x 1o71; ioso'a regis
asrsd, 9sH ssy.; lo-Ao's. coupon, 9sx loo June
1905 1864 loeh; Jsly 1905, IoeI 100, october
compounds 1854, liox . NIX; December COM
,onnda 1854 llaN n llaL. MAJ eannanna. 1ass