New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1867-01-19
Clev & Toledo
FRIDAY. Jan. tsp. NJ.
Gold closed at 1851 after selling at 49,.

Gold closed "A lJbl, AFTER selllns AT Loss
Government stocks are firm, and State stocks
steady. The miscellaneous list was not active, and
hardly enough done in some stocks to keep them in
memory Pacific Mail fell 1; NcwYork Central !;
Erie. }; Hudson River, 1; Cleveland and Toledo, p
and Fort Wayne ,. The dealings in Fort Wayne
were large and disposition shown TO put out sellers
options At the Second Board prices were lower on
the general list with sellers than buyers Late
in the day the market broke down. and closed at the
following prices: New-York Central 107sa p7; Erie,
62,a@l; Michigan Southern. NAM; Rock Island,
99a9al; Northwestern 4llG4s; do. Preferred, 79a
79l; Fort Wayne, 96.097
Money on call is per cent. with no loans OF conse-
quence at anything less Six per cent Is paid IN
many cases to carry gold, and stocks are turned at
aa3 per cent for 80 days. Commercial bills are
quoted easier to SELL and business has been done at
7as for best and ga l2 for second grade. Call loans
have decided preference with lenders. The report
that the House Committee on Banking and Currency
will report Nh Randalls bill attracts much attention
The action of Congress in regard to the circulation OF
National banks is looked for with interest by the
public as well by bank owners The agitation OF the
policy of assuming their circulation by the Govern
ment is rapidly bringing new support to the measure
which admitted while doing the banksno injustice
will facilitate the return TO speciepayments and save
the publicfrom the losses tOfollow the attempt
TO force tho banks redeem their circulation In legal
tenders. The National bank-notes arc now eNertlng
all the evil of which they are capable upon prices,
and assuming the obligation to redeem them Tae
still in action by the Government, instead OF G1tT mer
deceass AS at present will not be movement in the
direction of expansion, The loss of SIS 100000 of gold
interest would more than counterfeit the ability of
the banks to expand, upon the return to them
of the margins on their bonds now pledged
for circulation, and the premium to
DO paid when the Government buys the bonds, by
assuming tho redemption of the CIRCULATION they
represent 1t is conceded by the earliest bankers
under tho law that the circulation of notes prac
tically irredeemable exceptn the of the banks
in the Atlantc cities or in the of broken banks
is one of the most dangerous elements and the great
impeachment to resumption. lt Is apparent, IN view
of the alarm in bank parlors caused by the small re-
duction made in legal tenders thus far, that at no
remote day there may be seen currency panic pro-
duced by inability of National banks to redeem.
This can only be avoided by at once making
the bank-notes so nearly equal in value with
legal tenders that, III the movement toward
specie payments. there shall be no war
between the two currences, such as must occur as
the laws now stand With tho currency thus re-
duced to uniformity the movements of the Treasury
would have less violent effect upon financial affairs
prevent steady decline in prices and widespread
commercial disaster but the fall and loss can be in
some degree mtigaed by this step. The plan of pay
ing the banks SIS 900 600 in gold per annum to circu
late o currency inferior to legal tenders was war
measure" and mistake, as time has shown, and the
sooner altered the better for the solvent part Of
the community The first step should DO the assunp-
ton of the circulation by the Treasury stopping all
interest on the bonds with redemption in legal tend
ers in New-York alone.
Exchange is firm. Bills at sixty days on London
are quoted at lOSs01O9t for commercial, 1O9!91O9s
for bankers; do. at short sight, 110t0ll0l Paris,
ut sixty days, 51O.a do. at short sight $3.50
b.lit Antwerp, 5.16l; Swiss 516!; Hamburg, 36s0
SGT; Amsterdam. 4li841i; Frankfort 4ls04li; Bre-
men, 7SId7 rot; Prussian thalers, 72sGi2i
Freghts are dull. The engagements to Liverpool
are 800 bales Cotton at l95-l6d and per steamer
800 bales do at 0-l6d.
The business of the Sgb-Treasury was: Receipts,
1904, o11 06-for Customs, $i73,OOO; Payments,
81 Oi3S7O7S Balance. slOS.Os5.l5l S4-Gold Notes,
SIS O0O ....-
The following note, received by City banker, ex-
plains itself:
OFFICE OF THE C WsTsa11s o Jam GGshh ss
SIN; am In receipt Of your letter OF the 'th OF
Section Eight of the National Currency Act confers
upon National banks a such incidental powers as SHAH
sountIne and notes. drafts bills OF
eIchange and other evidences OF debt and closes with
tha proyision "And Its usual business shan be trans
notch at an office or banknghouse located In the place
speefed I'm It's organization certificate"
AZ the law confers authority upon National Bank
10 establish branch Garry the business OF bank
ing at any other place than the whore 10 located 1t
must follow that all such banking 81 other ponts Ia r
regular and IN violation Of section eight of the law
Such banking Is also in violation OF the provision OF
section So which restricts National Banks TO the same
rate OF discount interest allowed BY law In the several
States whore they may be located ..
NStiona have no authority conferred them 90
Discount negotiate notes" otherwke than under the
restrloOns OF the 30th section OF law therefore, New
York National papk Ia not authorized 70 "buy comer
k~rsrs. -jr,s- .er7r' - = -