The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-06-10
FINANCIAL AND CONNER iAL.

".
The railway share market was dull and heavy in the
early part last week. subsequently il developed
an improving tendency, in sympathy with upward
movement in Hudson River, while sharp advance in
Pacific Mail not without influence. Some Of the
bears took alarm covered their shorts and this i'm
parted for the time being considerable drmness 10
all the leading speculative stocks notwitnstand-
ing moderately active demand for money
at per cent. consequent upon the large
currency hoard OF the Treasury Stocks
in many instances easily loaned. however and
this diminished the requirements Of borrowers.
To the June compound interest notes viii
mature and the 18th INST tho interest on section
OF the seven-thrty loan falls due, from which may
expect more abundant floating supply OF capital in
Wall street this week. The condition Of the money
marke. has, nevertheless, not affected tho of
stocks materially and it is questionable whether in
creased cash and lower rate of will of them
selves do much to stimulate activity the stock
Exchange The speculative spirit among the
brokers and other professional operators tame
and the market lacks outside support Recent
advance prices appear to have been made in anticipation
OF the effect OF abundant harvest upon all branches
OF trade and industry and indirectly upon prices
stocks With general recovery from the stagnaiion
aud depression which have prevailed for long time
past, the public would probably become buyers
Of securities to extent either for invest
ment or speculation; but the crops, which pro.
missed to be unusually heavy. have not yet
been harvested and 1t is always dangerous to count
chickens before they are Matched. The outside public,
too has not yet found its way Wall street. and while
these uncertainties exist the future stock market
is merely matter for surmisc. Its movements are
likely to be irregular, and its business confined to the
brokers and other professional spectators for
time longer
The stock market closed dull but firm at a quarter
past FIVE on Saturday, at the suhjoined quota
tions:-New York Central 1915 a II, Erie SOS "a;
Reading, 1857 LOG: Michigan Southern, 6Sl1 a;
Cleveland and Pittsburg 766 u; Rock Island, S95S
"a Fort Wayne, 9s7s 90; Northwestern, 34A o q;
do preferred, SO 81; Pacific Mail, 40 y; Western
Union Telegraph, Az ~
There was moderate business transacted in govern
meut securities, and the suspension of sales of 1ve-
twentlos Of the new issue Of 1865 impaired upward
tendency to them. These largely bought by the
principal dealers in governments speculation,
the Treasury order suspendng further sales par
tcuarly welcome to them. The last staten Of the
public debt shows that while more than sxty-one mil
lions Of lve-twenties sold, only 1914 9675 of
seven-thirty notes purchased and consequence
the currency balance in the Treasury increased to
$72 666 1875 the LIST Of juneau amount $685. 6O7
dent mismanagement in this. The bonds were sold
rapidly that the market gutted with them
and the Treasury Golfers filled before it had
any actual for the money. It thereby
probably got a smaller price for bonds than might
otherwise have done, and had to pay interest them
earlier than necessary while the proceeds lay idle in
its vaults The knowledge that the Treasury thus sud
denly to flood the market and then suspend sales would
have been valuable TO Wall street. and 1t is not mproba
BILE that programme was either we'll understood or
shrewdly suspected, for sufficient reasons, by of
those who large holders of them and who rely
upon the suspension of sales for further advance Tho
secret of funding the floating debt leaves the door
open to favortsm and corruption and the indications
are that the Treasury Department s not free from these
1t is certain that the present instance much the
whole of the difference In price between what the bonds
were sold at by the government and what they were
selling for might have been saved TO the Treasury
If the sales had been moro gradual and better timed.
Moreover the Treasury showed disregard of the
quences 10 the money market Of boarding up much
currency Such papabe bunders reflect dscredt upon
the Treasury and prove that the Secretary is much
wanting in executive ability as he is in comprehending
the financial situation and It's necessities.
At the close Of business ON Saturday government Sc
curties strong tho following prices 1851 cou.
pom, 1l2 X; $40 coupon 1862, look q; $40 cou-
pom, 1864, 1861 1855; $40 coupon, 1885. 1861 81
do. do. 1885, issue, 1883 Vi 1o-4O coupon, ee,s
. y; $40 notes, first series, LOG u; do second
series, 1863 x; do. third series, l05HaX
The gold market steady during the week, the ex-
treme range having been from 1874 1864 with the
closing transactions 1861. The volume Of business
transacted light and the supply Of coin for delivery
in Of the borrowing demand loans having been
generally made at 81 per cent The export Of specie
from the port aggregated less than two millions and
quarter while the demand for customs duties equal
to only $1,s35 0O0 The coin interest on
the public debt disbursed by the Sub Treasury
amounted to $500 0O0 There is an absence Of specu.
lativc interest in the Market and the public longer
watches its fluctuations with eagerness.
The foreign exchange market was firm throughout
under light supply Of bills and good demand but the
aggregate of business transacted moderate amount
At the close bankers bills England at sixty days,
were quoted at ITO y at three days. 1105x u; CON-
crcal bills, looSs e; bills Paris at sixty days,
51l5s a 5.15 at three days, $40 5.12is.
1t appears that the securities held by the Treasury in
trust for the national banks basis Of circulation at
present amount $40 SOC $780, the interest on which
at six per cent would be nearly $40 oooo all the
securities thus deposited carry interest in gold.
Most OF the bonds lve-twentes, a considerable
portion are skies Of 1881, and the remainder
others being Ave per Not far from twenty mil
lions 10 gold is therefore paid annually to the national
banks by the national government without the latter
receivn any equivalent therefor The bonds deposited
basis circulation should be non-interes bearing,
and tho interest thus saved on the bonds might be adj
vantageousy applied to the removal OF some OF the
petty nqustiona imposs under the Internal Revenue
law. As IL is the government gives the national banks
the privilege Of issuing notes. the ultimate redemption
of which par guarantees, and in effect this twenty
millions In gold per is paid to them as subsidy
inducemcnt TO take the notes. For the advantages
of such circulation they ought to be willing to forego
the interest the bonds which secures IT. and the
trainers of the National Bank act should have borne this
In mind, and cxacted 1t OF the conditions OF adj
mission to the privileges OF the act The best thing
Congress do to uniform currency for
the country by substituting legal tenders for the three
hundred millions Of national bank notes outstanding,
and providing for their exchange such manner as to
avoid monetary perturbatops We should then have n