The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1867-11-25
FINANCIAL AND cOMMERC lAL.


SUNDAY Nov. "a, 1867
Ths gold marst was on the whole steady during the
past week, the extreme range having been from 1851
20 l40 with the closing transactions at l4o the latter
price beng bid The supply Of cash gold was In excess
OF the borrowing demand and loans were made a.
Per cent premium for carrying. The Sub Treasury dis
oursed s2o47 900 in payment Of interest on tho gold
bearing debt and received for customs duties about
million and . half Tho shipments Of specie and
bullion aggregated only $3A6.075 The government
was seller to moderate amount and the city banks
gained 146 in specie Although there Is large
shor interest outstanding, the street is rather bush
than bearsh gold, and yesterday the disposition 70
buy speculation for rise was increased BY
rumors from Washington regarding the forthcoming
report OF the Judiciary Committee tho impeachment
OF the President Thus far however the effect OF the
meeting Of Congress upon the market has been less
than expected; but the indications, nevertheless,
that the debates the financial question viii DO
very spirited and that there will BE- lively contest be-
tween the nAatonsts and the contractioniss in both
houses which will make speculation more active. So
far foreign affairs concerned there is nothing to
create disturbance the Gold Room but the contn-
gencies to which liable In connection with the
large Of foreign Indebtedness sufficient
At all times TO maintain the premium higher point
tnan ID would command il such foreign indebtedness
did not exist
The effect Of the excessive contraction OF the
rency during the past year, amounting TO more than
hundred millions. IL in the prevailing
Depression Of trade not only In this city
but ali over the country, and great
anxiety ID manifested by the mercantile community
with respect 70 the future policy Of the government In
relation to the currency therefore becomes the &C.
rous duty Of Congress 20 take action upon this mpor
tan subject with little delay possible The sent
NJ fhn oS
ther contraction in form, and the West clamor-
Gus for morslega tender paper while the South asks
Tor moro national bank notes In order to the
banking facilities In that section. Congress- in dealing
with the question: should pursue conservative colrse,
neither adopting the views Of those who would bank
rupt the country By perseverance, contraction OF
those who would produce q similar result by wild
schemes Of imitation. It should amend the
oct authorizing the Secretary OF the Treasury cancel
United States notes 1t the Of four millions MONTH
BY providing that no further contraction shall take
place and that plain legal tenders shall be substituted
for tho remainder Of the interest bearing legal tenders
IN circulation fast as they mature The volume OF
he currency now hardly exceeds the permanent
quirements OF the country, and in the
will bs inadequate. 1t is, therefore, mistaken policy
which would dwarf the enterprise and industry OF
nation and nct widespread distress upon people by
curtailing the circulating medium only TO expand
It again At some future time Mr.. McCul-
toch, however, appears to think that
traction is the one thing needfu for US,
and that specie payments will usher the millennium
The warning which the financial history England be-
tween the 1915 and 1929 conveys upon him
In his eagernes to avoid repetition OF that OF old
Continental money and the French assgnas The results
OF the efforts Of Great Britain restore specie pay
between the years mentioned by curaling the ccula
tion Of Bank Of England notes wero disastrous in the
extreme; and, although specie payments resumed
In 1921 business was Frustrated, bankruptcy gene
raj and the distress Of the aboring classesarge
bes OF whom were without employ mont--was great
that bread riots and other threatening demonstrations
took place in various parts OF the kingdom and IL
not till Ave years after resumption had taken
place that the country fully recovered from the pros
tratng effects OF the undue contraction Of the crcua-
ton This danger should be especially guarded against
in this country, the particularly the Southern
States are still laborlng under tho exhaustng effects Of
che and In need OF abundant supply currency
to assist in the work Of recuperation.
The daily range Of the market during the week