The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-09-03
FINANCIAL AND COMMERCIAL.


The gold market has been duh and rather droop-
ing to-day and the fluctuations were from 1451s to
l44x, with the closing transactions prior to the ad
journment OF the board at three O'Clock at l44zs,
following which the quotation declined to 144ls
14x and the latest transactions on the street were
at l44x. The large republican majority In Vermont
was used by the bears as an argument In favor OF
lower premium, but those who attach much impor-
lance to this In such connection nave
the faculty OF making mountains out OF
molehllls. Nevertheless, as political straw II Is
significant, and its influence upon government
securities was beneficial. There was good Dor
rowing demand for coin from the BEARS and loans
were made at two and three per cent for carrying.
The gross clearings amounted to $34, 1000, the
gold balances to s1O7s,45s and the currency
balances to s1,7io7s4. The Sub-Treasury disbursed
81, 2o7 900 in coin in payment Of interest on the
public debt during the day. 1t is noticeable fea-
ture of the gold speculation at the present time
that those who were the leading bulls when the
price touched $50 are now, almost without eXcep-
tion leading bears. SO much for the consistency OF
the Gold Room. The price varied at intervals as
follows:-
10 A. M........... Jas 11:21 A. NJ. ........ 1442{
1913 A. Men,. 145T 3P. M............. 1445s
The railway share market has been rather active
and on the whole firm during the day, while the
from 45zs to AK, at and between which figures it
was alternately strong and weak. The negotiations
between the Erie and the Atlantic and Great western
Companies to which we have referred are not likely
to materially AFFECT the stock in either direction at
present; but in this connection 1t is amusing to read
the remarks Of certain i'll informed and unscrupu-
lous writers for the press who through their
narrow and peculiar vision can see nothing
but bull or bear motive in anything. 1t is sufficient
to say that the information published ernanated
from the friends or the Atlantic and Great Western
Company in London, and the Erie Company here
admit that such NEGOTIATIONS are on foot. Whether
the proposed plan for consolidation OF the two
roads Is consummated or not is immaterial to the
public; but II 1t is done it ought to be ON
mutually advantageous terms. otherwise q lease
of the Atlantic and Great Western by the
Erie would be preferable and in the event of the
former falling this last arrangement is more than
probable. The Chicago and Northwestern shares
experienced further advance to IS, and 'pus" for
thirty days at "a said to have been sold for one
per cent this afternoon by the party controlling both
the common and preferred stock Pacific Mail was
In good demand and advanced to 102 1927. The
outside public continues apathetic the subject of
speculation on the Stock Exchange, and the entire
market is under the control Of clques and profess
sional SPECTATORS; hence 1t is more than usually
hazardous either to buy for rise to sell 'shortn
a Money continues very abundant at three and four
per cent for loans call, the leading dealers in gov
eminent securities being offered more funds than
they can employ al the lower rate. The remttances
westward are very light, and the applications for
discounts are restricted scale. First class CON-
mercial paper is scarce and In moderate request at
five per cent for short date and six and where
1t has more than three months to run. The appre-
tensions of monetary strincency which were ex-
pressed few weeks ago have to a great extent SUBJ
sided, and the arguments In favor OF moderately
abundant supply Of money at or below the legal rate
during the remainder of the year are receiving more
attention But the old proverb tells that "a fool
convinced against his will IS of the same opinion
STILL" and this will apply to not few on the Stock
Exchange.
4 Government securities have been strong and
active all day, and prices recovered from the slight
reaction OF Monday and Tuesday under brisk
demand from the dealers, and also considerable out
OF town and foreign orders. 1t Ia estimated that
hot less than q million Of the later issues of hve-
twenties have been shipped to Europe within a
week, and conversions Of the bonds Of 1862 into
those OF 1884 and 1857 are going forward with
moderate degree Of activity The borrowing demand
for oil classes Of bonds is undlminished, con-
elusive sign that the 'short interest outstanding
has not been materially, If at all, reduced since
last week, and the supply In the street
Is below the average. Our national securities
are the cheapest in the country and the
prospect is favorable to considerably higher
prices. At the close, soon after five O'Clock,
the market was strong at the following quotations.
Registered, 1884, 1884 114k; coupon, 1881,
lax 114,l $685. registered, 1862, 1887 1osH;
5-2o's, coupon, 1862, 1917 ia; do 1854, 1905
lo9H; do, 1855, lily HIS; do, 1895, January
and July, 1885, q 1857; do, 1867, 1Os1 1885;
do, 1868, 1882 10SI; 1o-40's, registered, 104
1o4x; 10-4o's, coupon, 1o5Ia 1o5'i; october COM
pounds, 1866 11ss. Messrs. Smith, Randolph 4
Go. in their circular thus refer to the days busness
The possibility OF another sudden reaction in gov
eminent bonds upon which we commented yester-
cali Of " X per cent upon last nights closing quo
tatons There ia no question whatever that there Is
o heavy short interest outstanding which was prin
cipay created at much lower figures, and this fact
lends assurance to purchasers and at the same time
tends to keep out Of the market those who would
otherwise be sellers had they not already put out as
large short contracts as prudence will admit. The
character Of yesterdays heavy sales is plainly re-
nected to-day by the increased activity In the Dor
rowing demand for bonds.
{, At the commencement Of business the railway
share market was dull and barely steady, and at the
early session Of the open board Erie declined to
az, while Michigan Southern sold at s5X, Rock
Island 102K and New York Central 1851. At the
1rst regular board there was moderate degree Of
activity and on the call New York Central closed y
lower than at the same time yesterday, Erie 1,S,
Hudson River n Cleveland and Toledo 4 and Ten
nessee skies, new issue, TX; while Michigan South
srn was X higher, Rock Island y, Northwestern
preferred 4, Milwaukee and st. Paul preferred *,
Ohio and Mississippi x and North Carolina sixes ex
coupon, 4. Government securities were strong at
IN advance Of about half per cent for the later
Issues Of nve-twenties At the open board at
one O'Clock Pacific Mail advanced to 1o2
and Erie to AK, while the market generally
was firm. At the second regular board prices were
well supported and Erie closed ~ higher than at
the nrst regular board, Reading Ia Cleveland and
Toledo Y and North Carolina skies Tex coupon) y.
Government securities were strong and active. At
the open board at hafpast three Erie declined to A.
while New York Central sold at 1861, Reading 92h,
Rock Island 1881, Northwestern preferred SAX and