The New York herald., 1868-10-30
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FINANCIAL ANO JoMMERC ClAL.
THURSDAY, Oct ss-oP. NJ.

the eugntest 0Datefn0nt Vi ZIG HAouS'
sary s'i sacy In Wall street to-day, and during the
Ioie IN there was difference OF an eighth per cent
p<4eveen the cash and regular price OF some OF the
RiQhly inflated stocks. seven per cent In gold was
offered freely for loans, and In many Instances
commission varying from Q sixteenth to three
e,ghths per cent was paid In addition to the Legal
rate In currency. Some lenders however refuse to re-
seive than the legal rate In currency and hence
transactions reported accordingly; but these af
ford no real indication OF the condition Of AFFAIRS.
The SubTreasury redeemed only S. 600 Of three per
cent certificates during the day, the bankers being
reluctant TO part with them as when once redeemed
they cannot be reissued and hence their redemp-
tion involves a contraction Of legal tenders to an
equivalent amount, besides correspondingly reduc-
ing the balance in the SubTreasury, while 1t merely
gives an active for dormant legal ten
der 10 the banks, and therefore In no
way increases their reserve By reducing the
belArce referred to 1t also has the disadvantage
OF forcing the Assistant Treasurer to replensh his
supply Of currency by sales OF gold which last neces
sarily involve O withdrawal OF currency from the
banks. Even the s4oO 900 q day which Is now being
withdrawn In this manner is, under the present
exceptional circumstances, o source Of dis
turbance as. 1t curtails the resources OF the
banks to an equivalent extent. 1t Is generally
expected that the disbursement OF the No
vember Interest will In some manner mitigate
the preventing stringency; but 1t would be unwse to
rely upon this, as past experience has shown that
hese periodical interest payments give employment
10 currerlcy and therefore quicken the demand
for rAorey owing to nearly all the home investors
imm edtatr converting their coin into currency and
a. he investors are distributed all over the country
ar renirtances have to be made to them the
Ndency is towards loss OF currency ut this
centre But on the other hand the gold
received by the banks In payment Of the
fsnterest on the securities they own will probably
sbe held by them, and this will OF course 60
TO swell their legal tender reserve. The banks,
thrclgh their officers, complain of being poor, and
SAY that there would be active demand money
ct seven per cent even II there artificial
0uences at work. The stringency in the principal
Western cities is unusually severe and it Is almost
equally great in Boston and other Eastern cities as
well as IN Philadelphia and Baltimore. This ex-
cites apprehension in the West in view
OF the approaching requirements of the pork
and the cotton crops. AT the Clearing
House this morning the following banks
were creditors for the subjoined amounts-Central,
$Si2,0 900; New York, 100000, and Commonwealth,
ee9s, 900, while the following were debtors:-Thrd
National, s42o, 700; Manhattan, 1886, ,00o America
e694,0oO; Fulton, $3s9,oOo; American Exchange
1894 900; Pacific, $3.50 o00 Peoples 1000; Tenth
National, $243,ooo; Commerce, s232, 900. Bank OFF,
GERS are unwilling encroach upon their in
oTuer 10 meet the Call as tney say
they would be thereby confesslng weakness and
undermining confidence IN their own In
stitutions while the bulls on the Stock
Exchange would be the only ones benefited
ey the innovation. The stringency In the West will
have the good effect OF forcing grain TO market that
has been excessively boarded by spectators, and
thereby a further decline in prices may be brought
about, which win stimulate exports and cheaper
The price Of -four. Within the last four months
and IN the meantime the quantity warehoused there
has increased from $4,000 to 200 900 bushels The
consequence OF this Is that the elevators nearly
hall full OF grain at time when they are usually
nearly empty, preparatory TO the winter movement,
when grain viii be transported by rail.
The stock market opened weak, but was bid up by
She bun cnques for speculative effect. Late In the
afternoon 1t became weak and demoralzed again,
however, and Erie declined to 39A just before the
slose, under q heavy pressure to sell, partly by
pr0krrs VINO had been buying on EuIVpeau account
early In the day, the excitement concerning the
fresh clause In the new certificates having
bed to this being taken, and movement il on
Boot TO have them declared by the Stock Exchange
not to be good delivery; but as they widely dis
ffibued throughout the street there is no likelihood
o. this being done, rs it would involve all who held
sem the loss temporary, at least, OF the market
price OF the certificates The street Ii in dread OF
heavy break In Erie, which viii sweep other
stocks In It's course, and We warn the
public to avoid II, as there is good reason
60 believe that the fears which felt the subject
Will shortly be justified BY events. The other rail.
way shares on the list are highly nated that they
are In imminent danger OF q heavier fall than we
have witnessed since the spring OF 1854, and what
ever the course Of the money market may be they
must naturally tend downwards towards the range
OF real values. The collapse Of Of these bubbles
would exert o sautary enect not only In
Wall street but elsewhere, and, once pricked, their
Sesl hollowness viii be plain to slL The present
critical state Of things may well make the bul
eHques trenble for the morrow, not knowing what
day may bring forth.
The gold market was very steady al day ana the
transactions prior 70 the adjournment Of the board
o. three O'Clock at lax. against 13lH at the open
ing. Following this the sales continued TO be atl34H.
There was an active borrowing demand for coin,
bat rates tended In favor OF the borrower and loans
were made at 1S4 1-s2 per cent per diem and at
per cent per annum for borrowing as well as
'.natn and at per cent per annum for carrying.
The gross clearngs amounted TO sso 56 ooo the gold
balances to s14oooo7 and the currency balances 70
e25oo,44e. The Sup-Treasury disbursed 1854 In
coin In payment OF interest tho pubic debt during
the day and sold $500 900 In gold the bids for which
amounted TO s90oooo, at prices ranging from
IA 2s.loo % 134 53-1oo and the whole amount being
awarded TO Henry Clews Co. The steamer Rhein,
Tor Bremen, took out s2s45c4 in specie, and the
steamer Alaska brought s22I,eoi in treasure nom
California and 81, 200 from Aspinwall.
Government securities opened at tho closing prices
OF last evening, but subsequently improved under o
good inquiry for nvc-tweties, and late In the after
noon the market very strong. The orders 70
buy we're lsrrer ihan for some days past whiic the
offerings were very light. Fiye-twentles OF 1882
were the only issue which failed to participate In
the advance these having remained steady ell day
at 1l3 The Es1es OF 1894, Ises ani 1907 par
ticularly active aud strong and he indications arc
that after the disbursement OF the November inter-
est tho demand s9r reinvestment win impart