The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-09-28
FINANCIAL AND COMMERCIAL.


SUNDAY, Sept. q, 1885,
There was an excited market for gold during the
past week, and the fluctuations were from llAH at
che opening to I4lls on Thursday while the latest
quotations on the street yesterday were 1A2 l42 e.
The volume OF speculative business was very heavy
and its current almost entirely In favor Of fall
ne temper of operators large and small, being. with
Q few exceptions, bearsh. The bears made capital
out OF the sale OF about quarter Of million OF coin
On wednesday by the Treasury, by circulating ex.
Aggeraed reports OF the am cunt sold and to be sold
and the time selected for .nis sale was undoubtedly
N chosen by the department. for it was in the midst
Of bear speculation when nothing could have been
more opportune for the bears. But for this
the decline to 141H would not have taken
place, and the consequent unsettement Of values
In all the markets would have been avoided
The Sub-Treasury paid out $l64,sl4 in coin during
ehe week on account OF interest the pubic deo',
while its balance In mixed currency increaseu
nearly $4,000, 900. The general trade OF the CITY
was interrupted and depressed by the deciine IN
gold, the decline in prices having been general ana
IN breadstufs, provisions and cotton cohsiueiaoie'
The department OF dry goods sunereo less '"an
might have been expected, and moderately large
Ausness WAC transacted at steady and on the
whole satisfactory prices especially for choice silk
and other imported fabrics and woolens. The still
.aeclining tendency of the raw material leaves do.
mestic cotton goods without recovery from the re-
eent decline and prices for these are now 80 10
% AFFORD little or no margin for profit
70 the manufacturer. This, however, is an
evil which will soon correct itself, as the
supply will gradually diminish In proportion
70 the demand Purchasers are still limited to the
Spply Of immediate wants. and this is salient fea-
ture OF trade all over the country, which ia being
conducted on a very conservative basis
Government securities were strong and active at
Che beginning OF the week, but subsequently they
became dull, and prices declined slightly in sympa-
thy with the fall in gold. The investment demand
was however throughout good, and the reduced quo
tatiOns brought in fresh buyers the popular opinion
very correctly being that our national securities
cheaper than any others in the country the
81 interest they bear and the security they afford.
The speculative ''shortn interest in all the principal
issues continues large, however ana there Is in
sequence active borrowing demand for
Aem, and especially the hve-twenties Of
1894 and 1857. The fact OF the supply
Of bonds having reached its maximum, while the
demand goes on increasing, and will continue to do
20 IN all probability from year to year, favors
gradual appreciation Of market values; and it is sat
factory to ind that confidence In the public credit
b growing with the improvement in the aspect of
political affairs. At the close the market was firm
- the quotations. The railway share market was
the whole strong and active and at intervals eX-
cited. The fluctuations were wider than usual in
Erie, New York Central, Reading and the Chicago
and Northwestern stocks, and the transactions in
these were particularly large. Erie in particular at
6acted the attention OF the street. and yesterday It
sold mp to 52s4 afterwards reacting to 5o9s,
however, the dealings in it meanwhile being
attended with great excitement. There was
considerable activity in the state stocks and Ten
nessee skies were in good demand owing to advices
Om that State TO the effect that Governor BrOwnlow
n convinced II will be unnecessary TO call out the
militia and that the local improving to
IN unexpected extent.
Money was In abundant supply throughout, and
although the trust companies and some OF the banks
asked five per cent for call loans this rate
eeptional, the general one being four, while few
nrst class houses including the principal dealers in
government securities were offered more than they
could use at three The demand from the Stock Ex-
change above. the average, owing to the activity
OF speculation IN railway shares, but 1t far from
ulicaent to employ all the surplus funds available
1or stock loans. Commercial paper continued In
moderate supply, most OF 1t coming from the dry
goods trade and having four months TO rum The
best grade was in good demand at ga per cent,
and in a few instances choice names were taken
Low as per cent discount. There was almost
ontire cessation tne uraln OIL currency
Westward, the loss in the average deposits
Of the city banks during the week having
been only s76s249. The loss in specie was, however,
S2oo2, $50, which is attributable to payments into
the Custom House for duties, the aggregate receipts
Of the latter the port from Monday to saturday,
inclusive. having been So 420,699. In the legal ten
ders there is decrease OF $ls5,l24 while there IL
increase in the loans Of only 81 AS and In the
sireulation Of SCOTS. The totals OF the last two
weekly statements are iollows:-
September ~. S.,ten,br &C.
Loans ......... s27l .252,095 s?.i 213, IA
Spe,,e. .............. l4,6G5, 742 I2,508. -
Circulation. 340i.,693 si.ooo.5,1
Deposits. .......... 2O2,s24,5s3 2o2,Oos,3e4
Legal tenders........ 63'I2,'3 100 ,35s1,h'o
The foreign exchange market was dropping during
the early part Of the week, and sales of prime bank
ers' sterling AT sixty days were made at 1857 but
Thursday evening and Friday morning the rate
advanced to lo9. In consequence OF the decline in
gold having stimulated the demand for bills. Before
the close Of business on Friday, however, the I'M
provement lost, and on saturday the brokers
quoted bills OF this class at lOs9. again one
Of this relapse the scarcity OF cash gold devel
oped by the active borrowing demand for from the
bears, and the consequent high rates paid for it,
use, winch caused bills 10 be sold for the
OF the gold while 1t IN like manner limited the
demand Another potent influence operating against
advance in rates has been felt for long time past
m the accumulation Of foreign balances this side,
N addition TO which the large shipments Of securi-
nes TO Europe must not be lost sight Of. The bears
In gold are endeavoring TO depress the rates OF ex
change for the purpose OF sympatheticay affecting
she premium but the indications that their enden
~ will be upward rather than downward from their
present point The imports al this port continue TO
more than double the exports In amount. the I'm.
porte for the week ending the 18TH inst. having
been valued AT s6,6i3, l75 CON- and the exports
sor the week ending on the nd at g. 500 OOo. Tho
imports have exceeded the exports more than
sixty-two millions since the j., Of January
and the preponderance OF imports over exports