The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-09-11
FINANCIAL AND COMMERCIAL

The gold market has been moderately active 10.
DAY, and the fluctuations prior to the adjournment
OF the board at three O'Clock were from l44's to
144h, with the closing transactions at l44'S. Fol-
lowing this, however, the bears forced decline to
IA and the latest quotation the street was la
144H. Coin was in active borrowing demand, and
loans were generally made without interest to
either borrower or lender the exceptions being al
rates varying from q half to five per cent
for CARRYING. The gross cearings amounted
to $50 s93 OOO the gold balances to $1477,175 and
the currency balances to $2176,232 The Sub
Treasury dsbursed during the day SIS, 453 in coin In
payment OF interest on the public debt, and the
steamer Hansa took out SIS, 200 in specie There Is
q good demand for coin for the payment OF customs
duties, but importers generally prefer borrowing to
buying 1t, and hence the mercantile 'short" interest
ts being constantly increased. The speculative
s'short interest," however, continues to proponder-
ate largely this, its aggregate being unusually
heavy, and this Will ultimately lead to strong re-
action.
Money Ia abundant to borrowers on mixed col
iateras at four per cent although few lenders ask
I'VE for small amounts The principal dealers in
government securities are however, at the same
time offered more funds than they can use at three
per cent and where large amounts are wanted it is
possible to borrow at this rate miscellaneous
curities, provided they satisfactory There is a
limited amount Of commercial paper being made
and that Of the best grade coming from the dry goods
trade is quoted at six and half and seven per
cent. The remittances OF currency to the West
are very light, while the applications for discounts
from the Western banks equally The receipts
OF grain Of all kinds at Chicago average about four
hundred thousand bushels per day, and the move
ment eastward from that point has been rapid as
to prevent any accumulation there one result OF
which has been to advance the lake freighs and i'm
part downward tendency to prices. The Western
merchants are making their collections with more
ease than usual-a sign that their section Of
the country generally is prosperous. Meanwhile
che railways west Of Chicago are freighted
to their utmost capacity with grain consigned to that
city. The banks at all the local monetary centres
OF the West are moderately well supplied with
money and the increase In the deposits OF The mer-
chants owing to the prompt payment Of Obligations
due them offsets to great extent the drain Of
Eency to the interior to pay for grain. at the dry
goods auction sales in this city to-day there was
diminished animation and falling of in prices,
while for many lots the bidding was so indifferent
that they had to be passed. There was a similar
want Of spirit visible among the jobbers, and the
demand from Western buyers was on a reduced
scale. On the Stock Exchange the bearish feeling,
which has been the leading speculative feature this
week. still continues; but to-day further material
decline In prices took place.
In our Washington correspondence yesterday 1t was
stated that the Secretary Of the Interior in reporting
the completion OF the twenty section OF the Union
Pacific Railway, had informed the President that
although the government commissioners had pro-
nOunced 1t as finished in accordance with the
qurements Of the law and equipped as a first class
road the track had been laid circuitousy in several
places where heavy grades would have been other
wise necessary, and that temporary structures Of
timber had been erected instead Of permanent stone
culverts and abutments to some of the bridges. on
the question being submitted to the Attorney General
whether. as the road was not constructed in CON-
pliance with the law portion OF the bonds due to
the Union Pacific Company could not be withheld
he replied in the negative, as the government CON-
missiOners had accepted the section referred
TO, and their report is by the terms of
the law the only legal information upon
which the President can act. The subsidy
therefore issued to the company, but the RESPONSE
bity Of the commissioners for the character OF the
work done should be lost sight Of and 1t is said
that the departures from the proper route in laying
the track to avoid obstacles are as much as seven
teen miles In every hundred Now, for every mile
laid on the plain portion OF the road, extending
from Omaha to the base Of the Rocky Mountains,
distance of SIT miles, the government subsidy is
$4,000 per mile; on the most difficult portion OF the
road extending from the eastern base OF the Rocky
Mountains westwardly, q distance Of $50 miles, the
subsidy is $4sO 900 per mile, and on the remaining
distance westwardly towards the California State
line $32 per mile. 1t s claimed that this amount
liz ample to build first class road, but the line con-
structed fails to answer this description, and eng
neers say that 1t will require rebuilding to great
extent before long. In addition to this bond
subsidy the company is entitled to 12,soo acres OF
land for each mile OF road constructed, so that the
pecuniary advantages to the latter OF making the
track as long as possible are obvious. The manner
Of building the road to call for Congressional
INQUIRY and q committee should be appointed to In
gestigate the charges made against both the Union
Pacific Company and that mysterious organization
Connected with 1.-THE Credit Mobilier.
The market for government securities opened dull
and barely steady, and the principal dealers held
back from buying apparently for the purpose OF en-
couraging the bears Of yesterday to renew
their sales, but before noon there was de-
cided change for the better In the general
feeling and prices advanced steadily during the
mander OF the day under good demand for all
classes Of bonds and an entire absence OF pressure
co SELL There is growing demand for nve-twenties
OF the later issues for investment, and this is con-
strued as an indication Of revivng confidence in the
political future OF the country. The purchases for
shipment to Europe at the same time continue una
bated. The advance In prices during the day aver
aged about half per cent and was well distributed
throughout the list. At the close there
were no bonds Offering, and the market
had firm upward tendency, the fol.
lowing being the quotations then current:-
Registered, 1884, 11a% l13l; coupon, 1851, 11a>s
n14H 52o's registered, 1862, 1os,I 1osh; 5-2o's,
coupon, 1862, 113S 113K; do.,1se4, 1osH 1oeH;
do, 1866, 111H 111A; do, 1885. January and July,
iosx 1osx; do, 1857, 1855 1881; do, 1885,
IL. n
coupon, 1o5 1861; september compounds, 1886,
ll9k; october do, 1lSA.
At the commencement Of business the railway
share market was heavy and prices were slightly
lower than at the close last evenings but at the early
session of the open board 1t became firm, and Erie
advanced to AZ and New York Central to l24k, but
the volume OF business rather light. At the first