The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-12-21
FINANCIAL AND COMMERCIAL.


SUNDAY Dec. 20, 1858.
The principal feature OF the Market during the
past week has been the stringency In money, the
highest point OF which was reached on FRIDAY aier-
noon and yesterday morning. Resulting IL may De
said entirely, however all other slories W tue con-
tary Notwithstanding from natural CAUSES aitnougn
pressing with repelllng force upon lhe speculative
enterprise which has its home and highest develop
ment in Wall street, and miting within narrow
bounds those gambling TRANSACTIONS In stocks wnicn
are most darlngly engaged In during period OF
in money yet presenting no good reason ior
any anticipation OF serious disturbance in depart
ments Of industrial activity, it represents a
healthful condition Of business throughout
the country In the several districts, West
South and East. where the producing and manufac-
turing interests call for the employment or the capt.
tai now diverted hence. The annual drain OF cur
rency to the producing districts for the movement Of
the pork and cotton crops has always been the occa-
sion Of tight money market here, but in that de-
mand Is one OF the greatest OF our CONNER
cal prosperity This year the demand for funds has
continued somewhat later than usual, and coming
close upon the time when the banks ore forced TO
pursue policy OF contraction In order to present
proper balance sheet upon the publication OF their
quarterly statement, has induced probably closer
market during the last week than would otherwise
have been felt.
Another cause for this tightness VIII doubtless be
found in the special activity OF numerous branches
OF manufacturing enterprise just now In view OF
special holiday demand for certain classes OF goods.
in the general disposition which prevails at this sea-
son to freer expenditure in numerous directions,
at other periods comparatively neglected. There Is
evidence that this natural costveness In the money
market has been made use OF BY certain spectators
to induce belief that it was being aggravated and
q fv NOT
locking up scheme being carried out the de-
sign OF which was that, the real causes OF the
stringency being lost sight Of, and by consequence
the measure of their operation and the period Of
proper relief feeling of distrus in the future would
be excited and panic ensue, when In the ruin OF
many foolish spectators, they would ada few
thousands to their already otherwise dishonoraby
acquired boards Beyond this we do not think there
is any truth in the published announcements OF an
other intended lock up or else, If such were really
contemplated, that after feeble initiaory move it
has been given up.
Money has been at plump seven nearly all the
week. On Monday and Tuesday Notwithstanding
the bank statement OF the previous week, which ez
hibted loss of over five millions in legal tenders
some exceptional loans made at six. Subse-
quently to these days the stories or the locking up
scheme having been circulated rates s.iIened and
seven per cent currency was the lowest figure at
which loans could be obtained the market working
more and more closely until Friday and yesterday
morning, when seven per cent gold was paid
money even then not being obtained without con-
siderable running around and many borrowers pay
ing commission over and above the interest for the
accommodation they sought. After one O'Clock yes
terday the market experienced q sudden relief, and
towards the close OF business Offering than
there applicants for the rate settling TO seven
per cent currency.
The anticipation OF an unfavorable bank state
ment had, Of course, its effect in tightening money
to certain extent and its publication, although not
placing it in different category, exhibiting, doubt
less better condition than was apprehended will,
we believe, induce even further ease. Where the
relief came from which was so sharp and sudden
yesterday afternoon something OF a mystery.
Surprising that the locking up process had indeed
been begun its abandonment and the setting free of
money that had been withdrawn from circulation
would account for the unexpected ease, which, how
ever resulting, was very much welcomed.
Tie following is q comparison between the totals
as presented in the bank statement last week and
Yesterday