The New York herald., 1868-05-09
FINANCIAL AND COMMERCIAL
FRIDAY, NAY S-6P.

The gold market has been strong and moderately
active to-day and the fluctuations were from 1897 to
ls9X with the closing transactions prior to the ad-
journment OF the board at 1895, following which
sales were made at lssA The supply of coin was in
excess OF the borrowing demand aud loans were
made at 8 per cent for carrying The gross clear
fngs amounted to $2,a4e.400, the gold balances to
$43S7 994 and the currency balances TO 002 si4.
American silver IL quoted at 6a per cent below gold
and Mexican dollars at IO3h losx in gold. The
SubTreasury disbursed about s4oo0Oo In payment Of
the May interest on the public debt and sold more
than quarter OF million. Although the Treasury
held on the ist INST, according to its last monthly
statement $lo6 65s In coin, only sS7,55l75 75S was
the property OF the government the remainder being
represented BY certificates OF deposit in the hands OF
the people. From this must now be deducted about
$l7O00,oOo for the May interest, that the
amount actually owned by the government on that
datebut slightly led sixty millions Speculation
In the gold room at present Is mainly In favor oil
higher premium the general impression being that II
the President Is acq ted there viii be nothing IN the
event which will necessarily depress the market,
while, II he sholld be convicted, as many suppose,
the act would be construed revolutionary, and
the price of gold would be in the ascendant.
1t is easy, however, to form an exaggerated
idea OF the effect Of the Presidents re-
moval, and It is more than probable that
ifspeculation ran the premium up in consequence
of such Termination Of the greatest State trial of
modern times that the advance would not be sus-
tanned. But apart from political causes the state OF
the national finances and the condition Ofcommer-
cial affairs are favorable to firm market for gold
the probabilities tlas the removal OF the Presi-
dent would strengthen ts upward tendency and that
his acquittal would slightly weaken it, but In neither
case will there be anything to justify an important
change in the price OF this commodity. That
fha Of ord IN
is bullsh" is shown, among other signs by the fact
that not much more than half the May interest
payable IN this city has teen drawn yet Coupon
holders who disposed to sell their gold leave II
uncollected, because If they drew 1t they would find
1t entirely unproducttve in their hands, unless they
wished to convert 1t into currency, In which case
they would have to pay from nve to seven per cent
for having 1t carried.
The money market was very easy all day at six per
cent to borrowers first class cOllaerais and the
transactions at seven even on miscellaneous stocks,
were entirely exceptional. The drain OF currency Is
rapidly increasing the loanable resources Of the
banks that it is more than likely the rate on govern
ment securities will be five per cent. The wants
OF the mercantile community continue light and the
banks discount freely for their customers at the legal
rate, while the street the best grade OF COM
mercial paper passes at 7K per cent
The payment Of the $685. 900 Of compound
interest notes maturing on the 18th In
stant will temporarily contribute to the Of the
market as the banks holding them will receive the
principal well the interest of their notes In three
per cent certificates. which are counted as legal
tenders. Virtually, OF course, whatever amount Of
the notes Is redeemed In currency viii involve
traction to that extent, but as nearly twenty-five
millions Of the three per cents remain unissued
it s probable that the Treasury will pay or
as many Of the May notes with these as possi-
BILE. The monetary ease Is favorable to. the
bulls on the Stock Exchange. but speculation Is nev
ertheless tame, and the market is held In somewhat
feyerlsh state Of suspense by the impeachment trial.
upon the result Of which opinions about equally
divided. Opinions. too, are conflicting az to
what the effect Of the acquittal or the
removal Of the President would be upon
railway shares; but the probability is that
whatever the decision Of "the High Court"
may be stocks will not be materially anected there
by. A general sense Of relief will, however, be
experienced both in and out Of Wall street. and
activity will be likely to succeed the semstagnation
which has beel latterly experienced. To-day the
market has moved irregularly, the western
shares being firm, while Erie was manipulated
about one per cent downward, for the purpose
apparently OF working In ''shorts." New
York Central advanced to 1921 under report
that the company had decided to declare two per
cent quarterly dividends which afterwards proved
TO be unroundcd, and relapse Of one per cent en-
sued. The bulls outnumber the bears largely, but
both sides express confidence In their respective
views OF the market, and both move with more than
usual CO tion pending the close Of the trial at Wash
ington.
Government securities were steady and in good in.
vestment and speculative inquiry, the growing ease
IN money having some influence In stimulating the
upward tendency OF the market. Prices advanced
oi<-Sh tafn 0fa nf
and the ve-twentics OF 1867 were In brisk demand in
exchange for sevcn-thirtes, which were held at
107. The sma | denominations OF the bonds OF 1852
and 1855 are being bought instead OF letters Of credit
10y parties going to Europe, and the advance In them
is maintained Tae advance in gold and the steadi-
ness of the London market for bonds strengthened
the gold bearing stocks and especially those for
which there Is a fregn demand. In the skies OF
1881 there were important transactions. The pur-
chases on domestic account are mainly OF the five
twentes OF 1867, which carry accrued interest since
the lst OF January. The indications continue to be
favorable to considerably higher prices for
all descriptions Of United States stocks.
AT the close the market was strong the subjoined
quotations egistered 1851, 1134 1l33s; coupon,
1881, l134 13H; 52o's, registered, 1892 LOG 1861;
5-2O's coupon. 1862. 1881 1osH; do 1884, 1861
i07; do, 1865. 107s lo7i4; do 1865, January and
July 100H 1o9x: do, 1861 1927 109*; lo-4o's,
registered, lo3 lo3ii: lo40s. coupon, 1885, 1o3A;
June 7.sos 1077s lo7k; July 1905, 1878 1917
May compounds Is64, 1l9I; August do, lis; Sep
ten,ber do. Il7H; October do, III.
At the commencement OF business the stock mar
ket was frm, and at the early session OF the open
board Erie sold at 69 and New York Central at 100.
At the first regular board the speculative feeling
gained strength and prices improved especially for
New York Central. Erie closed q lower than at the
same time yesterday Reaiing y, Michigan Southern
l Cleveland and Toledo 4. Milwaukee and St. Paul
preferred y. Ohio and Mississippi and Pacific Mail
3. while New York Central was Z higher, Fort
Wayne u, Quicksilver and Western Union Tele-
graph Y. Government securities were strong at an
advance of an eighth in some instances. The state
stocks were dull and 4 "a 4 higher. After the call
,,.{cos a rurtber fractional mprO