The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-10-03
FINANCIAL AND CONNER cIhN.

FINANCIAL AND CONNER cIAA.
>~~~~>~~>>~~>>~>~~~>~~~~~
FRIDAY, Oct 2-oP. NJ
The gold market was weak at the opening this
morning and sales were made as low as 1871, but az
this point there was strong pressure to buy on A'e
part OF the bears and steady advance TO ifo's was
the result, following which there was reac'ion ~
1897, and the closing transactions prior 10 'ne ~
tournment OF the board at three O'CLOCK ~eie ~
1897 Late In the afternoon, however, there "as a.
active demand to cover tShorts from botn specui"
tors and importers, and safes "eie nauo
O. high as I40., while the ia'es' quosaso1
on the street was l40i l4oA. Tne advance w
PRINTABLE To the largely oversod condtion OF tne
market and the tenor OF European dispatches re-
gpectlne the attitude OF France towards Spain In the
rresent political crisis There an active borrowing
1emand for coin and loans made at rates vary
ing from three to per cent per annum for car
rying, ana afterwards "natn and at 1-3e lilo per
cent per diem for borrowing. The gross clearings
amounted to S131, o02, 900, the gold balances TO
H253e,6s5 and the currency balances to So, 965l5o
These figures, which are nearly four times
greater than the average, show the enor-
mous extent OF the speculative business
transacted Yesterday the clearngs OF one day repre-
senting the s'regularn sales OF the previous one
The Sub Treasury disbursed so,55s In coin in pay
ment of interest on the public debt 1t Ia said that
me Treasury not seller OF coin during the day,
and 1t Is semioficially ntmated that the sales
made thus far have aggregated only $2,soo,oOo;
but, however this may be- the important fact re-
mains that the department. for the first time in
several months sold gold, and 1t is believed,
hve-twentles also, at . critical juncture OF the
money market, when o strong bear combine
ton was known TO be at work to create
srt1cial stringency for the purpose OF producing o
panic In Wall street. The most reputable men In
the financial community are unanimously Of the
opinion that Mr.. McCulloch and Mr.. Van Dyck delib
eratey played into the hands or this last combination
f0r purposes OF their own, and IN doing so abused
the trust connded to them and did all they could
to sacrifice the interests Of the holders OF govern
ment securities gold, stocks and property Of all kinds
for 1t is impossible to derange the course OF none
sary affairs In Wall street without checking and dis
turbing business all over the country. These two
officials therefore saddled with grave RESPONSE
bty and they stand convicted at the bar OF public
opinion OF that which Is worse than crime. The
same abuse OF trust under similar circumstances has
occurred before and brought scandal upon the
administration OF the finances but 1t is high
time that such corruption and mlsmanagement in
office should be stopped. 1t Is evident that Mr..
AcCulloch aud Mr.. Van Dyck are too much engaged
IN stockiobbng and gold gambling and too deeply
m league with stockholders and gold gamblers to
give honest attention to their business, and the
sfiairs OF the department are obviously unsafe in
their hands, while the abuse complained OF has
become disgrace to the government We
therefore. call upon the President to do
his duty by promptly suspending Messrs. McCulocR
and Van Dycx from ONCE, and insttuting search
Ing examination into the affairs OF the Treasury Il
has been rumored for some time past that certain
brokers In Official favor have been enabled to bor
row al the gold they required from the SubTreasury
for speculative purposes, and although we cannot
vouch for Its TRUTH the story Is deserving OF nvesi
cation.
There was an aggravation OF yesterdays strngency
experienced to day and seven per cent In gold was
paid freely for loans, whe In some instances
from 1-1oth to Y per cent per diem was the rate ut
which transactions took place, the minimum rate
even on government securities where the principal
dealers were the borrowers being seven per cent in
currency. II was noticeable, however, that about
oree O'Clock there was some abatement of the pre-.
vaous pressure; but 1t Is estimated that those
Who expect immediate relief after the national
banks have made up their quarterly returns win be
osappointed, 1t being the intention OF those In the
Ocar combination to retain their grip on the money
market until they bring down prices on the Stock
exchange. and this result will undoubtedly be nc.
sompished II the pressure il kept up long enough;
vhile, In the event Of their efforts to prolong str-
0aney being relaxed. the general opinion Is
sAat prices will decline, however easy money
may become. and In this expectation Wall street is
guided BY the experience OF the past. It Is indis-
patabde that railway shares are selling at figures
Car above their real value, and the railway war
which has just begun win do nothing to improve
@eir value or increase public confidence in them
ne rates at present charged by both the Erie and the
Kew York Central being insufficient to pay running
expenses. But this affords Justification OF the
conduct OF the scoundrels who are endeavoring TO
create panic by tamperng with the money market
The public will do well to avoid railway stocks for
they are controlled by ciques and liable TO break
down at any time, however abundant money may be-
kumors regarding Erie circulated on the street
tis morning, but they had foundation IN fact and
were probably designed to put up the price OF the
stock.
The market for government securities was lanruid
- the opening but under expectedly large orders
70 buy from the country IL soon became strong and
asfivc and prices advanced materially before the
close. The expectation OF an easier money market
tomorrow stimulated purchases on speculative ac-
count. Bonds are held mainly by strong parties,
weak holders alone having been forced to sell ont in
consequence Of the monetary stringency and prices
are likely to fully recover the fall after the return OF
IN abundant supply OF money. Meanwhile the large
snort" interest is source or strength to tho
market At nve O'Clock the following quotations
were current Coupon 6's, 1881, 1l3 q 113x;
S00s, registered, lo4i< lo4<; 52o's, coupon 1862
n2X 1l3; 5-2os. cupoon, 1904 10Y l1ok; 5-2o's,
coupon, 1885, 10Y a 1loI; sos coupon. new,
TseS. 1857 1osX 5-2o's, coupon 1867. 1854 1osk
S2o's, coupon, 1865, 1854 sIosK; 1o-4o's, coupon,
lo41f 104X.
At the commencement OF business the railway
share market was firm, and al the early session Of
che open board Erie sold at 4sh ASK and New York
central at l2sx. At the first regular board prices
were In the ascendant although the volume of busi-
ness was only moderate, and on the call New York
Central closed higher than at the same time yes.
terday, Erie 2 Reading IL. Northwestern preferred
!, Fort Wayne y. Milwaukee and st. Paul preferred
IL. Ohio and Mississippi y, Pacific Mail 1X, Ten