The New York herald., 1868-03-12
FINANCIAL AND COMMERCIAL.
WEDNESDAY, March 11-6 P. M

WEDNESDAY, March 11-6 p. M
me gold market has been heavy and unsettled
during the day, and the fluctuations were from 139A
to 1884, with the closing transactions at 1917, this
price being bid. There was large amount Of cash
gold seeking borrowers, and frOm five TO seven per
cent was paid for carrying The gross clearings
amounted to $57,s59,0OO, the gold balances to
$2 $685. 55S and the currency balances to So,
1t was rumored that the government was selling
gold to q moderate extent, but this was not con-
armed. Considerable sales were made for cash by
parties requiring currency, and coin was borrowed IN
some instances upon securities in order that might
be realized upon in this manner The strngency in
the money market was more decided than yesterday,
and 1t was evidently due mainly to artificial In
nuences. The demand was sharp at seven per cent
on call, and there were not few cases in which this
rate In gold was paid to private bankers The trans
actions Of the bear party in Erie headed by the
speculative director have resulted In this derange
ment, and 1t is estimated that about six millions
have been locked out Of circulation by them.
The Erie Company Is understood to have
drawn nearly the whole Of its balance from
Its bankers In this city, and this was
unusually large owing to It's including some OF the
proceeds Of the recent sale OF ten millions OF con-
vertble bonds which are supposed to have been con-
verted into stock on Monday under cover OF the
order issued by Judge Gilbert, of the Supreme Court
Second Judicial district. That the heavy sales Of
Erie on that day were OF new stock into which these
bonds had been converted admits of no doubt.
An incident transpired this morning which afforded
conclusive evidence that artificial means were
being resorted to for the purpose of pro-
ducing a monetary pinch. The Tenth National
Bank found itself credited with more than
three millions Of dollars at the Clearing House,
and the bank explained that this large balance to its
credit was caused by Messrs. Fisk & Beden making
very heavy deposits and then drawing certified
checks against them which were not used; and in
this connection the following note from the president
of the bank to Messrs. D. Groesbeck Co. explains
ITSELF while it exposes the naodus operandt Of the
bears:-
TENTH NATIONAL BANK, |
NEW YORK, March H. 1868.
this bank found itself credited at the Clearing
House several millions of dollars more than the
ordinary transactions OF this bank justify. The
large balance to credit in the Clearing House
was caused by Messrs. Fisk & Beden making very
heavy deposits in two days of over S300o,oo0. The
certified checks drawn against the above were with
held from passing through the Clearing House. To-
day. during my temporary absence to the California
steamer to see member of my family of, lind that
a clerk in your employ deposited the said checks and
took certificates OF deposit for the This is
peng the bank to hold 49, at risk, and also
tain parties to lock up money to make artif
cia tight money market Not wishing to this bank
Yours respectfully, j. B. DICKINSON
President Tenth National Bank New York.
The practice on occasions like the present Of lock-
ing up money is ndefensibe, and no bank should
countenance It, directly or indirectly, and the in
question has set good example in this respect
The disturbance resulting from 1t is not confined to
the railway share market, but extends to all the
channels Of business both in and out Of Wall street.
no au-
verse influences affecting It, and the fluctuations in
Erie were from II to "a The bull party sustained it
moderately well, all things considered, but they
evidently find their task harder than they at first
anticipated. The sale Of fifty or sixty thousand
shares OF new stock on Monday was an unexpected
blow and the prevailing monetary stringency was
equally unlocked for. The order granted by Judge
Gilbert was in direct opposition to that previously
issued by Judge Barnard, and as strategic
movement on the part Of the speculative director
and his party 1t answered all the purposes for which
II was sought. The Erie case came up for argument
before Judge Barnard this morning, but was by him
adjourned until Saturday next, and yesterday the
litigation in the was further complicated by an
injunction issued by Judge Cardozo the complaint
Of John Bloodgood against the Erie party. Last
night the Erie Company vacated their offices
in this city and removed to the Long Dock
depot, New Jersey, taking their effects with
them. The directors, including Mr.. Drew, also with
drew to the same spot in order to be beyond the urs
dicton of the courts OF this State. The reason given
for taking the money belonging to the company also
beyond their Jurisdiction Is the desire to guard
against its attachment. The contest Is evidently
very bitter one and both sides express equal deter
minaton and are equally sanguine OF success The
decline in Rock Island owing to the accident to
the companys bridge across the Mississippi and con-
siderable sales supposed to be made by the leading
bear in Erie.
AT the commencement OF business the stock market
was irm and at the early session OF the open board
Erie advanced to IL AT the first regular board there
was moderately large and well distributed business
in al the leading railway shares; but prices had
dropping tendency, and New York Central closed X
lower than al the same time yesterday, Eric 2 Erie
preferred ~, Reading IL, Michigan Southern /
Cleveland and Pittsburg 2, Cleveland and Toledo g.
Northwestern Is Northwestern preferred 2, Toledo
and Wabash 275, Alton and rerre Haute preferred Il
Milwaukee and st. Paul l. Milwaukee and st. Paul
preferred Il, Ohio and Mississippi Ia Pacific Mail
Il, Quicksilver u, Canton 2I, Western Union Telc-
graph u. Government securities were dun as a
decline OF Z a u. Tennessee skies, new, were 1lS
lower, North Carolina skies Al, new issue 3 H.
Missouri skies a. AT the open board at one
O'Clock the market was heavy, and Erie, which
746. At the second regular board the tone of the
market was lrmer and New York Central closed 4
higher than at the first regular board, Cleveland and
Pttsburg 4, Cleveland and Toledo g, Northwestern
| 2, Fort Wayne Il, Milwaukee and ST. Paul preferred
| 4, OHIO and Mississippi x, Pacific Mail Il, and Erie
| lower, Michigan Southern r. Rock Island /, North.
western preferred Il, Toledo and Wabash a. Mlwau-
kce and st. Paul y Canton 4, Western Union Tee-
| graph y. Government securities were dull but
steady at the previous decline. North Carolina skies
| advanced sS, while the new issue declined u. At the
open board at halfpas; three the market steady
and Erie sold at IS '5s; New York Central, l2e7s
| Fort Wayne, 1909; Michigan Southern, 90t4; Rock
Island, 94%; Northwestern 81 a e6,4; ditto preferred
| 73's; Western Union Telegraph, "a; Pacific Mail,
lo1S. Subsequently Erie advanced TO 20, and at six
| O'Clock the market closed moderately firm and
| quiet at the following quotations:--New York Cen.
tral, l27k 127'S; Erie 75I 1915 Reading, 92a4 Q
Il IL