Nashville union and dispatch. [volume] (Nashville, Tenn.) 1866-1868, 1868-08-26
FIRST BOARD.

The New York Post of the afternoon of
the 22d inst says:
1.-THE money market is abundanlly sup
piled. CALI loans on government bonds
range from 1904 per cent, the greater num-
Der being at the latter figure: On railway
and miscellaneous CollaLerals 4(95 per cent.
is paid. There is an indispOsition on
the part of the banks to loan at even
the highest rates on Collaterals composed
entirely of the shares of the more specula-
live roads dealt in at the Stock Exchange.
Discounts are generally dull, although there
is fair inquiry for prime short paper, sixty
days and under, which is done at per cent.
The nominal rates for paper running from
two to four moRths, in which there is very
little doing, are from 81 to % per cent"
Reports are coming from New York of
unfayorable bank statements. This ia the
conclusion from Wall street point Of view.
Itmeans that the money which has accumu-
lated in the New York banks, from all parts
of the country, is needed for legitimate
business purposes-to move the crops-and
is therefore being Withdrawn. From this
standpoint the bank statements look favor
able. The deposits in the New York banks
on the 18th inst. were sos, 1O4, SG7, against
$l99, 40S,705 the corresponding date last
year, when there was an excess as compared
with August, 1866. There is no more
money--not 30 much in the country now,
as in 1867 yet, we find more in New York
and at other commercial centers This Is
dustrial pursuits, and this dullness has re-
suited from crop failures We need not
stop to show how these failures necessarily
affects business unfavorably. Our agricul-
lural interests underlie all others, and
when these are depressed general prOstra-
ton follows in all branches of business.
This prostration diminishes the demand for
money. The chief function Of thelatter IL
to settle the exchanges, and as the business
diminishes there is less use for money, and
hence IFS accumulation. The country hav-
ing had three years of deficient crops, has
had a depression in trade. This has nov
been passed through, says the cincinnati
Gasette, and We are just entering upon
period Of good crops. The first product Of
the harvest of 1868 il just now beginning
to come to market, and coming, as it does,
upon almost empty granaries, high prices
are commanded. The yield Of wheat, for
example, making full allowance for after
reports in regard TO the quality Of the grain,
is double what twas last year, orsay twelve
| or fifteen bushels to the acre. Notwith-
standing, the price ia only ten per cen
lower than in 1867. Oats, with a very
heavy yield, is nearly as high as It was last
year. Corn, with an extraordinary crop
in prospect, is well up to last years prices.
or course the future Of prices will be gov
erned largely by the foreign demand, but
for the present We have large crops, high
prices and pretty free movements Of grain.
This calls for money, and hencs We find
currency flowing from the com msrclal cen
ters to the interior. Thns it is becoming
useful This money will soon find its way
back 10 the cities, through The regular chan
nels, having frat discharged the obligations
Of the farmer TO the country merchant and
of the latter to the city iobbers. Tins We
are having those movements which preceds
4 revival of business, and hence the distri-
button of currency, which causes what are
called unfavorable bank statements, il an
encouraging Indication. This Withdrawal
Of unemployed capital for use where 1t Il
needed, foreshaiows and insures businesi
for the merchants and the manufacturer
and for railroads; for everybody, in 5ne
who Is in business.