The New York herald., 1869-06-22
FINANCIAL AND COMMERCIAL.

-FiNAftCtAt AND CONNER ClAI.
ta.isslB4 .hgsa'ag9 s.sss5 MONDAY, June 21-6 Pm.
There is as yet no intimaton that there viii be
change in the policy which Secretary Boutwell, Is at
present pursuing with reference to his sales OF gold
and purchases Of nve-twenties. IT rs true rumor
was started this morning thai he Intended modifying
that policy after the 1st Of July; but II evidently
originated with one OF the cliques 30 conspicuous
to-day In the operations OF the Gold Room. Nothing
ofdcisl or definite is known OF any change. Mr..
BoutweIl ts expected In the city tomorrow, when
probably something may transplre Of his views 1t
almost certain, however, that he has
made up his mind to see out his pre-.
sent plan TO the end of the fiscal year,
which is only nine days on. This, the last
week win hardly be the worst In the money mar
ket, for the reason that In purchasing 81, 100000
bonds on wednesday next he win enlarge his cur
rency balance by about sssoo0o only. instead OF
11tooo0o a. heretofore The street, at the opening
this morning, was in some doubt as TO the manner
In which to accept the bank statement OF Saturday
The large falling or In deposits and the compare
lively small decrease In legal tenders, BY strength
ening the relative reserve OF the banks were In some
quarters, particularly by the bulish and hopeful
side OF the street. regarded as favorable to relaxs
zion In the interest rate. 5N sa
The earliest business was done at seven per cent
gold, equivalent to OK per cent. which the rumor
above referred TO- that secretary the Treasury
would lessen the amount Of his weekly gold sales,
WAS the occasion Of rendering quite general In trans
actions up to one or two O'Clock. The rumor then
being denied, and the natural demand for money be-
ing quiet active toward three O'Clock, there was a
sudden hardening Of rates to q thirty-second and
interest," and In some very instances to SIX
teenth "nat" The bulls' are again talking OF lay.
ing traps for those who exact extra legal rates. but
they have repeated the threat often that 1t has be-
come the qry Of "wolf" and has almost lost its
power Of intimidation. The worst feature OF the
stringency Is the virtual stop which 1t puts to dis
counts. The best paper Is now hawked about the
street ct nine and ten per cent. The market has
become inactive, makers being stubborn IN refusing
TO stand large shaves and buyers being rather dis
posed to employ their funds on CALL The former
oner their paper at sh to 10 per cent; the lat
ter will not purchase less than to IL. Foreign ex.
change has been steady for days the basis
OF 109x for prime bankers sixty day sterling, and
10Y for the same grade Of sight bills but drawers
are not entirely certain as to the character Of the
demand which will arise In paying the July coupons
held abroad, and hence are somewhat Indifferent
about making large bills.
: The government market was weak in the earlier
portion Of the day in response to the lower quota
ton for gold In the forenoon, which opened on the
streetat 1861. The change later in the day cores
ponded almost precisely with that in gold aso and
great buoyancy was communicated at the close by
slight improvement in London, where OF course,
decline in gold produces the very of the effect
1t does here. The market was very steady In the 87's
which have come to be trusr index for the reason
that they constitute the bulk Of the bonds moved in
the home market. The scarcity Of the 62's
renders them exceedingly sensitive to other
wise unimportant influences. The following
were the closing street prices this after
noon:-United States skies, 1881, registered,
116 Q III; do. do, coupon, l20X 121;
DO, nvetwenties, registered, 1l6h 11e1s; do
DO, coupon, 1852, 122 1924; do. do., cou-
pom. 1864, 11eN III; do do, coupon, 1885,
llsx 1lsX; do. do. coupon, 1885, new, 11sk q
11sK; do do, coupon. 1867, llo1 llo,S; do
do, coupon, 1885, lloH l10's; do, ten-fortes,
registered, 1o7H 1o7x; do. do. coupon 1917 o
1osX; currency bonds, looH Q 1oeX.
a The mon0t0ny OF the gold market was disturbed
by very decided 'bulln movement to-day, which
carried the price up about one per cont-viz.
to 137X-based upon the report that the Secre-
tary OF the Treasury would reduce his gold sales
to $1,000 600 weekly after July From this 6gure II
reacted TO 131. but rallied again to 1914 and fell
on later to l37x. upon the statement that the Trea
sury on1cials had received no intimation Of any
change in Mr.. Boutwells policy, at which figure 1t
closed In the room. Indeed the whole movement
was very speculative In Its appearance. broker
who, deservedy not, has the reputation OF being
the agent OF powerful clique, first started the pre-
MUM by bid fof the government gold o large
fraction in advance OF the market. This fact becom-
tng known there was general rush for the Gold
Room, where the broker again appeared and by
freely buying ran the price up still higher.
1t was noticeable however. that the market
required the constant spurring Of his purchases to
make 1t stick at high figures. On the cessation OF
his bids It's immediate tendency was downward. II
the clique intend genuine "bul" movement 1t is
odd that they should show their hand, unless they
calculate that the street will infer the reverse Of
their apparant plans Their strategy may therefore
be all the deeper for its simplicity Allowing the
clique reputation for ordinary sagacity. 1t Is di-
cult to believe that they are buying gold In expecta
tion OF higher premium when the Treasury Is on
the point Of giving the market golden deluge by
disbursng nearly forty millions nine days hence In
payment OF the July interest on the national debt
The course of the market Is shown in the tablet
1oA. M......"..... ISeh Y. M.....-...... 1871
IL aM............... 1863 P.M............. 1879
1900 p. M.......... 1877 3.f5 I. M ......... 137