The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1870-07-04
FINANCIAL and COMMERCIAL.
WALL STREET, l
SUNDAY. July 3, 1870. {

WALL STREET !
SUNDAY. july 3, 1910.
THE WEEK IN WALL STREET.
The course OF values In the various departments
the week, and the markets. after opening weak ana
heavy, closed strong and buoyant. While primarily
the cause OF the change Is the great abundance OF
capital al this centre, seeking temporary investment
until the wants OF the farmers and planters shall call
1t away in the fall, the emphatic rejection by
the House OF the Currency Contraction bill was
the signal for revival OF the speculation for RISE
IL Is hardly necessary to enter here into the local in
huences which have been at work In the market and
particularly at the Stock Exchange. When the large
operators who took hold Of stocks early In the spring
had sold In the buoyancy before the agitation OF the
Currency bnl and subsequent to the defeat by the
House OF the original Senate Funding bill, we re-
corded the fact for the benefit OF our readers and
also chroncled the period Of dulness and heavlness
which cnsued. Indeed, in view OF the discussion
OF Garfed's Currency bill many OF the larger opera.
tors sold for the short account, In which position
they were luckily assisted BY the Boyd-Ketchum
failure. During the past week, however, the current
OF public opinion was completely reversed, and the
lowest point In stocks was made on Tuesday, when
the market gave signs OF having been art
hcially Weakened to enable these operators
TO close their speculative contracts ana
speculative movement. The impression that money,
under the numerous and plentiful disbursements OF
July interest must decline to merely nominal rates
has encouraged this speculation aud prices sharply
advanced even in q comparatively dull market.
The outsiders generally preferred to walt until after
the Fourth before inaugurating a new speculative
movement, and there was some realizing at the
advance on Saturday by those who had profits.
The indications point TO very active market when
the street settles back to business on Tuesday.
In the gold market the friends OF lower gold were
disappointed In the expectation that the price would
fall below ITO before the Fourth OF July. AS it was
1t touched HOY. The anticipation of the effect OF
the disbursement OF the July gold interest on the
pubic debt induced Il large short interest, which
when gold did not fall suddenly as expected
showed considerable timidty, and in its uneasiness
took the precauton OF covering at small profit
The effect was rise TO 112H, from
which there was an eventual decline to IlIk,
on the curious announcement from Liverpool that
the stocks of cotton In the English market were short
10000 bales of the generally credited amount.
Afterwards the market advanced to ll2, ana
closed steady at that ngure, In sympathy with
the strength of the foreign exchanges, rates for
which are firmly held by the bankers, In the belief
that with the paucity Of commercial bills on the
market and with prospect Of light exports hence TO
september 1t will be necessary to make heavy ship
ments OF coin
In government bonds there has been a firm ana
higher market In anticipation OF demand on pri-
yate account for renvestment OF July interest as well
on the part OF the banks and other corporations
seeking higher rate of interest than Is likely to
prevail in the open market during the ensuing
month two. IL was feared that the higher quota.
lions here would induce shipments of bonds from Eu
rope, but the immense reduction Of the national debt
for June ana the lower ruling OF gold have stimu-
lated advance abroad which Will check If 1t does
not prevent this movement.
In the Southern State bonds the feature has been
a sharp rise In North Carollnas which advanced to
52b for the Old and SO for the new bonds, on the
expectation that the new Legislature Will take steps
TO reduce the debt by selling the States interest In
the various railways The Tennessees also i'm.
proved and the general list was steady and strong.
There is growing feeling in Wall street that with
the revived prosperity OF the South the bonds Of the
different States will ultimately return to their ante.
war standard OF prices, aud that an investment In
those OF low price Will eventually prove highly re-
munerative especially as the national position on
the question OF reputation is likely TO be enthusi-
asticalY emulated by the various states.
THE BANK STATEMENT.
The weekly statement OF the associated banks Is
highly favorable, the gain in reserve being nearly
three millions and In the surplus over legal reserve
two and Il half millions, the banks now holding
S253ss 1856 In excess OF the reserve required by law
The loans are decreased half million, While the de-
posts have increased a million and q half. The in.
specie resulting from the July disbursements
Of the government is nearly three and a half mil
lions and the loss In legal tenders less than hair a
million. The following shows the condition OF the
banks this week compared with last
juyfy u