The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1870-09-01
FINANCIAL iNiaa COMMERCIAL.
WALL STREEr,
"WEDNESDAY. August Sl--e ?, MI

"oLD Aic1e - iA'2s'
TnvrY was moro buoyant oId more animated
tone TO the markets to-day, but the an,ountQf bust
ness was still connne. to limited dealing in g few
OF the speculative railway shares. The day vera tt
removed from close contrast With the recent stag
nation, wonld still have been regarded as dull
one Tie earliest actlvity--such as there was
made itself manifest in the Gold Room, whore the
price opened at lleh, owing to the light engage
ment OF specie for the Cunarder "a well as the
curious sale OF sterling bills Of exchange for the
account OF English bankers who have transferred
their funds from the relaxed market OF Lon.
don--where money on the street is worth only
3 TO per cent--to this city, where
they have been enabled to place them at rates equiy
alent to fully nine per cent per annum. Foreign
exchange, while not lower than at the close last
evening, after the absorption OF these bills was duh
and barely steady on the basis of 109 for sxJyday
and 1l05S for sight sterling. The offerings OF gold
In the forenoon were readily taken upon speculative
account by operators who theorze that with ratio
OF only two and half millions OF exports TO eight
millions OF imports there Is little danger OF holding
for rise. II should be borne In mind, however,
that the demand for gold IA based upon the relations
of the whole years foreign business, and not upon
the discrepancy at this season. when, between the
closing out OF the Old aud the entry OF the new
cotton crop, there Is always great pre-
ports The statistics OF the fiscal year
ending July showed q highly favorable cond-
ton OF our foreign trade, ana the decline In gold
from last year at the corresponding date was but the
result Of an enhanced national credit and expanded
exports. Certainly, with war ADDING to the
national debts OF two OF cur great national
rivals and with not reduced productive capacity at
home we are not any further from specie payments
than we were last spring. when gold was 110<. The
theorists who operate upon any other idea than that
we are destined to specie payments within year
other reasonably brief petroleum. be crushed by
the Juggernaut OF our countrys steady, irresistible
advance on the high road TO b0unteous pros.
perity. The spectators on the limited ex.
tent OF tho present seasons exports were
bold enough to buy, however, as above narrated.
and hence when the report was circulated that the
Prussians had been defeated in the latest battle the
timidity OF the shorts produced a rise TO ll7H-a
clean advance OF one per cent over the opening fig
ure. When later IN the day, 1t was evident from
the firm and puoyant market for tiye.twenties In
London that the fighting was not regarded as OF any
Importance, there was reaction to ll67s. at which
price the market closed strong. The large amount
OF gold bids for
THE GOVERNMENT GOLD SALE
at the Sub-Treasury also contributing intu-
to the strength OF the Market the total having
been $4S3o,00O at prices ranging from 1856 to
1853 tho million betng awarded ut 1883
to 1l6.00H. In this connection 1t Is important
that due publicity should he given
recent decision OF the Secretary OK the
Treasury that the notes OF the new gold
banks authorized by the Currency bills passed at
the last session OF Congress will not be received in
payment OF customs. Doubtless this action OF Mr..
Boutwell, which is perfectly correct because as the
new notes are only secured by pledge Of govern
ment bonds they would depreciate should gold by
any strange accident once more command o high
premium. will induce rule OF the Gold Exchange
declaring the new notes not good delivery IN gold
transactions. Their value and use are thus crcum-
scribed as long gold Is ut all In danger OF sharp
advance. 1t viii be remembered we pointed out
this difficulty when the law enacted. The
course OF the market is shown ia the table,