, 1870-03-22
N MONETaRY AND COMMERCIAL,
MONETARY,


MONETARY.
MONDAY EVENING, March q.
The prospects of the Funlins bill continue
to be one Of the principal topics VI conyersa-
ton in business cir,les. 1t ID we'll understood |
now, that Il the bill rasses. NO matter which |
course the National Banks may pursue in re-
gn1d TO it, there will necessarily be a great !
co1nnotion III finances. Even II the 6anks !
should generally decide to continue their cir- !
eulation on security OF the ~ per cert bonds,
instead OF per cents, they viii ba Obliged to |
withdraw some E300, 600 900 of per ccnfa that |
are now deposited rs eecurity for circulation,
and to throw the greater portion VI these upon !
the market. There can be no question tlat |
thia would cause i large decline in the prices |
Of bonds. which would extend to European mar
kets and be reflected Lack on the greeabacks, !
md be sho!Al in Use in gold. But II, as Is
more probable, l.rge proportion Of the banks,
especially IN the West, should decide TO give
clArters. or even il they should continue their
National Bank organizations and decide 70 Gire
up swo-thi1ds Of their circulation Us the Ma
tioual Bank act only requires them to dePoalt
one-third Of their capital in bonds. and they
have he1ttoiore only deposited more than that
because they wanted more circulation), it is
plain there would bc lArse contraction Of the
National Bank circulation. As there would bo
no contraction OF grecnbacks, this con-
traction would not, however, nd the
Ess >, .Ss Ssa5a spsesi Si Pdne ha
therefore, may f-e summed up as follows: 4
decline IN the price Of all the present boads.
which would catirnly defeat the ostensible OBJ
iect Of the bill in funding the debt at n lower
rate CT interest, contraction Of tho currency,
and rise in gold.
About three weeks ago, when We were sew
eral times infozmed by telegraph that certain
bankers and insurance companies OF New York
we're paying no attention to the legal-tender
decision Of the Supreme Court, we expressed
the belief that the parade Of the yiews
OF these bankers and insurance companies
WIS made in the interest of the largo railway
corporations which owed large debts con-
tracted before tho date OF tho Legal-Tendcr
act, and to whose interest it was to mauufac-
tr1e public opinion against tho decision Of the
court and, il possible, to defeat it's operation.
1hte0 schemes, it sceEB, llAse also sympa-
tLi4ors i'll some Of the oficials OF the State Of
Ptnrsylvanin, who have recently publshed tho
following:
"OFFlCE CoMNtssioSfRs OF SISkfNG FCSp,(
" HARRISBURG, Feb ~, 1870. {
g stRtsotred, That inasmnch a. the recent dcclson
Of the supreme Court Of the United States On The
three Judges OUT of I'VE, in court composed 81
EevpD Judges, md the leSslaton Of the State only
authorizes the payment OF her indebtedness IN
what IL known as the iegattender currency ol the
| United states, 1t would not he advisable for tho
State Treasurer TO make any change in the present
mods ss Of Faysns TIE obligation 4 he Gonmon-
| "l lerk to Commissioners Of sinking Fund"
II is wcN known that tho decision Of tho Su-
prime Court in the case above referred to, vas
cu1aut.e1 in bs dve Judges in court legally
composed Of eight, and that though two Of
them were absent fsum the court 1t tho time
Judge Chase delivered the decision Of tho
Court, he wss authorized to give their opinion
as concur1ing with his own. Tho decision Of
the Supreme Court in the lceal-tendcr ease
was fillal, aud no amount Of Qnibblng vii! set
Iehull it. Every holder Of q bond, or ether
money obligation dated PRIOR to February.
ls62, tan col.cet principal and interest III gold,
tecause the State Courts andthe Federal Courts
will bc obliged to follow the decision Of tho
Supreme Court.
The busilicEs community ara not ! little agi-
tatc,l over the recent alteration Of checks and
drafts in Eastern cities By mcana Of an erasiye
fluid. the principal, if not the only, chemical
agent Of which il chloride Of limo. This ia moi
u new invention. Us many suppose, but has
been used by swindleEs \ year or two, perhaps
Iunger-and only excites unusual comment
now beeausc Of its being the means Of the re-
cent numerous forger1es in New York. II is
nevertheless, one Of the most dangerous tacili
tict for forgery which bankers will now hav'
to guard against. In como experiments vi
lave seen tie1 here, to-isy, it va
sho~n tlat, y tal,ns % tue so5k s ffon on,
i touching it lightly several timea to any writing
, | in ANY kind OF ink {eActrt in come kinds U
b1Ee i1lks', the writing would entirely disap
| pear, Tie ink would become detached from til
: paper. folsn new compound with the clllor.d
, | 0t l,Le. ard aIpear in clots OF q yel1nwisl
: substance, Hl4iea could be gently wiped Oh
, l<a,u.g no trAcc Of the writing nor OF an
stsin ni+on Tic paper. Tho only eject upul
, Iaier eec1Is 10 ae 70 dim the thu Iolisl Of IL
:, tHliate li:tlr, as though drop Of water ha.
FrN tx,D, II, rf IL
, ! can 10 seen by holding the paper up with th
/ tGGe toward the eye, 50 that the Light wi
{ tal obl4ueIy OF tho spot that has been opel
] atcd upon. Tie effect .,.on the surface OF I'll
paper, ,howeser, il too slight to mako any perce{
: title difference in the facility OF writing agai
G7er the same place. T1is iak eraser remoSesa
tho black inks and some Of the blues. III
: '1nauve ink, which looks 70 much like blue
: ctmes out instantly, and ali the "Writin
!, l:lsi1s which are blue when first used and ttr
: black afterwards come OF With equal facility
:, lie only ink u.At u not adec:ed by it at all
\ "Sanfords. and some other brands Of blu
e inks. No altered checks have been presente
i st banks here, as has been runored, but hanl
= | uss everywhere will be obliSel to ecrQtiniz
. llls Of exchange closely.
Tie local money market shovs little NOR
= = activity. owing to the demands oi grain opel
j asors for accommodation. The cnornou
d amount Of produce in store here now, partict
. larry Of wheat, requires large amount Of caE
it'll to carry it, and il there was any consider
9 bio demand from other departments OF trad
! the money market would be tight The depoei
Of the banks, however, have run up, in cons
+ profitable use for their funds. The depresee
J; condition uf business, and the doubt impn1te
= to the financial future by the possibility Of Il
!. passage OF the Funuing bill, and the unsettll
! cuudition Of the price Of gold, are unfArorab
= to Investments OF any Kind, and men Who ha.
I cnyt&J Il Al