Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1870-08-21
Financial Effects OF the war.


A commercial circular has recently sp-
peared in London which takes an encour-
aging view of the influence of the war on
the British industrial interests. The state
ment commences with the far north, and
sets forth the fact that the Dundee is swept
of certain descriptions of goods for the bel
ligerents, and that in general the Forfar-
shire Mills are well under contract. The
iron trade, it is added, must concentrate
still more in Scotland and England, one
of Belgium's main sources of sup
ply of ore being interfered with,
and a vast supply of her workers
having been drafted into the large army she
has modified. For the first time for nine
years Lancashire Is sure of large supply
of cotton, and at low prices, and the COZ
sumption by English spinners will be enor-
nous, quite apart from any extra demand
that may be thrown upon them by the viz
tual closing of Mulhouse, and many of the
German factories. Then again, says the
report, if Yorkshire ships her yarns to the
continent, she will send more cloth, es-
pecially army blankets or clothing; and
Birmingham and Sheffield will assuredly
increase their workings, manufacturing
those goods which go to swell so
largely the exports of hardware in time Of
war. AS to neutral shipping, it is reaping
| the benefit. already. The wheat countries
are gathering good average crops In fine
| condition; and while they will reap the
advantages of rather higher prices than
| would have been obtained had peace moi
been broken, the world at large is well able
to afford it, work being abundant and
wages high.
Results similar to those noted above
| may be looked for in all neutral and indus
trial countries sufficiently remote from the
seat of war to be Independent in theil
| movements; but considering the situation
in a strictly financial light we are forced tC
conclusions FAR less favorable. Public
securities shrink at the first note Of grea
war as promptly as does the mercury il
the Thermometer when ice is placed to the
glass. The London Economist, of JULY
l6, gives some estimates of thu
amount of this loss, as shown by the fall IL
securities in the eight days between Jul,
| 4, the day before the first alarm In French
Chamber of Deputies, and July II, whel
| the war panic first reached its height. Il
this one week the value of French rente
fell equal to $3.50, OOO, 900; that of Britisl
Consols, 81, 900; that of Italian
bonds, S41, 1875, 600; that Of United State
tonds, So, 900, 900; and the total loss il
the national securities sold in London wa
no less than 1891, AIS, 600, without includ
ing the stocks of Germany, Austria, Bel
| eium, Holland and some other countries
of which no sales are made in London. L
railway stocks, similar depression too
place; and in those of eleven prominen
English lines alone, there was q fall in pric
of So, 1a5, 900. The total loss of propert
to investors by the mere declaration of wa
is put at about $500, 900, 600 With such
beginning, what will be the figures shout
the strife continue even one year. II is
of course, impossible, says a con
temporary, ''to ascertain, even approx
mately and in figures, the amount of dam
age done by mere apprehension of injury
The fright and confusion thus brought int
the commercial world is OF itself gigan
tic evil, and if war resulted Iii no othe
injury to mankind than this, it would vel
deserve ali the maledictions ever uttere
against it.
So far as United States bonds held i
Germany are concerned, there seems to b
a diversity of opinion among the broker
| mere Us W luO 0l4CClS AAhCAy W 10 BAONNCO
by their being sent home in large amounts
The most general view, however, is that
-ush of these securities upon our marke
would lower prices and render the invest
ment profitable one. The Phila. Ledge
thinks the transmission of the bonds shout
be encouraged, and adds: There is n
better investment on the market than gov
eminent bonds, and, as we know they WI
be paid, the greater the amount at th
lowest price we can get of them, the create
our gain. Unfortunately, as We think, fc
the real ultimate interests of this country
the Germans, and, indeed, European
generally, properly appreciate our bond
as we note advances in the prices both
at Frankfort and at London" 1t is graz
thing to be debt-paying nation, and s
long as the United States evinces her d.
termination to reduce the principal Of Il
public bebt so long will the country escal
many of the inconvenience usually q
| PENDANT uuon a great foreign war.