The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1871-09-22


On Change to-day wheat was strong but only
moderately active. The cotton market was I'M
changed.
MONEY FOUR TO SEVEN PER CENT
The features Of The money market were the con-
tnued activity up to near the OF banking hours
and the sudden relaxation just before three O'clock
The rates on call had ranged from four TO seven per
cent, the government dealers having balances left
with them at four per cent and some OF the smaller
houses paying gold ON stocks. At ten minutes
to three the marked collapsed under the pressure
OF money disbursed by the Sub Treasury in payment
oil the bonds bought the day previous. AT the same
time rumoIs were that the Secretary OF the
Treasury mad consented to accept tenders OF the
bonds OF 1862 IN payment OF the gold sold to-day.
Prime commercial paper was quoted per cent
discount
FOREIGN EXCHANGE HIGHER.
The announcement that the Bank OF England d.
rectors at their weekly meeting this morning, had
advanced the rate of discount one per cent-vlz.,
from two to three per cent-sriHened the foreign
exchanges, and quotations subsequently ad-
'vanced in sympathy with the relaxation in the
demand for cash gold. The actual business OF the
day chiefly on the basis OF 1881 for prime sixty
day sterling but the bankers eventually refused to
draw at less than 1Osk. The alteration of the Bank
OF England rate makes difference OF five-eighths
per cent between sixtyday and sight sterling. The
closing quotations were:-Sterling, commercial, 1917
1oSH; do, good to prime bankers, 1oS>I a 1Osk;
do do, sight, loss 1895 Francs and Continental
rates were as last quoted.
The rates for commercial bills have OF late been so
unfav0rable that cargoes have been shipped in
direct exchange for SPECIE and hence the spasmodc
exports OF specie from England reported during
me past week.
THE GOVERNMENT GOLD SALE.
The Assistant Treasurer opened bids at noon for
4
cordance with the september programme. The bids
were 1fty In number, and called for total OF
S. 1885, 900 at ll2 ll46l After an interval OF over
an hour the Assistant Treasurer announced that he
was instructed TO accept bids for six millions, and
the award OF that amount was made az I14.6l o
1880.
The question is asked, If Mr.. Boutwell, could spare
six millions OF gold to day why did he not buy six
millions Of bonds yesterday, when he could have
bought them At discount of two per cent In gold
two per cent less than ne Is constrained to pay for
rher redemption next December
GOLD BxCiTED-1l4X A lax A 113X A 114H A ll4X
4 The gold market meantime had been dealing on
the hypothesis that the sale while it might possibly
he confined TO two millions, would not exceed four
millions. The gold clique had quietly prepared
themselves for the Treasury assault by selling some
OF their gold the day previous, and, fortified with
the proceeds awaited developments. Gold opened
at 114X, receded to 114z and advanced to ll4L at
noon. Here the bids at the Sub Treasury were an
nounced, ana as the large majority were con-
sderably below the market price the clique
thought the government sale would not
go beyond their calculation and pending the
award bought freely and advanced the price to
1l4%. The immense amount awarded took them by
surprise, but failed to dslodge them from their no.
eit0n. Gold yielded, touched 113zs for q moment
Hnd then rose again amid the cheers OF the "bulls'
and the yeils OF the bears," until at 114k, lead
Ing "buli' took the sum OF TWO millions. Subse-
quently the point 1141s was touched by the de-
liant bulls" as If to show their complete control OF
the market, and the price then fell or to hay on
cable report tiat specie shipment Of 100000 had
left England to-day, IN addition to the
one OF Gel, 900 reported yesterday. Ger.
calmly the events OF the day have been
OF great interest and importance. The power
States Is something startling. The quarrel as it
STANDS Is between the clique all alone on the ono
side and the importers, the Syndicate and Mr.
Boutwell, on the other. the importers we warned
last spring and summer OF the great danger they
ran in borrowing instead OF buying their gold, and
we repeated the warning several times AS for the
syndicate they are heavily Interested In decline
In gold As for MIR. Boutwell, his Indignation and
vanity are aroused because he has been de ned and
Boutwin duplicates to some extent the fair fame OF
The country In his failure to suppress tho gold
clique should ask for fair play between the clique
ana the syndicate-between the two great gold
gambling pools who are the cause OF oil this excite
ment In monetary circles and arrangement IN bust
ness circles But doubtless the public will see that
The mistakes of Mr. Boutwell, financler will not
be counted to the dscredit Of the nation. II Is said
that the sale Of to-day was not directed personally
by Mr.. Boutwell,, but was committed to the dis
cret0n OF certain parties here who are interested IN
an active money market and desired to see O heavy
sale Of gold because OF the drain 1t would
make on the legal tenders Of the banks
Last week, 1t wiz be remembered, the
business 1t was reported that Mr.. Boutwell, chagrned
et the failure OF his sale OF six millions break the
market would be In town early tomorrow to make
u new DEPARTURE OF some kind. Naturally enough
the rumors thus arising took several shapes he was
to receive the bonds OF 1852 In exchange for the gold
pc sold to-day: lie was to pay gold on demand for
ten millions OF these redeemable issues and nnally
he was going to allow SIX days. grace for the pay
ment OF the gold sold to-day AS to anticipating the
redemption OF the 1925, we doubt his power to do
30 unless the Syndicate agree to forego an evident
part of their contract with him. However, Mr.
Boutwell, after many days expectation Is to be in
snau see. The course OF the market Is shown in the
table,
JOA. M............ HAY 1874 p M........... 1141
IL A. M...."...... 1l4H 3P. NJ. ........... ll4I
IL M.............. ll4X 1857 +. M........... 114X