The New York herald., 1871-01-04
FINANCIAL and COMMERCIAL.
WALL STREET,
TUESDAY, Jan. 3--6 =. nj.

TUESDAY, Jan. 3-eP.M.
On Change to-day wheat was nrmer and moder-
atey active. The cotton market was dull and
steady
Wall street and its vicinity presented busy scene
owing TO the presence of thousands or citizens who
were drawing interest and dividends at the Sub
Treasury and at The various banks. banking houses
ana trust companies The crowd included ladies,
clergymen and other classes OF people whose faces
seldom in the great financial quarter OF tho
city.
MONEY ACTIVE.
The anticipation OF q relaxation OF tne money
market which had been confidently looked for
immediately after New Years has been doomed to
disappointment Indeed until the disturbance
OF the market, incident TO the payment Of the I'm
mense sums due for dividends ana interest, has
fairly ceased, activity may be expected. Last year
1t took nearly two weeks before the money thus dis
tributed found It's way back again into the banks,
and pr cisely the same influences are now operating
In the market. Were people to draw their money
promptly and return IL to bank the activity would
soon cease but as the average man IL apt to be In
no hurry to draw money, particularly when he
knows 1t Is ready to be paid him at any moment,
and as business and other reasons cause
many TO defer the collection, and as on the other
hand the clerical force at our banking instltu-
tions is not equal to the emergency Of doing the
whole work In day or two the disbursement OF
these seml-annual lnstalments usually 0vcries
period OF from ten days to two weeks. Meanwhile
the banks keep the money on hand ready for pay.
ment to Its owners and virtual contraction OF the
circulating medium Is the result. To-day the rate
on call loans ranged from seven per cent currency
to gold, the demand being continuously active
at the former and frequently SO ut the latter Com
mercial paper was quoted q Sk per cent discount
for prime double names.
THE TREASURY POLICY.
The more liberal policy Of the Treasury Department
occasiened many omplimens and thanks toMr. Bout
well. Now that Congress- has reassemDlel the whole
question Of Treasury operations should be gone
carefully and an enlightened policy made the sub.
jec Of special legislation Thousands of business en-
terprses are pausing at the threshold OF the new
year awaiting some intimation as to the financial
measures OF the Immediate future. The CRY for
ductlon OF the taxes comes from every workshop,
store and dwelling all over tho land. Ii MIR.
Boutwell, can spend u hundred millions year
In buying extra bonds the tax budget can stand
reduction by that amount. In other words, the
people have had to pay hundred millions out Of
the profits OF the past year, in order to reduce
DEBT the holders OF which do not want the money,
while its reduction by the operation Of the sinking
fund Is going on In perfectly healthy and satislac.
tory manner. Mir. Boutwell, Is not the person to
blame for tEiS state OF affairs except the 1duciary
adviser who should suggest to Congress what to DO.
While the continue he Is doing the pest thing,
under the circumstances. by using the surplus Oh The
government revenues in buying bonds and returning
the money 10 the country. But Congress ought TO
go back OF the whole matter and reduce the taxes to
the minimum OF the governments needs Tor
expenses.
GOVERNMENTS STRONG.
The government market was favorab,y affected
by the announcement OF the extra purchases Of the
Treasury for the current month"; but prices later In
the day fell of. but closed strong, as follows
United States currency sixes 1l0t4 1l0'x; United
States siXes 1884, registered, 1lOL 1lOh; do. do,
coupon Tex. init, llok l10h; do. fve.twenties,
registered, May and November. 1osh 1881; do.
do, 1862 coupon do., l0Sh 10s2; do. do, 1854.
DO. dox 1oSh l0Sk; do. do, 1856, do. do, I0sH
10Sh; do. do, registered, January and July, lO7
1o71s; do. do 1855, coupon. do. Tex. init, 1917
l07A do. do, 1867 DO. DO Tex. int.l. 1o7K 107s<;
do. do. 1858. do. do. Tex. init 1917 1885 do ten
fortes, registered, l08X q 107; do. do. coupon.
106x 1G7.
STOCKS DULL AND LOWER.
The stock market was dull and the speculative
community were slow in returning to the street. In
fact a heavy, it might be said sleepy, tone charac
terIZed business as II Wall street had joined the
general throng in The New Years celebration ana
was not as yet disposed to return to work. On the
other hand, the retnvestment demand so usual ut
this season waits upon the full disbursement OF
the January moneys. Under these circumstances
the market developed heaviness and eventu-
ally weakness, with an average decline OF nearly
one per cent in the leading shares. The chief ex-
ception to this course Of prices was Reading, which
cut loose from the surrounding weakness and ad-
100. This stock instance OF the effects
OF the renvestment demand which may be looked
orduring the current month. Having always paid ten
per cent annually in cash In stock or In either op
tonay investors In it, by applying their dividends
to the purchase OF more stock, have earned
ten per cent compound interest The stock
dividends have been issued when the
earnings had been laid out in the requirement
building or new lines extensions. To-day the
cash stock scarce for delivery, owing to the
recall to Philadelphia OF some 200)0 shares which
had been loaned Ous here during the ''cOrner" few
weeks since. Moreover corner Is always threat
ened for the that the stock. like Fort Wayne,
Illinois Central and chicago and Alton, Is passing
into the hands Of investors who take it out OF the
market. The next exception to the general decline
was Hannibal ana st. Joseph common which rose 20
95. The following table shows the highest and low
est prices VI stocks during the day.
Htyhest Lolces.
New York Central consolidated. B2n 9IH
New York Central scrtp........... S8h SIX
Erie. ................. ......-... 231s 22h
Reading g.......................... 100 9BH
Lake Shore. 92A w
WABASH. 4Srs 4uS
NORTHWESTERN. 72H 7lk
Northwestern preferred SO 50
Rock Island nd...................... lO6 lO4h
Milwaukee and st. Paul... 52sl 81
Milwaukee and ST. Paul preferred. - TN
Ohio ana Mississippi. ............. 2SS rs
New Jersey Central. .............. 1861 lO4
Union Paci1c....... Il 1lz
Hannibal and st. Joseph. .......... 95 %
uact nvn rol IA