The New York herald., 1871-04-19
FINANCIAL and COM AVGRGlAL.

| on 'Change to-day wheat was firm u "
active The cotton market was firm, but nv, n'eAo
| MONEY FIVE TO SEVEN PER CENT.
| There was more active inquiry for money y 'ns
to the increased volume OF business at the Stockl =
| change and lenders on stock collateras general
obtained seven per cent. There The usual cxoe
tions at six. however. The supply Of funds toward
the close OF banking hours became rather BETTER,
and loans late in the day were made alternately at
six and seven per cent On government collatera!s
the prevailing rate six per cent but the lead
| ing dealers were readily accommodated with large
| balances at five per cent. Prime commercial paper
continues In good request, and quoted at per
cent as the extreme rates for the several grades.
| Foreign exchange was dull and steady on the
basis Of 1OsX a 10 for prime bankers sixty-day
sterling and 11oh 11o% for sight bills. The ad.
vance in gold has produced few commercial and
bond bills.
GOLD sTRoNG-110T 111H.
The stock cliques who began buying gold last
week at 1J0h q ll0ss, for what was supposed to be
simply brief speculation, have started quite
speculative sentiment among outsiders, who begin
to regard everything in the Stock and Gold Ex-
changes as sure to rise with the present bullish
temper Of the street. Hence the advance In gold
has not, as 1t has usually for year
or two past afforded q pretext for lower
stocks. Gold is simply regarded in the light
OF non-dividend paying security like
many Of those actively dealt in every day at the
Stock Excnange), which, having had q decline to
no. the lowest price since the rebellion is likely to
undergo reaction, particularly at this season,
| when specie shipments are usually large. At the
time there Is not that hearty convection that
the speculation is o promising one, for The reason
that the inevitable tendency OF the country Is to.
ward specie payments, while higher gold means
heavy shipments OF wheat and cotton. In fact.
our wheat, cotton, petroleum and produce
! generally are simply gold in another form,
| ana will 60 TO Europe If they are cheaper to
| send than the coin ITSELF Every fractional
advance in the price OF the commodity article Of
merchandise known as gold makes 1t less desirable
to ship than the produce and products referred to.
| Hence, while the present speculation may make
some headway under the direct impetus OF the move.
| ment in the Gold Room, particularly as there Is
considerable outstanding short interest in the mar
Ket always ready to take fright at rising premium,
| 1t lacks the basis of s0lidity and permanence,
| and Will hardly enlist that general partici-
patton Of the public which is witnessed
| in the Stock Exchange. The further progress
| Of the movement to-day was assisted by the con-
| tinued anticipation OF a large specie export this
week. despite the fact that such anticlpations are
seldom fully realized. Thus to-day the shipment
was only $126,OO0, although the amount reported
yesterday to have been engaged was 100000. To-
night 1t seems to be settled upon that tomorrow's
steamers will take out ST. 800 0O0 1t will not be sur
| prising II the figures are again exaggerated. The
opening price OF gold was Ill, from which. after
temporary reaction to 1105s, there was an advance
| to Ill u, with closing reaction to 1l1A.
GOVERNMENTS HIGHER AND FIRM.
The government list sympathized very naturally
with the upward turn In gold, particularly as the
| London market was steady, II not strong. There
was also the usual discounting Of the effect OF the
| Treas has
week VIII be $3.000,O00. The subscriptions to the
new loan to-day were unim pOrtant, and hence were
not telegraphed, as usual, from Washington.
STOCKS ACTIVE AND STRONG. BUT FEvERIsH.
The stock market, which threatened to be mono
tonousy strong and active, as has been its wont
for long a time, was varied by the feature OF a
1everish feeling which sprang from general COM
mentares on IT'S high prices and possibly inflated
condition. 1t is, however, sign OF strength when
such observations become SO widespread; for the
average man who makes them will place himself
short OF the market, ana thus innocently contribute
an element to its support which 1t would otherwise
lack. In fact, the present remarkable speculation
has been admirably managed by the cliques; for
they have seldom let day go by in which they did
| not by some diversion keep the smaller holders OF
| stocks uneasy and the ''bears" in good humor In
this way they have bought the stock OF the former
| whenever a temporary reaction frightened them and
induced the latter to Obstnatey persevere in stay
ing short. 1t is, OF course, dangerous game which
the 'bulls" are PLAYING; for panic orten comes,
like "thief In the night" without sign or warning,
but they hold their bonds now at enormous profits,
and with o reasonably fair prospect Of an undis.
turbed and easy money market for the rest OF the
summer they can afford to walt the gradual solldif-
cation Of prices. Speculation condemned as 1t may
be- Is mania which regularly visits the community,
as do the numerous epdenics Of disease. There are
} recurring speculative years there are recur-
ring bountiful years for the various crops
and fruits. They come no one can tell why,
but they give their sgns arrive endure and
pass away. The HERALD predicted the crash Of 1887
the great crisis OF 1851, the Crimean war; the rebel
lion Of the Southern States and the recent Fra nco
German Last winter the HERALD predicted
the present extraordinary speculation the Stock
Exchange. 1t would be hazardmg q great deal
however, to say how long or how short time
. IL will last. The chances even at the present
time are rather IN favor Of o continued buoyancy
than against it, The fevered tone noticeable
. to-day may be either the beginning of the
end, 1t may be, as already explained
a support and help to the market. Looking at the
list we flnd despite this perplexity Of the specu-
lative sentiment the highest prices OF the for
Pittsburg, New York Central stock and scrip
Reading, Northwest, common and preferred; st
Paul. common ana preferred; OHIO and Mississippi,
Rock Island, and Columbus, Chicago and Indians
! Central The spectators for decline
despite the plain logic Of facts from
day to day. are, however, encouraged ant
,, stimulated by the occasional shades Of weakness
which fit over the market like shadows over
bright landscape to believe that the is always
at hand. 1t would not be honest to say that all the
believers higher prices as full Of faith as ever
Y but many Of them are already hedging by tryins
, their fortunes on ventures which shave not hac
their rise." as they say, and hence the dealings arr
beginning to take a more extended range OF tn,
stock list Besides the shares above enumerated Er
! came ont for trial Of Its merits ant
: advanced to 22K, but failed to elci