The New York herald., 1872-10-23
4 Reaction and Decline In the
Stock Market.
A "SQUEEZE" In "CASH" GOLD.
Several Millions Withdrawn
by a Canadian Bank.
The Mischief One Man
May Do.
A SPASM IN MONEY.
A sPAsM IN MONEY.
The Rate on call Rises to l-Ss Per Day and
Falls to ) Per Cent.
GOVERNMENT BONDS FIRM.
The London Market and the Banks Of
England and France.
THE STATE DEBT OF TENNESSEE.

WALL STREET. /
TUESDAY, Oct. 22-6 p NJ.
On 'Change to-day cotton was In good demand
Dut easy, yet not quotably lower for .spot" Flour
remained steady. Wheat was easier, and corn was
armef.
THE EXPORTS OF THE WEEK.
The total exports of domestic merchandise from
this port for the week ending October o., 1872
$5,ae6,s24.
MONEY MORE ACTIVE.
The money market opened at q per cent, but
hardened as the afternoon advanced, and by
quarter past two O'Clock borrowers on stock COLA
terals had paid as high 1882 in addition to per
cent. This extreme was exceptional, however, the
bulk OF the day business having been at per
BY quarter to three O'Clock the rate had receded
70 per cent and at the close of banking hours
money was offered at 8 per cent without takers.
In explanation OF the activity it is said that the
President Of
THE BANK OF MONTREAL,
. famous manipulation OF the gold loan market,
arrived in town last night and commenced opera
tions to-day by Withdrawing and locking up five
millions OF gold. His object is reported to be
the breaking down of the foreign exchanges, with
. view to buying against an expected sudden rise
in rates within few days subsequent to an an
ticipated further advance of the discount rate by
the Bank Of England. Whatever his motive, the
arrangement dvbusiness and Of the money market
should keep him in the kindly remembrance Of
every merchant who has occasion to buy
BILLS OF EXCHANGE.
His bank the Bank of Montreal, is one OF the four
prime drawers of bills on London, and derives an
immense profit annually from the sales OF bills to
the merchants Of this city, every one of whom
should now make memorandum OF to-
days disturbance OF the gold and money
markets. ana act accordingly in future
In thn han ma rkaf A sto
not a firm tone to the foreign exchanges is
nrst requisite to the expectation of the crops of
cotton. wheat and petroleum now coming to our
market. and any gymnastic performance such as
executed by the presiding official of this bank is
ACOsTLY ENTERTAINMENT
for our merchants. The evil Affects all classes OF
business as well as the exporters for the derange
ment OF the money market occasioned by it reaches
every branch OF trade. II the limit OF his capacity
lDr mischief is the amount withdrawn to-day it is
probable the market will survive his interference,
Tor when the needs of Wall street at this juncture
nre taken into consideration the injury done the
money market has been unmportant. Prime
paper was quoted at a IL per cent discount.
Foreign exchange was nomlnally unchanged, but
sales of prime bills we're made at 1868 for sixty day
and 11O15 for sight sterling Late in the afternoon
Exty day bills were reported offered at 1857.
THE LONDON MARKET
vas traction lower Tor the CTS, but better for
consols. The street rate for money there is re.
ported to be a 6k per cent, against per cent at
Bank. A London cable despatch, in explanation
Of the rumored offer OF hundred millions Of francs
nom the Bank Of France to the Bank of England,
says that the statement was published in
financial circular in Paris last week. cable
despatch from Paris confirms the existence OF such
IN ofYer. 1t neutrality-suspicious. are on foot.
Nothing decided"
GOLD 112I A 1131S.
The chief interest OF the gold market was in the
course OF the rate for cash gold, owing to q
1squeeze" by the agents of the Bank of Montreal,
who withdrew an amount variously estimated at
from two to five millions. In the scarcity oc-
casioned by this withdrawal Of gold the rate for
the days use ran up to u per cent. The price OF
gold was firm, but comparatively steady at 112zs
113h. The failure Of "light-wasted" bear oc-
CURED to-day, his liabilities amounting to about
thousand dollars. He made private settlements
and escaped publication at the Board. The new
Ofncers of
THE GOLD EXCHANGE
were inducted into power to-day, the President,
Mr.. Morris, beginning his duties with neat
speech. The course OF the market is shown in the
tablet