The New York herald., 1872-12-23
THE WEEK IN WALL STREET
Artificial Influences at Work in
the Money Market.
The Erie Speculation and Jay
Gould's Strategy.
OPERATIONS IN PACIFIC MAIL.
The Bank Statement of Saturday
and Its Revelations.
OPERATIONS IN PACIFIC MAIL
COMPARISON WITH LAST YEAR.
Government Bonds, Gold and
the Foreign Exchanges.
DIVIDEND ANNOUNCEMENTS
WALL STREET.

SUNDAY, Dec. %, 1872.
The activity OF the Wall street markets the past
week has been checked and repressed by the con-
diti0n OF
THE MONEY MARKET
which has been unusually stringent even for the
season, the rate among the stock brokers having
ranged as high as per cent for single days use
Of money Now that we can look back to the
causes influencing certain branches Of speculation
we can how much OF the scarcity has been arti-
fetal, the great Erie movement having been in
mental preparation for q good while by the re-
morseiul Jay Gould, with, no doubt, an intention
on his part to share literally In the profits to be
derived from advance In the value Of the shares.
Hence, In making heavy
PURCHASES OF ERIE
he was compelled to divert the attention OF the
market with the exceeding stringency in money,
which was 2 twoedgea wsapOn "a g isr asis
served not only to deter new buyers but also to in
duce holders to sell out. Many luckless operator
who sold Erie early in the week, rather than stand
the burden Of the interest account has felt un-
felgned regret at his hasty action. The operations
In Pacific Mail early in the week were also con-
Quoted with o view to securing large amount Of
stock against o rise to follow the defeat in the
Board OF Directors OF
PROJECT TO MORTGAGE Y
the line for the sum Of two millions OF dollars. In
the case Of Erie further depression was caused by
the circulation OF rumor that the dividend on the
preferred stock would not be paid and 1t is quite
probable that Jay Gould and his partners in the
speculation III he had any went In from 50 to "a,
and the street was wondering all day Saturday
whether he had not unloaded at 90 q e13l-the
weakness Of the market on this side as compared
with the London quotation, which closed Saturday
at the equivalentof 62Z, exciting
WIDESPREAD SUSPICION
to that erect. The Pacific Mail movement, which
was "a nyer on the part OF small pool, was quite
successful, the price having been up from Y to
50, their unloading causing "brcakn to TAX, fol-
lowing which came recovery to 79x and an
eventual closure at IS. The quieter features, such
as Lake Shore, New York Central, wabash ana
other leading railways have been higher and
firm In face OF the money stringency, although New
York Central did not keep all OF its improvement,
owing to reported disagreement OF Commodore
Vanderbilt with his son-in-law, the President OF
Lake Shore, who Is represented as favorable TO
more intimate connection OF
LAKE SHORE AND ERIE
the latter In furtherance Of the union, to be pro-
vlded with third rail to give 1t narrow guage
roadway. The tide has risen steadily in pretty
much all the stock list, encouraging such holders
Of stock had nerve enough TO look with philoso-
Island fell on Monday to 100, on the announcement
OF new issue six millions Of capital but, singu-
larly enough, recovered soon alter to HOY. at is
saidr and we give the saying for what 1t Is worth,
that the new stock may not be issued at all.
THE GOLD PREMIUM
has declined to 11', which is three per cent higher
than the lowest point OF last year. The heavy i'm
ports of the past six months are now telling in the
demand for bills on Europe, the corresponding pur-
chases Of gold explaining its relatively higher price
as compared with last Winter. 1t Is not improba-
BILE however that with the heavy stocks Of foreign
merchandise now In the country unsold the next
year will record large decrease in the imports
Foreign exchange has been frmer on the basis Of
1094 109S for prime sixty day sterling and l101<
q 10Y for sight bills. Government bonds were
lower with gold, but the FIVE twentes were enough
above gold to prevent the Treasury from buying for
cancellation.
THE COURSE OF THE GOLD MARKET.
The extreme fluctuations daily in the price Of
Uold during the xyQek were fOlInwa.-