New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1872-04-15
SATURDAY, April l3-P. VI.


The predominant feature of Wall-st, during
the past week. has been the extraordinary money srin
qency VIII oh has cramped borrowers 70 such an extent
that they been compelled TO pay az times as hish
as TO per cent per day the money required In the
prosecution CT their business, though inc more gen
ea rate among the stock brokerage houses has been
of one per cent and legal interest which IL fraction
over 50 per cent per We have heretofore alluded
TO the Influences TO which certain degree of activity in
money may reasonably he traced as also TO the OUTSIDE
arbitrary interference with the legitimate course OF
money by the band OF SPECTATORS, who for their per-
sOna gain. resorted TO measures which, long success
fully con nued would paralyze the bueness interests OF
the country. needless TO over this ground again.
Il is subject for regret that the proceedings commenced
before United States Court should have been so sud
denly discontinued without testing the power OF the law
TO protect the business public agans such cohSpia'
ces as We have witnessed during the PAST
week or two. The specuiatOrs who have devoted
their energies to compass so long continuance OF
of these ch rates have averred from time to time
during the present week that the geenDacks wtdrawn
by them have been returned to general use again. and
While there has been evidence TO sustain the assertion
there were many who led to believe it true, ard In
support Of the theory pointed TO the low reserve Of the
banks and the indisputahie fact that they were SO
! poor az to necessitate considerable shining
| by these institutions to meet then en-
| cagemens. We must still doubt the restoration of
the greenbacks. while admitting the poverty OF our city
be powerless in the hands OF any combi
nation of spectators, when the business community so
much need their aid The fault no doubt 10 some ex-
tent ia with the banks themselves, in much they
| favor stock spectators in preference 10 those
| customers who engaged in legitimate COM
| Inerce Od-fashOned people persist in believing
| that the proper function OF bank is to
discount business paper and to all Its
in fostering wild speculation Another and by no means
| unimPortant cause of the money stringency may DO
traced Mr Boutwes contraction policy in calling in
the SCI 100000 of per cent certificates Here, 1t is
alleged, Is the prime root Of all the subsequent evil
the msiudged action OF Mr. Boutwell, IN so shaping his
| financial couIse to compel the banks during the
last few months TO hcw much more closely to their
| reserve line than sound banking principles would
warrant The peculiar working OF hs system found in
the boarding Of Treasury gold instead Of applying at
least portion If it to the liquidation Of the national
debt either outright BY regular exchange Of gold
for bonds place Of the weekly policy vogue
In censuIng the action Of few spectators, II is well
enough bear IN mind the fact that the Treasury not
entirely free from responsibility for The present financial
| condition.
The gold market one or two occasions during the
WI elk has shown indications that the hand OF the
money manipulation at work. but special develop
ments have appeared upon the surface The market
been very strong within the extremes Of lI0t llOs
Tho has been important commercial inquiry than
during last week but quite likely The export demand
4
by tho intervention OF causes heretofore mentioned
in thf column Another element of strength is found in
the fus Their advance III the discount by the Bank
Of England from 3. TO per cent. against per
fortnight ago. This additional rise clearly reflects
inordinae speculation which has been in Lon
don since Hercules Sck3es first commenced the
mighty task Of cleansing the Erie stables, reekng
with the accumulated tth O. years The action OF the
bank indicates also a desire TO check the speculative
maria, while the large DECREASE OF bullion tas5s,c9
would seem 20 show that the usual receipts from Aus
tras had beer diverted into other channels The
OF local monetary affairs Is likely 10 be modified 10
extent by the placing of the Peruvian loan upon the
London market, which will be likely 10 check. to
greater or less gree, the influx Of foreign capital The
osition OF the market for United States securities is
much the same as Last week the prices having been
strong and business unusually dan, willie Southern
bonds may lie dismissed withoua word, investors and
the public being heartily sick OF the expensive pastime
Of operating in such douktful securities.
Speculation ia stocks has been much ess active than
az any time for many weeks end although the course of
prices has been MARRIED by general weakness abont all
over the list yet the decline has ay been Insignificant
Whom te Means brought " bear are taken into the