New-York tribune., 1873-02-04
MONDAY. Feb, @P, NJ,

MONDAY, Feb. Bpm.
The event which is probably to have more infu-
ence upon the business interests of our country than
all other events of the time combined is the arrange
ment made by the Secretary of the Treasury with
several Of the most eminent banking houses of
Europe and America for the sale of 100000 u. g.
FIVE per cent bonds redeemabe after the lat of May
1884, principal and interest payable in gold coin of
the present standard. The eminent position
Of the foreign members of the Syndicate with
Messrs Rothschlld at their head and of the
American firms, comprising such houses as
Morton Bliss g. Co. and Jay Cooke d Co.,
renders the speedy taking up of the loan certainty
Foreign investors will be eager purchasers for a
variety Of reasons, among which may be stated:
First, the fact that the security will be properly
regarded one of the safest in the world ours being
the only great nation that has paid off any consider
able proportion Of its debt within the last five years
at least and the only that is believed to be able
to pay it all within 2j years without embarrassment
OF serious inconvenience to it's Taxpayers Second,
the rate of interest is nearly double that received
for large part of ali the securely invested capital
in Europe Third, and not least because the Messrs
Rothschild have never failed to negotiate any
security, to the introduction of which they were
willing to lend the name of their great house.
In our own country the loan will be popular be-
cause is free from taxation, and five per cent net
interest is higher rate than is yielded by any
other national or stock loan now offered in our
market the taxes On other securities amounting In
some of our cities to over per cent 1t is true that
the money of our countrymen is in paper, and that
the gold pay for the bonds must be bought at
premium; but inasmuch as the gold received for
interest will command premium Also there Is no
material loss on that score. Should the premium
upon gold advance after the bonds arc bought and
paid for the effect will be simply to increase the
currency value of the gold interest. On the
other hand, should gold decline before the
investments are paid by the subscribers their bonds
will cost them so much the less in currency. In any
event it is believed the bonds will command pre-
mum as soon as the issue shall be absorbed, the in
terest being at least per cent higher than any
frst-class Government ought 10 pay, which may be
presumed to be the reason why our Government does
not issue long five percent bond instead Of compar
atively short one. The general impression among
financial men and investors Of intelligence Is that so
many bonds will be applied form excess of the num-
Der offered that they will have to be distributed pro
rata among the subscribers, and to this impression
is attributed the buoyancy to-day of almost every
stock dealt in at the board and the good
feeling throughout all branches Of business. 1t will
stand importers in hand to make few contracts for
goods to be paid for within six months OF until our
gold market shall have felt the full effect OF what
may with propriety be called the changed situation
This will reduce the stocks of foreign goods in our
warehouses to the lowest point consistent with
continuance of business by our merchants and pre-
pare them for the purchase of new supplies, it is
hoped and believed, at lower prices than those paid
during the past year. The American branch of the
Syndicate is in constant receipt Of letters from all
narfa aoff = fha trvp euhcCrQtiOn9
fers TO subscribe while from London are
that applications are rapidly coming in, and that
provisionary scrip commands premium OF per
cent although the books do not open until to-mor-
row.
At the Stock Exchange to-day the bulls bear off
the laures. The various shares started of steadily
but became strong, and under the leadership OF
Erie and Western Union, prices made ON upward
move of half to one and half points, the advance
being participated in by the whole list. While the
market was thus moving along swimmingly, the rise
in Western Union, which hadreached SO, was arrested
by sales of about 10000 shares which were reported
belonging to the Company. This rather staggered
the buyers at the time and broke down the prlce to
87 impair ting weakness to the rest of the market,
and until after o'clock prices ruled considerably
lower At the second heat however, after some con-
sutation among the hackers of the various favortes
the jockey of Telegraph instructed to force the
pace, which be did by sending the price along until
it reached the point of co. Eric following closely at
co., deriving considerable assistance from the sharp
run up in London. The Nsrth- Western stocks shook
off their apathy, the Common rising to sat, the Pre-
ferred jumping from 91t to94 Rock Island did not
60 beyond ia. the manipulations of this stock
being seemingly content to make that price the
basis of future operations Lake Shore was dull and
firm at $685.. Pacific Mail was weak at 7207l9 at
the opening but became inspired by the activity in
ts companion shares, and steamed up to 73. Union
Pacific ruled steady at 36!036i while c. c. and o.
went up to All. Atlantic and Pacific WAS in demand
to the extent of $500 shares at S63 to 80. Boston,
Hartford and Erie looked strong at 1Os at haIfpast
TO- and weak at o! at half-past 3 but closed at o.
new move to higher figures is said
to be on the tapis Delaware, Lacka-
wanna and Western, the stock to-day selling
at l03, New-Jersey Central rising to 1861. Panama
sold at l2S and 1875 Chicago Burlington and Quincy
1l9!; Harlem, 100! Chicago and Alton, 1153; Morris
and Essex 9! and Ohio and Mississippi Preferred,
IS. We note sales of Quicksilver at s5i, and Pre-
ferred at S. Consolidation Coal was strong at 49,
American fetching SO, and Maryland 2Ss. Expresses
were Quiet on sales of Adams at 99a, American 69l.
and United States IS. The general stock market
closed strong, with decidedly bullish tendency.
In summing up the business of the day, We may add
that the total number of shares sold amounted TO
S2 COO the largest business of any day this year. or
these. 1o2 200 were in Western Union Telegraph.
$1,000 in Erie and 90 100 in New-Yor Central 5000
being done in b., ii. and Erie. The opening, high
est lowest and closing prices Of stock as fol-
lows:
iehs IoweE Closi0G