The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1873-08-11
Probable Resumption Of Specie Payments
by the Bank Of France.
EN- EXHIBIT OF IT'S STRENGTH.
Events Of the Past Week in Money Circles.
The Gold and Stock Markets.
| TIE BANK STATEMENT.
WALL STREET,

few, IL any, are viewed with more favor than those
which represent our FIRST class American railroads.
British capital of late years has been egregiously
deceived In its dealings with OF more of
dubious bonds, all OF which have competed with
cur own. The loans Of Spain, Egypt and Turkey;
of Bolivia, Peru, Paraguay, Costa RIGA, Honduras
and st. Domingo, amounting in the aggregate to
nearly $780, 900 0O0 have within the last year SUI
fered decline of $3.50, 900, 600 in the English
ket alone. 1t is but natural, under these circum-
stances, that the disguised investor should turn
his thoughts in the direction OF the interest-pay-
ing, sound and valuable
RAILWAY BONDS OF THE UNITED STATES,
and he is doing so. The most prudent fnancier Is
not content to lodge his money in even the
strongest of banks, when opportunities to obtain
larger rate OF interest for the same are offered in
the securities of a great government like our own.
Hence we are not surprised at the statement by
well known financial authority in London that,
while there is pervadng dulness in the general
field Of foreign stocks those of the United States
quite in exceptional favor. Reference is
doubtless here made to the 6ve-twenty bonds, OF
which there IS a scarcity quoted in the London
Market but the step is short and easy one to the
variety OF first rate American railroad securities,
in every way as safe and valuable as those Of the
government. In the condition OF affairs from
which
ENGLAND Is JUST NOW SUFFERING
that Is to say, loss Of trade, decline Of exports,
q falling OF in manufactures and the misf0rtunes
that have attended speculation in fancy Stocks
such we have quoted-c0n1dence is plant
slow growth; but once that the tide turns and the
intrinsic worth OF our railroad bonds are under
stood, we may look to an increase of permanent
investment in them that will be measured by
hundreds Of millions of dollars The seed has been
sown the plant is above ground and fruition will
come in Its own good time.
THE FOREIGN SITUATION
should not be without interest to thoughtful
Americans; for whatever our internal resources
our local successes and improvements-they are
more less likely to be affected by the great
financial changes now in process abroad We can
not for instance, safely ignore the influence Of
the possible resumption of specie payments
by the Bank of France before the end
OF the present year. France has been
gradually preparing for the step by decreasing her
imports and increasing her exports, and the excess
in favor OF the latter for only six months OF the
fiscal year is reported at 225 0000U0 of francs. The
present circulation Of the Bank of France Is
1903 00O 900 francs or about $5Sl 000 Since the
surrender of Napoleon the I'd OF September,
$780, there has been increase Of $780, 600 600. At
that time the gold in the bank amounted to
$685. 900 francs. On the LIST of May, 1879 1t was
s11 00o,OO0 francs. On the 23d of July, owing to
large payments made on government account, it
reduced to 900 francs. Last week 1t lost
81, OOOo 900 franks additional, that the present
total in specie is about ZOO 0O0 coo francs,
SI4O, LOCO. 1t is
SINGULAR COMMENTARY
on our own system Of finance that the premium
Oh gold in France to-day is only q a u per cent !
Practically there has been noticeable deprecia-
ton in the paper money Of that country. 1t is
scarcely necessary to argue In the face OF such
facts that the strength there and the weakness
here are due to the presence on the one hand and
the absence on the other Of sufficient specie
reserve to maintain public confidence. In Eng
land the is now upward OF $50, 000, 900 or
considerably above what has been aptly designated
as 'the apprehension point" In the United States
we only reiterate very general belief, based on
the figures Of the government ITSELF that after the
payment OF its accrued interest, the Treasury Of
the United States does not now contain gold
enough to pay its certificates OF coin depostsl
THE EVENTS OF THE PAST WEEK
in the various money circles have been unattended
by any special interest AS heretofore, the volume
of currency seeking investment has been In excess
OF the demand. A considerable amount has been
sent from the country for this purpose Money on
call has ruled at 4per cent with exceptional bust
ness as low as "a and as high as per cent. Time
loans for thirty days are quoted at q per cent;
for sixty days, q per cent; for ninety days. a
per cent, and Tor the year, from per cent gold 10
o per cent currency. Time loans in gold are 1rmer
for short dates. The quotations are as follows:-
116 for for thirty days, u for sixty days, e
per cent for ninety days, per cent for SIX months
Ia per cent for the year and q per cent for
eight months Foreign exchange was dull and I'M
changed
THE GOLD MARKET
during the week was quiet and undemonstrative,
prices ductuatlng between l15h 1l5A, with the
bulk OF business at the intermediate value.
THE STOCK MARKET.
With one or two exceptions the course OF the
stock market has not been more uneven than
might have been expected at this season OF the
year. The absence of leading operators, the pre-
valng heat and an ndisposition to indulge in
speculation until it was definitely known what ac-
ton would be taken In certain stocks exerted
depressing effect early in the week, but on Satur-
day there was general advance and restoration
of q confident feeling that the ensuing week will
witness brighter condition of the market. sew
era Of the low priced shares manifested decided
symptoms OF an upward tendency. or these 1t
may be mentioned that Atlantic and Pacific
preferred bids fair to come into the mar
ket actively, union OF interests having been
established between Philadelphia and St. Louis by
the election yesterday OF Thomas A. Scott as Presi-
dent Andrew Pierce as vice President and General
Manager and General Clinton b. Fisk OF st. Louis,
as Treasurer. Co. G. and ]. c., doubtless, owed its
advance to the handsome exhibit OF its earnings
for the first four months OF the year, amounting to
1924 and to the announcement that arrange
ments have been made and are in operation for
large coal business, between Columbus and Chi
cago with the Columbus and Hooking Valley Rail.
road Company, which will, 1t is estimated increase
the earnings on this road for the next twelve
months not less than one million dollars. Large
additions to the rolling stock are TO be made to
meet the business pressing upon 1t by the new
roads, now finishing aud connecting at Its western
terminus, which, 1t Is believed. VIII further W.