Knoxville weekly chronicle. [volume] (Knoxville, Tenn.) 1870-1875, 1873-10-22
FINANCIAL NOTES FROM THE EAST.

The failure of several brokers in New
York on Tuesday was the result of the
failure of GrinnelI & Co., and of bank
ruptcy proceedings against them by which
large amounts of stocks were precipitated
upon the "street." The result of this
temporary furry twas to send leading
stocks tumbling in the following style
Western Telegraph fell to As, Lake Shore
to 50l, and New York Central to S2I
and the lighter stocks of the West
in something like the same proportion
The losses to the dealers in stocks were ex-
ceedingly heavy, some report it heavier
than any day since the panic. The effect
of the furry on Wednesday morning was
very depressing, the Times expressing
this opinion of the situation Tuesday
night: ''There is no denying the fact that
great depression exists in business circles,
and that securities which are usually me-
gotiable on favorable terms can now only
be disposed of at a great sacrifice, and in
some cases are practically of almost as lit
tie account as waste paper"
But on Wednesday the "street" bright
ened up and on that evening the Post said
"a member of the Governing Committee
of the Stock Exchange said this afternoon
that he thought all danger of further finan-
cial disturbance was now over, and that
the banks had never been in so good con-
dition since the panic as the present"
The decision of Judge Blatchford in the
Grinnell bankruptcy case, which precipi-
tated the stock furry referred to above,
and which has drawn forth severe criti-
clsms from the press, was in allowing a
broker firm to sell stocks held as collater-
ais for debts due from Grinnell &c Co.
This sale precipitated tho stocks upon the
market and they were sold out under the
rule at sacrifice. Millions of dol
lars of stocks are held as collaterals
and the possibility of their being thrown
upon the market by mportunate creditors,
has depressing effect. ...
Of the general commercial situation, the
Journal Of Commerce says:
The supply of money appears to be
gradually increasing among the mercan-
tile classes by collections from the interior,
and the local banks are said to be steadily
improving their financial condition.
There is little increase Of business in
most commercial departments, and
there seems to be growing hopeful
ness among parties engaged in a legitimate
trade. Speculative borrowers find difficult
ty in obtaining the required accommodate
tons, even at high rates of interest. Call
loans are made in moderate amounts upon
prime securities at per cent. in currency
to the legal figure in gold on miscellane-
Gus collaterals an additional commission is
in most cases required. Strictly first-class
business paper is negotiated little more
| freely by dealers at 12alS per cent. per an
mum discount"
The export of produce still continues
heavy, and the flow of gold from Europe
keeps up in the same proportion. The ex-
ports for the week ending on the 18th
were S7,O25,77 being an increase of oyer
million as against the corresponding
week of 1872. The aggregate exports from
New York thus far in 1873 have been to
703, l56 for same time in 1872, $50, 0SS, It's
same time in 1871, and $l4i, 755 POI the cor
responding period in 1870. These figures
are very encouraging, and relief ought to
follow soon.