The New York herald., 1873-11-08
FINANCIAL And COMMERCIAL
"A Blue Day in Wall
Street.
Advance in the Rate OF the
Bank of England from
8 to Per Cent.
is THIS A PANIC BEGUN {!
Gold Firmer and Stocks
Irregular.
is THIS A PANIC BEGUN
ONE STE A ID Y
WALL STREET,

WALL STREET,
FRIDAY Nov 7-6 p. M.
BY general consent this written down as
one OF the blue days of the year. 1t not until
after the close OF the market that the announce
ment came across the cable that there were un-
questionable symptoms Of panic in London: but
somehow 1t was instnctively felt all day that
weakness existed on the other side and any mo-
ment might give birth to dangerous facts. No one
could tell why the Bank OF England had suddenly
advanced its rate from eight TO nine per cent !;
why Erie had declined two three per cent and
New York Central followed close on it's heels; why
consols the anchor OF the government, had also
declined and
GENERAL DEPRESSION
was observable in nearly all securities; why
curious decentralization and uncertainty were ex-
nibted among the foreign bankers and every man
seemed TO be at sea in endeayoring to reach judg
ment that could be safely applied to the prevailing
situation. The influence, however, was plainly
evident in an irregular market an enlargement
of the circle of bears a strongly marked depres-
sion and an indisposlton TO regard the most
promising attitudes OF the future from favorable
standpoint. In view OF all the news of the day 1t
Ia scarcely necessary to dwell upon prospects.
Facts must speak for themselves and every man
will measure according to his Judgment the
events upon which he depends for profit.
With reference to the advance in
THE BANK RATE,
1t may be assumed that so important change
would not have been quickly made after the
late rise unless a serious condition OF affairs ex-
listed. What is the nature OF pending emoarrass-
ments can only he inferred, and we do not propose
to augment the doubts attaching the hour by
fndulging in mere suppostions. The present is
the highest rate known since 1896, when the fail
ure OF Oyerend, Gurney Il Co. occurred, and Gnan-
cial disaster swept through England and the Con-
tinent But there is no reason why the rate should
not be even further raised. We are creditor ma
ton. We are supplying produce TO and drawing
gold from the banker OF the world. In spite of
immense Indebtedness we possess a certain de-
gree OF Individuality. We have
OUR OWN CURE
within ourselves, but the disease which spreads
from us, from our imitation and our Overtradlng,
may not unnaturally prove dangerous abroad.
Europe and America are too intimately identified
by the ocean cable and the mercantile interests OF
which 1t is the hourly vehicle 10 permit financial
CONFUSION in either country without Affecting both.
But England possesses this advantage. by her
peculiar banking system she can in little time at
tract millions OF money, and by making
THE WORLD TRIBUTARY
strengthen her resources. If is be necessary-and
the incident Is by no means improbable-she
may as she has done before, absolutely
suspend specie payments, and by thus
cutting the Gordian knot produce by hero ic
treatment a result that can be speedily attained
In no other way. We, on the other hand, have only
a 'scast iron'' currency. 1t is not however,
proud, or pleasant theme for Americans to contem-
plate, that in this year OF our Lord 1878, in the
heyday OF our growth and prosperity, in the midst
of plenty, with census written all over
with wealth and country teeming
with productive resource we are obliged
TO succumb to handful OF spectators who, be-
cause they could manage a few millions OF railroad
stocks, thereby controlled the key to our Golfers
and have made US as nation dependent on their
SUCCESS DOWNFALL.
1t is nevertheless, true. A little fire has created
a connagraton. cloud at hrst no bigger than
mans hand has become whirlwlnd that - sweep
ing through the financial world. The fault rests
largely with our own people. We have not enough
OF faith in ourselves. We have misused our power.
We have yielded to an insane delusion named dis
trust. We have locked up money, to our own dis
advantage, and are cnrsing those who are
simply following our example. We have fought
against contraction OF prices. yet done the very
acts necessary TO produce IL. We have preached
and prayed against imitation, and yet to-day by
cur own involuntary policy absolutely lend pur-
chasing power to our 500. .ooo, 900 OF greenbacks
that is equivalent to S1ooo,ooooOo In this opera
ton thousands OF millions oil credit have also been
impaired general welfare has been injured, and
we are not as people represented bJ- the same
figures in dollars and cents wnicn ninety days ago
told the story of a better prosperity.
THE MONEY MARKET.
After loanng at 1-32 a 6 per cent, money closed
at per cent Foreign exchanges were hrmer.
but marked by irregular rates, which seemed to
indicate sympathy with the situation in London.
The rates were advanced to l05A Tor 60 days ana
losA Tor sight, but were differently quoted by df
han "a "A
IO9s. Commercial bills ranged from 1903 to los.
The associated banks now have on hand about
$23 900 coo in greenbacks, showing gain OF nearly
sl,ooo.0O0 a day for the past SIX days. They like
wise hold according the best estimate S15 600 600
OF specie or total reserve OF 3S000,o00, which Is
s5Oo0oo more than % per cent reserve on their
deposits OF $15o,o0o 900.
IMPORTS.
The imports OF dry goods for the week ending
to-day were ST. l,O09, 224 ana the amount marketed
$69l,542. The import, for the corresponding period
OF last year were 5s4 SIG ana s2os,s35 in 1871.
THE GOLD MARKET.
The following have been the principal quotations
in the Gold Room to-day
10A. .M.,..........u106a 12A5...............l0Ih 12A ~
.lOb1s
lUbpa
IL l00la l:i5. lVl a
1lI5. ..106S 2...............,...lOI
~ 'tu .IObA 2:l5............lOt lOt a