, 1873-10-03
MONEY AND co M N1ERCE,
MONETARY.

MONETARY.
THURSDAY EVENING, Oct. 2,
Tho general condition OF monetary tnnttorB Inns
undergone no inarlled ohanYo In tho Inst twonty-
for hours, but the improved tone Of tile marlkot
OF ycslorlay hna boon strengthened by tho non
occurrence of any misfortune, and by tho really
Increased volume Of transactions. Tho banks
fcot warranted now III receiving chocks Of good
city banks OH deposit, and aro cntering thoin up
to tho crodit OF tho dopos!tors Mt once-a COLI
youicnco highly appreciated by The latter.
Tho wisdom md tho foresight Of our bankers
who 10 successfully resisted the Issue Of tho
clearinghouse certificates aud certified cleolts
ms m additional currency, IL vinalcatod by tho
dilemmn In which tho Now York banltB. md
monsurabiy tho banks in all other
places whero tho Same dovico has
boon adopted, now find themselves, with
doprociatod currency constantly forced
upon thom to tho exclusion Of NIL othor. To-
day thoao certificates Boll In New York as low
ns 07>1 in currency. They havo sorvol, how
ever, to enable tlo Western bauks to recover
rory large share Of thoir balances, which at frat
wore locked up In tho banks Of tllat city. Wost-
ern bnnls taking thoso checks for their balances
have converted thom into currency Mt from to
2l1 discount, mud layo brought tho money
homo. So long MS clearinghouse checks will
pay debts in New York tho currency IL Bct FREQ.
and finds its way to tho West to buy broudstuffs,
which caunoe he bought with tho checks.
THESE LOAN CERTIFICATES
Interfere somowhat with tho resumption Of
deullngs in exchange. Exchange in Now York
payable thore in certificates las no tlxod value
it is necessarily t1uctuating, md transactions In
1t n,ust DO more or less speculative. It Is not
sought by tho banks, md is only talon from
customers for collection. Whatever is douo In
It, is dono on the street, with raro exceptions.
The rates change from hour to hour, and tho
rate Of discount to-dny In soino cases was aB
great MS 8 POT cent. Tho hunks arc furnishing
exchange in limited quantities to cus-
toners, such exchange boing payable
IN currency. Were 1t not for tho New York
embarrassment Of certified checks, m carly
resumption Of regular dealiuga in exchange
might DO anticipated. In tie meantime, The
currency In Now York is kept out Of tho banka,-
1t is not rederosited, ,-and is shipped hithor IN
place of tho bills on banks in that city, aud, being
invested here in broalssutfs, goes ultimately nto
thc handa Of tho farmors
Tho resumption Of
DISCOUNTS
has becn, In ono sense, very limited. A large
portion Of the paper which has fallen duo during
the Inst fortniglthaB boon paid only III part, aud
aome Of it las been wholly laid ovor. Still, the
collections have been considerable, anl much
greater than has becn supposed. This
overdue or partly paid pnper has boon
removed or cxtondcd There havo been
discounts In o few caaea Of ontiroly new
paper, aud at rates not exceeding 10 per cont on
short timo, tho eolatorals being local securities
of established values.
On Sept, II, tho day before the failure Of Jny
Cooke j. Co.,
sold In Chicago for cash ut s1.191l, and corn at
411lc; while wheat for October delivery sold at
Slip, and corn ut 1870. Tic docliuo in both
was immediate. On l1onday of this woez wheat
sold at S1.0l; on Tuesday, under the depression
of tho Union Bank failure, the market was
again fat; It recovered on Wednesday, wheat
selling at s1.osL and corn ut 3715c, whilo to-day
they both advanced, wheat to 91.0i11 and cora
to $50. In tho aftoruoon thoro was q docliuo,
but prices rallied TO nearly those Of the morning.
Tho margin between tho present and tho ante-
pa,iic prices has boon nearly overcome.
Tho improvement Is not confined to merely
grain transactions it iB general, though porhaps
tile recovery is scarcely porceptible in sonic
lines OF business. It is remarkable that, while
tho panic had the effect Of closing operations in
- REAL ESTATE,
it did not destroy confidence" Snlea have
been stopped, and loans on real estate are no
longer obtainable, but there has been no declino
so fur. We have heard Of no one who ia willing
to sacrifice his property from any fear
That its value has boon impaired or destroyed.
No holder Of real estate believes that tho value
of his property laB been losaoned. nor llaa ho
any want of faith that, when the general busi-
ness Of tho country has boon started again on
HI improved and more substantial basis,
There will bo healthy resumption in tho roal
estate trade. Some doulers think that il the
country enters upon au era Of grecnback inaa-
lion, rcal estate will be the boat thing to hold,
and TINT transactions will bo Mt full prices,
Tho question, where il tho currency, unleas
- thoro bo some new and now unexpected disturb
ance, will be answered very shortly. It has
been, to ii largo oxtont, withdrawn from and
kept out Of the banka. So long as there aro
banks which pay out to their depositors on call
tho money the lattor place in the banks, the nat
ural courHe Of the currency would be
TO THE DAIK VAULTS.
Tho longer our banks keep open and con-
ti1ue paying, the stronger thoy will grow, md
tho greater will bo the confidence Of the holders
Of currency now locked up In safoty-yaults. No
u1au wants to hold large amounts Of currency
Idlc, or locked up tho moment lo is assured In
hs own mind tlat he can get it out OF the bauk
when Ae wants it, he will place it thore. III tht
meantime, to make it productive he must put II
into whoat or corn, md This wheat or com hs
must sell the whole volume Of currency, there
fore, in ,lso at all being put into trade, will grad
ually gravitate to tho custody Of tho banks, and
as soon as New York gets out Of tho miro Of hcl