, 1873-10-16
MONEY AND COM MERGE.
MONETARY.

but though satisfied TINT tho Northwest cannot
bo seriously complicated with tho fato OF tho
stock gamblers. they were unoasy lost q
sudden tumble Of tho nominal yaluo
Of railway shares down to tho
'h hard ran" Of their notunl coat might produce
something Of reaction towards tho condition Of
things ruling few dnys ago. As tho morning
wore On, dispatches began to arrive showing q
bostor feeling and better prices on tho Stock
Board, ind everybody breathod more freely. The
roal buainess transactions of tho day woro not
affected by tho furry Of yostorday III New York
IN tho loast. Bankers took shippore bia as
usual but Of course they nro careful rs to mar
gins. Customers did not press for money bo-
yond the uBua1 wants Of businoBs.
Tho noto brokorH aro doing very little, and the
rates are nominal from ~ por cont per month
to any figure TINT borrowers nro forced to pay.
Tho fact is, outside tho banks, and with them to
regular aud bost customoSs only, there Is little
if any money to bo had.
Collections, however; aro much better than
might bo expected. Our merchants, although In
soma departments Of businosa thoY complain.
gonorally nre doing reasonably we'll. Hence notes
at tho banl.s nro protty generally promptly paid.
DoBt customers : aro accommodated at tho
banks, when discounts arc required at tho usual
rates, viz: 10 por cont. They buy exchange at
1l@1-10 off, aud aoll to customers as heretofore
at par. Tho supply seems to DO very nearly
oaual to the demand.
THE CAUSE AND THE EXTENT OF TUE on1s1s
Now that tho public mind has nearly re-
covered from tho stunning effects of Tho
crash, 1t Ia in order to inquire onco moro
what were the oauBes that produced it,
and to make as careful an estimate as wo can
how widespread and disastrous, its effects arc
kind, Il came suddenly, md when few, II any,
even tho coolest and the wlsoBt In such mat
ters, expected 1t. True, those who lad beon
watching tho course Of jay Cooke i Co. know
that soonor Or later they must fail but no one,
to our knowledge, supposed that 80 fearful d
panic would result from It,. Hence tho shock
which that failuro gave to the whole country,
and the fearful loss and tho disaster that fol.
lowed.
In seeking for tho canses of the panic, no TO-
peat tho fact that 1t is due to our ino1pansible
currency Of, say 300, 900, 900 or S800,000000.
OF the necessity Of ita having. this oast-iron
limit in order to make it perfectly safo at least
cure it, or tho means by which it eau be mado
Bafeiy expansive, We haro nothing to Say In this
article. With tho faot as 1t is ia all wo have to
do. The past business Of the country has boon
tors Of MI claaseB bad boen systematically
expanding credits till nominal values in
stooks aud bonds, and everything else, had run
up worry far beyond tho limit, ussigned to our
groenbaok and National Bank Issues. Mon and
banks and bankers, Of whom jay Cooke and
Horny Clews arc tho representative typos,
seemed bont on getting just rs far out OF sca rs
they possibly could, They projected immonso
panded credits in other directions almost without
limit It was certain as any natural lazy that
in tho first rage Of tho impending storm such
mon must sink like lead in the mighty. wators.'
Moro thnn tlat. Those who wero within tho
Uhr1 rf t1a rnaeIatr0n1 tbnv nfnr}od no x1nu
went down must sink with them. But tho
storm and tho maelBtrom havo their bounds,
and on the vast ocean beyond them the COM
morce OF the world sails on III safety. The
wrecks, however many and appalling they
may bo, have only worry small ratio to tile hsips
that bear onward grandly the commerce Of the
world.
that we havo an inoxpansible currency, and that
credits had become expanded so fur beyond its
limits that royulston waa inevitable. Now, as
TO tho e1tent Of its Objects: Il follows, .as our
currency il goQdl,-thatt, is' It can mahe the
that az soon as the credits Of the nation arc
brought within tho limita that our currency will
bonr bus;noBH must resume it's wontod channels
and 60 on as usual. Credits will come down to
that basis by tho liquidation Of the debts OF the
speculators and tho elrinkage Of the nominal
values OF stocks and other commodities to such
figures as our currency will carry. It is pluin
that to have expanded the currenc! to carry tue
values Of the nation for their benefit. While no
definite time can DO given as to when the effects
Of the crash are likely to fade out OF eight,
the cannot last much beyond the time
uals havo completed tho adjustment OF their
ataire. The country will then change of their
losses, and go ahead On solid basis, as before.
As to how long the effects Of the panic may
depends upon whether the creditors OF tho banks
and the spectators who have failed can stand
the loss and get continue business. It iB sad to
reflect that many excellent people hayo Invested
AZ Their means nnn IL 1ay co9o snd Gthsr
surplus is gone forever. Most Of them will DO
poor as they were five Or ton years ago, but
they will plod along as in ycars gone
by, and bear their losses as best they
lists. whose possessions laye shrunk faarfully in
value, mny be forced In some measure to do tho
Same. But it Ia plain TINT tho genera! business
of the country, though perchaneo III Bomo Of its
channels With less speed and force, Inuat 90 OIL
aa it always has after commercial revnlEion.
The country has just AZ much currency ns It had
before tho crash. Gold 10 still coming from
Europe By tho millions to puy for o,ir food
products. Aa soon, therefore, as tho weak arma
and the spectators have stepped aside, solid
men will wonder TINT they have boon 30 fright
Tho furry in Wall street yesterday may, and
tho stock gamblers. For tho present. Vander-
bilt and his piratical crow have boon able to
brenst and turn back tho downward tendency OF
tho market. They have at command the ro-
ceipts of four great railways, the Harlem. the
Hudson River, New York Contra1 and Lake
Shore. They have but to stop payments on
these roads for month, or oven a few days. and
it places millions at their control. It is, noyor-
tholess, the opinion Of some Of our most
far-aeeing busincHs mon that, should tho
receipts OF these roads full on materially, "a
they possibly may do, Vanderbilt and l.is villain
ous set may go under III spite Of the vast ro-
sources at their control, Tho Northwest could
afford almost any priyatlon that would break the
grasp Of those land piratea upon their COM
uerce.
LOCAL BToCk RATES,
The bankjug-houso OF Preston, Kean d Co.
Nate Lunt, Preston d KeaD report local prices
for stocks ng follows:
. Duyi,,g. Selling.
U. 8. Gs Of al. ......... .........ll3 113K@1f4A
u y. 6-xpa OF ". 0a...t,-.....ss.+.,,.4u4H LUZ
u. s. b-2oa Of 'G5 5...........,......l06X 107
u 8. b-20s ot 05 January anl July .109M 1l0