The New York herald., 1873-10-07
The Action Of the Secretary Of the Treas
ury-Win There Be Further
s Expenditure from the
$4,000, 900 Reserves
TILE MONEY MARKET IMPROVING.
Healthy Symptoms in All the Departments Of
Cammerce and Trade.
WALL STREET,

MONDAY, OcJ 0-o r. M
Some OF the stocks OF Wall street enervesced as
lively to-day as freshly opened bottle OF cham
pagne, and demonstrated in their subsequent de-
cline and reaction the fact so often reiterated in
this column, that the market is yet unsettled,
reliable and full OF only artificial strength. For
more than two years past the legitimate commits
sion houses have one and oil prayed for condition
that would invite the outside buyer and promote
an activity not confined to dealings among them
selves At last 1t occurred. Prices receded to o
reasonable minimum; yet, almost before the news
could travel and orders arrive, few operators,
driven possibly by their own necessities, jumped
into the breach, and instead OF an easy, natural
advance, calculated to inspire confidence,
the market has been made to act like an India
rubber ball. Instead OF q strong undertone indi-
cative OF intrinsic value there has been series OF
speculative vibrations, giving no promise OF
brighter future and absolutely frightening away
scores who thought to avail themselves OF an
opportunity to make money by the rise. All this Is
unhealthy. 1t means that the market has no
'staying power" is mere game OF heads and
tails with toss up who shall lose and unless more
capital follows close on the heels OF thai which IS
now being absorbed. 1t Is not unnatural to surmise
tnat the street win again witness only the unsats
factory Interchange OF mere local business between
brokers themselves.
THE UNITED STATES TREASURY.
The possibility that Secretary Richardson may
still further trench his reserve or $A, 900
now amounting to Sal, 400, 0OO-is viewed with
lively interest by all who are interested In the
additional ease which may thereby be communi-
Gated to the money market. the law fixing the
minimum OF legal tenders at 1856, 1000 was
passed on the 4th OF February, 1858, without how
ever. receiving the approval of the President. 1t
provides that "From and after the passage OF this
sct the authority OF the Secretary of the Treasury
to make any reduction in currency, by retiring or
cancelling United States notes, shall be and is
hereby suspended but nothing herein contained
shall prevent the cancellation OF mutiated United
States notes and replacing the same with notes Of
the same character and amount" The Sec
retary, however, has used his discretion
at various times in issuing portion OF the
t44, 600 00O He did so in September, 1857, when 1t
was necessary to suddenly redeem s1,5Oo,0 900 OF
three per cent certificates. The amount, however,
was replaced In two weeks He did SO again after
the Chicago IRE Of 1871 to the same amount, which
was likewise speedily restored to the Treasury.
He did so third time in April OF the present year,
when the extra Issue amounted to something more
than $4,000, 900; but 1t was also quickly retired.
In time OF "pressing necessity" therefore, the
Secretary OF the Treasury has established precedent
for his recent action, and when money becomes
easy again-which, by the way, is predicted as
likely to occur within thirty days-the original
minimum OF legal tenders will be again estab-
hsned. Hence there is no fear from this quarter.
We shall not have imprudent imitation.
THE BALANCES.
In the United States Treasury at the close or bust.
ness to-day were :-Currency, $3,o4e,s57; special
deposits Of legal tenders for the redemption OF cer
tincates Of deposit, $1l,sOo,oOo; coin, $751;
Including $as in coin certificates; outstand
ing legal tenders, $685. oSs. The Assistant Treas
urer paid out to-day $40 900 account OF interest
and $4,000 IN redemption Of fve-twenty bonds.
The receipts from internal revenue to-day were
tS79,515, from customs receipts at this port.
THE MONEY MARKET,
after showing It's hardness ut I-1e q 4 on call In
the early part OF the day, settled down to Z per
cent. II there are any who imagine that these are
extraordinary rates unusual to the stage OF
the year, let them turn to past records. Before
sho panic and at various seasons we have had
equally stiff prices, and when the use OF money Is
measured, especially just now, precedent teaches
that 1t does not assume to itself unnatural
value. 1t is obey1ng the natural laws Of trade. It
is acquiescing In condition that returns and dis
appears annually. 1t Is moving In thoroughly le-
ultimate channels and on basis which thoroughly
accords to the peculiar season Of the year. The
only misfortune is that there is just now
not quito enough OF It; yet everything
supply, and before thirty days have passed we shall
In oil probability, ind currency drug. Hoarders
viii do well to note this fact The panic, socaiied,
Is "among the things that were," and no man can
benceforth AFFORD to keep active capital in O safe.
Currency s like water. II must find level. The
public tide s on that level now, and that man
is coward and q social drone who refuses to
recognize the monetary influences working both
for his advantage an individual and for the pub.
lie. Commercial paper Is quoted at Is a IS a 81 "a
per cent according to name and maturity OF bills.
FOREIGN EXCHANGE ...
was 1rmer, prime bankers having advanced their
rates to 1o7k 1os for sixty days. with actual bus
ness at 1o7H 1o7,I and 1Os1 1885 for sight.
There are no symptoms Of foreign disturbance to
be reported, and in this department the producer,
merchant and exporter may well take courage. We
no longer have crisis.
THE FoRBtGN MARKET
presents no features for unusual comment. The
market has been strong for American securities.
The amount OF bullion withdrawn from the Bank
oi England to-day on balance was COO, 600. There
mas been no further change IN the bank rate. The
rate OF discount In the open market for three
montns pils lilo per cent or 5-I6 per cent be-
low the Bank or England rate. the following are
the late quotations :-Consols for money. o2K for
the account. s2% o2x; United states nve-
twenty bonds, 1868, old, o55S; lse7,s, %: new
1ves, o2; Erie, 42k 42h. Paris dispatches
quote rentes at 58f 55c In Frankfort United
States nve-twenty bonds are OK for the issue OF
1892 In Amsterdam the following are ouoted:-
Central Pacific nrst mortgage, s2 Union Pacific
0rst mortgage. e5x; st. Paul preferred, 64s<:
Northwest preferred, 65 Union Pacific stock. 19,.:
Illinois Central, olh; Erie shares, 10. American
securities strong.
RAILROAD BONDS.
No.