The New York herald., 1874-07-30
The Moral Effect of the New
Loan Negotiation.
AN ACTIVE STOCK MARKET.
How They Deal with Erie Ro-
mancists in London.
q O L d, 100 3-S.
WALL STREET.

WALL STREET.
WEDNESDAY, July 29--6 p. N.
1t will be noticeable fact hereafter that
the business OF the country took new de-
parture this morning. The fact that nego-
tiations had been finally closed with the leading
banking establishments OF Europe for the substi-
tuition Of the balance OF the nve per cents author
tied by law for outstanding six per cents, for so
was this recent success OF the Secretary In gene
raj terms regarded, seemed to give new life and
vigor to business enterprise. Nothing since the
panic has had
THE REcuPERArIvE MORAL EFFECT
OF this result. The public did not seem to take
much interest in the details OF the negotiation,
whether favoritism was or was not shown, in de-
terminlng this close They did not even pay much
heed to the substantial fact that certain effect
reduction OF $3.50, 900 on our annual interest
account with prospective reduction OF 81, 100 600
They looked simply at this phase Of the transac.
tion-that notwithstand the recent panic
AMERICAN CREDIT
had so far improved abroad as to justify the lead.
ing bankers or. Europe entering into an engage
ment to convert within six months Sl79 O0O 900 OF
SIX per cent United States bonds into I'VE per
cents. That they will succeed there is very little
DOUBT when we regard the extreme ease at which
money rules in all the European money centres;
and that IL will be carried out without any grave
disturbance or the exchanges s equally assured by
the same fact as well as the period OF the year ut
which the business OF conversion is instituted.
The secretary, it IS announced, will issue his call
for sos, ,OOO, 600 outstanding SKIES on saturday,
August l. The moral effect of this negotiation,
Notwithstanding all the criticism it has excited.
which will be forgotten in the result, will exceed
the material effect. IL cannot fail to exert
stimulating influence upon all forms OF American
credit. especially those winch come next to gov
iUh int
viz railway mortgages. And just here We have
LITTLE INCIDENT
touching American railway credit abroad, which
it would be well to see repeated at proper In
.ervals, and which might be pludently repro.
duced here, under the provision OF the act intro
duced into the last Legislature by Senator Jacobs
and which is now a law, making it misdemeanor
10 circulate false news OF a character to affect
values upon the Stock Exchange. 1t appears by
report in the London Times OF the 18th inst that
one N. Y. Marsden was arraigned the day previous,
at the Mansion House, before the Lord Mayor and
Sir Robert Garden, ''on summons which charged
him with having unlawiuliy and maliciousy pub
lished defamatory libel OF and concerning the
Erie Rail way Company and Samuel Latham Mitch
ell Barlow and others, directors or the company"
The alleged libel was contained in letter
written bv the defendant in London to GER
tain parties said to compose a self-con-
stituted Erie protection committeeman the
one previously known by that title, but later
fungus outgrowth. In general terms 1t charged,
ION the authority OF New York correspondent ~
writing under the date Of the 10th Of June. that
the Watson party were preparing $10,0oc 900 con.
vertibe bonds for issue, the purpose OF which was
to convert them into 100.C0o shares, to carry
the election" The writer further added, "Look
out for them in the London market" He then
went on to show how this scheme was to be car
ried out, q la Fisk and Gould, ana detailed with
much particularly the manner in which the new
shares were to be marketed. Alter some evidence
had been taken the Lord Mayor adjourned the case
to the 2stn to-day, holding the defendant in
$1,000 bail himself and one surety OF $780, To-day
the case came up again pursuant to adjournment,
and we learn by cable that 1t was disposed Of by
committing the parties charged with circulating
the libel to the Old Bailey for trial. Now, will
somebody institute proceedings here under the
Jacobs act, and we shall probably get to the end
OF these constantly recurring Erie scandalsf
THE CHARACTER OF THE DEALINGS ON THE STOCK
EXCHANGE
rejected the more hopeful feeling experienced in
business circles generally upon the successful
closing out of the five per cent loan. The stock
market opened firm, with marked revival OF ac-
tivity in the dealings, considering the continued
pressure of high midsummer temperature. In
the early dealings prices advanced Il to * per
cent the features being Lake Shore, Union Pacific,
Western Union, Northwest common. Wabash and
New York Central. The latter advanced beyond
par. A iurther advance was had about the period
OF the second board of q to u per cent, which was
followed by q slight reaction Of. 4 TO
per cent, the market, however, closing finn
at nearly the best prices Of the day.
The total sales to day were 76,l00 shares,
nearly double those OF yesterday. Erie was nrmer
wlrA Afa1r
OF the exposure OF the 'bearn influence that had
been used to damage the stock. The following to.
Bile shows the sales Of each stock, with
HIGHEST ppIcrc