New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1874-06-29
NEW YORK DAILY TRIBUNE MONDAY 49, -wrrg

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or three weeks preceding it. speculative move
ment which set in early in the week for an advance
IN cotton. breadstufs. and provisions, which looked
for aid and comfort from the currency initiation
! expected TO result from the new law, and which
seemed to find justification in the temporary adj
vance IN gold, not sustained and ii is perhaps
yet TOO early to determine what effect if any. the
recent legislation VIII have upon the general trade
and productive interests of the country, and es-
pecially upon the volume of currency. The United
States Treasurer has called upon the National banks
to deposit five per ST. 900 of legal tenders
with which 10 commence the redemption of National
bank notes Most of this will probably be
drawn from the New York City banks during the
coming week. the country banks will have to
draw on their city balances to furnish their quota of
legal tenders. This viii doubtless make some de-
rangement of the financial equilibrium for while.
H. as 1t is generally understood. the redemptions
70 take place in this city the notes of country
banks will be likely 10 be sent home more
rapidly than it Will be convenient for
will be forced to draw down their
balances in New-York, and many Of them may be
compelled to curtail their circulation by the sale or
a portion of their bonds deposited at Washington TO
secure their redemption, which may result in
large contraction within the next twelve months.
II this should prove to be the effect of the working
Of the system the result may not be so bad people
have generally been led to anticipate. While it is
to he hoped that the effect in any event prove
to be beneficial to the business interests of the
try. it is somewhat difficult to why the
further extension of an already redund-
ant irredeemable paper currency, in case
1t result in expansion, should inspire
confidence in values, why it should reasonably be
I'D
ducts of mills and factories in a country already
overstOcked with those manufactures. While many
look hopefully to the immediate future of our in
dustral productive enterprises, on which depends
the prosperity of the traders, Others shake their
heads and refer YOU the factories and FORCES that
have been idle for months to those That's producing
at half their capacity and others still that have more
recently stopped business. Prominent among the
latter class the locomotive works ut Schenectady
in this State, which shut down yesterday. This
establishment usually employed from 600 to 500 men,
and the stoppaee az we learn from The Schenectady
Union, is wholly owing to the fact that there are
no orders 10 be had. the railroad companies evil
IDENTIFY feeling still the effect of the late panic and
mourning little expense possible while business
remains As II ls.'
As heretofore, money continues in over supply at
TO per cent call. and to per cent for first
class commercial paper. L. :. bonds have been in
good demand more especially in the early part of
the week but subsequently dropped Oft slightly IN
sympathy with lower gold closing, however, at to
higher than the closing quotations of last satur-
day. As the five per cents continue to rule so much
above par in gold this is perhaps good time to re-
peat the question which has been so FREQ uently
asked by The TRIBUNE, Why does not the Secretary
OF the Treasury fund more of the 5-2Os into bonds
bearing a lower rate of interest. and thus ease the
burdens of our tax-payers2 The thing could
probably he easily done now without
the aid of Syndicate. The gold move
ment of tine week has been unimportant,
with the exception of an advance on the announce
mcnt last Monday that the President had signed the
Currency biu but gold subsequently fell back TO
lila and closed at III . which is the exact price at
which the market wound up on Saturday iast. For
elm exchange has been duh and firm. The business
in Southern State bonds has been unimportant, the
only transactions of any moment having been IN
Tenuessees. We notice that the interest on the
bonds of the State Of Florida, issued IN 1873, Cue
July /, viii be paid in gold on aud after
that date. at the Importers and Traders Bank
in this city. The management OF the finances
Of FLORIDA stands in pleasing contrast
with that of many of the other Southern States
Railway mortgages are generally stronger than they
were last week In the railway and miscellaneous
share market there has been unusual activity. and
sharp advance in prices throughout the entire active
list and many of the more saugune are disposed to
regard this fact a. an indication of 4 forthcoming
revival and activity in the general business OF the
country We hope II may prove so and trust there
NAV b. more substantial reasons for revival Ia
trade than appear to the common observer 70 JUS
tify an advance of to : per cent IN tho fancy
stocks sold at the Exchange during tins week.
Still with clever manipulation they may adj
vance TO still higher prices. "They have sold
much higher" say the sanguine bulls, aud
why not again. Money is cheap, 1t Is not
very expensive TO carry stocks now, and there Is
wide margin for a rise before they reach pre-panc
prices True. but are spectators TO pay no regard
N intrinsic values Are stocks worth any more
than they were last week or last month Should
the general stagnation in business and the falling OF
of the receipts Of railways increase the value VI their
securities? Take for an illustration of class OF
fancy stocks 10 which it belongs, the Toledo,
Wabash and Western. This stock advanced .. per
cent much more than the OF the list, during
| the past week Only ten days ago ones ears would
have been fatigued obliged to listen 10 all the rea
sons given why this stock was nearly worthless anu
why il would certainly soon h" soing down TO ID
! 10: but now all is changed, and for few
| DAYS past there has been whispered and " conhden-
| tial' hints of something to happen which was 70
add new value 10 recreate as 1t WERE and under the
| influence of which, and buying IN ON the part OF
the shorts the price had advanced from below ~ TO
| 3j receded 10 81. advanced again to 3i at ABOUT
| which price If remained steady. Well to-day this
shadow of the new creation took form in the shape
| of an announcement that at 4 meeting Oh tue
directors three unexceptionable gentlemen had re-
signed their position as directors TO give place to
three Others quite as unexcepuonable, but who, II
was understood solely represented the interests OF
the bondholders. II was also stated that the mme-