Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1879-03-21
MEMPHIS APPEAL
MARCH 2i,IS79
TaE NEW ORLEAEs TROURLE.

TIE NEW ORLEAkS TROUBLE.
1t Is with great r greet that we chronicle
the news that reaches US from New Orleans.
Our readers have seen within a few days
paragraphs that we have copied from jour
mails in various parts of the Union, showing
that money was coming more into demand,
the rate OF interest fer it was improving, and
buIuess generally was showing encouraging
signs. Such facts were welcomed by every
body, for they saw in them the commence
m snt of an assured revival from the fatal
era of 1873. The occurrences in New Or
leans will temporarily check, it is feared, the
bound toward prosperity which had begun.
1t becomes a question of much interest I'M
der these circumstances whether the New
Orleans difficulties are the result of some
general trouble in the money world just now,
or of merely local causes? That the latter
was the case, Judging by what is made
known, appears evident. the city of
New Orleans prosecuted one of the
most respectable institutions within its cir
conference, and obtained a verdict against
it of eighty-six thousand dollars. This was
followed by the bank coming to a stop on
Tuesday last. As the Southern bank had
loag commanded the most complete conf
dence, 10y its high character and upright
dealing, its failure naturally produced some
commotion. The Mechanics and Traders
bank is stated 10 have been in a weak condl-
ton of late, and the commotion, slight as it
was, was too much for it, so New Orleans
had two broken banks, made so within two
days. That was enough to start one of those
insane tumults that at times start from the
slightest causes. Those people who yester-
day rushed to the banks without giving
warning, tramping down all rules and out
raging all custom, wanted their money then
and there. Such peoples unreasonable de-
mands could not be complied with in the alb
sence Of notice before, or of time allowed
after notice. They could not be reasoned
with, or induced to act IN accordance with
wha. business rules and necessities require.
What was TO be doneP Evidently to inter
pose some obstacle between an excited crowd
and the object it was madly bent upon-an
object which, if accomplished, would have
led to ruin and disaster. The banks took
the refuge that was open to them,
and suspended currency payments
Was not this prudence, and a measure of
safety? Being so, it is a cause for confidence,
not for doubt, as slight postponement has
saved present fearful loss. We can therefore
entertain confidence when we see proof of
prudent and wise action. We can also feel
safer as we see how the madness of excite
ment is deprived of its prey by the thoughtful,
cool, sensible action of those to whom the
oversight of the banks is Entrusted. When
excitable depositors discover what a refuge
the banks have against their unrefectDg
proceedings, they too will have to acknowl-
edge that deliberate prudence will do more
for them than a wild rush and savage roar of
81 want my money!" New Orleans has done
a good business since November; she has got
good prices for cotton; she has done an i'm
mense exporting trade in wheat; the barge
lines on one hand and Eads' jetties on the
other have increased her commerce greatly
this season, and New Orleans merchants are
fully able and will st md molly by their banks
and see them safely GU. of the excitement,
with every depositor satisfied. We are sure
that the solid men Of New Orleans will take
such steps as will prevent loss, and, as the
whole affair is due only to local causes, their
aid, influence, and prudent action will alay
the excitement and bring quiet again, with
advancing prosperity and renewed trade.