, 1881-02-27
Extraordinary Effect Of the All
fair OF Friday on the Cab1-
net GueSsers.
The Air Now Full of John Sherman
for Secretary Of the
Treasury.
GENERAL FEELING.

GENERAL FEELING.
RELIEF.
New York, Feb.AG--At 80 the Sub-Treas>
urer had purchased 81, 100000 in bonds
Where rates for call loans to stock brokers
were yesterday 111&@l per cent plus per
cent per annuln, they began this morning at
4 Of per cent plus 6 per cent, and Us we
write are down to plain t; per cent on United
S tates bonds, and Gpcr cent plus I 1-tG on
good stock collateral. Time loans and mer-
camille paper are nominal. The weekly
statement Of the New York banks is, Of
course. unfavorable, but much less so than
expected. There have thus far to-day been
no deposits at the Sub-Treasury by National
banks to give up note circulation. The
amount collected on the deposits made yes
tertIay Of checks is SG79, 800. It looks as it
the depositing Of money for this purpose had
finally ceased
The stringency Of the money market Is
drawing money here. not only from London,
but considerable amounts are said to be OIL
Tile way from Montreal and neighboring
cities like Boston and Philadelphia The ill.,
dicatlons are now that the crisis has passed,
so far as the money market is concerned.
THE UNITED STATES TREASURY
was debtor at the Clearing House this morn
L4C oAt1A VI %cs4o-1RoH3 *A4t<4A 1u~*s44:o
that the Sub-Treasury Oh yesterday 5 transac-
tions paid ont this sum in excess of what It
took in. Moreover, Secretary Sherman at-
tlorized the Assistant Treasurer to pay par
and accrued interest for any OF the 81, ,0o0,-
600 Of bonds included in the 10lst call.
Until to-day money for these bonds could
only be obtained BY sending them to Wash
;ngton and submitting to the tedious delay
which that journey involves. To-day's order
of the Secretary, therefore, puts the Treas
ury in the market rs buyer ut par and H.
crued interest Of S35, ,0o).0o) OF bonds, Of
which 10000, 600 are uncalled anti $751; ,0o0,-
600 called.
1t may be these bonds will come in slowly,
they being scattered widely, but within q
comparatively short time it is a reasonable
calculation the Treasury will have paid out
as much money Us the banks have paid into
the Treasury since the Senate passed the
Funding bill.
THE CHANCES
now are said to be against the e enactment M OF
any reason i;il to become q law, then the
banks " hich have give up circulation will
prcp:tbly Immediately take it out again, and
affairs return to the condition which existed
was begun.
The Treasury would then continue to in
vest Its surplus revenues in bonds and the
Treasury influence. therefore, would By in'
favor Of easy money. II the DILL becomes Il
law, then the banks can no longer, from the
day of its enactment, give note-clrcuation,
and the contraction resulting tterefrom
would be Impossible. N addition, the Treas
ury would have the right to invest S:>J, COX, 600
OF its coin balance i'll, maturing and per
loan market easy.
TIE COLLAPSE OF SPECULATION
at the Stock Exchange during the week must
have reduced prices so that It takes probaoly
$40, ,000, ,0o0 more to carry tie Stock Exchanso
securities than It did weeE e, ago: hooE <
therefore forced that within 4 few days we
shall have an easier money market ti1an we
would have if Congress had not 7aidsd l tae
nankS and S RS bs S s;th e to S2sk e Soek f.
change speculation during the week must be
regarded by all engaged III legitimate nom
speculative business rs wholesome III IFS 1n-
tuencc, for the reason that IT. VII leave ~ ,pt t
money and credits for those outside OF INC
circle OF speculation.
ABOUT NOON
a steadier tone characterized the market, and
it soon became strong. and rs 50 now Among
the buyers are outsiders OF means, who III
come 1y 1s5 s"ak NV as
can pay for, and take them away. The
weaker class of stock brokers. who. rather
than pay the enormous rates Tor money cur
rent yesterday, threw ever their custulners'
stocks, are also among the buyers to-day.
Large amounts Of stocks are also being
bought for London account They are not
resuld here at an advance. but are exported.
Gold, to a considerable extent, will be re-
turned for them.
WALL. STREET AND TIE STOCK EXCHANGE
but, as tho market grew stronger under the
i1nuulse of Treasury redeluptfOnS, what