New-York tribune., 1882-02-14
insist upon having an Indiana statesman ~,
the first or second place in the PresidentIai
race of 1884
MONEY AND BUSINESS.

| firms tbe conclusion expressed last week, that
tbe hanks actually held on the 4th fully
So. .OOO. 900 less money than their statement
of that date indicated. Though the Treasury
drew from the banks from the 1st to the oth
only 81, 600, 900, they report loss III aver
ages for the week ending on the llth OF
S3.749,3OO. OF this about $2,OOO,OOO had
cone during the previous week without ap-
nearing in the averages, and the effect OF re-
ceipts over payments by the Treasury Tor the
six business DAYS ending Friday was an aver
age loss to the banks of only $S1S,4 ,464;
so that there must have been loss
by the banks TO the interior of nearly
5000. 900 more. The shipments of gold last
week. $4,000 on the 9th and 100000 on
the 11th, can have had no important effect on
the averages. This loss will be felt in the re-
turn Saturday week. as well as the $l,26O,OOO
drawn from the banks by the Treasury late
last week, so that their actual reserve again
appears to be about $2,000,000 lower than
their report indicates, without allowance for
the unknown movement to or from the in
terror during the latter half of last week.
The domestic exchanges have improved how
ever, so far that the interior drain OF money
has probably been stopped, and the collapse
of wheat and cotton speculation may soon
start money hltherward. The apparent excess
of reserve over legal requirements is still over
| $1,05O,000, but the actual excess is evidently
much smaller Considerable amounts Of gold
were also packed for shipment on Saturday
and yesterday.
The opinion is expressed by some that there
is no reason to expect shipments of gold in
addition to those of Saturday last 1t would
| be very pleasant to share this hope. But the
rate of interest is higher in Europe than here;
the rate of exchange does not fall and the
| financial troubles on the Continent evidently
are not over. France has been tremendously
reinforced as to its gold reserve, if late dis
patches correctly represent the increase OF
gold in the bank as $24,0OO,O0O in two
weeks, but the failure of two more concerns
on Saturday illustrates the fact that the mere
accumulation of gold by the bank does not
save houses or individuals from the cOnse
quences of disastrous speculation. The
| loss of half the market value of Sc
| curities amounting to thousands Of millions
must involve the ruin, sooner or later, OF
| great number of persons, firms and concerns.
| Extraordinary care has been taken by dealing
gently with those in difficulty, to prevent an
| increase of the mischief But gradual set
| Element is none the less a settlement, and will
| none the less reveal the bankruptcy of many.
| As long rs this process of liquidation continues
! there will be constant anxiety to fOrtlty
! against possible disasters, and American Sc
! curities will be likely to be sold in cOnSdera-
| bic amount, because this is the only market in
| the world which is not directly affected.
Whether affairs here will be in such position
that products will go abroad instead Of gold,
| or new securities In place Of those on which
holders are forced to realize, is not yet alto
gcthcr clear.
Prices of products have not yet declined Sc
| far as to cause free outward movement Ii
is quite possible that, in the reaction of feel
ing after discovering that predictions of very
| high prices were erroneous, foreign buyers
| may hold off too long for their own good. 1t
must also be remembered that the disturb
ances in Europe, though originating in
speculation, will affect many enterprises
and branches Of business, stop many works,
throw many persons out OF employment
and force many to sell at n sacrifice stocks of
goods and products on hand and thus viii
tend in many ways to check the demand for
products from this country. A period of gen
eral disaster in Europe means Il period in
which people consume less meat and less
wheat per capita than usual, and such period
is now IA possibility. Foreign manufacturers,
at such a time, turn out less cotton goods, and
therefore need less cotton. This country
would not sell its surplus products when it
could, and now it may happen that it cannot
when 1t would.
The Railroad Advisory Commission met IN
this city yesterday. According to report, its
sole function is to hear evidence as to the
prOpriety of charging lower rates to Baltimore
| or Philadelphia than to New York and t. adj
wise the railroad managers on that point, with
out any assurance that its advice will be fol-
lowed. The probability is that the railroad
men know as well now what they are going to
do as they will after the Commission has re-
ported Either they have secretly agreed al
ready. or the chances are that the report of a
Commission will not make them agree. In one
case, at least, the new contracts have been
violated within the very week after they
went into effect, for Wednesday last
one of the roads made time contract to take
freight to Chicago for 20 cents, though the
rate agreed upon by the railroads was 40
cents. But orders issued by the Pennsylvania
and other companies still promise faithful
enforcement of advanced rates. The struggle
has done the public some service In any case,
for the rates now proposed would have been
considered extraordinarily low year ago.
The companies have educated the public to
expect scale of charges which, very recently,
was pronounced equivalent to a conlscation Of
the roads.
The volume of business last week was large,
but an unusual proportion of it was due to
-naettla of i'm nvnIucts Over 4 ODD
bushels of wheat were sold in one day, Fri
L % !. Ii. tL..