Year: 1865

come the difficulties experienced by


the multitude who RETURN incomes be-
low Sic, 900 year for what is S., 900
a year with gold at 200? Only equal
to $500 with gold at par


Loanable funds are in excess of tho
demand. Rapid accumulation of cap
ital is going on, and great timidity in
using it. The money rates are from
5 to per cent-mostly six--to regu-
lar houses in good standing and
commercial higigradc notes are dis
counted I to 8 per cent. .. ....


To help the gold market in the pro-
cess of reducing the premium-that is,
raising the value of the currency
comes the fact of great demand for
U. s. 500 year 6 per cent gold bonds
from Europe. A million or two has
been remitted or is going, and capi-
talists, who sell these, buy the 7-30
Treasury notes.


Government stocks are therefore
quite animated and relieve the market
from the deadness in other stocks.


Railroad and fancy stocks, with the
single exception Of Cumberland coal
stock, are dull and heavy. The stocks
of government, which are increasing,
and the increase of petroleum compa-
nies of attractive character, draw
away all new capital and some old
from the old stocks of the regular
board. The new capital continually
creating is mostly being put either in
to governments or petroleum. Gov
ernments form the great saving fund
of the nation, and we will do so for
many years, like the Consols of Great
Britain. All the needs of the war can
be thus raised, and the greenback cur
rency can he paid off by being funded
in stocks which can be easily held by
an Industrious community, putting its
savings in Government Stocks, the in
terest of which, payable in gold, can
be relied on for certain payment. 1t
is the clause making both interest and
principle of the $50 year bonds, pay
able in gold, and that making the T30
Treasury notes convertible at the end
of three years from the 18th of August
last, that makes these securities so de-
sirable. They are based on gold
gold is prospective, but certain. The
per cent. Treasury notes, payable
principal and interest only in curren-
cy, are not desirable, and are used as
a legal-tender currency, regardless of
the interest.


The brokers of the stock boards are
sadly put to it. There is no outside
speculation. They spread their nets
carefully, bartering the market so as
to produce now and then slight rise,
and then letting it fall again but
they catch no outside flies. And as
spiders, when they can get no flies to
feed on, are known to prey and feed
on one another stronger and more
cunning on the weaker and less cum
ning-so do the strong in combination
for stock speculation succeed in net
ting only some of their confreres of the
board. Stocks 60 up and down with
gold. 1t is fact, however, that when
gold was at $50 stocks were higher
than now that was at period when
the impulse Of the expanding curren-
cy was first being felt, and everybody
began to speculate in stocks, and there
were new issues of Government stocks,
since multiplied, and must necessarily
multiply, and no petroleum. There
are more and better stocks offered
now than then, and the law Of compe-
tition is operating against the older
stocks of the board


The country State Bank circulation
is rapidly decreasing, but is being
more than supplied by the increase in
the National currency, now good every
where. To sum up all, capital will in
crease, gold will fall, and prices will
ultimately give way. Another year
is likely to produce great revulsion
in prices.