Year: 1870

AuuOuRu Tic NdTlOuS mhrketS nave UfnisHeu
during the week abundant material on which to base
great activity there has been lack OF animation in
the street which Is rather difficult to account for.
Monday was half holiday, and during the balance
OF the week the race at Jerome ana Prospect
Parks attracted many Of the prominent speculative
spirits OF the Stock Exchange, white In London busi
ness has been duh owing to the superior attrac-
ttons OF the Derby. Considering, however, that Je-
rome Park Is connected with Wall street by telegraph,
and that the quotations are flashed everywhere, to
seaside and watering place, throughout the summer
the general duness presents the same problem.
The statement Of the Pacific Mail Company led TO
considerable movement in the stock ana the price
of 44sl was attained once twice during the week;
but from this price there was o sharp decline on
Saturday, when 4o7s was touched, under pressure
of sacs said on the hani to have originated in
mistake OF orders, and on the other In rumor
that the company had lost another steamer The Van
derblt shares were unsettled but generally strong
on the Inference that the company will escape the
payment OF the revenue tax upon the scrip dividend
on the ground that as the law exacis the tax only
when the dividend is "due ana payable,r as the
scrip IL NOT made payable ut any specified time, bat
Is simply certificate Of Indebtedness the company
expect to be able TO sustain appeal to the courts
should Commissioner Delano attempt to enforce the
collection OF the tax claimed But how the courts





itself Is payable only ut the pleasure
OF the company 1t is certain that the
scrip as dividend was paid TO the
stockholders long ago. In the case OF ST. Paul. Wa
bash, Pittsburg and other companies who declared
scrip dividends there never has been any dispute.
The per cent in such cas- es was paid as matter
Of course. The Northwestern shares and Rock
Island have been very buoyant the result of the
recent elections for directors, the result OF which
Is regarded US a fusion OF the interests
OF both lines. st. Paul, which was weak
at frst In view Of It's separation from
Northwest, became strong the highly favorable re-
port OF It's earnings for the past month, which show
large increase OF business. The leading specula-
tive feature In the railway list has been Ohio and
Mississippi which has been steadily carried TO a.
The investment shares were strong and higher. In
the miscellaneous shares Canton improved on the
announcement that the Union Railroad ordinance
had passed both branches of the Baltimore Common
Council and only awaited the Mayors signature to
take effect.


The steady movement to higher prices, the market
advancing on light purchases. Is due in great mea-
to the facilities which are afforded speculative
transactions by the unusual ease and abundance In
the money market 10 has been difficult for lenders
to employ their funds during the week call loans
ut higher than four per cent, while where a point





the general rate. Commercial paper was In fair re-
quest at SIX per cent for prime double names. with
transactions as low 5h per cent for prime bank
ers' notes. In foreign exchange the rate has
touched the specie shipping point, ana Ia the alter
native offered TO remitters there has been slight
decline from and return to this point. During the
week large amount Of bond bills were made,
which had the effect OF slightly lowering rates to-
ward the close when the prime bankers were selling
sixty day sterling at 1097s.


The gold market was extremely dull and very
steady, the premium nuctuating only half per
cent. The speculative feeling has departed from the
Room for while there is no temptation to sell for


decline there Is little disposition TO buy, IN view of
the comparatively light specie shipments aud the IN
activity in exchange. little advance in gold
creates flood Of bond bills and lets out produce
and cotton, so that an advance in gold actually pro-
duces cause for Its decline again. Stress iaid on
the light cotton receipts Of the past week, but
1t should not be forgotten that the crop has been
promptly marketed this year, and that the yield so
far Is over half million bales in excess OF the yield
up to this time last year. This surplus Is
for the failure OF the bull" campaign In gold which
| was started month or two ago. Moreover, the
Secretary OF the Treasury Will doubtless commence
as early as June 30 to pay the July interest, which
VIII throw $35, 600 900 OF gold the market. The





their plans, but they not sufficiently supported by
the street to enable them to manage this fresh load.
Indeed it is doubtful, from the aspect Of the Gold
Room, whether more than corporai's guard OF the
clique remain IN the market.


The government market was strong and dull,
prices toward the close improving with the firmer
tone OF ive-twent in Europe.


SOUTHERN SECURITIES.


The chief speculation in this department has been
In the bonds of Tennessee, which have steadily
| on what is supposed to be q speculative movement
| to make good market for the bonds which
| bought by Clique last winter and for q sharp
downward turn when 1t suits the plans of the clique
| to break the market. A correspondent who mas
been a visit to the state writes us follows:--


II Is well known that the railroads have not been
IN The market to Duy bonds and that but three
OF them able 10 sell Their own bonds negotiate
for a loan much less are they able TO afford aid 10
| the state. And why should these railroads assume
liability TO pay the State certain sum when they
have the right to run Their debts for many years TO
come by only paying six per cent Interest per an
nun? When the present Legislature met the Treasury
| was found to be empty, and the liabilities OF the
| State were asceftaiHed to be about S45,000 900;
$685. CO., ooD OF this amount was account Of rail-
road bonds endorsed BY the State 600 was the
debt prior to the war while the noatng an G ana ne.
| soon discovered that many OF the railroads were
insolvent and that many OF the bonds were Illegally
| issued, aud some OF them signed at New York
without proper authority. committee ap.
| pointed to look into these matters which is now In
| session at Knoxville, and Will soon arrive
! emanale from this body there Is no doubt
| but that the Legislature VIII, as soon as IL meets
again. on the second Monday in May, 1871 pass the
scaling bill introduced by Mr. Steele, which provides
that the bonds OF the State shall be funded in new
bonds to be Issued, and at the same rate at which
they were sold by the railroad companies. The in
vestigation far shows that large numbers OF the
bonds were placed on the market at prices ranging
from twenty-five to fifty cents each on the dollar
! while the law provided expressly that they should
| not under any circumstances, be sold at less than
par The people OF Tennessee may be opposed to prac
tical Reputation, but they Will never be willing pay
or these abtesa at the rate OF 100 cents In the dollar
when not more than fourth or half OF the amount
expressed on the face OF the bonds was actually
| ceved I'm pay for the same. Most OF these roads
| so hopeessy insolvent that the State must needs


lose al least $15 900 or 20,000000 however fav
! oraDIe settlement may be made for It's interests
! Another fact may be stated. The tax now levied