The New York Herald Newspaper, November 9, 1857, Page 2

Augtst 1. 1864 Amongst the more important features | their names graced by the cheap esquire, and their resi. Of the new act were provisions for the re-payment of one | dences given in some far distant county, Every one we fonrth of the debt due frum the public to the Bauk. with | talked of making large fortunes, but very few realizeg | Uberty to the company to Teduce its capital stock im the | them. Each day witnessed the advent of new com: % same proportion; for the repeal of the Inws restricting the | panies, and ten times the quantity of shares were applied é interest of money to 5 percent, so far as they affecte for than were to be issued, In many instances shares of exchange not baving three months to run; for pr were purebased as investments, which wonld, in all pro: yee ‘ng banking companies composed of more than six part | ability, pay less than the interest reoctvable in the j ‘Were within sixty mites of London from. tesuin funds." A few wary and unprincipled speculators, like “ »payapiovon demand, and for securing a weekly account of | the “ Railway King,” made gigantic fortunes during the = Hhe'Wallton ant ecuriticn, the elreufation and deposits of | continuance of this’ frenzy, but thonsands of worthy and alt Oe rT rire creenty aad i 8 reapectable persons were ruined hy it. The revulsion set £ ye artery. For these privileges the Bank was in about the middie of October. The repeated and earnest Pity 2.120.000 per atinum. to be deducted from the sum ai. | warnings of the London Times, which, like the Naw York 68 extn te ear ee Mena, bad early sounded the note of alarm, began to e N declaratory clause was arid by the Chancellor of | produce their effect. An advance in the rate of inte- a Uh Pxcfiequey, whiclr created some soreness on the part | Fest hy ‘the bank on the ith. of October brought g a Oe directors, and was esteemed a partial invasion of | to a head the general feeling of uneasiness and . yh c@. “Tt was to this effect: “That any bod discouragement which hed seized upon all classes. be Bout ing em aereat. ammay carry on the | The crash came, and down went the prices of railway oo mainess of hanteiig dt London. or within 65 miles of it, | shares with a rapidity that involved in ruin even the in = rovitedenth WAT Ad hot borrow, owe, oF take up in | genions projectors of the bubble companies. The delusion os yd ee rateny lectin a oe ee | farce, be the effects remained: “Business,” continues : mh ‘ Ped ea oe I Ir. Francis, ‘was long paralysed. The «mall trader who ¢ a Wu horreming herent Cter this eclarathiw ouly | ja peglected his calling war ruined. ‘The mercbaut who . degre might ti cstathiahod had embarked in these adventurous speculations found to ’ : ARRIAET: OL RAPE Sree CEPA AEE IH LOBOS. his cost that the reckoning was yet to come.”” How acca =—The bine thie yene difewred an Interest of two rately does this description apply to our own condition at bp Cage cont on the bnutmees of the Fawt Thetin Company. as an | the present time. Ss “A ae rt hy , wee ‘THE FAMINE IN IRELAND—ITS FINANCIAL RESULTS ow ew fe < were redye 1846.—Second failure of the potato crop in Ireland, It gi AWC TAI Ue peinente Wy Me tilshrd Raikes, tho | * necomeary to stato that the harvest of 1845, and expe 80.0) Beyerser ot me aud Rie Aye dct of Wie sd cially of the potate crop, not only in Great Britain bat in 09 8 the haere Tet credty | some mterin arene the ‘whole of Western Europe, had proved so deficient HOLS” MLANO® Whe eriATH (WA BAKIére. I Hower enon ble that all the oid «tocks had been used in eking out the con ~ ddlthorn: but fe tiene H faresteneictn usetime the festures | *UMption up to the harvest of 1846. This latter, unfortu ee a nately, prov ed even much worse thay the two preceding Vicon OMB YeRe Libe ithakand “the” Kominencemcnt of banke.| OBC. The lors resulting from the failure of the potato Se jmetrope th mere than «3 pwrtters The lame | CTOP and of the other crops in Ireland alone, was esti por togothend Gaior © hee the Lads Joimt Hhocke banks, | mated at £16,000,000. In presence of these facts a con f fir ete ade ‘HAAF® wtat ie, and | Muuons and steady drain of bullion commenced, to provide CO 6 her peer otianded withthe mastoum. | fr the extensive uaportation of Lm breadstulls re. Sie 6 b a WRB cine ere i> 4 quired to make up the deficiency of food. The bank, how - tl Cote banicers gepttnn tas the ever, Wok no measures to arrest the outflow, which he « d ‘Lie Clenring Howe, int the kati In September, until the 16th January Following, when = inthe thert 9 dire pen the bullion hay ng fallen to £13,049 ,000, it raised the rate to re im the Of (he WK was ro.) Of discount to 34s, and on the 23d to4 percent. The ’ Laneed We SM EY Taw Amon 86 50 OMA! IL was | AP lICMeRS of the directors on this occasion drew apon them & ate er sa Portuguese Wane at } eihiae and no doubt contributed to the panic of atone * mideinargs n Wy General Jucksun to: i ¢ following year. Chl eertenty inthe Thiet Renter, e + 4} TWH GREAT KEVELAON OF 1847—£15,000,000 oF FALE RRS. 6) NG, AE het irectore InoreaRed Their eiremiation to th 1847.—In enumerating the causes which led to the terri. 6 etiam tel five reMtione from: Augast fo thé Moss of the }/ lide revulsion of this year, we must take into the account ¢ one Ahesmmenre amount of capital sunk in railway echemes ¥ - ATION 4 9K Hered dt The money estimate of the projects before Parliament in ee 1N86 he rethule OF Ue Por Ig Mie lation jrthke seawion of 1847 was about £40,000,000: that of the av Wlaeh mam feted Mew AR rae fOr Fhilony Gnthr pres ¢ eahemes of 1646, £110,000,000; and of 1845, £75,000,000 Fee mam Seti tine k. ai « hegnn th MWemselves —aneling @ total of 000,000, Whilst at | oe. ly Poll tn order er rained ) £1 of this evormous amount bad been BJ i rete of kenneth July ty 1 tod) peeunlly axpended, the imports of breadstally were w be Com Thalke redueed tte dune |\seouml + eaprdiy 4 and the country had neither a suffi TS NAIR Arewn Comoe endorced © acted on the belief of a diminished value in ‘constituted Proportion ‘Ver in consequence. The following table will some | at thirty-five. idea of the height to whieh the maduess of the bad discovered. raised the prices of shares in one month:— ‘secret accounts: y and by the Bank Dee. 10. Jan. 11. of England to examine t! the private ledger was not 33 pm. £158 pm. | forthcoming. After seme delay it turned up, when it dis- 10 dis. 70 pm. | closed a number of . tor alone 19 pm. 82 pm. | Owed £70,000. In two mont the board of managers had i 1,850 pm. | distributed amongst themselves 4,465 shares, at £1 pre- 36 155 pm. | mium, when they were selling in the market at £3 pre- ‘The subtraction from the bank coffers by November, | Mium. Resides these, £3,405 were divided at a lower this 18:5, of seven millions and a half, resulting from character of the spirit of adventure, and the unfavorable foreign exchanges ted to a terrible panic. Some of the first banking houses in the city and numbers in the fell. iist the was without the issue of @ single pound note, curious to say, some of whom were mere retail shop! D Jnged the provinces with millions, At sach a timo, course, these notes were next to valueless. Tho tress caused by this state “There was literally,” says Mr. Francis, “a whole population, with food in abundanco staring them im the face, unable to procure it, as nothing but gold would be taken. The agitation of the city ex- ceeded everything that had been witnessed for a century. The funds fluctuated violently. The usual ebannels of credit were stopped, and the circulation of ‘the country was completely deranged. The gloom spread to the Exchange. Exchequer bills fell to sixty-five shil- lings discount, and the brokers closed their books and re- fused to engage in any transactions whatever. The Bank ‘of England proved itself as usual equal to the emergency. Withm the short space of three weeks it doubled its dis. counts and made ves to an nse amount on de- posits of bills of exchange, and even of title deeds. So great was the demand made upon the Bank itself for gold, from the 11th t the 17th of December, that a doubt was seriously entertained whether this institution would be fable tostem the torrent. The directors had, however, devermived to pay out to their last guinea.’” It was, in fact, the merest accident that saved the bank. When it closed its doors on Saturday, December 17, it had, according to the official returns, only £1,027 ,000 remain- ing in its celars—according to Lord Ashburton’s pamphlet, only afew thousand pounds, Jn this state of things the incidental mention of there being a box of £1 notes ready to issue suggested the means of safety. Permission was obtained from the government to circulate them, and this put astop to the run, thereby proving the correctness of Mr, Thornton's declaration, in 1797, that it was more the want of small change of well ascertained value than A necessity for gold that was felt amongst the holders of small notes. “These one pound notes,” 8a) "Harman, «worked wonders. As far aa my judg goes they saved the country.” Within a week from their issue the peril Nad passed away. The government, in order to afford additional relief to the money market, gave directions for the purchase by the Bank of Exche- quer bills to the amount of $2,000,000, repayment to be made within four months. 1826.—By agroement with the government, this year the Bauk of England consented to give up its exclusive privi leges as to the number of partners egaged in banking, ex- cept within a certain distance (65 miles) of the metropolis. Ht also agreed to establish branch banks in different parts of the kingdom. A bill was passed in February to. prohi- Dit the circulation, beyond the 5th of February, 1829, of all promissory notes payable to the bearer on demand, is- sued by English bankers and stamped on the 5th February , 1826, or previously. The notes of the Bank of England were, however, to continue to be circulated, though stamp- ed up to the 10th of October. By the banking copartnership Dill, country } not allowed to issue or pay auy ‘ jess sum than £50. Striet provisions or the registration and individual liability of all the partners. 7830.—The interest on the new four per cent stock, which had already been reduced from tive per cent, was again reduced to thre® and a half—henee their tit New 834 per cents. In November of this year a ing of politica! discontent, occasioned by the unpopular of the ministry, led to serious riots, and a collision be tween the civil’ authorities and the mob. Preparations for defence were made at the Tower, the bank and the magazine in Hyde Park: in presence of these demon- strations the of the rioters soon cooled down, and they dispersed without having done much damage. ‘The financial position of the bank yfrom 1830 to 1832 is thus deseribed by Mr. Palmer in his Canses and Conse: quences of the Pressure on the Mor licy pursued by the bank subs the £1 and £2 uotes in England aud Wales, had be maintain their securities as nearly as possible at amount, and to allow the contraction of the curr: fected by the retarn of bank notes cy, ef r bullion, gradually proceed until the value of paper money remaining in cir f culation was so far increased as to occasion the return that specie to the bank whiel might ha exported, and thus to replace the curren: level with that of other countries. ‘That system worked satisfactorily, and without any forced action-un the part of the bank in contracting its eirculation.”” AST RUN OCCASIONED RY POLITICAL CAUSES, year occurred the last run upon the bul: 1 by political causes. k ral election which o the bill in the House of Commons hy «large majority, and its rejection in the Lords, the riots at Bristol, and the attempt t form a ministry Lord Lyndhurst, wrought up the popular mind to a p of frenzy whieh drove it to the wildest exces Ar Jation seemed impending, and “preparations,” says were made for a great public tragedy.” ests of course feit the shock. ty bank inthe kingdom. Under such circumstances ‘only alternative left the Sovereign was to recall Karl Grey. “This at once satisfied the public mind and restored conimercial conpidence Tn this year Was passed the bill abolishing capital pun- isiment for forgery, except in the cases of wills aud sewers of attorney—exceptions that have never ‘acted upon. “In the discussions in Parliament on this measure Mr. Nicholson said.—‘Forgeries of th wmall notes had made alarming , and the pre tiees of on own government against France and Americ: showed the impossibility of resisting the effects of for- ry. They bad been encouraged by government, and hn our courts of justice had said that to depreciate the credit of an enemy, hy forging its paper money, was a moral act.’’ In the report of the Select Committee on the condition of the Bank of England, which preceded the re- newal of its charter. it was stated that, in addition to the we vested in the hands of the bank itself, amounting | to £2,800 .068. the capital on which interest was paid to the proprietors and for which the State was debtor to the bank am! to £14,553,000, making no leas a sum than. 2Y7 433,000 over and above all its Habilities. ‘1833.—Renewa! of the bank charter for 21 years from Ca cs ROS, APE Ie) WITH an Fm mense raw 6 Rin America on aint Ave ete oo enatln Heme I TKNgtah eh Chamber ee 6 CRETE wt Manner etinmnted oot | x Uy RK eon) nen and forty maijiions, in wldition | ote Iara wed | pecial Bee 6 Deg hsfeadiin ¢ fom the de pm ention of empléymedt to the Ont arora The tokens banal TOR eure. The Agricultits) a rein! Ram Af TrMlapel ame 9 om © wh i ere at from the doy Pi ewe feed "Cbmier aT WaHikea Muwinidicy wont, ei non Fu) amemeheline Uatedoals Lee tron fon oe ke jan Ti Ue period the buliom. ” a i Peleg hehe YT OF Nok cantar | ee ee i ae on Ya Tent ae fo spire Notte w nud |, bortin mee A pry ley BS ware ettboveray. | te aupaam ee trv} Lae ot opinion Abatat fmarmanag: at and» sensu neti ‘wok aw a Rly Peat 9 lo estied ‘ee pete rower seve TAMeNb Herog om eMNE att tht Rent Pehla, evwecound. Yih thet © | Vette iont The sorite sank Dnake am Lb ir Gan accused hy Hank an tot havingsaamgaed Qe mise he Committer 5 to bab dans. Prev) Abed i wae mamenlyig if ane to the unbusinemiedileg and improvident which the alles of evrne ot Hagar octal eorned «mln the aeqwout A the, of stra Conical Bank. cenweed on Uae AF Arey Recuriting My Ure amount oe ile by. he Wooks te mlnget ‘uor-dable discovery was male that Si dhone mo called sewerivinn 8104.40 oatated oh ‘honor ed. oF ae they were delegtely termed, “over “bille, a ‘The directors | fd Meet mar) were HeRTly werthlage «ye Ake cuore AW) ane ore eam ala y PEOpES: imits at a shorter date than six | emt tate with “beh tcowid Neuidate tts Com | Boptember, 1646, to) the Jat of Mai , also for their own benefit. Dividends on fictitious profits were also cooked in the same way. REACTION OF THK AMBRIGAN PANIC OF 1837—EXTENSIVE DRAIN OF GOLD. ‘1887-'38-'39.—These years were marked by a scries of financha! difficulties, out of the emergencies of the | principal houses ‘in the American trade. From | the beginning of 1837 it was felt that, notwithstanding the Vast resources of those houses, they would not be ado- quate to meet the enormous extent of their engagements. By February and March their difficulties excited great attention, and until it was known to what extent their ne- cessities would require aswistance, great concern was felt in monetary circles. The bullion began to flow out of the bank coifers, and by the 7th February it had fallen to £4,032,000. The American houses received partial as- sistance in that month from the bank, and in May they again applied for help. The securities that they offered Deing found inadequate by the directors, on the Ist June their appeal was finally rejected, and on the aame day three great Anglo-Ambrican tirts—Wildes, Wilson, and Wiggins, known as “the three W.s’—suspended payment, being under acceptances at the time to the amount of £5,000,000. By the absence, however, of much doubtful wr, the circulation became sounder, and assisted aa ad- vances from the bank to the amount of £6,000,000, the trade of the country revived. In March, 1838, James G. King, of New York, then in London, obtained, in con- nection with Baring, Brothers & Co., a loan £1,000,000 in specie from the Bank of England to enable the New York banks to resume specie payments. The years 1838 and 1889 witnessed a repetition of similar scenes to those of 1887. The large payments for foreign corn had depressed the exchanges, and the country was embarrassed still farther by its financial relations with the United States. ‘American securities had been over im) , and there was a continued drain upon the bulli of the Bank of England, which was reduced from £7,073,000 in April, 1839, to £2,522,000 in the fellowing October. To stop this progressive drain, the rate of discount was necessarily raised by the bank to five and five anda half per cent; and the drain still continuing, a notice was published that the bank would receive ls for the purchase of the dead weight, either in money or stock. The attempt failed, as the price offered did not reach its estimated value. “They, then,” said Mr. Norman, “pledged a portion, and obtained credits in foreign coun: tries upon it, which they made use of, to the amount of about two millions and a half. They rowed £750,000 in exchequer bills from the Fast India Company, on the same security, a portion of which they made use of. I have no doubt,’ adds the same well informed writer, “that the foreign credit operated materially; it tended to restrict the circulation here, and it alsofurnished meaus of foreign payment.” The drain ceased about October. ‘We must not omit to mention the fact, that in 1839 the Bank of the United States applied for assistance in its diffi culties to the Bank of England, but the sum offered £300,000) being deemed insufficient, was rejected by the fesne®: 1840.—This year was exploded the great Bourbel and Graham forgery conspiracy to plunder the continental bank- ers by forged letters of credit, purporting to be of the bank- | ing firm of Glyn, Mills & Co. ” It was to the bold and spirit- | ed conduct of the London Times that the detection of this gigantic fraud was mainly owing. To the credit of that journal it should be stated, that although its exer. tions in this matter cost it several thousands of pounds, it refused to receive the subscriptions raised for its re-im- bursement, deciding that the money should be appro- priated to the foundation of two poor scuolarships in the universities. 1841.—Extensive forgeries in Exchequer bills were brought to light this year, by which the public were de frauded to the amount of 000. The delinquents were Edward Beaumont Smith, Ernest Rapallo and Angelo So- Jari. Smith was chief clerk in the issuing office of the ex- chequer, and, aided by his two accomplices, had for five years successfully carried on his nefarious operations. Great efforts were made to procure a remission of Smith’s scntanee &: teseampetation, it the saver perly declined to mitigate his punishment. The various internal alterations of the business of the bank, which were commenced in 1839, under the direction of Mr. Ray Smee, were this year completed, and have continued to work’ satisfactorily to the present day, RANK CHARTER OF 1844—THR BULLION REPRESENTATIVE PRIN- crPLR, 1844.—This year, in renewing the bank charter, Sir Robert Pee) made several important modifications in it. The ehief features of the new act were that it restricted the bank from issuing notes on securities beyond the fourteen mil- fions to which it was ordinarily limited, and that it pro- vided that every note issued beyond that sum shoukl have its representative in an equal amount of bullion. By this Dill the banking and issue departments were separated, and varions other alterations were made in the arrange: ind machinery of the bank. The government, in clause, reserved to itself the right of repealing all privileges of the bank not abolished by this act, upon twelve months notice being given at any time after the Ist of August, 1855. It should be mentioned that the act granted to the country banks the privilege of drawing bills not payable on demand within the sixty-five miles limit at less than six months date. RAILWAY MANIA OF 1845. 1845.—The history of the railway mania of this year ewents an vaclancholy @ record of folly as any that we ve ws yet recorded. The abundance of money and the facility of discounts that had prevailed since 1842 were undoubtedly the causes that led to it, Owing to the fact that onty low rates of interest could be procured far eapi- tal. a thirst far speculation was engendered, and was soon pon, to the most extravagant and ridiculous excesses. even the press aided in spreading the rage for railway tn- vestments, for it found an enormous source of profit in the lengthy advertisements published by the diffvrent companies. Again the environs of ‘Change Alley present ed somewhat of the varied and exciting appearance which they offered at the period of the South Sea bubble. “The Countess,” says Mr. Francis, « came down in her carriage and hovered, in a state of excitement, round the doors of ber broker. Grave and sober men dabbied in serip. The physician, the clergyman, the literary man, and the artist risked their well earned money to procure a share of the pro- fi ‘Abyone, almost, could start acompany, and there were thousands of dupes ready to swallow the tempting baits held out to them. “Men without a shilling,” adds Mr. Francis, © wrote for hundreds of shares. Journeymen ment very pro- Tho names of men notorious ip the city as ewindlers suddenly reappeared in the lists of directors, ‘ef coMmoditics on hand to exchange for them, 4h soffcient amount of foreign debts duc tw it chases Thus, from foeen # 3916 AMG quarters of grain \ twts. of fou and mea. Upto Jano the widitiemal im ates of gram and flour had already amounted to Sfooje0 qesster:. _Netwithstanding this steady importa: Mod af lithe equally stendy dram of bullion from ite cof. Sore pemtived by ity the Bank of England made ne further alteration in ite rateofdisegm' antil the loth of April, whee itd treasnrpsbeing reduced to £9,567 ,/-'0, it mised it AVhen the dram a= commenced in October, the bank: held ats Int! \0m, #0 nee ¢ bt oleae Abet the principal source fron whence the earn imported b paid was from its specie reser ve be great: etrot, therofor:, committe! by the hank, mothe face of this fact, was te increasing it~ private NOON THOR bY ¢iseoUnting COBIIBUFCIa Dilie too freely Hav thy thus Dredly araced the: coum o8 the panic, we shall tow Teen pituinge ite effecta. ‘Tike. enormons|y li Of guamew bik badmoparaite! sinoe 16) 2—bad t PA ofeot af tempting slanca wumber of houses grein far beyood their able report of the har yore Lower osappore, (wing to: May. jane and dniy, apd dae rok. tne fall, ant by Aeptom ber ed Neca gE we ly tua. vaepalore doled pope pepe y bein hanged rays h Ws abe, ou wt On the Bib of the first of the fetguares wluren. | Alert & 06. with emouptiag to Abt phe, on sevie dy Ce Avg Aibsastt pevetn v! 200,009, BERL Week Giles & Oo. Sa Abie tartal ry vida ¥ mechanies styled themselves gentlemen, and signed deeds | for thonsands. 5 having their funds ‘locked up in’st tations. by immense failures in the India trade. ‘The extreme pressure may be considered to have begun on the 23d of September, when the bank adopted more stringent measures for curtailing the ‘upon its resources. Ever since the 26th of June the diminution of bullion had been going on rapidly; on the 2d of October it was reduced to fi notes in circulation being £18,712,000, and the reserve £3,409,000. This showed the di that they must’ now think of their own safety. On thatday they gave notice that the mini- mum rate of interest on all bills falling due before the 15th of October would be 534 per cent, and they refused to make advances on ouepounes bills. The had become a scene of wild excitement. The private bankers hastened to sell their securities to ones them ng or 4 ‘The iiierence bewweck Hie po consols for ready mor and for the account, the'Ldth of Otnber, showed n rate bay ria — Feent perannum, Exchequer bills were ‘85 shillngs discount. "tecame worse day by day. On the 16th of October the bank rates of discount varied from 53g to 9 per cent. The following week, from Monday, 18th, to Saturday, the 23d, was the great crisis.'On that Monday’ the Royal Bank of Liver- pool, with a paid capital £800,000, stopped payment, which ‘the funds to fall 2 per cent. This was followed by the st @ of the North and South Wales Bank, the Liverpool Banking Company, the Union Bank of Newcastle, and various oiher banks in Manches- ter and the west of taghnd. A complete cessation of private discounts fol . Noone would part with the money or notes in his possession. The most exorbitant ~ums Were offered to and refused by merchants for their acceptances. The continued and ever increasing severity of the crisis caused deputation after deputation to be sent to the government to obtain a relaxation of the bank charter, and on Saturday, the 23d of October, the final determination of the Ministry to authorize the bank to issue notes beyond the limits prescribed by the act, was taken, and communicated to the bank, which immediately acted upon it and-discounted freely at 9 per cent. The letter was made public about one o'clock on Monday, the 25th, and no sooner did it appear than the panic vanished like ‘a‘dream. Mr. Gurney stated that it produced its effects in ten minutes, No sooner was it known that notes: might be had, than the want of them ceased. Not only did no infringement of the act take place, but the whole issue of notes in consequence of this letter was only £400,000. 1848.—On the 8th of June the Committee of the Com- mons appointed in November, 1847, to inquire into the causes of the recent commercial distress, and how far it had been effected by the act of 1844, made their report. They gave it as their opinion that it was not expedient to make any alteration in the act. The Committee of the Lords recommended that the act should be so far amend- ed as to introduce a discretionary relaxing power, which was only to be exercised during the existence of a favora- ble foreign exchange. 1849.—The Bank of France suspended specie payments and thereby saved the Bank of England from another drain of gold. 1850-1-2-3.—Tht commerce of the country having been placed on a sounder basis by the removal of houses that had been long hopelessly insolvent, we have nothing in the shape of financial vicissitudes to record during these years. 1854.—Owing to the great demand for shipping, caused ‘by the chances of war, there was a good deal of speculative dealing in that property, which, with the extravagant over- trading in Australia, led to severe losses and some very extensive failures in the autumn. The large amount of accommodation paper which was circulated, also contri- buted to aggravate the temporary shock to credit caused by these failures. 1855.—Towards the end of June another great drain of bullion from the Bank of land commenced and continued rapidly and steadily till the middle of October. On the ‘23d June it stood at £18,169,000, including the coin and bullion in both departments, and by the 13th October it was reduced to £11,752,000.’ The bank acted in this case with a iptitude and decision most favorably contrast: ing with its former errors. The rate of discount was ra- me raised from 336 per cent in June, to7 per cent by the ith November. ie Economist of the 29th December, in noting the effect of these measures said:—“The great extent of our trade as indicated by the returns of No- vember, confirms the suspicion awakened by the contin- ued demand for money, that trade has received no serious check from the advance in the rate of discount, and is still more extensive than prudence warrants or in the end will be justified. "” This would go to establish the theory advanced by some writers that it was to the operations of the Bank of France that the outflow of bullion was to be attributed. 1856—Owing to the necessity of continued caution on the part of the bank, arising from the last named opera- tions, as well as from the steady flow of specie to the East Indies, high rates of discount were continued during the year. In October aud November the rates of discount were steadily maintained at 7 percent. On the 6th of December they were reduced to 634 REVULSION OF 1857—REACTION OF THE AMERICAN PANIC. 1857.—For some time previous to the news ofthe failure of the Ohio Trust and Life Comgeny Oe be ed money market had exhibited a feverish and unsettled aspect. The rapid decline in the shares of the Credit potted created in Vienna in consequence of the National re- ion bills, inorder fusing to make advances upon acoommodati to reduce its circulation to 980,000,000 florins by the Ist of January next, a simultaneous inéeéase in the rate of discount by the Bank of Holland, and others of the great continental banks; the depressing character of the news India, and the unfavorable accounts arriving from this side, continued to aggravate this feeling. To show, however. how slightly these depressing influences affected the value of American securities on the Londop money market, we quote the closing rates of American railway stocks on the 16th September:— Railways. |etosing Prices.| Bysiness Tiliinoi= Central 6p. 6. 1876...) S010 @& | — | “ Tp. ¢. 1875...| TT to 80x. ¢.] Bix. ¢, | “ Tp.c. fr. bas. 1860:] 90 t0 95 oa } 100 shs., $40 2t0 Spm. | 13 dm. { Mich. Cen. 8 p. ©. con. " 85 to 90 a 1860°.") 85 to 88 85 | & 1860 (steri').| 98 to 102 a } $100 shares. wo 14 am | Mic. S. & N. Ind. (8. F.) 7p. ©. 1885, 58 t0 62 Mich. &N.1. (&F.) $100 she] 20 t0 25 N. York Gon. @ p. €. 8. F. 1885) | N. York 7 p. ¢. com, 1864...../ T5to 78 N. York Gen, $100 shares.” |.] 85 to 90 N. York & Brie 8d mort. 7p.c.| 72to 74 RO ERE IR N. York & Brie 8. F. do. 1876.| 60 to 65 N. York & Erie bas. com. 1862.| 54 to 58 “ se" TSTL,| 62 to 86 a | N. York & rie $100 shares...) 20 to 25 = Ohio & Penn. 7 p. e. income = Dds. con. I8T2.............{ S000 S6x.0,] — Penn, Cen. bls. ist more. con: CMO. 2.54 vee] 850. 87 Do, 2d mort. 6p. ¢. stg 8910 91 ef SS The funds exhibited a decline of iy on the same day (the 16th), in consequenee of the gloomy cha racter of the financial advices from the United States and the Continent. The fall m the shares of the Credit Mobilier for the fortnight ending the 19th ‘was about 260 fr. The London Times of Sept. 22, in com- menting on the failure of the Ohio Life and Trust com, pany, and of the firms dragged down by it, express: ed a belief that the panic in the United States cansed by this event would be of short duration. Between this and the 20th there was but @ slight dectine in Amer: jean securities. On the 28th the London Times stat ec that the “crisis in the New York money market was be ed to have been , and that the symptoms of con cence encouraged the hope of better times.’” The fail- ure of Messrs. Taylor and Bright an old extablished firm in the corn trade at Holl nnouNeed. On the 2th in noticing the fact that the course of Exchange at New York, on Lon don, was against England, the London Times consoled its readers by the statement that after making allowance for charges of transportand difference of interest. the then rate would leave po profit on the transmission of gold between the two countries. Sales were made in London on the | 29th of Mlinois Central shares at par: Illinois Central Bonds 7 per cent of 1876, at 8144 a % and of New York Central res Wt71\, Thebanks again lowered the rate of interest 1 pereentail round. Outhe 24 October money could easily be had at from 6 to 53s per cent. The return of the Bank of England for the week ending the 2th September, showed an increase of £757,649 in private securities. The amount of notes in circulation was £19.142.120, being an increase of £240,006 and the atock of bullion in both de. rete of interest in the middle of July, wat however about £800.00. The London Times of Sin noticing this decrease. states that it would have been made up for but for the fact that the intensity of the panic in New York had for the previous three or four weeks induced an al most total suspension of specie remittances from that side. er that the re from Australia land from furthor It expressed a confident ceipts from California. with the quant would kee) the stock in the Rank of reduction. On t the purehase of silver for shipment to the East, amounted to £149 000, The depression of the exchange as between New York and London, was further inereased by the in vestments made in American and other securities on Png. lish statements, and the necessity of remitting across the Atlantic the «ums representing the loxs sustained by London offices on insurances of the gold om board the Central America. The London Shipping Gasatte, of October 8, an. nounced to it readers that ‘from a careful examination of the different accounts pat foward the worst is decidedly over in the American money market. All accounts’ it adds agree in representing the gonoral atate of affairs as decidedly sutir factory.” On the 9th of October the Bank of England again advanced tho rate of interost from 545 to 6 per cent. This induced another fall of 4 per cent in console, the rise having bart po inflacnce in checking the demand for money. Tho /imes in some ie: remarks on the Inorease observed:— The suddenness of the renewal of the drain of gold whieh has led to this step, has taken the public by surprise, because they were not prepared for the extraodinary news by the last two American mails Allowing due weight to that intelligence, there is potting in the movement to crente alarm, although there is a hig! probability it may soon have to be repeated.”” The return of the Bank of the Bugiand for the week ending October 8, pnblished on the loth, showed the following resulte. Atnount of notes in circulation, £19,847,275, being an morease of £806,155; stock of bailion in both depart ments £10,062,602 ing & decrease of £613,596 when compared with the preceeding rewurn, This week (ox 10,) there was a reguiar panic on the Parts Bourse. curities Of all kinds declined considerably, and several venenive fatlares Daring the month the reductic & nearly £400.00. The disconnt accommodation amounged: of the bank showed » consi augmentation ; in Paris of noarly 2834 millions of francs. and in the branch banks of 2% millions A rise in the rate of discount from 5% to i 4 was announced. In the teeth of these facts, it was intimated that the bank proposed to set epart for employ: ment in loans on rae seourities, a eum of 150 millions of franes. Another rive in the rates of diseoant at Berlin, Amsterdam, Hamburg and Frankfort took place almost Sinultaneously, the current rate at Hambarg ‘being as hichas 7% percent. In Berlin there war a regular panic Ai sallvay clini y, Wag MeolnG 1 avy MARRS TALg LE Pea passed | some unfortonate com- mitting eulcide. ‘On the 12th of October the Bank of P land raised its rates of discount from 6 per cent, were adopted on the previous Thursday, to7 per cent. ‘This measure was the oe hited States and of American hens of the” advices from danger of large additional urities, which Engli be induced to make at the thee = arrivals of the precious metals during the week amounted to only £463,363. Nu- merous, fallures Jn Manchester and Gla nounced on Amongst. those were Monteith & Co., connected with the American trade; Wardlaw & Co., W. Smith & Co,, Wallace & Co. and Macdonald & Co. From all parts of the continent exten- sive failures were reported. The indebtedness of India to Manchester and Liverpool alone, at this date, was esti- mated at £4,000,000, which, added to the American diff culties, caused extreme pressure ip the money market. On the day on which the Bank of England raised {ts rate of discount, (the 1: the spp amounted to one million ster! of consols on that da; public feeling—B9 to 3¢ for money, and 89% to 3g for the November account. “India bonds, 25s. to. 20s, dis.; Ex- chequer bills, 88. to 88. dis. ; ditto bonds, 98% vo 34; bank ‘tye mooey article of the Landon Morning Herald of the ¢ money article of the 14th, speuklog of the transactions of the ‘previous day, says!— “There seems now but little doubt but that large remit- tances of specie will take to America and India with- in the next few days; and insurances having already been effected on about £600,000 for New York, the expectation is that the drain will augment in severity. ‘The fluctua- tions in public securities were constant and extensive,and consols were at one period of the day as low as 864) the sales of the speculators having forced them to that de- preciated point.’” ‘The subjoined quotations of the r prices of Ameri- can stocks at this date will serve as a1 r point of com- parison:— Railways. | toning Prices. | Biyenes Op. c. 1875... Tp. c. 1875... ’ Minois Central 7Bto 8x. c. “ Tp. ¢. fr. Ids. 1860, «$100 shs., 40 paid... Mich. Cen. 8 p. ¢. con. 760... 6 dis. igigitt “8 Mich. 8. & N. cc. 1885, aed Mich. 8. & N. L. (3.F.) $100 shs' N. York Cen. 6 p. c. 8. F, 1883 N. Yerk 7 p. c. con. 1864 55 to Slit ©, 1888. 04210000 N. York & Erie S. F. N. York & Erie “ “ 1871 N. York & Erie $100 shares... Ohio & Penn. 7 p. c. income} Dds. con. 1872.. oes Penn. Cen. bds. Ist mort. cop. Me Te Pom siarn one ‘ Do. 2d mort. 6 p. ¢. stg. a ‘The flow of specie to America commenced about this time. The Baltic, which left Liverpool on the 14th, took out with her £363,000, Some of the London journals still affected to believe that the financial difficulties would be but of briefduration. They had not, however, received the news of the suspen- sion of the New York banks, nor of the many commercial failures that had occurred in the United States during the month. On the 15th October the pressure at the bank for aocom- modation was again extraordinarily heavy, but the large advances which became repayable there on that day were well met. TW&e tendency was rather towards @ restora. tion of confidence. Some more failures were reported among them; the houses of Rogs, Mitchell & Co., Francis & Austin, Aflleck & McKerron, 8. F. Stephens, W. B. West, James & John Beard, John Little, Edmund Whitehead, and Scarrett & Partington. Consols rallied to 87%. The Bank of Holland again raised its rate of discount from 53g to 6 per cent. The failure of M. Boskovitz, a large com- mission merchant at Pesth, for £260,000 was announced, On the 16th consola exhibited a further improvement, the closing sertions being 883 to 88%. American stocks fluctuated considerably, but exhibited a further decline. The latest news received from the United States was to the lst inst., and told heavily on houses connected with the American trade. Cotton ined one-eighth to one- fourth of a penny. On the 17th the Persia left for New York with nearly two millions of dollars in specie, and certified bills and acceptances. Besides the despondency produced by thix continued drain of gold, another element of uneasiness was added to the general anxiety, by the Siete that, for jaded yen! ethe lh 4 t in the potato crop had assumed a virulence equal in destructiveness to that of the worst period of its preva- lence; and that it extended not only to the United King- dom, but to France and a considerable part of the Euro pean Continent. The accounts of the bank, made up to the close of the week, as shown by the returns published om the 17th, exhibited a further decline in the bullion of £553,000, and in the reserve of notes £582,000, while the private advances had increased iu the week by £563,000, showing an amount of private securities of not less than: £22,308,000—the largest sum which ever appeared in any (itvcters before. The total ammount of bullion remain. ing in the bank at the date of this return was £10,110,000. Ip April last it was as low as £9,065,000—showing the efficient character of the precautionary measures adopted by the directors during the commencement of the crisis. ‘The London Economist of the 17th spoke thus hope- fully of the prospect of surmounting the difficulties arising out of the financial embarrassments of the United “So far as the great community of the United ‘States is concerned, it is likely to suffer little, in its ductive capacity not at all—and there is, therefore, little reason to chend more than a temporary suspension in the demand for those articles which constitute the great export trade from this country. That there will be some cousiderable pressure upon this market for relief to the money market of New York for some time to come is cer. tain, but that must be much reatricted—tirst, by the «reat amount Of American securities already held bere, and next, by the genera\balance already due to this country.”’ On the 19th the revival of confidence in the stock and money market still continued, and consols, after rising to 804 early im the day, closed at 883, to 88%. Money was obtained for short periods on government securities at 539 percent. The French funds showed a recovery on the day ofnearly aquarter per cent. On the 20th October ere itement was produced by the annowgcement that the Bank of England had raised its rate of discount from 7 per cent, which was adopted on the previons Monday, to 8 percent. The rate now reached was the highest known in . 1875. bds. con. 1862| S8bZ2 Ss28 & neSSS Sssus 87 80x.0. | — SS § SSSSs sess ae 8 modern times, the only precedent 10 it, being that of the four weeks from the 26th of October, 1847, when the rail way panic attained fts climax, and consols were down at 80, the bank buition having been reduced to £8,312,000, and the reserve to £1,647,000. This step was taken solely in consequence of the news received by the steamships Canada and Ariel and the certainty of a continuous drain of gold to the United States, Almost simultaneously with thie measure the Bank of France raived its rate to 7% per cent, whilet in Hamburg it ig. In Bremen the money pressure was exci but it had slightly trodersted fa Vieuna. In Landon, on the evening of the 20th, consols closed at 88% to 853¢ for money, and $8% for the 10th of November. American railway securities were actively dealt in. Several new failures were announced. Amongst them were Messrs. Whan, Mo. Lean & Co., of Glasgow, and Hamilton, Canada, and the banking fier of Balabio & Co., of Milan. The silk trade of Franee was stated to be very much depressed ,and namer. ous failures were expected trom the inability of American importers to remit the amount of their indebtedness. The final quotations of the Freneh Three per cents on the Paris Bourse ou the 20th were 66f. Se. for money, and @6f. 80, for the end of the month, showing a decline of about three-cighths per cent ‘The amount ef specie taken out on the 20th, 1 ae Peninsular and Oriental steamer Indus, was £778,768, of which £712,684 was for India, £62,754 for the “traits, and £3,330 for Aden. The greater portion of this sum was silver, the gold being about £38,000, principally for India, On’ this day some additional failures were annonneed, amongst others those of Black & Sou and Piatt & Suteliffe, of Manchester. On the 2ist the funds showed undiminished firmness at a slight advance over the rates of the day previous, and money could be readily had at & to 544 per cent on government securities. The ailvance in the hank rate to eight per cent had, according to the Times, checked the exportation of gold to New York. The Arago wok out £30,000 from France, but only £7,500 from Eng- pool, was only £8,200. On the 224 aud 23d the inoney market contin uiet. The closing quotations in consols on the 28d were 88% to 88%. The bullion in the bank had decreased £585,000. a severe pressure houses bad failed. No later news than up to the 8th of October had reached England from the U Vnited States, and the effect of the suspension of the American banks had yet to be experienced. The Bank of England had thrown out some American bills to be connected with In tended shipments to the United States. The bullion in the Bank of was said to have dec: Bh, france since the Jast monthly returns. Gold the of France for America. The Gover: nor of the Rank of France had been to Complegne to ask the Fmperor for a decree giving forced correney to bawk notes, bat the result was net kuown, The Bank of Bel. cium had increased its rate of Misconnt to 54; per cent and the Bank of Denmark to 6 percent. At St. letersburg the exchange on 7 was as low ne 364. The Canada, which left Liv on the 234, took out tothe U States upwards of & million of doflara in specie Closis Lott. fighest. a Sat, 17,8835 4 ae 88% RONG ‘" Mon. 19, 88 Sy | OBS 88g BR RA ‘Ths. 20.88% B85, BRIG 885 88K BA Wed. Zi. 88% 88% «= BRAY 88% «RO 88% ‘Thur.22..58¢ 887% = BB74 88% = 89 89 Fri. 23.88% 89 BRI, 88% = 89 49 AMERICAN RAILWAY QUOTATIONS, OCT. 23, 1857. Closing Prices.| Musineet 7 Railways Titinois Central 6 p. cent. 1876. Do. 7 per cont, 1875... To. do. Free land, 1860. Do, $100 $8. Michigun Central 8", 60... Do. do. 1860 i] dis, B83 23331 222 New York Central 6 ‘i be. 7 cent con. , Do, $100 share@ ec... NY. qid Brie Sd m. V's, 1888 Do. oinking fund) do, 1878 Do. $100 Tew... . Ohio and Penn. Te, 1872. Penn. Con. bonds Yet m D0. Bd MOTE, Pherrirs SESSHSIESST S3F2.22 Sesee SSRSRzza William Phipps. The expedition was unsuccessful. To satisfy its expenses bills of credit were issued by the Mas- sachusetts Bay Colony, which example was followed by the others. A great number of bills of credit were thrown upon the market and were depreciated fifty per cent. The commerce of the colonies was entirely dis- arranged, and did not recover from the shock for two or three years. MORE WAR AND MORE RAGS. 747-8.—The successful expedition against Louisburg ams) had been paid for with a new issue of paper money, three millions. These bills of credit were of no value abroad, and speedily depreciated at home. In Massa- chusetts one hundred pounds sterling in hard cash were worth eleven hundred pounds paper currency. The infant colonies however, struggled through this terrible ‘bi ‘1760.—During the war of the Revolution commerce of inds was prostrated. Grass grew in. the strects of oly New York, Newport, Salem and Charleston—all important commercial ports at that time. From the year 1772-8 to 1789 there was but litte specie in the country, and Congress had issued 160 millions of paper money, which so far depreciated after the war as to be entirely worthless. A maker in Malden, Massachu- setts, papered the walls of his shop with them. ‘TMK ADAMS’ PANIC OF '98. 1798.—Threatened war with France. The Bank of Eng- Jand had suspended. All Europe was at war. The admin- istration of Mr. Adams was not a happy one, and political feeling never ran so high. All these things together Drought about a senselces panic, and Deg be: the best merchants were obliged to stop payment. ‘The prisons of the principal cities were filled with bankrupt merchants. ‘The panic ceased when the war rumor was found to be a false alarm, ‘THE EMBARGO STAGNATION—1807. 1806.—Napoleon issues the Berlin decree, putting the British islands under blockade, and commanding the seizure of vessels which should attempt trade with them. Our commerce languished in consequence. 1807, Novxmsxx 11.—The British government issued the Orders in Council closing the American trade with any part of Europe which excluded the British flag. Deceamex 17.—Napoleon issues the Milan decree, com- manding that any vessel which touched at a British port should be subject to seizure and condemnation. Decks 22.—Congress passes the Embargo act, by which all American vessels were forbidden to leave port. ‘This was adopted in consequence of the Berlin decree. 1808.—The effect of the E Embargo act was to cause great distress among all classes of people, but more particularly Sonnct interest — likewise in the slipping interest. The agricultural suffered, as our redundancy of produce could not be exported. Trade of all kinds was at ‘astand still, and thousands of merchants were ruined. 1809.—The Embargo still continued. The state of the country is thus described in the report of @ committee of the Massachusetts Legislature:— Jaxvany 9%.—“Our agriculture is discouraged. The fisheries abandoned. Navigation forbidden. Our com- merce at home restrained, if not annihilated. The revenue extinguished.” Maxcu 15.—The Embargo raised. HARD TiMkS OF 1812, '13, ‘14, '15. 1812.—War is declared with England. ' The importation of specie is stopped and the banks suspend. Throughout the next two yeurs there was great distress in commer- cial circles, and the peace of 1816 found the country pros- trate. 1816, Fearvary.—The Union Bank of New York, re- sumed specie payments. Arkit 10.—Mr. Madison having changed his views with regard to a National Bank, ap- proves a charter for such an institution with a capital of thirty-five millions. The New York Legislature passes an act to force the banks to resume by the first of June, 1817, and to pay interest at the rate of twelve per cent to the holders of their notes. 1817.—The Bank of the United States extends its loans and inflates prices; large amounts of specie flow in from Eur . A contraction is the inevitable result, and a re- vulsion by which several thousand merchants are ruined. FLUSH TIMES OF 1825—PraNiC OF 1826. 1825—Trade and commerce revived. Everybody is flush of money, and a mania for speculation arises like os of the South Sea bubble in England and Law’s bank in France. Aprit.—Morris Canal and Banking Company incorporat- ed. Capital limited to one million. nty millions offered. At Philadelphia men were hired to fight their way through the crowd to get shares in the Bank of South- wark. At Providence, le Island, twiee the sum re- quired was subseribed for the Blackstone Canal. At New York all sorts of stock bubbles are inflated and the mania for speculation is terrible. May.—The New York Water Works Company chartered, with a capital of two millions. Twenty millions offered. 1826, Jviy.—The failure of several extensive moneyed concerns excites general distrust. There ig a run on the ‘banks by deposttors and noteholders, but specie is gene- rally refused. During the previous ‘year the balance of exports and imports of specie had been nearly three mil- Vions against the United States, bot in August a reaction took place, and specie flowed into the country in large amount. ‘THE TOUGH TIMES OF '3T. 1832, Jvy 10.—Message of President Jackson vetoing the United States Bank law: ‘Octowxx.—Removal of the deposits. General war be- tween the banks and the administration. 1883, °4, °6.—The banks expand. Imports are doubled. Twiee as much specie goes out of the country as is brought into it 1835, Deckwner 16.—The great fire in New York de- stroys property to the value of seventeen millions of dol- Jars th the commercial part of the city. No failures fol- lowed immediately, the banks continuing to expand. Nearly all the fire insurance companies were unable to pay their losses and forced to wind up their affairs, thus 7 adouble misfortune to the insured and the stock olders. 1836.—Doring this year speculations of all kinds were rife. Western lands and fancy stocks occupied the atten- tion of Wall street. Avatst.—Rathbun, extensive real estate speculator in smashed. He owned the Patterson Bank. The Hxxaty of the 9th predicted a crisis and advised all ite readers to refuse notes of banks west of Albany Srrrewnen 6.—First shinplaster currency issued by a savings bank in Iilinols. The HxnaLp again predicts a crisis, SKPTEMMER 10 10 20.—The crisis approaches. The banks begin to contract, but let money at usurious rates through Wrekers. Stocks began to full. Mr. Datias commences the Pennsylvania war against the United States Bank. Stock falls five per cent. The HxkaLp announces that the crisis #0 long predicted has come at last, and although the specniators had ‘laughed at the kleas of the Heraup, they Low begin to believe it. Ocroumn §.—The pressure in the money market in creases. Money commands throe and four per cent. Stocks fall again Ocrommn 12.—The panic commences. Three millions of Paper offered at the State Bank, and two millions thrown out. The Messrs. Higginson, a large Broad street commia- sion house, go by the board for several hundreds of thousands. Ocronen 14.—More failures. The banks refuse to dis- count; money wax a quarter per cent a day for short loans. Mocks bad another tumble. The Haran at this period remarked:—“The lows by the fire now began to be felt, and the effect of excessive speculations in real estate, stocks, railroads and everything.” ‘OcTomER Z1.—An attempt was made to bull up the stock board without success, The exchanges of the country be came entirely disarranged, and two of three stock brokers went in, OctoneR 24.—The banks threw out everything, and ten or twelve of the best mercantile houses went by the board Novxammk.—There was « lull this month in the panic, and stocks rose a little. All articles of jaxury went down, but articles of necessity increased in price, Flour began to 0 up, and great distress among the poor was antic! pat Decemmxe 6.—Great excitement against the banks. Dis counts suddenly cut off. During the month the banks let ‘out a little, but business of all kinds was stagnant. A new t and relief was expected from that quarter. estate and rents declined a litte. Several failures in Boston, 1887, Jansvary.—Nothing new in Wall street this month. The short crops and demand for produce in Europe in duced the holders of grain to keep it back for a rise, and flour went up to $11, an advance of thirty per cont over the preceding winter. Fenn any 18 —A great meeting was held in the Park to consider the oppression of the times, and the high prices of food, fuel, rent, &e. After the meeting had adjourned A mob attacked the flour store of Fli Hart & Co., in Waeh- ington street, and destroyed a large quantity of the stock. ‘Wall street much meettled. Stocks flat Manen 15.—Newe received in New York of the failure of the great New Orleans house, Herman, Briggs , for eight millions. Marcu 16.—Several failures at Boston and New Or Jeans. The mone; ure becomes severe in all the other Cities. Mr. Webster makes a gloomy speech at Niblo’s Saloon. Maren 17.—The banking house of the J failed to meet their e ments with the banks. ‘all street in a ferment 41 ~ amounts to three millions. News of heavy fatlures in ‘South amt Fast. March 24.—More failures of bankers in Baltimore and Business nt the Sonth almost entirely sas pended. Cotton and sugar fall. No market for tobacoo. March 29.—Mr. Nicholas Biddle arrives in New York, and meets the merchants in the Exchange. Proposes to iaeue powt notes to take the place of foreign exchange, and thereby to prevent the specie from going out of the comnt Maren 30.—An exciting day in Wall street. Stocks, the best, went down: the failure of a large anction house ts annoonced; Morgan & Go., brokers for the country banks, swepend; no country money is received: the Wall street bauks agree to extend two millions, and the United States Rank and Girard, of Philadelphia, and Morris Canal Com. pany, 6 fseve seven millions of post notes. ‘The Hmrann (let) ways it is not enough. Sixty failures since the com mencement of the erisia are announced; the banking building of the Jose fallx, and four persons are killed. ‘Apnit.—In epite of the relief afforded by the banks, fa ures still continue, twenty-four honses suspended on the 4th and 6th. Ninety suspended concerns owe $60,000,000. Eome of the fancies went out of sight. Morris was offered at 70, with no sales—a tumble of 50 per cent. Flour and realestate recede, On the 13th the number of failures had tnereased to 160. The Wall street bankers moet at the City Hall, but do nothing. The Chelsea Bank of ™. ton breaks; algo several large matwufacturing houses. In one day failures to the amount of over a million are an nounced at Boston. News te received from New Orleans Mat on the 13th and 14th the failures amount to twenty seven millions. That eum is iner@Ased to one hundred miltions on the 18th. Avntt. 19.—The total import of wheat to this port from October 2 to dato, is 1,260,300 hashels. ‘Avwi.26-—The merchants meet in Masonic Hall to ap vint a committee to petition the President to revoke the Frensary circular directing all payments for government: Jands to be made in agecte ‘The Herann says that will not help the matter y failures take place on account of the derangement of internal exchanges: Mar 3.—A meeting of workingmen tg held in (hg Park, “They say tt a sit meals CS si cepedelnted forty mi Hons ; that ae eee ae as twenty millions; that 250 extensive houses that merchandise in warehouse has fallen Value, and that 9,000 peraogs here, bees discharged trea ‘ment. “ ¥ 4.—John Fleming, President of the Merchants’ affairs of the bank. A run set inon all the banks. ‘Twe banks at Natchez. |. w par. There is a great run on Dook Bank, and it shuts its doors. Hd Another meeting of the merchants is held at Masonic Hall. ‘The between the committeo and the President is read. He refuses to revoke the Treasury Circular, but “ will think about”? the other propositions. ‘The great banking house of Jobn Ward & en United States stock goes down to 95, and Morris is out of sight. May 10.—After one day’s run the banks, with three ex- ceptions, (the Merchants’, Manhattan Company and Bank of America), vote to suspend specie payments. The other three joined in the movement, being forced toit. The: banks received city notes in payment of debts, and them out to depositors. Specie commanded a premium. Bills on England were quoted at 10 to 12% per cent pre- mium. Meeting of merchants in the rese- ieee the banks. pen oe i May ihe aad met Salem, Lowell, Provi- lence, e) more sus} specie pay- ments. The Heratp publishes a list or 200 falas in Rew York. ecie commands 10 per cent Reet. ‘Tho Philadelphia banks having suspendod, the Council | authorized the issue of twenty-five ‘and fifty cent certif. | cates for anew loan, which were accepted ag currency; they were called city shiny Ts. United States, Pennsylvania, | \¥ 13.—The Bank of bea fesci specie payments, | \¥ 16.—The Ley re of New York pass a law au- ok the suspension of specie payments for one year. May 17.—The President calls an extra session of Con- gress, to meet September 4. Great anti-bank meotings are held all over the country. The Montreal banks sus- pend specie payment. Banks of Charleston, Cincinnati, Quebec and Savannah suspend. May 18.—The President issues a circular authorizing the United States District Attorneys to give six months time on payment of duties. Tho city is flooded with notes for small amounts issued by hotel and saloon kcop- ers. May 22.—News is received of the suspension of the New. Orleans banks, (May 12.) Every bank in the country has now suspended. May 26.—Cotton was firm and sales made at 8c. a Ie. We extract the following from a New York eel amount of specie now going to Europe exceeds that of any period for five years past; it is the only way in which re- mittanees can be made, The bill drawers have all dis- appeared, and if they had not they could not negotiate. Since the first of April not less than three millions in specie has been shi . Very little cotton is going forward, owing to the fact that people do not know whom to ship to in the present state of affairs. Money is again getting tight; our banks, instead of increasing, are diminishing their'loans. Specie has fallen, silver selling 6a 7, Spanish ao 65a 10, American gold 6 a7, and sovereigns 5.20@ “Jos.—Nothing new this month, Trade continues dull. The Hxravp refuses to take bank notes at less than Wall street rates—12 per eent under specie, and pays out only specie. Juxx 3.—Stocks go up a little, and the Hxwaup reports a better feeling. Business of all kinds is very dull. Tho North River steamboats suspend their trips. The Brook- js lyn Bank resumed specie payments, The ‘New York Board of Trade issue a circular advocating a national bank. Jun® 16.—English bills went up to 18 a 20 per cent pre- mium for first class paper. JvLy.—Stocks went up a little, and the crisis was be- lieved to be over. The HeRatp vr calls on the banks to resume, The banks have $1,700,652 specie to $5,574,808 circulation. Avavst.—The fall trade commenced earlier than usual, and strangers began to flock in. The imports, however, were very much reduced. On the 18th the banks issue a circular calling for a general convention to consider the question of resumption of specie payments. The Man- hattan had already resumed. There was still great dis- tress in mercantile circles. Skrremmxn 1.—Banks of Augusta, Ga., and South Caro- | lina resume. 4.—The extra session of Congress met, and Mr. Van Buren sent in a m e recommending @ separa- tion of the government from all banking institutions, the issue of ten millions of treasury notes, the enactment of @ general Bankrupt law, and to leave commerce and the exchanges of the country to take care of themselves. The effect of this measure was to depress all the bank stocks. During this month things look a little brighter. SkrTeMmkn 9.—Cotton quotations were sustained to 8c. a 140. Exchange quoted 20 a 21. British government bills 30 days, 213g a 22. ‘SePrTENHER 17.—Money was plenty, the banks discount- ing freely. United States bank stock 117%. American gold 844 premium. SEVTEMEKR 24.—Gold plenty, and declined to 3% a4 mium. United States bank’ (Pennsylvania) stock 118, change 153g a 164g. SKYTEMBER 27.—Exchange declined to 14a 1414. Ocrom:n.—Congress passed the bill authorizing the issue of ten millions of treasury notes, bearing six per cent in- | terest. Several of the New York banks resumed specie payments. Congress adjourned on the 10th. | Ocrowmx 1.—Savannab, Ga., banks resumed. Exchange advanced to 151; a 16. ‘Ocroner 11.—Cotton market stiff, and quotations rango from Ge. a 12e. Exchange 1535 a 16. Ocronex 21.—Cotton still stiff, and quotations 83<0. « 12c. Exchange 15 a 1535. Specie advanced. Noveaaier.—The Bank Convention (135 delegates from eighteen States) met in New York city on the eth, and continued in session till December 1, and then adjourned tll April, declining to fix any time for resumption. At this Convention, Messrs. Adbert Gallatin, George Newbold, C. W. Lawrence, Cornelius Heyer, John J. Palmer, Pro- served Fish and Gorham A. Worth were appointed a com- mittee to publish the views of the New York banks. Their address states that the withdrawal of the public de- pasits and of excessive foreign credits, with a great fall in the prices of the principal articles of export and an unpre- | cedented import of breadstufls, with the inability of the | Southwestern States to pay their bills, fell all at once spon this city. The banks struggled with all this and with a foreign demand for specie, until some local incidents cansed distrust and panic. and a general run commenced which no banks that pay specie for notes on demand can ‘ever resist. Thus the banks of New York city suspended, after having been almost entirely drained of their specie, while the other banks through the country suspended im mediately after without waiting for a run, and Kept their specie reserve Novemmnnk 18.—Exchange quoted 15a 164%. Specie de- clining, shipments Ko light aa not to be worthy of notice. Decknukn.—New Orleans banks resumed. Decewnen .—A New York letter to a Charleston paper rays, “A packet eaile today, carrying out commercial news highly favorable, whieh will gladden the hearts of all whe have claims upon America. Exebange 11%; a 12. Specie is only at a premium because the banks are in pur- sult of it. Produce shipments are large, and orders for imports very small, whieh is the cause of the decline in exchange. The movement of cotton is bettering the rate ef exchange in the South. Deckwnkx 16.—Exechange declined to 10a 11. Cotton improved Aye Daresnn 30.—Exchange quoted at 04 a 0% 1838, Janvary 6.—Intelligence from Europe excited the cotton market. The sales are very large, but there ia no improvement in prices, Quotations 9 a 11 ige. Jane ay 13.—More activity in the cotton market than known for several Prices advanced 1 ge. JANTARY 19.—One of the city papers of this date, saye:— «Wo are enabled to say, on authority, that the banks of Philadelphia are ready to resume paymenits when- ever the New York banks do. Although they won't name the day, they ice themselves to resume the day after the New York banks.” A few days after, ano- ther city the Com- fone 2" We understand Banks came from Philadeipia on Saturday, not with a big flea in their ear at all, but with a good din- ner, which Mr. Riddle gave them. As to the resumption of apecie payments the atate of exchange was not thought fit to warrant the fixing of aday for that purpose.” Frnnvary § —Exchange declined to 8 a 815. Fenntary 10.—Cotton declined, and quoted Oe. a 11\e. PYMRUARY 22.—Specie deciimng; salen at sos pre. minm. Contracts made to deliver specie Ist of May at 1 per cent. premium, without interest. — Tt is daily arriv- Ing, and in & month or two the receipts from Burope must be ¥ vy Foantany 24.—Ratensive trananctionm in cotton, at decline of ye. a Me. Quotations #40. al0Ke.. Ex- change 6% Fenavany 28. Farther decline im cotton. Sales made at 8ige. a 106. Mancn20.—Arrangements made hy the Rank of England, in connection with Messrs. Baring, Bro. & Co and Mr. Jas. G. King, of this city (New York,) to send Messrs. ton tn eninge armen the vi to ai ke in ree iy! 4 Marcw 21 —The Gladiator left 1 tor New York With £80,000, the first installment from the Bank of Kng- land for the New York hanks. xance 58 —Keshange heavy; quoted 64634. American gold 1 a cent. premium Masth $0 tontom Coaner; fat 80, a 100. low rate is Ringing in Apnn. 4 —Fxchange 4%. Jarge shipments of cord from Havana and South Amo- rica for investment, Money plenty and specie declining to par. Kren 19.—The General Bank Convention, whieh met in | New York, decided to resume by the Ist of January, 1839. This was unanimous, except the delegates from NewYork and Missiaaippi; the former preferring an earlier and the latter a Iator day. Fighteen States voted in the Conven- tion AvRit. 26.—Cotton quoted 7146. a 100. ‘Avnit.20—The banks declared they would resume on mittee of change welling at 10% ‘ew York banks resumed May 23.—A meeting of Bank Presidents held in Charles: ton, which gesolved to resame specie payments on the Tat Jannary onening Joxe 2—Cotton quiet, and quoted 8c. a 11%¢e. change 834 9 90 Juve 14.—Cotton anchanged. Exchange 10 per cent. June 28.—Frchange qnoted 9 9 014 Avorer.—The banks of Pennsylvania, Masaachusette, Virginia, Delaware and several other States resumed speci pay monte for a short time 880, Ocronen © —The Wnited States Rank again se Bytes specie payments, There was a ron om the other Hadelphia Ranks, and they were again compelled to st ke. uepend DeceMnen 18. —Injunction tenes agatet the Behnylkilt Bank, and ite doors are closed. Thvestigations show that Flosen J. Levis, inte Cashier and President, had, by over fesniee of stock and oprinting to his own use apecial deposits, Na en from the bank $400,000. H fled to Europe, was brought back, but never punished 1840.—The Legisiaturg of Pyunsylvanig attempt to force