The New York Herald Newspaper, January 31, 1858, Page 2

2 have rarely if ever met with such severity of weather at sea, or been placed in such perilous cir- cumstances. You have yourself borne testi- mony to the calmness and fortitude shown by the passengers, particularly the ladies; and I must say that the bravest men could not have shown more resignation and cheerfulness; not a murmur or a | complaint has been heard from one individual. We felt that all was being done that skill, courage and | ible seamanship could accomplish to bring us into yort; and our near approach to the land showed us hat our confidence and hope were aot misplaced. | While complimenting and congratulating yourself ind your officers and crew on our safe delivery, 1 | annot allow this opportunity to Vinee without ex- | pressing the obligations that the travelling public | are under to the proprietor of this line of vessels, Mr. Cornelius Vanderbilt. The safety with which | this vessel has gone through the severe weather | ives evidence of her fine model and great strength, Vhile lessening the fares across the Atlantic, Mr. Vanderbilt has not abridged our comforts, or cur- tailed our luxuries or neces While regrettin, ourselves that we are Not near New York, instead of | being off the coast of Europe, we wish to express | our sorrow that the woyste has been so dis- astrous to the proprietor. jough we have failed in our attempt and design to visit New York during | this trip, we shall unquestionably find that on this, as | ‘on all other occasions of apparent disaster, all is for | the best. Many of ns have had solemn and serious thoughts, and we all hope that we shall profit by | the leeson that has been given us. However tempo- rary and worldly affairs may look to us, we may rest assured that at all times there is a Hand that | ever Serves us well, | When our deep plots do pall, and that sbould teach us There's @ Divinity that shapes our enda, Rough hew them how we will. Our attempted voyage across the Atlantic has failed, but to the captain, officers and crew our gratitude is due, and we look with pleasure on the (Green Isle of the ocean. 4 Captain Lepiow replied briefly, to the following effect:—He thanked the passengers sincerely for their approval of his course, and assured them that in the late disaster, as ever before during a long experience, he had endeavored to do his duty. He «said that his post was one of great re- sponsibility ; his reputation was at stake; lives and Loi sane were in his hands, and he was frequently “urged by these considerations to do what money could not tempt him todo. Our duty to ourselves, our employers, the public, and our Maker, frequently pti pr acting of a difficult part on the stage of life. This has been my part, and! never wished myself ashore. I have passed through many storms, found myseif and my ships in many extremities, used and devised many means of | safety, and have thus far always been spared. He thanked the passengers for their fortitude during the dangers, and for their many offers of assistance, and | hoped that he might meet them again many times | under better auspices. He then thanked the paasen- | gers for their tribute of respect to his officers, engi- | neers and men, and assured them tlt such praise was well bestowed. Mr. Boyn then presented the thanks of the meet- ing to Mr. Spenser, the first officer, and to Mr. | Smith, the chief engineer, and recounted their acts of bravery and faithfulness during the storm. Mr. Spenser briefly replied, and after hearty cheers for ‘the officers and sailors, the meeting dissolved. Escape of the American Bark Adriatic from Marsetlles. CAPTAIN DURRAM RAISING HIS ANCHOR AND REPLY- ING TO THE FRENCH OFFICERS. Paris (Jan. 14) Correspondence of the London Globe.} can supply new details about the filibustering and lynch law doings of two American captains at Marseilles. Ltold you yesterday of the outrageous defiance of all law by Captain Durham, of the Adri- atic clipper, who broke loose from the harbor where be was uuder embargo for sinking a Prench steamer with terrific loss of life and goods. He was aided in this nefarious attempt by Captain Smith, of the ‘Thomas Meagher schooner (appropriate name), who lashed his ship alongside and stealthily raised the chain anchor. Smith had purchased the day before three large nine pounders and shot for Durham to show fight if nced be. On clearing the pier Darham was by the war cutter, “Papers all right?” “Aye! aye!’ “What is the ship's name?” “La Lune!” ted Durham, who was in effect ‘‘shoot- ing the moon,” and offhe bore. The French are not 80 quick as Yankees, or en English sea authorities in such affairs,and the Adriactic has got a clear day's start, but the war steamer Chactal is already out after her, and no doubt a flock of steamers are beng ye to sally out of Toulon in pursuit. It will be the fox hunt of the season in that quarter. She is supposed to have made for some creek on the ‘ish coast, whence she will creep along by night, but at the straits of Gibraltar the varmint is likely to be bagged if not run to earth before. FINANCIAL AFFAIRS IN EUROPE. ‘The Latest London and Parts Money Markets —The Retarns of the Banks of England and France—Export of Specie from England— ‘The Crisis and its Causes. THE LONDON MONEY MARKET. THE REDUCTION OF INTEREST RATE—PRICES OF CONSOLS AND BELLION. From the Liverpool Times (ity Article), Jan. 16.) Yesterday the Bank of Exgland reduced the rate of die count from 6 to 6 per cent, or just oue half what it was previous to the 24tb ultimo. This is the lowest point touched since the 6th October, 1856—a period of fifteen months. This reduction was by no means unexpected, | the precise day on which it was to take place only being | doubtful. There were various palpable reasons why the | Girectors should lower their rate. Large amounts of bal- | Hen bave beer steadily Sowing into the coffers of the bank of late, for which there was very little demand, aud itwas | therefore evident that the position of that establishment ‘was quite strong enough to warrant the reduction that has taken place wo day was another element that may doubtless have bad its influence upon the director’—while they were charging 6 per ceat, good bills evuld be f discounted in the open market at 4% to 5 por cent Persons expect a further reduction, but that must depe ‘on the present influx of bullion steadily continu few weeks. The total at the tanding the pay me ment, the Loudon and Westminstor for the resait of yesterday's without ng Weekly court at the Rank of NEW YORK HERALD, SUNDAY, JANUARY 31, 1858. have been convicted. 1857 will also be memorable for the winding up of that affair the Hull Flax and Cotton Mills. the liabilities of this ili starved concern are added to the above enumerated the total is, swelled to the starling amount of upwards of a million. COMMERCIAL AFFAIRS AT BRADFORD. im the Leeds Mercury, Jan. 12. Mesars. Waud Brothers & Co., mohair, alpaca and worsted spinners, Britannia Mills, Bradford, held a meeting of their creditors on Tuesday, in the count- ing-house of the firm. Mr. Isaac Wright, wool- stapler, was called to the chair. A full explanation of the state of affairs was given by the firm, and it appeared from that and a balance-sheet which was produced, that the total liabilities of the house are about £60,000, and the total assets £84,000, avings, surplus in assets of £21,000 over liabilities. Besi this su the by heg estate of Mr. Christopher Waud, the head of the firm, is estimated at £40,000, of which, however, the sum of £20,000 is settled on his children. The firm proposed to discharge their liabilities in full, by paying four quarterly in- stalments of 58. in) the pound each, with in- terest at the rate of five per cent. pro- 1 was agreed to by creditors aasem- ied, and Mr. Isaac Weaht, Mr. Joshua Brigg, co jon agent and merchant, and Mr. Thomas Ambler, partner in the firm of 8. C. Lister and Co., Manningham Mills, were appointed inspectors of the | estate, with a view to make their own valuation of | the aaseta. A meeting of the creditors of Mr. William Walker, woolstapler, of Bermondsey, Bradford, whose sus- pension has been already mentioned, is expected to Pe'held shortly. Mr. Walker's liabilities are expect- ed to be about £10,000. Tt will be remembered that some weeks ago the mill property of Messrs. Thomas Taylor & Sons, worsted spinners and stuff manufacturers, at Oven- den, was seized by sheriff's officers under @ bill of sale at the suit of Mr. Wm. Cheesebo and Messrs. 8. C. Lister & Co., who were the largest creditors of Messrs. Thomas Taylor & Sons when the latter firm became insolvent, two or three years since. A creditor at Halifax, it ap- pears, has lately instituted proceeding in bankruptcy against Messrs. Taylor Sons. These proceedings resulted in the officers of the Leeds Court of Bankruptcy taking erg of a warehouse occupied by the firm, in Market street, Bradford, and which contained piece goods. By or with the authority of the messenger of the Bank- ruptcy Court a lock was placed on the warehouse door, with the object of asserting the right of the Court to hold possession of the property for distri- bution through the Court. On Tuesday afternoon. however, a number of bailiffs, acting under the thority of Messrs. Rawson, George and Wade, soli tors to Messrs. William Cheesebrough and 8. C, Lis- ter & Co., proceeded to the warehouse, made forci- ble entry into it, and brought out the goods they found there. The goods were immediately placed upon the wagons and conveyed to a place of safety. A dense crowd of people assembled in Market | street during the time the bailiffs were at work, and the aid of the police was obtained to preserve order. Some credftors of Mesars. Thos. Taylor & Sons, were amongst the spectators, and also one or two legal gentlemen, who warned the Sheriff's officers against the consequences which might follow from the pro- ceedings in which they were engaged. The London Chronicle of 15th inst., says:— The failure of Mr. Samuel Griffiths, metal broker, of Wolverhampton, is mentioned, with liabilities of £120,000. Several Leicestershire and Yorkshire houses will, it is said, be losers by the failure of Mr. John Good- band, of America, formerly of Leicester. EXPORT OF SPECIE FROM ENGLAND. The following statement of the export of bullion from London to the undermentioned countries during the six months ending December 31. 1857, has been prepared by Messrs. Haggard & Pixley, of London: — 1857. Gold. Silver. Total. Last Fr. “India, includ- ing Ceylon... £167,900 5,972,700 6,140,600 5,027,000 “China and the Straits....... 15,700 2,347,700 2,363,400 2,308,200 Cape of Good H and Mauritius 166,300 2,700 169,000 12,500 United States. 1,566,300 — 1,566,500 - Hamburg, Bel sium and Rot terdam...... 539,700 © 972,700 1,512,400 2,711,600 France viaBou- . logne, Calais and Dopkirk.2.542,500 45,200 2,587,800 249,100 Pevinsula and Mediterranean, with Coustaati- nople. 376,700 448,900, 71,100 Wert ta 42200 484.400 161/600 Brazile. 20,700 282,700 171,100 Africa 15:70 15:70 5,000 Total.,.....£0974,800 9,798,400 16,571,200 11,917,200 *These amounts do not in- Gold. Silver. Total. clude the Jarge sums sent from the Mediterranean ports, and which during past year amount to—In- dia including Ceylon. ..,.£217,530 1,916,050 2,123,580 China and the straits. » 28,230 1,370,690 1,398,820 The above total is irre- spective of the large sums sent by way of Folkestone and Dover to France, dur ing the same period, and which, according to 'Cus- toms return, is... ......4,176,100 270,700 4,346,900 | Ditto corresponding period last year 7,907,900 2,120,000 10,117,900 CONDITION OF THE BANK OF FRANCE. Pan Bocnse, Thursday. Jan. 14, Two o'clock P.M.— ‘The market opeved flat, but without a further fall in rente. There was a general rally on the news that the England had lowered the rate of discount to 5 per cent. Threes varied from 69f. 90c a 70f 10c. Mobilier went | down as low as SS0f. and rallied to 920f, Austrian varied from 722f, 0c, a T26f. Be ; Russian, $18f. 70. a $22f. 50c. ; Orleans, 1.405f, 9 1.418f.; Lyons, 878f, a 882f. 50e.; North- ern, #50c. a 9571, S0c.; and Southern, 560f. a 556f. Hite vaer THe o'CLOcK.—The market continued more to the clone. ‘aris Moniteur of the 15th inst. publishes the fol f account of the Bank t. The corresponding January. December. apital of the bank. francs. 9,000 91,250,000 | Do., new. eseeveee 91,250,000 91.260,000 Profits in addition t (Art. , law of June 9, 1 1,910,088 of the bank. 12,980°750 ove 1,125,000 Fagland, reduced their rate of aidowance oa deposits to 8 |)” | per cest peracnum. On sums below £500 they allow only 2 per cent. The rate for loans on governmeat secu y 2toS percent. At the bank yesterday, wf gat increase ared with © t Public depesita...£7 Other deposita....14,54 Decrease Rest 3,608 ove Increase the other side of th nt 208 Increase Te departinests is £12 643 £1,188 232 when compat The British funds have beer the growing ease in the money market, the | « Of gold, aud more watisfactory advices from the United St ‘and the tendency of prices hax been upwards Yesterday consuls opene as, advance « huyers,”’ and cloned (at four o’olock) at 947, a ¢ money the price was ac the same time 4, stock was offered at 947% for February jecidedly firmer ai 6s. a 10s. prem. To: een steady, fluctuating between buyers 94% 0 0474 for the account three per cen 4), a and seliers at 947; , and closia and 94% a 94%, for money 9 The following table will show the fluctuations in consols fiuce the 4th inst. — —+For Money —— —— For Account. —< Jan. Lewes. Higa Cloeg. Lowest. Hig’. Clor Tues. 5...shut sbut shut 9635 4 on ‘Wed. 6...ehut shut shut 944, i Thor. 7...08% Wb w% my % Fri. 8...94% 96% i «94 954 Sat. 9...06% = 9 94% = «9M 96 Mon. 11...96% = % Me (8 % Tues. 12. 4% OS 4K Wed. 13... os my, my ce ‘Thur. 15..04% Ld ay Oy or, “yy Fore’ securities haye been im good demand during | the wi THE COMMERCIAL FAILURES AT HULL. | The following comparative statistics of commer cial disasters in Hall are given by the Hull News> In addition to many failures whieh have not been rominently before the public, no fewer than thirty r bankruptcies, implicating thirty-nine individu als, have come from this district under the cogni zance of the Bankruptcy Commissioner. The total liabilities of these thirty-four bankruptcies are ten times larger than we had to report last year. In 1856 twenty-one individual bankrupts owed £73,500; in 1857, the thirty-nine individual bankrupts owed £766,000 (the delfts already proved being £616,000), to meet which there are assets amounting to £405,- 000, which sum will be diminished by the important jodgement in Messrs. Harrison and Watson's case (poblished by us last week) to the extent of £2,000. The actual liabilities of the fourteen Hell bankruptcies alone amount to close upon £720,000, Of these, the liabilities of one are an known tous; one is below £1,000, there are between | £).900 and £2,000, four between £3,000 and £5,000, one of £9,500, one of £15,000. one of £110,000, one of | £140,000. and one of £426,000. Fourteen bankrupts | have received third class certificates, two of which, | however, were nded for two years without pro tection. ant one for three yaars, likewise without pi tection; one received a certificate of the second claas, one of the fimet clas#, and four have abseonded. | We may mention that one of these yoy is | nndergoi sal aettct. tec cont and another of feo years pegal scr? ¢ cewate of which they | ob 4 current creditor ts current. p the branch banks..... da payable... ....+ d sundry interests Cash in band, franca. Cash in branch banks... Commercial bilde overdue... Commercial bills discounted but not yet due. . o branch banks. ‘ on dep. of bullien 2,620,600 ve branch bank» 2,210,900 18,992,436 5,965,750 ’ 21,117,200 Ditto by the branob Danks. ... 10,321 '800 Advance on Credit Foncier Scrip 253,200 106,400 Do. on Branch Banks Serip..... 71,900 34,100 Ad 50,000,000 12 Landed property of branch DANKE eee cece eee SBE ORE 5,635,502 Expenses of management of the Bank..... eeeereees 110,228 2,056,088 Premium porehases and silver, ° 1,576,020 Sundries... 1,260,289 Total THE CRISIS AND ITS CAUSES. (From the Westminster Review, January, 1859.) AMERICAN LAND SPECULATORS. In America, as in all new countries under the pro- | cess of popalation, land isa staple commodity, fre- quently changing hands, subject to t fluctuations in Wrioe, end 6 chief object. of sj Salation: In the countries of Europe land Ts that commodity which changes hands most seldom, which is stable in rh and which is little employed for speculation. In Holland, Flanders, France, and all the well set- tled and well cultivated countries, land bat rarely comes into the market; and, apart from other rea- cons, there is one great cause for this in the restric tive effect of a close law of inheritance. Thus, land is transmitted by inheritance, and only casually sub jected to sale: and although eagerly competed for when in the market, yet the new purchaser steadily retains it, and keeps it again out OY the market for 6 long a > Farad a. ae ee there is no_opportun’ for obbers nor for # ealation. Land constitutes the steadiost invew- ment, and the only speculation in this branch is in town houses. In Atmerica and Anstralia. a8 alroady stated, the conditions are widely different, and land becomes to 4 great extent an agticle Peppy Everythi encourages thia. id land has only a noyninal price, and is readily obtainable, while the improved price may reach within a short period tenfold or newly anrves 8 m0 5 roade, make ite waters nat at pines wits spon thy Wortyqit, give value to the lumber, wud each lot has an immediate or prospective value. The bu} The manufacturing interesta in the buys not with the view of having one hi United States are in the same Fostered pounds for the hundred he has laid out, or of having | b; protection and incompetent to contend with the the use and yment of the produce of his hands; | productions of free trade, they have been but it is istibly forced upon his mind that year | very seriously affected the amendment of the after year his will rise in value, and that at a tarts, and many concerns have been forced to wind Tee eres ant Lateaeee nef ale salle collared , Dot uj ice, | crease a not 4 the imniediate’ acl Scice bat the Btates are to a great de; depen- upon future con! and prospective | dent upon Europe for capital, their merchants have Bac gear nSs bea, ieee | eae aa SP satya ie Ta man, » who a world, ly oO hom for his children, nurses the thought that Benth America, China, India and Australia; and some years hence his farm or station be of a | these operations, instead of contributing to the certain given value; and this governs all his ideas | wealth of the States, have been a drain on their re- with regard to it, and his ideas and conversations as | sources. In many cases their merchants cannot to his nei ‘sland. Wilder imaginations or more supply suitable goods for outward cargoes, and can- r seek torealize the tive advances; ‘take return produce. American notions go but and many qpecally devote ives to land deal- | a small way in making up a shipsentiand: guaso is ings, as old watld to horse bling, mining but in small demand States. The American speculations, and the various operations of chance of | operations are fonerally , and the American high or leg character, or of ter or less extent: | houses fail one , few having real capital and just # in Cornwall all have a greater or leas | or being of a stable character, and therefore ill able taste for mines, and in Yorkshire for horses, so in | to compete with the merchants of England, Ham- the — nna oe dabble in land. . burg, oS ec thd Magi sa Gs as tl a Peport of re is a encouragement to land dealing, | sugar and coffee goes, there is & gitimat is for thats moras te alhamee of tae ceatinn tase ‘comectionst but American enterprise has been om- and it consists in the constant advance in see value niverous,and heavy have been the losses. Although of wild land with the spread of population. Al- theugh in a depressed colony, as all our colonies and all the Western States have been at times, lands may be thrown on the market and sold at very low rates, et the steady holder alway higher value the k he holds. Tt ia an invest- ment of an accumulative character, like woodland in England, which, although not yielding a yearly in- al iad an aggregate accumulated return when The fever and the greed for money, which mark a colonial population more strongly than the home ulation, because there are wanting the softening influences of the old country, lead to r efforts to become suddenly rich by land ulations: and as in mining, Potosi, Devon Great Consols, and Burra- Burra are prizes leading on thousands to profitless ventures y the dazzling charm of their enormous returns, 80 the wonderful transformations from prai- rie wastes to cittes abounding in wealth, luxury and population, encourage the land 4] tor to invest in likely lote, with water privileges, mill power, and the chance of the stream of westward emigration and eastward exportation passing through and gild- img the path with wealth. Chicago and Melbourne are enough in their magical growth, giant offspring born but yesterday, to lure on thousands of adventu- rers; for there is no ordinary site which may not be- come a are city, and few places so remote or 50 barren but that they may look to a goodly increase. Therefore, lands are taken up at a low price and held at a speculative value. Such is the case with regard to rural land, but town lots have no less claims on the town popula- tions. New York has spread over commons, swamps, and sea strand, and planted suburbs on the neighbor- ing shores. Its growth in population and size has been ud, but the increase in rents has been enor- mous. It might be expected that the central tho- roughfares would improve in value as the syburban population extended, but the increase in rent has So far beyond that, and year after year rents have en raised throughout New York. The habits of the population, migrating from fiat to flat, and from house to house, fagor for a longer time than would be expected the on effort of the landlords for raising rents; and, indeed, as the whole community are engaged in seeking enhanced prices for houses and unbuilt lots and blocks, they can scarcely rise in insurrection against the oppressive influence, al- though many grumble and the poor feel it. The mechanic who 1s saving money buys a lot, be- cause he can fairly expect an enhanced value greater than the ordinary return of interest; while, ae a good registered title, he knows what he holds; an in no money investment in bank or railway bonds, or on esa, oa Poa he feel secure. The man who bas more than enough for his subsistence, and who is yearly putting by money, has not the necessity for a regular return on his investment, as he looks only fo a future accumulated value. Thus, from one motive or another, the greater of the community are en; in a general scheme in which every one is to become rich—all who can hold eventually to become so, those who can sell rapidly at im) prices to grow wealth at once; and 80 a ré, of artificial prices is creat- ed, regularly so long as the operations are un- checked—for such is the physio! of speculations —but as a matter of course attended with a sudden downfall whenever these fictitious and assumed prices are brought to the test of the market on a considerable scale. Then, instead of land being an article of steady price, as in the Old World, it isa drug, hag it is unproductive or ry: omens because ng prespet or contingent in its results, and not i and certain. As land in time, and to a great extent, represents a positive value, so the adventitious operations in it become connected with real transactions. and a basis | is prepared for a most fearful panic, such as regular- ly the American States and the colonies from time to time, and to which a European panic of 1825 or 1857 bears no com n; but which rather, in its —— resembles a revolutionary crisis, whole classes being reduced from opulence to bor gary, and whole communities, Kany eaigee and indi- vidually, becoming insolvent; but less permanent in its influence, because the growing resources of the country soon restore the population to the wealth they had lost. Tt is not that the land and town speculations of themselves create panica, but that they greatly in- crease the effect of panics, while they promote the | 93 | and the future ! operations, which. being simulta p rates of fare and toll. spirit of speculation, gambling, and greed after sud- len wealth. Speculations in wool, cotton, sugar, and manufactures are less disastrous, because the fluctuations in price are not so great, as there are positive commodities in hand; but when wild land, prairie, bush, sheep runs and town lots are brought to the hammer the fluctuations are great and the depreciation enormous, and in so far aa they consti- tute the assets of the merchant or storekeeper, or of his customers, their foreed realization is ruinous, and leaves him an insolvent before his foreign cre- itor. AMERICAN SPECULATION, In conjunction with this vast land speculation, the United States have been the ne of various great ously wound up, erity of the crisis and con- way «system has been enor- nited States, because each es of it and is desi- have aggravated the « stituted a panic. The re mously extended in the community knows the adva rous of enjoying them by any believing that the pecaniary results may in pe sufficient to repay the outlay, and being perfectly regardless of who finds the capital or what is the fate of the capi- talist. A railway act is eagerly and freely nted zs Western Legislature sitting in the woods; and the projector, president or director who gets together capital by any means and lays down the road is re- garded as a national banefactor. What happens to the shareholders who invest the money is quite a secondary consideration. The formation of a rail- way is often a political engine for the improvement of a district, and is conducted on the political code of morality by political adventurers. The lines have, therefore, asa general rule, been very loosely con- ducted, both in the East and the West: large divi- dends have been declared from the first, paid ont of pital, fresh capital has been raised to pay them, jas been drawn upon to supply the resent. Wisconsin or Michigan has got its Palla and whether Downeasters or Britishers hold bonds does not disquiet the passengers and freight- ers, who, besides having a railway, are in some cases indulged with its free use, or with anremunerative This course of proceeding has been carried on to such an extent that railway boards became insolvent one after another; suspicion was aroused, inquiry made, discredit was thrown on bo nn after board, and a general collapse bas taken place. In these operations the spirit of land «peculation is to be clearly traced, for many of the companies are as moch land as railway speculations, endowed with large grants of alternate sections of the public lands, and relying upon the sale of these at an ims proved price for the supply of funds, rather than on existing traffic, Coincidently with the progress of railways, they have in many districts destroyed the traffic on the canals and river improvement, and utterly depreciated the canal bonds: as the water traffic being in one line, and the railroad traffic in another line, the railways by their superior aceom- modation and connection have carried off the passen- ra and the best goods destroyed the basis of the goods traffic. By the ion of traffic many towns and properties on the r navigations have been thrown back in value. Steam navigation has been forced on an artificial basis, and vessels have been hilt on a large scale from motives of national cy pinot with the English lines and to engage in coasting trade. This branch of enterprise has on the whole proved a failure, and the public benefits have been achieved at @ sacrifice of capital Mining has been attended with a sacrifice of capi- tal, as in the Old World, for mining. uncertain in its resnits, is mest commonly an operation of gambling with a few enormous prizes. Exploratory operations conducted in the best manner do not uniformly lead to productive returns, and even when mineral is found it may be of low average and unremunerative. The copper companies on Lake Supevier, although turning out a considerab® inass of rich metal, have ca a large absorption of oy 1, and tl companies of Virginia and the h have given no pean pent ng return. The attempt to achieve results, without European advant: of cheap and organized labor and cheap capital, have led to large operations in working irenstone, and in forming onting oot, also working at nnremunerative rates, England, the iron trade, it yields large profits to some individuals, and e: ive em, oyment, is frequently enough in an unprofitabl Pomdition: In the Sates a ranch of nat are. into activi artificial protection. feud its intrinsic Trenkness embarrameing ‘ tims, is in danger of extinction from a more enlight- cued policy, witich already exerts on them a light ing inflteuce. some of these fall ape foreign ane, @ portion of the absorption of resources is felt at home. The Americans occupy a very marked position in many of the markets, from their enterprise and dashing speculations; but their real resources are in the in- telligence and energy of their shipnfisters, and in the ability of the ener adventurers and schem- ers, who are now to be found in every corner of the earth. AMERICAN PANICS. From all these various causes it will be seen that there have been enough in operation to affect the trading capital of the country and to derange the whole iy of banking institutions. True enough, the resources of the country have been wonderfu Wy developed and are making undoubted progress; an this very year the copa of grain, cotton and tobacco have been abundant: it is true, likewise, that a great part of the capital engaged in financial and commer- cial transactions is European; but the banking insti- tutions of the country have become affected by ad- vances on depreciated ‘securities, and, having been unable to stem the panic which set in, left the whole fabric of Los yagre to totter to its fall, themselves being involved in the general crash. The banks have had the great hand in feeding railway enterprise, in supplying manufacturing ope- rations and accommodating trade speculations; and when the crisis has come, the resources on which they depended are unavailing; for railway bonds are‘ depreciated, mortgages are worthless, manufacturers ruined and merchants insolvent, and the note circulation has been embarrassed by the discredit of the banking operations. . The panic has been attributed to the warfare of & bear party and a bear press, and the material pro- gress of the countryis appealed to as an evidence that the panic was groundless and even fictitious. Bear operations there are always in every market, and the mercantile community of the Atlantic cities being essentially speculative, far beyond the stand- ard even of Liverpool or Glasgow, great bearing ope- rations are always going on in stocks and in produce; and so are operations for the rise; but the fall in railway bonds and shares, and similar securities, was dependent on the fact that line after line had been found rotten in its management, untrustworth: in its statements, and destitute of the assumed traf- fic; and all other enterprises being eagerly and at- tentively canvassed, many others were found in the same situation, and a delusion could no longer be maintained. ‘The fall in railway and the like stocks crippled the resources of the speculative mercantile community and the banks; loans were drawn in, and the manu- facturing community, in reality living on borrowed capital, and having no security but highly priced works and over priced stock, was in jeopardy the moment advances were restricted, while the banks became more jealous and more wary at each stage, but too late to save themselves, though quite in time to aggravate disaster. As the resources of the mercantile communit; were trenched upon, mort, were called in, lan: lots found worthless, and high rents Lee no longer maintainable in an impoverished comm ny, Spree depreciation took place in real estate. With the thousands now out of employment, and the general ressure on the trading c! . rents in New Yerk, iladelphia and Boston will largely recede, and out- side lots remain unoccu; fora time, Thus the various securities of » note ers, merchants and Las samp gai have, by the reacfion of the gigan- tic system of speculation which pervades the coun- , been reduced to nothingness, and wen boamape ei ith an im} 1g business and accumulating capi- tal, brought to insolvency. When the banks began to get into difficulties and to curtail their discounts, as the mercantile classes were alarmed, 80 voc nah 9 classes: < mechanics and iculturists, it foreigners, were sencd with siactn, and not calpeemnyed to withdrew their deposits in bullion, but forced in their notes to be cashed. On all sides the resources of the banks were assailed, and a genera! suspension, alike af sol- vent and insolvent banks, became & measure of pru- dence and necessity. PANIC IN ENGLAND. We are now enabled to see the links of connection by which this panic was brought to bear in Europe, and its reaction on the United States. The view affords us a very disagreeable proof of the intimate relation between the Old World and the New, and of the influence of the latter on our own interests and condition. We have been #0 accustomed to the old idea of Europe influencing America, that we have hardiy been prepared for the counter effect although wer or the spread of — thitherward. The Brat American panic. in 1837, affected some four mercantile houses in London, and was regarded as only a partial and isolated operation of little signifi- cance, The present panic has, however, been of far more serious extent—surpassing 1837 and 1847, and equalling, in the terror it has spread, and perhaps in its appalling effects, the t panic of 1825-'26. The present sonamed American panic is one of those events in our commercial history ,as important in its bearings as the supply of new gold, and as various and enduring in its influence and effects. In a general way, we are prepared to admit fhe commu nity of interest of all nations; but we are us yet —_ in appreciating the immediate and decisive influence which any one nation now exerts on the destinies of the others. The change of cireum- stances has indeed been sudden and swift: and the constant developement of the operating causes sur passes our conceptions and our power of following and registering the events and their consequences. We have not merely to allow for the influence of railways, steam navigation and the telegraph in uni ting us with the rest of Europe, but for the combined machinery which brings us in contact with new born and ewiftly growing communities in the West. The abridgment of the Atlantic passage day by day in year after year, hour after honr in each month, as competition effects some improvement, ix but one example of the mode in which our union with Ame- rica being made closer; for the wonderful march of enterprise among our brethren brings the distant and but lately unpeopled and unproductive regions into rapid contact with us. To say that Qnebec is within twenty-four hour's reach of New York—cities once separated by the long marches of atmies, by the ce of a campaign—is a startling fact, but nevertheless a «mail one; for Chicago and the cities of the lakes are reached as quickly as railway transit can effect intercéurse, and as railways go on forcing communication with Michigan and the infant com- monweaiths of the far West. To these regions—remote we no longer dare call them— — and commercial intelligence are con- vbyed telegraph, and thereon sea-going shipping is freighted with produce for the markets of Burope Tn little more than a week the Mark lane prices reach Chicago, more awiftly than, not long since, they reached Dantzic or Odessa: and, in little more time, cargoes to arrive may be aold in the London market. re is an intimacy of relation established by the intercourse of trade; but we should deceive ourselves if we considered this fact under any limit- ed acceptation: for we have, in trath, to consider communities of buyers and sellers, of borrowers and lenders, with whom our transactions are most active, and whose condition may immediately ‘affect our own. In Europe we have countries of the greatest fertility—Hungary, for instance—nearer to our sight and better known to us by name, but with which — or physical circumstances afford leas oppor- wanities for intercourse. It is easier to ship corn by the great lakes, the St. Lawrence or the Erie canal, and the Atlantic Sea to London, then frem Hungary by the Dannbe, the Black Sea, the Mediterranean and the Atlantic Sea; for the grower in Michigan is unimpeded by political disabilities or fiscal restric- tiona, and the geographical difficulties he has over: come, while identity of language and of race facili- tates intercourse. The developement of these growing communities of the West, of the South, and of Canada, has mate- rially influenced New York and the other Atlantic cities, but chiefly New York; and the commercial rations of these cities are mainly dependent on the eedings of the nations of producers inland in ‘the shipment of cotton, tobacco and flour, and in the consumption of imported goods. We must now beyond New York, to the customers of New York, to find our own customers, and must prepare our selves for the establishment of more direct relations. Formerly, New York and her sister cities ey using Buropean capital and lending it out, co § ed the operations of the inland; but now,in many cases, by the growth in wealth of the producers, they are the masters in finance—controlling the destinies of New York, instead of submitting to her commer. — The of these,commercial ope- tions is 8 , and our own share in them #0 considerable, that we have the deepest interest in them; for onr rty and profits are concerned in apeculationa, ‘her in New York or the interior in fhe abundance or shortness of crops, the arrange. we should readily accept a westward transit of | os ments of the and of currency, the efforts of protectionists or of free traders. ‘The effects of this new and in England were at first but small, and the intelligence was receiv- ed with calmness; but quickly they to spread among the commercial community here, for, in real- ity, the whole course of trade had been stayed on the w side of the Atlantic. The currency being dis- turbed, not only did the great and accruing liabilities of the American merchants remain unliquiduted, but the holders of cotton, corn, tobacco and other pro- duce—of late independent of the merchants—hesi- tated whether to forward produce to the merchants in their cities, any iu the general b , too, mer- chant was left with dishonored drafts and without remittances, while his own produce lay unsale- ‘he Bank of Eagland~the great monetary insti great mo. ju- tion which #0 strongly affects tho financial destinies of the old and new country in additional shock to the Atlantic trade by raisi rapidly its rate of discount—by Deseding remi tance of specie to the United States for the resump- tion of specie payments there, and at a period when the rates of discount were enormously enhanced, by treating with suspicion the paper of all American houses—thus yasualiy .deeriving them of discount altogether. Thus, solvent houses and «insolvent houses of all kinds were brought down; for, though it has been said that no solvent house could want accommodation, yet, inasmuch as so many houses were endangered by the mistrust and suspicion of the ators of the discount market, houses having good bills, but with the names of suspected firms upon them, were left with inconvertible paper. A bill with three names was reduced to two names, or one name, and placed out of line. Next, the joint stock banks were disabled from rediscounting, and a name lost thereby; 80 that day by day the propor- tion of first class bills was reduced, and no man hay- ing good bills in his hand could tell—if he kept them for a month, a fortnight, a week, or even a day—but that they might become discredited, thus depriving of all resource therefrom. Therefore he rushed to the Bank of England to obtain accommodation while he could; and, with a diminished trade, we saw the Beaman of an increased amount of discount. ose who had produce strove to realize and obtain resources; thus pared and produce were depressed, and, as the usual course of credit was disturbed, fur- ther damage was caused. Alarm was spread among the small tradesmen and the working claases of Scot- land and Treland—notes were forced in for gold, de- porits left in confidence were summarily withdrawn, and the banks, unable instaatly to realize their re- sources, or to discount the paper on band, had, in several cases, to succumb to the sudden pressure. In such @ crisis rotten houses stopped, because rotten houses must stop, and it is besides expedient to cover a disgrace by the appearance of yielding to a genera! misfortune; but solvent houses suspended, some of which have since resumed, and others will pay twenty shillings in the pound. The liabilities of the British houses and banks which have failed dur- ing the crisis are estimated at £50,000,000. e panic spread to the Continent, not only through the customary channels of trade, but be- cause the Germans of late years have acquired a very close connection with the States by the intercourse of half a million of emigrants, while in the trade of England itself the Germans have now a very great share. The desire of freedom has made many of the moat active men of Germany citizens or denizens of England and the United home look with interest and lo grant kinsmen. Thus, Germany suffered even more than France and Hawburg: Bre- men and every commercial city of Germany have been stricken with disaster. FRENCH DRAIN FOR GOLD. Concurrently with the extensive and eager demand for gold as the ae mete for the evil we have described, the Bank of England has been subject to ‘a drain on its vanits in order to supply the demands of French merchants through the Bank of France. = = Bey rd to this bank, that efficient check which, even of the etvene of So, the ish ing to these emi- monetary operations unfettered or not interfered with by governments, regulates the pur- | chases of gold by the ee _— powerless. The politi os override the natural laws of commerce: gold is taken from England to France, although, while merchants are £ to pay a discount of ten per cent for it in London, they can get it for eight or even seven in Paris. That the French Bank, as acting under the direction of the French govern- ment, is subject knowingly and aforethought to heavy loss in the acquisition of bullion, is an admit- ted fact. The Emperor is not deterred by the con- sideration of cost; cost does not enter into his caleu- lations, because he weighs something more than the meeeye he he political objects he atstake, the maintenance of commercial credit, the supply of the boarders of bullion, and the upholding of the whole imperial system. Were each million of bullion to cost another million of bullion to acquire, and did one month’s tenure of the reins of power depend on this, no one imagines the ruler of France would hesitate at the cost in the di | of the revenues of the State under his absolute control; whether a few hundred thousand pounds shal! be directly or indirectly laid out in the purchase of bullion, or the pure! maintaining soldiers, or deporting political offenders, is nota matter of moment. That government, too, has so many engines for effecting its purposes in an indirect manner—as, for instance, the Municipality of Paris, the Bank of France, the Credit Mobilier-- that it can readily enough carry out any financial expedient, nor is it restricted by the = itical economy. For that matter, the Société des onomistes is defunct since the imperial régime has been in full vigor; and Horace Say, Michel Cheval- lier, Adam Blaise des Vosges, and their colleagues, have no longer any organization, although indivi- duals Chew ge | on unequal terms with the protectionists. French government have pro- vided work for Paris and Lyons, have supplied the public with cheap bread in times of scarcity and with dear bread in times of cheapness, have aguin regulated the boucherie, and duly publish from month to month assizes with fixed prices of bread and meat, according to categories and qualities. It must be observed, however, that much of the bullion which France haw obtained belongs right fully to ber in the course of trade, and in no way owes allegiance to the dominion of our banking in- to do #0 profitably, ‘al purposes of Louis | stitutions. When a West India steamer comes in and sends up seven wagon loads with two millions of dollars to the Bank of England, it is gravely remark- ed, and in tones of lamentation, that one million or a million and a half, have been taken to’the Conti nent; and it is held forth that we have been in some way defrauded of our dae right of locking up the dollars in the Bank of England, and that it has been surreptitiously carried off by the bnllion stealers of Paris; and yet, if we could know the truth, proba bly the whole remittance belongs to the Continent, and ngt five thousand dollars are on English account However it may be, the lamentation is groat and doleful prognostics a: indulged in. It is quite forgotten or lost sight of that the peo- ple of the Continent have a very large trade in South America, and that they can receive no returns inany thing else but bullion, and through the channel of nd. It is, however, the case, that Mexico, jumbia, Peru, Bolivia, Chile and Buenos Ayresare full of merchants and dealers from the Continent, and that the shopkeepers in many places are French, Catalans and Genoese. While the English and Ame- ricans hold in their hands er staples of trade, the country towns are occupied by petty re and storekeepers of the ‘classes named. Since the jin has worn off, and a chino,is no d man, the Spaniards have returned, ing up, wi may uctive its. "The old § and @ Spain iv wprin serious poll ro resu bie te go has bo advant: porsessi same language, the same habits, the ame {nstitutions, the same vices, and the same foibles as the inhabitants of the New World; and he can_in —_ cases best suit their tastes and habits. Thus the trade with Old in is er The Frenchman has the prestige of fash- jon Tn Mouth America; the French language is the foreign language most readily acquired, and that from which the (a Ad nish bookmaking in these days is readily obtai The French there, as elsew! , are dealers in_nick-knacks, hair-dress ers, and mers, and milliners, and oy, have no despicable share in the supply of commodities where luxury and frivolity are dominant. The Italians, or more properly the Genoese, unwatched by us, are making a figure in South America, and steadily in- creasing in numbers. Not to speak of their great colony in Montevideo, where Garibaldi may again command an Ital! legion ey are spread over every southern common weaith, having a sufficient resemblance in language, manners and religion readily to establish themselves; and having a fru ality and perseverance which enable them to flour ih in communities in so low a state of advancement that the Anglo-Saxon retires from trade in disgust. ‘The Germans are increasing in numbers, but they are chiefly connected with Hamburg and Bremen, and work either directly with English or American houses, or share in the trade with them. They are either merchants or mechanics, like the English or Americans. The Swiss are, as everywhere, hotel keepers BULLION TRADE. ‘The several continental nations my! assorted oar: »e8 of prods, and their ahop-k ike wise I ly supply themselves with 3 but in trade the other way they have but a small share, and it is almost engrossed by the Bnglish. Thus the ice of the Went Coast avaliable to si oh consists of guano, copper, silver ores, soda, grain, alpaca wool and bark, and of Continent takes but little, Thus 7 being so little appreciated on the ey ‘i oe foreign bottom must go to England. Copper ores, carried to Pratice, ong pe to England Silver ores must Sngln ro to Bngiand, the, United States, or Ham- fore and. the lighter articles go CL ne? the ood being, as it were, monopolize ang Jand, there remains the silver of Peru and Chile for tue continental temitters; but as bullion wnst be con this e an | are crisis—gave | eee tates, while those at | 3 in this crisis | , or in pulling down houses, or in | jetates of | be bed the English mail steamers through the Pa- ic and the West Indies, there being no others, the bullion comes to and the continental re- mitters buy bills on market. Looking, there- fore, to the fact that the English and Hamburg re- turns are made chiefly in , it is a natural con- clusion that the silver chiefly falls to the lot of the continental traders; and it will follow, as the bills re- mitted to Paris, Havre, Rouen, ux, Lyons, Switzerland, Barcelona and Genoa are made avail- able in London, the bullion will be withdrawn. Tn all likelthood, if a French, Spanish, or Genoese line of steamers were to be ‘axiewod round Cape Horn, we should lose much of the West Coast bullion remittances, and those on continental account would direct, asia the case with those from the United tates, now that we have no longer the modopoly of the carrying, but that direct lines of steamets carry specie to Havre and Bremen. _ At present @ lara proportion of the remittances brought in transit to London; which has become the bullion market of the world, which receives of Australia, much of that of California, the silver of Mexico, » Chile, Co- lombia and Buenos Ayres, and t) ust of Bra- ziland Africa. In tne operation of parting or pu- rifying these metals, patecee on upon & gigautic pisa le , by Cope cael i Royal pr i od rable quantity , silver inum, | small portions of ium and jium, are ob- tained. England has likewise the monopoly sate i masing site from the copper and other ores of and the West Coast, carried on at Swansea, and oo- casionally extracts | quantities from Spanish and other lead ores, or Tend in the desilvering works at . Newcastle. England now laces no mean quanté- | ty of silver from its own silver-lead mines. All thia | serves to build up,as we may say, the bullion markes | here, and to create a considerable profit in | with the commodities; though it is evident that as | to much of the bullion we are only interested as car- riers in transit or warehousers. The demand for this bullion in France is referable to two causes—first, for the supply of manufactures, which constitutes a permanent demand; and second- ly, for coin for current circulation and for hoarders, which is to some extent a casual, irregular and ad- ventitious demand. France, Switzerland, Italy and Western Germany produce only a fractional quantity of gold or silver, and Marseilles has only a casual share in the refining of Spanish produce; the de- mand, therefore, for the goldsmiths, silversmiths, for gold leaf, looking glasses, avd for other purposes, both for home consumption and for export, is very ae must be supplied from imports. As the irect imports from the United States and South America are limited, the supply must pass through this market. ‘The demand for hoarding in France is undou! very great—first, because the [ore is ign 4 and an ignorant population always hoards; and se- condly, because great political distrust and commer. cial uneasiness prevail. There must be a large per- manent demand for coin for hoarding in l'ranoe among the peasant proprietors, and the amount dis- pean for the so-called voluntary loans during the ian war is a sufficient proof of this. Alth such large sums were then let loose, there is mot least ground for believing that the peasants are more enlightened or less disposed to hoard; on the con- trary, there is good ground for the surmise that er are how engaged in restoring their hoards to th former amounts. With such consumers of coin legislation and Pagersyain | will have no effect, and there is no course left but to submit as easily as may be. The same remark applies to such hoardings, now going on in Europe, as are attributable solel; to feelings of political or commercial mistrust. Su hoarding wi only cease with the mistrust which it. causes it. INDIA AS A CONSUMER OF BULLION. Notwithstanding its high Y sseoy bullion is steadily exported to the ; the drain of silver has conta nued in peace and inwar. In India there is a de mand for bullion on account of the improved condi- tion of the population, enhanced by the consequent rise in prices. A government which has protected the population of India from external aggression, althongh it has not always succeeded in abolishing internal oppression, has allowed the resources of the country to be further develo The exports are but a pant of this result, as there has been an en- hanced consumption in the country, which, with the exports, gives the measure of the total increased production. Little comparatively as has been done, still ce rage bens ss my repent ad ot exchange of commodi.ies, have im creased by road, railway, river and sea. fe Sew. ries, the currency of a district has advanced to cop- per, while another has advanced from copper to ver, and portions of the country now circulate ee mohurs in addition to silver rapees. Thus there a yearly ting demand for bullion for circa- lation, hoarding and persoual ornaments—anothee | form of boarding. demand will not decrease, | for the extension of railways among one hundred and eighty millions of people will wages and ‘ration is “— “' vi gre ene eer ool 7 f 6u) in & » is may readily be judged the demand will be great. only remedy propounded for this demand is a government paper money; but this will be of very ‘ial effect, as paper notes will neither do for | ae ner had pg! nose jewels, Still, ultimately with a greater rices, m will be to some extent available. Ooe aed ron able is to make the rupee of the same denomination as the florin, to make convertible, to make the sovereign current as a mobur of ten rupees, and te decimatize the bade the mill system, giving the cuma and pie different values. As the rapee has been lately altered throughout India, the new varia- tion will little felt , and a uniform decimai peon A will be obtained for Eng and, India and Australia, avoiding re-coinage, simplifying the ope rations of remittance and circulation, and prepar- ing the way for the extension of uniform currency in time of peace the demand for India is great, end on the commeucement of the insurrection some authorities considered that this demand would be forthwith stayed, as the commercial operations were slackened. is assumption, however, was founded on forgetfulness of the new class of demand now brought to bear for the purposes of the war: first, beeatise the disturbed condition of India restrained the circulation of the currency then existing; and next, because in a state of war, bm op even if they can make requisitions, must be chiefly dependent om purchases by coin. Bullion in the military cheat is one of the first necessaries of an army, tor a free — is a quicker and readier resource than forced ae for ae, Payee mn has well Inid wn in opposition to tl ractice of Napoleon. Such bullion, as the elder Rothschild showed in his evidence before the Bank Inquiry Committee, d. ox not enter into circulation, but must be constantly supplied, as the peasant, liable to requisitions and forced contributions, hoards whatever coin comes into his possession. Thus, whether in or war, and although the neck of the rebellion is broken, the agitation of hoggemenye will not be repressed for some time; we must still look upon India as a | consumer of bullion; and the demand being parlly political, for the purposes of the Indian government, | will not be subjected to parely commercial const derations China is aan an economical, as weil aa @ litical revolution. The active emigration to Aus alia and California, and the return of emi; ita with their savings, have exercised a great influenc not only on the maritime provinces, but inland; and there is a demand for bullion which can only be sup plied by importation. The political difficulties of ‘he country stimulate hoarding, the chief antagonie- tic influence to the free circulation of coin. Specu- lative writers look upon circulation as the ving function of coin; the jard or the Hindoo con- siders hoarding as its legitimate destination, and we may to this day see large masses of gold and silver coin of the seventeenth century nntarnished and un- worn. As the passion for rene allows of no alternative, it must be satisfied. fe may extend our imports of tea and silk, and may increase our exports of English manufactures, but the demand for bullion we must continue to supply. We have now enumerated the various causes, manent and recurrent, which have combi te drain the Bank of England of its bnilion so effectual y as to induce the suspension of the Bank Charter ct a second time. The value of an act which Mi nisters have felt constrained Ynsinng Soy repeal, oo the arrival of the only two crises dangers of which it was expressly devised to avert, we shall dix cuss elsewhere. From the events which preceded and gave rise to the second Il, and which we have striven to sketch, we arrive at the following conclusions: — First—That we are subject to a disturbing poger in the influence of the United . condThat land_ speculations, ns inducing nics, will seriously affaet us, in proportion as Aus: ralia, Canada and South Africa advance under the stimulus of self-government ‘ Third—That the currency laws of England and the United States do not provide such a supply ot bullion as will meet ® general or considerable con version of notes under influence of a panic Fourth—That the currency laws of England and the States of the Union have been practically sue pended under the operation of panic. Fifth—That the currency of the note issues ot England and of the States Tes, nevertheless, beev maintained at par; and, in England, its convertibility has not heen suspended, ‘The effects of this panic on the United States ar bat omy ‘The resources of the Union increase enorm every year; ci are now in the public ‘works tiow L Poy the land is avail able for freah specniations. in a short time apecuia live prices will rise again, and the goneral comme nity will be restored to its real and fictitious wealth and, although the individual distribution will be af fected, yet, a8 the most of the ruined individuals wil\ eng in fresh operations in a rising market, indi vidual suffering will not be great or continuons, no, wat any serious or impressive warning be given hy is crisia Tt ix, however, most probable that the banking Jaws of the varion: Ateres will be so far ameter that 9! } Hie will Be required & i