previous next

[from the London Times' City Article.]

Monday Evening, Jan. 7.--The Bank of England, this morning, shortly after the commencement of business, advanced their rate of discount from 6 per cent., at which it was fixed on the 31st ult., to 7 per cent., This is higher than any point attained since the panic of 1857.

The step came unexpectedly, and a few minutes previously to its notification, money was obtainable in the discount market at a fraction below the Bank terms them current. The reasons assigned for it, however or, are sufficiently important. Not only did the Asia take out a further sum of £200,000, for New York on Saturday; but the Tetonia, from Southampton this morning, has carried £ 70,000, and it may, therefore, be inferred that the City of Washington. Argo, Vigo, North Britain, Marathon, and Niagara, to sail during the week, will all, or most or them, have additional totals — especially as the accounts to-day are likely to excite the confidence of remitters. At the same time, the advices from Paris are discouraging with regard to the position and prospects of the Bank of France, which, in its approaching monthly statement, is expected to show a further very considerable reduction of bullion, the effect of the American panic having relatively been quite as much felt in France as in England. In addition to these considerations there is also the fact that the last weekly return of our Bank showed a falling oil of £1,025,260 in the reserve of notes, and that the accounts from India, although they confirm the statement that no new native loan is contemplated, indicate that, if public improvements are to be continued in that country on any extensive scale, it must be by funds drawn exclusively from this side. These things seemed to warrant some additional action on the money market, and hence, although the public were unprepared for the movement, it has created no dissatisfaction, especially as there is not the slightest symptom of internal pressure or discredit, and all commercial men are disposed to believe that the progress of business later in the year will fully compensate for the abnormal circumstances now in operation.

New Orleans. Jan, 21.--Cotton firm — sales of 9,500 bales middling at 11 ½. Freight 78. Fifty ships cleared to-day with 100,000 bales of cotton.

Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 3.0 United States License.

An XML version of this text is available for download, with the additional restriction that you offer Perseus any modifications you make. Perseus provides credit for all accepted changes, storing new additions in a versioning system.

hide Places (automatically extracted)

View a map of the most frequently mentioned places in this document.

Sort places alphabetically, as they appear on the page, by frequency
Click on a place to search for it in this document.
Southampton (United Kingdom) (1)
France (France) (1)
Fort Niagara (New York, United States) (1)
England (United Kingdom) (1)
hide People (automatically extracted)
Sort people alphabetically, as they appear on the page, by frequency
Click on a person to search for him/her in this document.
Paris (1)
Argo (1)
hide Dates (automatically extracted)
Sort dates alphabetically, as they appear on the page, by frequency
Click on a date to search for it in this document.
1857 AD (1)
July, 1 AD (1)
January 21st (1)
31st (1)
hide Display Preferences
Greek Display:
Arabic Display:
View by Default:
Browse Bar: