gives 134 per cent for the money, realisable in an average of ten months); but, also, the fears felt in relation to the course of the Secretary. A very large proportion of the loans that have been heretofore negotiated are still upon the market for sale, and the hope of the holders was that continued inflation of the currency would put the rates up to enable them to realize at a profit. When, how ever, it was proposed to sell 6 per cent stocks at the market rate, the prices of the long stocks began to sink, and the 6's of '81 reached 1024, with gold at 280, a rate equal to 36 cents per dollar. When, however, the new loan was announced in seven-thirty three year bonds, the price of the long sixes began to rise, thus showing the sacrifice of the Treasury interests to those of stock speculators. The subscriptions to the seven-thirty, on the 28th July, were $2,500,000.

Money, at the close of July, became rapidly more abundant. The greenbacks that had been sent into the country to buy crops began to flow back to the city for investment, and the supply of money was more free.

The rise in the value of money, and the great advance in gold and exchange, produced an important change in the currents of business; for the effect of this rise, and of the new duties, was such as to carry the cost of imported goods far above current prices, and cause re-exports of considerable quantities, many of them entitled to drawback. This checked the demand for gold, as well for remittance as for duties. The movement was as follows:

Feb. 6

13

20

27

March 5

407,057
512,358

12

19

249,514

26

159,105

Apr. 2

250,778

9

16

217,602

23

256,604

301,860 1,277,000 359,987 1,152,846 363,198 1,219,808 520,017 325,632 285,394 1,377,016 531,700 22,301,687 1,243,551 733,643 629,808 21,220,653 614 a 62 3,540,550 465,920 20,750,495 62 a 69 1,201,907 281,804 83,881 21,059,512 62 a 621 1,050,156 875,101 273,900 20,425,504 691 a 701 473,385 273,429 168,912 19,527,665 634 a 681 607,059 802,344 345,471 20,924,287 67 a 71 158,437 269,522 1,002,384 21,687,670 71 a 89 629,855 3,226,000 24,868,203 721 a 79 294,998 282,376 1,271,836 24,087,343 77 a 85 451,827 282,276 1,174,241 23,082,028 71 a 81 661,996 2,452,668 22.635,155 614 a 760 488,745 383,428 1,884,195 279,994 580,820 271,801 1,425,588 1,543,600 24,041,704 92 a 991

522,147

25

July 2

187,082

134,432

9

254,947

16

401,936 801,207 2,190,781

291,208 1,886,663 22,916.291 94 a 981

22,000,898 99 a 130 560,677 21,206,685 115 a 180

486,339 20,084,917 122 a 1761 301,244 21,234,354 144 a 185 556,464 21,033,912 150дa 1684

Total..... $7,293,803 $23,725,658 $7,491,031 $30,612,893

281,011 1,296,356

These figures give the receipts and exports for gold, and the highest current prices in each week being the premium. The rate of bills mostly followed the price of gold; the rate for gold ranging 109 a 110. The prices of bills were as follows:

JOURNAL OF BANKING, CURRENCY, AND FINANCE.

NATIONAL BANKS AND THE NEW LAW-CONDITION OF THE OLD BANKS-SOME OF THEM GOING INTO LIQUIDATION-PUBLIC MONEY IN NATIONAL BANKS NOT PROFITABLE-LOANS AND DEPOSITS OF OLD BANKS-BANK RETURNS OF THREE CITIES-FINANCES OF ENGLAND-SHIPMENTS OF GOLD TO AND FROM-PRODUCTION OF THE VICTORIA GOLD FIELDS-BANK RETURNS-BANK OF FRANCE RETURNS, ETC.

THE operations of Banks under the National Bank Law have been very moderate since the enactment of the new bill and the change in the Secretary. The times are exceedingly unpropitious for the establishment of new Banks on purely business principles, since the present and prospective course of commerce and the currency is not such as to encourage the creation of any of those credits which constitute the basis of banking business. The most of the means of the old Banks have long since been absorbed in Government business,-the institutions having become more loan offices than Banks. Their position has been, however, good; a considerable portion of their capital is in gold, and their means have been so placed in Government paper that, for the present, they are readily available in legal-tender paper, applicable to the discharge of all debts. This situation has been regarded by many as one highly favorable to advantageous liquidation, and should be availed of, rather than to encounter all the hazards which the future holds out for credit institutions. Some institutions-the Seventh Ward Bank, of New York city for instance-have acted upon this view, and gone into liquidation, making a dividend of forty per cent of the capital, in specie, and proceeding to wind up on terms highly favorable to stockholders.

The institutions, generally, have been the main prop of the Treasury during the war, and they have now no means to lock up in long loans. The larger part of those discounts that come under the head of commercial, are really loans to those who have dealings with the Government, and who require Bank aid only because the Government does not pay promptly. It is merely a question of direct or indirect loan to the Government, and latterly, where the balances due have all, under the influence of the National Banks, been rigidly demanded in greenbacks, the Banks have been forced on the defensive. The National Banks themselves have already learned that the use of the Government money is very far from being an unmixed good. When that money is placed with them there is hardly any mode of using it safely. It may be called for suddenly in greenbacks, and these not being procurable, loss or default is imminent. Some of the institutions that inaugurated the running offers for greenbacks have been most severely caught in the rebound. If the money is loaned out even on stocks at call, when payment is demanded it comes in the shape of checks, not always payable in greenbacks. There is, therefore, little profit or safety in Government

money. Some institutions adopted the plan of lodging money every day with the Treasury, at thirty days, with ten days notice, on six per cent certificates, and giving the notice at the same time, thus creating, at the end of forty days, a constantly recurring maturity, for a certain amount, which, if not wanted, may be re-deposited, with notice, and thus kept compounded. This has the disadvantage of placing money at least forty days out of reach.

The new banks are now of no probable use, either to the Government or to the public. They only continuely inflate the currency with notes, which, if ever uttered at all, should have been put out by the Treasury direct. The chances are that they will soon shrink up as rapidly as they expanded, and we should not be surprised to hear that the Bank Comptroller had also resigned, thus making three resignations—the head of the Treasury, the Assistant Treasurer, Mr. Cisco, and the Comptroller, Mr. McCULLOUGH.

The following is an extract, from official sources, of the quarterly report of the National Banks, for the quarter ending with the month of March. From the Banks then organized 208 reports were received. We understand that for the quarter ending on the morning of the first Monday in July, there will be 373 reports to be received. By the subjoined abstract it will be seen that the whole number of bonds of the United States, owned by these banks, was, on the 30th of March, $41,175,203, as follows:

United States Bonds deposited for circulation..

do

do

do by Banks as U. S. depositaries. do do and other U. S. securities held by Banks..

Total......

$25,484,700

4,949,350

10,741,153

$41,175,208

It also appears, that upon the deposit of $25,484,700 of bonds to secure circulation, there had, at that date, been issued $12,144,650, of which there were

Abstract of the quarterly reports of the National Banks, for the quarter end

1,744,876 10 755,696 41 852,720 77

3,318,912 38

265,507 55

8,537,908 94

4,699,479 56

Cash items and revenue stamps, and bills of solvent banks..

Overdrafts......

22,961,411 64

992,951 60

25,481,700 00

4,949,350 00

10,741,153 00

432,059 95

$114,820,277 66

Exhibit of the capital stock, bonds, and circulation of the National Banks of the United States at the close of the month of June, 1864:

The gross amount and kinds of bonds deposited by the Banks to June 30, in

The National Banks have, as yet, done but little of the legitimate business of banking. At the close of March their loans and discounts were only $29,583,559, while their deposits were $51,274,912. This, at least, is conservative banking. This limited employment of the funds placed at the disposal of the banks is, of course, attributable to the banks having been so short a period in operation that they have formed only limited business connections. It has, however, this inconvenience, that, for the time, a large amount of money is kept idle, and may hence be reckoned among the minor causes that have contributed to the late stringency of the money market. It is, as yet, early to judge of the operation of these Banks from their actual results.