FINANCIAL AND COMMERCIAL REVIEW.

During the past month money has continued to be very abundant in the Atlantic cities, extraordinarily so for the season, and it presents the feature of

eing more generally diffused ; that is to say, the number of lenders is much greater than before known, showing a more general participation in that prosperity which, in the aggregate, is so apparent in the country. The amount of individual indebtedness on credit operations, is probably very small, although the amount of bank operations is increasing. Thus some valuable tables, compiled by a gentleman of great ability at Washington, shows the leading features of the banks of the Union to have been as follows, at the commencement of the present year, as compared with former ones :

BANKS OF THE UNITED STATES.

No. of Banks. Capital.

Loans.

Specie. Circulation. Deposits. 1830....330....145,192,268....200,451,214...22,114,917.. 61,323,898.. 55,559,928 1836....713....251,875,292.... 457,506,080... 40,019,594., 140,301,038.. 115,104,440 1840....901...,358,442,692...462,896,523...33,105,155.. 106,968,572.. 75,696,857 1842.... 692..., 228,271,797....323,957,569...28,440,423.. 83,734,011.. 62,408,870 1843....691.... 228,861.948 ... 254,544,937...33,515,806.. 58,563,608.. 56,168,623 1848....751....204,833,175....344,476,582...40,369,765.. 128,506,091..193,226,177 1850.... 829....217,317,211....364,204,078... 45,379,345..131,306,526..100,536,595

From 1830 to 1836, the speculation mania raged. In May, 1837, all the banks failed ; an attempted resumption in 1839, on a credit basis, resulted in renewed failures; and a general resumption took place only in 1842. The process of liquidation effected the reduction apparent, between the retums of 1840 and that of 1843. Since that time, securities have been increasing; not, however, upon credit. The production of exchangeable goods has increased, and the interchange swells the legitimate bank credits; but these represent always goods, the sale and consumption of which extinguish the credits created by their production and interchange. In this respect the decade closing with the present year, presents a marked contrast, in many respocts, to that which ended with the

year 1840. That period was one of extraordinary credit operations. The spirit of borrowing seemed to possess the mercantile world, and the apparent prosperity which everywhere attended these operations, seduced thousands from productive industry into the path of speculation. From London, as a common center, money flowed out to every section of the commercial world, and

every description of paper was employed, as a means of obtaining it. All classes contracted obligations without hesitation, perfectly reckless of consequences. The result was general ruin, indicated in vast sums of indebtedness, embraced to the extent of over 200 millions in the bank table, and for which there was no possible means of liquidation. The demand for a bankrupt law became one of the issues on which the election of General Harrison turned, and the success of that election, if it produced no other good, afforded the means of estimating the extent of the mischief resulting from former federal measures. The number of applicants for relief under the law, was 33,739; their creditors

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of to

VOL. XXVII.NO, II.

numbered 1,049,603, and the amount of their debts reached the incredible sum of $440,934,615; the assets, mostly nominal, $43,697,307. There were, therefore, more than $400,000,000 of debts for which there were no means of payment, and doubtless as much more was compromised and settled without the agency of the Courts. Such was the result of ten years' credit operations.

In the last ten years, nothing of that system of credits has existed; speculation, as such, has scarcely shown itself; capital, instead of being applied to lending as formerly, under the notion that by such means "resources were developed," has been more directly applied to the operations of industry. Public works, factories and industrial employments, have occupied capital more than banks. As a consequence, exchangeable products have multiplied in quantities, instead of being consumed on credit. As an example: Capital was applied in Massachusetts, as follows:

An application of $20,000,000 to lending institutions resulted, in the ten years ending with 1840, in bankruptcy, and $30,000,000 of debts in that State, were settled by the general bankrupt law. An application of $28,000,000 to the construction of railroads at the end of the present ten years, finds the outlay productive, yielding, on an average, 7 per cent., and the general prosperity greater than ever.

But at the South and West the change is still more marked. Capital in the former period was borrowed in Europe and at the North, for the purpose of lending it to planters to buy land and negroes for the raising of cotton. As a matter of course, the money was lost. Since then, industry has been more directly occupied in productive employments. The State of Alabama affords an instance. In 1825 the State Bank was established, owned exclusively by the State. Its capital was borrowed on the bonds of the State. This concern was, with its Mobile branch, pretty well managed up to 1832, when hazardous credits began to form part of its operations. The Montgomery branch was then established. The loans, from 1,000,000 in 1830, swelled to $26,000,000 in 1837, when the banks all suspended. The State, owning the bank, and being of course the general creditor, passed a law authorizing the suspension and extending all debts due the concern at the same time, and borrowing $7,500,000 additional on its bonds to relieve them. This sum made $15,700,000, which the State invested in banks in seven years ending in 1837. Under the Bankrupt Act of 1841, $31,000,000 of debts were settled with $126,000 of assets. The banks went into liquidation, and have since been slowly collecting what they could; and the same class of creditors pay better in the South than at the North.

In the last ten years individual capital has accumulated in that State, and coal and marble have been discovered and mined to a considerable extent. The coasting tonnage owned in Mobile, has increased from 8,546 to 17,982 tons; but the industry has run mostly into factories, and there is now a capital of $7,000,000 invested in manufactories in that State. Many of these factories yield dividends of 8 to 30 per cent. We are, in connection with Northern interests, to contrast the effect of this employment of capital with that of bank credits. Thus, when Alabama borrowed money for banks at the North and in London, she never actually got it. Her banks discounted the notes of mer

chants who bought goods at the North, and with the bank bills bought the ex-
change, which the bank drew against the proceeds of stock, mostly at the
Phenix Bank, New-York. Thus the pay for the stock was actually received
in goods, which were sold and consumed on credit. Seven millions of Alaba-
ma capital is now actively employed producing those goods which were before
purchased at the North. For instance, at Prattville, Antauga county, the fac-
tory of Mr. Daniel Pratt not only supplies the whole market in that neighbor-
hood, but exports largely to New Orleans, where it competes on very favorable
terms with the best description of Northern goods, and the profits of the estab-
lishment are known to be greater than of the same amount of capital employed
in cotton growing. At Tuscaloosa, Huntsville, Montgomery, Mobile, &c.,
factories are constantly increasing. In point of freight, commissions, insurance,
&c., those factories have a great advantage, and more particularly in choice of
clean cotton.

The extent to which capital is running in this direction in the
South is hardly appreciated, but it should be borne constantly in mind by the
Northern dealers, because the influence of steam machinery, operating upon
the natural advantages of the South in respect of raw material and the success-
ful application of slave labor, is destined very speedily to produce a more se-
vere competition with the Northern factories than can by any possibility ever
be again experienced from any European or English competition.

In the neighborhood of all cities throughout the country, the operation of
cheap and rapid transportation, makes available great quantities of produce
that before would not pay to send to market; and as production is the source
of demand, this increased consumption of produce requires greater quantities of
goods in payment. To this influence of railroads may be ascribed the evident-
ly large consumption of goods now going on. The imports and exports of the
port of New-York, during the fiscal year ending June 30th, have been as

1

tly a

follows:

stance 3. Its ith its began

IMPORTS AND EXPORTS PORT OF NEW-YORK, 12 MONTHS ENDING WITH JUNE.

ished. n the

Imports. Specie.
1849.. -$2,813,380
1850.-.-.

.. 10,502,115

Total.
$89,425,282
113,752,618

e the

Dry goods. Other dutiable.
-$41,916,546. $36,666,777

50,960,328. 44,399,297.
$9,048,782...... $7,732,520...
Foreign.

Domestic.
$3,553,885. $33,166,339.
5,433,841. $33,227,676.

Increase... $7,688,735....
Exports. Specie.
1849...

- $4,739,903...
1850.. 5,885,103.
Increase... $1,145,200..

all jonal

$24,327,336

Total.
$41,460,127
44 546,620

It is here observable that the importations of dry goods are larger than of other descriptions. The proportion of dry goods imported into New-York is generally three-fourths of that of the whole country. Thus the official returns for 1849, gave an importation of $13,804,606 of woolen goods for the whole country. The quantity which paid duty in New-York, was $9,488,600, or about three-fourths. This year the amount imported into New-York, is $14,877,122, being an increase of nearly 60 per cent. This is a pretty large supply of foreign goods, against which our manufacturers have to contend. Now, it is evident that, unless a very considerably enhanced demand for consumption has existed, these foreign goods must have displaced much cloth of domestic manufacture, and given ground for some of the complaints we hear

from protectionists. In this case, of course, the raw material would be depress-
ed in price, and the growers suffer; but we may look a little into this also.
The following are quantities of wool imported into the United States in four
years, together with the deliveries per New-York and Pennsylvania canals:

1846.
1847.
1848.

1849. Import value...

$1,134,226. $556,022 $857,037 $1,177,347
average,
Ib.,.. 7 cts.

7 cts.
7 Cts.

64 cts.
Import, lbs ,..... 16,558,247. ...8,460,005....11,381,429......17,869,022
N. Y. canals.. 8,866,376. 12,044,000. 8,729,407 12,731,402
Penn.,

3,403,161..... 4,281,987.... 2,936,133...... 5,113,076 Total canals .. . 12,269,537. .16,325,987... 21,665,540.... 17,844,478 Total canals and

imports, lbs.,...28,827,784......4,785,992.... 23,046,969......35,713,500
Now, in the face of an import of goods increased 60 per cent. on one hand,
and a supply of raw material enhanced 50 per cent. on the other, the manu-
facturers have eagerly bought their increased supply at 6 a 7 cents higher
prices. The quotations in New-York in July, and for the corresponding day
last year, are as follows :
Suxony fleece.

Merino.
No. 1 pulled

Lambs, No. 1 pulled.
1849.
.37 a 38..
33 a 34

24 a 26.... 26 a 33 1850.........43 a 45........ 39 a 41..........32 a 33..........33 a 34 What is true of woolens is true also of most of he other articles of import, with the exception of cottons, of which the quantity imported has not been larger than last year. The table of imports shows an excess of nearly five millions in the specie imported from abroad.

The returns of the banks of New-York city down to the close of June, show a considerable farther accumulation of specie as well as extension of loans and discounts. In fact, the accumulation of credits now is greatly in advance of any previous period. The leading features are as follows:

BANKS OF NEW-YORK CITY.
June 30, 1849. Dec. 29.

March 30.

June 29, 1850. No. of Banks. 25.

....28. Capital.

24,657,890....25,439,990...26,740,245.... 27,294,530 · Loans.

50,260,488....53,360,050....56,420,647 Specie..

9,586,308.... 59,016.... 6,861,501.... 10.650,290 Circulation.

5,539,572.... 6,013,349.... 6,725,688.... 5,924,786 Deposits...... 27,227,134....28,868,488....32,067,937 ....35,861,139 Throughout the year there has been a steady increase in the movement. The loans have increased over nine millions, or 20 per cent., while the deposits have increased in a greater ratio. That is to say, the means of the banks—capital, circulation and deposits—were in June, 1849, $57,424,596, and are now $69,074,455, being an increase of 12 millions, independent of bank balances. Of this amount, a little over one million has been invested in specie, and 9,600,000 in loans. This immense increase of means has manifested itself gradually throughout the year, and the amount of specie in the city has progressed as follows: June, 1849.

March. In bank

9,586,308.... 7,169,016.. 6,861,501.... 10,650,291 In governments....... 1,086,581.... 2,445,295.... 4,541,899..

2,689,147 Total, New-York..... $10,672,889.... 9,614,311. 11,403,400....13,339,438 The amount of specie in the city is thus, it appears, greater than ever, and has accumulated largely in regular balance from abroad, in importations from California, and in course of exchange from the South and West.

26..

28

....59,888,176

Dec.

Juno.

The receipts of gold at the United States Mints have progressed as follows:

California Gold.
At N. Orleans. At Phil.

Total.
In 1848..

44,177.

44,177 Jan. 1, to August 31, 1849.

175,918.. 1,740,620. 1,916,538 August 31 to Jan. 1....

489,162.. 3,740,810. 4,229,972 Jan. 1 to Feb. 28...

938,050.. 2,974,393. 3,912,443 To March 31..

365,869.. 1,296,321. ...1,662,190 March 31 to May 1....

293,130.. 1,813,002.. ..2,111,132 May 1 to July 19..

no report. 6,140,677. 6,140,677 Total,

$2,267,129..17,750,000.......20,017,129 Of this very considerable amount, over 17,000,000 has been received in ten months, being at the rate of more than twenty millions per annum. Since January the receipts have been at the rate of 26 millions per annum, and for the last quarter at the rate of 32 millions per annum, showing a constantly augmenting ratio. The excess of import for the year, as per Custom House books, was, to the close of June, nearly six millions at this port, and the influx from all sources could not have been less than $35,000,000. Should the exchanges for the coming year indicate a net export of $20,000,000 of specie, that amount would scarcely cause a stringency in the markets.

DEATH OF THE PRESIDENT.
Most unexpectedly during the past month the nation has been called upon to mourn for its
chief magistrale, and perhaps there has never been a more general exhibition of sorrow for a
public man, than that which marked the obsequies of General Taylor. Known to the masses of
the people only through the brilliancy of the campaign performed by the army under his orders,
his name was identified with the military glory of the country, and he had endeared himself to
his countrymen as the demonstralor of its prowess, the assertor of its dignity, and the creator
of its military renown. Although the performances of General Scott may have been more of a
nature to establish a lasting reputation in the chief, they in the public mind followed only as a
necessary consequence of what through the operations of General Taylor, the nation was shown
to be capable. Hence the pre-eminence of the position of the Hero of Palo Alto. His election to
the office of President afforded a marked proof that whatever Republics may have been in
ancient days, they are not now " ungrateful.” But it speedily became too painfully evident
that the curule chair would not raise the reputation of the favorite chief. Each day afforded
new evidence that the reputation hardly won on the field's of Mexico was withering in the
atmosphere of Washington. The abilities that had so eminently served the country against
foreign foes were powerless to preserve the Union from internal traitors. His strict personal
integrity did not protect the nation from Galpbinism; his own unwaivering patriotism served but
28 a cloak to the union of Cabinet Galphinism with treasonable Sewardism. The unscrupulous
intrigues of sectional leaders found in the corruptions of the Cabinet the ready instrument of
that treason which was urly jeopardizing the fortunes of the Republic. Suddenly, before
the mischief was consummated, on the eve of the crisis when expectant infamy was already
grasping at its reward, and foreign despots were about to rejoice over a severed Union, a shatter-
ed Republic, and a final overthrow of the great principle of self-governmen,--the unwitting in-
strument of his country's danger was called away, and the circumstances of his obsequies de-
velop in bolder relief the attachment which exists in the hearts of the people to the Union.

Gen. Taylor was a southern man, and a slave-holder; he had never been known to the peo-
ple in any public capacity. The first sixty years of his life were spent in continued obscurity.
He had, as he told us in his letters,
avoided all acquaintance with

the