similar to those in which the powers of Europe are engaged, inasmuch as that in its operation the pursuits of commerce are not interfered with. The fears in relation to letters of marque, which were entertained when hostilities first took place, have been removed. The expenses of this war are, however, large, and the influence which these may have upon financial affairs, is the chief ground for the inquietude to which the continuance of the war gives rise. On the 22d of July a law was approved, giving the Treasury Department authority to issue $10,000,000 of treasury notes, for one year, not bearing a higher rate of interest than 6 per cent. At that time there was in the treasury $9,890,006. The two sums made, therefore, an aggregate of $19,890,006 applicable to extra war expenditures. The law of July authorised the issue of notes subject to the restrictions and limitations of the act of 1837. That act requires the notes to be reimbursed and redeemed after the expiration of one year, when the interest is to cease.The law of July also made it optional with the secretary, instead of issuing the notes, to borrow the money on a 6 per cent. stock having ten years to run, or to borrow part of the $10,000,000 on such a stock, and issue the balance in treasury notes at his option. The issue of notes took place in moderate amounts, mostly at New-Orleans, in the discharge of government debts to individuals. They bear one mill per cent. per annum interest, are payable in 12 months, and receivable for all public dues. It appeared, however, that some opposition to the issue manifested itself. The collector at the port of New-Orleans hesitated to receive them, on the ground that it was not expressed whether they were receivable for dues before or after maturity, and instructions from the department on this point were waited for. In the mean time, needy holders pressed them on the market, and they fell to a discount, from which they recovered when the doubts were allayed by a circular from the secretary. About $2,500,000 of these notes were issued, and some $150,000 worth were returned through the custom-house of New-York in the month of September, being taken for customs. It is evident that, in availing itself of the authority to issue treasury notes, a demand for $10,000,000 is created for the redemption of those notes at the end of the year; whereas, if the option authorized by the law, of borrowing on a stock redeemable in 10 years at 6 per cent., is adopted, no new legislation will be necessary at the next session to meet the debt. The treasury notes are doubtless the most convenient mode of contracting a debt, both for the department and the public, and the speedy settlement of the war would, in the operation of the new tariff, afford ample means in excess of ordinary expenditure, of meeting the notes as they mature. Should the war continue, the quantity of stock to be issued would be large and indefinite, and its price would be very low in the market. If peace should suddenly take place, money could be easily borrowed at 4 per cent. on a United States stock. In such a state of affairs treasury notes are clearly the best mode of borrowing. The banks of New-York offered to take a stock at par, bearing 5 per cent. interest. This was declined by the department, and the issue of 5 per ct. treasury notes continued. The surplus in the treasury at the close of September was, as compared with former statements, as follows: AMOUNT AND LOCATION OF U. STATES 230,921 May Aug. Sept. Oct. 1 Boston.....1,570,887 1,035,513 945,190 384,633 N. York... 6,432,107 3,924,984 3,821,099 3,212,041 Philadelph'a 769,5-2 395,424 397,640 Washingt'n. 571,781 68,638 64,030 81,595 N. Orleans.. 566,358 1.181,378 780,410 256.350 Mints...... 879,000 778,009 674,990 667.395 Other places 3,220,153 3,748,702 3,193,094 2,327,060 Total......14,009,898 11,132,638 9,876,461 7,159,295 The reduction has been mostly at New-York and New-Orleans. The banks of New-York have for five years held on an average $5,000,000 of government money free of interest, and have not failed to embarrass the action of the department in carrying out the people's Independent Treasury law. The large expenditure of the government on account of the war has not, however, as yet, affected the moneymarket, which is easy at 6 per cent. per annum, with every prospect of a further abundance of money. The fall business has been disastrous to importers; sales of goods have been at prices which do not reimburse the importer for his outlay, and considerable lots have been sacrificed at auction to raise July...... August 1845 1846 Dutiable Free Specie .4,160,360...1,300,751. .27,286 .4,605,527...1,239,006. 29,122 .5,411,595... 729,235.....54,879 .7,585,427... 826,815.. 44,882 .5,272,923... 600,849.....10,044 .27,035,832...4,696,656....166,213 Decrease...1,068,432.. .1,264,993....336,777 EXPORTS. Domestic Foreign Specie 1846 Domestic Foreign Specie .2,529,096. .294,412....291,041 .3,745,687....316,562 2,876,015....162,817.... 80,463 .2,413,782....207,256.... 57,589 September.....2,433,451....404,893....427,990..... ..2,238,401....388,169.... 2,255 Total.......11,272,490...1,922,253...1,220,062... .......13.802,981...1,369,216....431,348 England. The impulse given to produce by the failure of the English and European harvests, to which we alluded in our last No., continued to exercise a favorable influence. The facts, as developed are, mostly, that the potatoe crop in all quarters has proved greatly deficient-almost a total failure so much as to lead to serious apprehensions that the root will become extinct as an article of food. Beans, peas and barley, in England, and rye in the north of Europe are seriously deficient. In England the wheat crop is nearly an average in quantity or number of bushels, but deficient in weight. In France and Belgium a scarcity of wheat exists, and also in the Mediterranean. The latter is so great as to task the capacity of Odessa to supply it; and the United States appear to be the only place whence considerable supplies can be derived for importing countries, of which, in the case of wheat, France is the most important. Continuing the English quotations for grain from our last No., we have results as follows: AVERAGE PRICE OF GRAIN. Wh't Bar. Oats Rye B'ns s d Peas Aug. 29...47 10..29 1..23 0.31 10..39 9.38 6 d 8 d s d 8 d s d . Sep. 5....49 0..31 0..23 2..32 7..40 4..37 1 12....50 0..33 7..23 5..32 4..40 11..38 10 "19....51 3..36 1..23 7..33 0..41 6..40 5 26....53 1..36 10..23 7..35 7..42 7..45 0 The advices by the Great Western, to Sept. 12, caused a considerable advance in the prices and an increased impulse to exports, more particularly corn and flour. The great scarcity of freight, however, prevented exports to a great extent. The monthly exports and prices have been as follows, from the port of New-York: EXPORT OF BREAD-STUFFS FROM THE PORT OF NEW-YORK. .... 788,222 719,191 745,148 depress prices. It appears to be now established, that Indian corn will become an article of great export to England and Ireland. In fact, should the fears in relation to the permanent decay of the potatoe be measureably confirmed, Ireland must depend chiefly on the western states of America for food, a species of "annexation" the most efficient and indissoluble. It follows, however, that if large exports of corn take place, "returns" must be made, and the import of those returns must be facilitated by the United States government in still further ameliorating the tariff laws. The quotation for corn in Liverpool, is 38 a 43s sterling per quarter of 480 lbs., which is equal to $1.21 per bushel of 60 lbs., and the New-York price is 70 cts., leaving a margin of 51 cts., mostly owing to the scarcity of freight. Buyers having no freight engaged, choose rather to take the chance of a fall in the price of grain when freight offers, and there is but little speculation. A price of 70 cts. for an article so prolific and of such general growth as corn, is of incalculable importance to the farming interest; and every species of encouragement should be given to its transportation, and the return of its proceeds. The English practice is to measure maize, or Indian corn, by the quarter-a quarter containing 8 Winchester bushels of 60 lbs. each, which amounts to 480 lbs. net weight, and by this standard are prices regulated. The last highest quoted prices in Liverpool was 48s. per quarter, which is equivalent to $10 66 U. S. currency. The average weight of a bushel of corn in our market is assumed by common consent to be 53 lbs. ; hence about 9 bushels are considered equivalent to an English quarter, as 9x53=477, which is only 3 less than the required weight of 480 lbs., but which it probably sometimes exceeds by that amount. The following, then, is assumed as cor rect: 20,000 State. 54,000 Suffolk 40,000 ...1,000,000..6 ..6 .6 ..6......3 750,000..2.4 ..2}..6.. 500,000..6..4..5 ..6.. .3 ..31 Shoe and Leath. Dealers.. 500,000..7 .6 ..6 ..6.....3.. .1,800,000..6 ..5..5..6......3 .1,000,000..8.8.8.8......4 500,000..3.44..24..6......3 30,000......3 22,500.. ..3 17,500. ...3 17,500.. 54,000......3 40,000... .4 12,000......3 24,000......3 15,000......3 DIVIDENDS OF THE NEW-YORK BANKS, FOR 1844 AND 1845. Banks. New-York* Merchantst. Mechanics.. Bank of America|| North River. Tradesmens...... Fulton*.. .. 1845. 1844. 1846. Capital. Semi-a. d. Amount. Div. Amount. Div. Amount. .$1,000,000..4 4 ..$80,000..4 4..$80,000..4 4....$80.000 1,490,000..3 34..104,300..4 4..119,200..4 4....119,200 1,440,000..3 34..100,800..34 4..108,000..4 4....115.200 1,000,000..4 4 . 80,000..4 4.. 80.000..4 4.... 80,000 2,001,200..3 3..120,072..3 3..120,072..3 3...150,078 720,000..3 34.. 50,400..3 4.. 54,000..4 4.... 57,600 1,200,000..3 3 72,000..3 3.. 72,000..3 3.... 72,000 655,000..3 34.. 45,850..3§3§. 45,850..3 3... 45,850 400.000..5 5 40,000..5 5.. 40,000..5 5.... 40,000 600,000..5 5 60,000..5 5.. 60,000..5 5.... 60,000 500,000..34 37,500..3 4.. 37,500..4 5.... 45,000 200.000..3 34.. 14,000..34 34. 14,000..4 4.... 16,000 750,000..3 3 45,000..3 3. 48.750..34 34... 52.500 750,000..34 34.... 52,500..34 3§. 52,500..34 4........ 56.250 600,000..3 34.. 42,000..3 34. 42,000..3 34... 42,000 500.000..24 24.. 25,000..3 3.. 30.000..34 3... 35,000 2,000,000..2 24....100,000..3 3..120,000..3 3....120,000 3,447,500..3 3 ..196,485..3 3..196,465..3 632,000..3 3§.. 44,240..3§ 3. 44,240..4 1,155,400..24 3 63,527..3 3.. 69,324..3 Butchers' and Drovers't Nationals Mech. Ex... Leather Bank‡. Seventh Ward.. State*.. Bauk of Commerce.. Am. Ex. Bank". The Butchers' and Drovers' Bank declared an extra dividend of 4 per cent., or $20,000, in addition to the above, for a dividend omitted in 1842. The Dry Dock and Greenwich Banks, with capitals of $200,000 each, declared no dividends. For the year 1846, it appears the Boston Bank dividends are 6.57 per cent., and those of New-York, 7.09. The latter, doubtless, were swollen to some extent by the use of the public money which was not only loaned by the deposite banks, at exorbitant interests, but the rate of money to the commercial public was forced up by the adroit management of the fund. The Boston Bank dividends, as compared with those of New-York, indicate the de 3....206,850 4.... 50,560 3.... 69,324 3 3....123,000 1,373,600 6.31 1,433,907 7.09 1,616,412 Dividend paid February and August. April and October. January and July. gree of prosperity which those classes of business, dependent upon bank facilities, enjoy. Bank profits arise from two causes, viz: extension of loans and rate at which they lend. Hence, it arises from the nature of the movements that a sudden increase in their profits is, in some degree, indicative of public distress, as when banks are pushing out their loans, competition for paper makes money cheap. When the line of discount is full, and they stop making new loans, the public become pressed for money, and the rate rises to the great profit of the banks. Other indications are tolls on public works, and on the two great avenues, formed by the New-York and Penn |