COMMERCIAL.

Southland Times, Issue 610, 26 December 1866, Page 2

COMMERCIAL.

London, Oct. 26. An abnormal depression prevails, even in the highest descriptions of securities. The Bank of England reserve is fortythree per cent, more than it was in the corresponding period of last year. The increase of bullion is thirty per cent., while Government securities are held by the Bank for one-third more for the same time. The Times of this day states that the present prostrate condition of the markets is owing to the tremendous losses of the past year. The following is a digest of The Times' article : — The money that has changed hands went, for most part, from individual to individual in this country. Then, in the case of the London, Chatham, and Dover Company, no outflow* of capital is involved which could diminish the investing power of the country. The money now daily raised to pay calls, which press upon hundreds of families will nearly all go to creditors at home ; and in a commercial point of view, the Board of Trade returns, ai?d the almost entire absence of failures in legitimate mercantile establishments, show that the annual profits of the nation must be steadily accumlating. Under these circumstances the conclusion seems inevitable — either that some new species of investment must be soon discovered, or that there will be a strong renewal of a demand for those that already exist. If the public will not buy stocks or shares, their unemployed funds must be in deposit with banks, and in that case the demand for commercial bills lor discount will increase to a point that will enable, as was the case in 1855 and 1866, every speculative clerk who chooses to start in business, and aspires to the character of an extensive merchant, to obtain whatever accommodation he may require. Public undertakings at home and abroad, and loans to honest Govemments, are obviously the only sound methods open to us, and these cannot take place so long as all such investments are regarded, as at present, with total and indiscriminate aversion. Consequently, until a better feeling shall arise the tendency must be for money to seek discount, and thus stimulate a renewal of the system of commercial competition on the part of new firms without real capital, which is always in the end more hurtful than anything else to our regular trade as well as to our mercantile repute. It is this tendency at present that is causing the daily decline in all descriptions of securities. The Oriental Bank Corporation have declared an interim dividend for the halfyear of 30s on each £25 share. The liquidators of the Commercial Bank anticipate a surplus after the bank pays its debts. The . prospectus of the resuscitated Agra and Masterman's Bank has been issued. Messrs Glynn, Mills, and Co. are to be the London agents. More than half the preference shares have been subscribed. The net profits of the Chartered Bank of India, Australia, and China for the half-year are announced at £60,000. The Bank of Upper Canada has suspended payment. The attempt made to resuscitate the English JointStock Bank has failed. The directors of the Atlantic Telegraph Company have been authorised to issue the remaining capital of £800,000, and apply to Parliament to increase the nominal capital from three to five millions. In fifty-five days the cable earned upwards of £46,000. The suspension of the Asiatic Banking Corporation was owing to a long-con-tinued run upon the Bombay branch. The total liabilities are £8,500,000. The resolution to wind up the affairs of the Bank of Queensland has been unanimously confirmed at the general meeting. Latest advices state that employment is sought for money at two per cent, on the stock Exchange. - The exports to Victoria show a decrease on the previous month of £89,820, Tasmania a decrease of £23,050, Sydney an increase of £89,441, Queensland an increase of £38,875, New Zealand tui increase of £515,153, and Adelaide an increase of £71,895. Colonial Government Securities — .N.S.W, fives, 1871 to 1876, 91 to 93; Victoria sixes, April and October, 102 i to 103^ ; Queensland sixes, January and July, 90 to 92 ; New Zealand sixes, 94 to 96 ; South Australian sixes, 1878 and upwards,,los to 107.