Page:Notes by the Way.djvu/318

 248 NOTES BY THE WAY.

from that ordeal, and gave practical proof to the Commissioners &l their bona fides. In order to make the position of the Guilds absolutely invulnerable, it is suggested that

" they should with one consent place themselves at the head of their respective trades, encouraging the crafts by apprenticeship, acting as the arbitration authority in cases of dispute, ministering to the necessities of the aged, and in other ways perpetuating the conditions of centuries since. This reform can only be fully effected through the practical reunion of the Companies with their trades by the former inviting the co-operation of the leaders of these industries."

Financial The financial history recorded by The City Press includes the

history. establishment of limited liability ; and it is just over fifty years since the members of the Stock Exchange first assembled in their "new house" in Throgmorton Street. In that year, 1857, owing to American failures, the Bank rate reached 10 per cent, the Bank Act was suspended, and Palmerston authorized an additional issue of notes during the panic. The failures on the Exchange exceeded seventy, and the committee granted time to all who could pay 10s. in the pound. In 1866 came the Overend-Gurney crash ; the bank's capital was 5,000,0002., and its engagements exceeded 19,000,000?. The 50?. shares, at one time at 101. premium, relapsed Black Friday, on "Black Friday," the llth of May, 1866, to 10?. discount, and the 3 per Cents fell on that day to 84. In the article mention is made of the marvellous recovery of French wealth since 1870, until " Paris is now the strongest gold-hoarder in the world." In 1873, when France was paying to Germany the huge war indemnity, and Germany was establishing a gold coinage, the Bank rate Baring reached 9 per cent. On Saturday, November 15th, 1890, Baring Brothers. Brothers failed. They were up till that time " regarded virtually as one of the great powers." The crisis was of short duration : the liabilities of the firm (21,000,000?.) were guaranteed ; and although Consols fell to 93|, there was no panic. The City has since experienced many troublous times, but has not had to face a like contingency.

Goschen ^ n 1888 Mr* Goschen converted the 3 per Cents to a new stock

converts the to bear 2| interest till 1903, and thereafter 2 per cent. This 3 per Cents, change caused a drop in price from 101 to 97 [; but in 1897 Consols actually exceeded 112, and remained above 100 until 1900, when they dropped to 99f. Since then there has been an almost con- tinuous decline, and on Monday, the 29th of July, 1907, they actually fell to 82|, and there was a rumour that a large line changed hands at 82. This price is the lowest since 1831, when they were 79|. Even in the year of revolutions, 1848, Consols did not fall below 85 ; but the interest was then 3 per cent, whereas it is only 2 1 nowadays.

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