9 NOVEMBER 1839, Page 6

The steam-ship Liverpool, Lieutenant Fayrer, R.N., arrived at Liverpool on

Wednesday morning, after a passage of seventeen days, from New York. She made the outward voyage in nineteen days, reaching that city on the 10th October. She has brought forty passengers.

From the American journals brought by the Liverpool, and the cor respondence of the London press, we make some interesting extracts showing the state of affairs in the United States.

From the New York Courier and Inquirer, 10th October—" Street and the city generally was thrown into an extraordinary excited ment yesterday morning, by the announcement that the Bank of the United States in New York had not only refused to receive the notes of the United States Bank of Pennsylvania in deposit, but had also re. fused to redeem the post-notes of the United States Bank made payable here and falling due yesterday. The refusal to receive the notes of the Bank of the United States would, under ordinary circumstances, have excited no remark, there was no obligation upon the bank here to re. ceive them, and, as is well known, the branch bank under the old charter never did receive them at par. But this circumstance, taken in connexion with the extraordinary fact that the post-notes falling due were dishonoured at the agency where they had usually been paid, produced a universal conviction in the public mind that the Bank of the United States and all other banks in Philadelphia had determined to suspend specie payments on yesterday, and that the instructions to the bank here were founded upon such determination. Of the universal sensation of alarm which this conviction produced we need not speak. Every man felt that the long train of evils, bringing with them national dishonour and individual bankruptcy, which have been predicted and foreseen by every intelligent and honest man in the country, as the inevitable consequences of the war upon the currency, which had its origin in the removal of the public deposits from the Bank of the United States, was now about to be realized in their full force ; and curses loud and deep upon a Government warring upon the dearest interests of the people were heard in every quarter. The crisis so long apprehended, and which the people have so repeatedly been told could only be averted by a change of rulers, seemed at length to have arrived ; and even the boldest of the Locofocos quaked before the prospect of dis tstrous con. sequences which appeared to be impending. The final result is stia a mystery to the most far-sighted ; but the presence of evil has, or will, force upon all classes an inquiry into the causes of this sad reverse in the monetary system of the country ; and as it is only necessary to contrast our present situation with what it was when General Jackson commenced, his war upon the Bank of the United States, there is, there can be, but one conclusion as to the cause of our distress. That cause is to he found in the destruction of the National Bank, and with it the best-regulated currency in the world."

From the National Gazette, a Philadelphia paper—" A combination of adverse circumstances has reluctantly compelled the banks of this city to resort to a temporary suspension of specie payments. The failure of the harvest in England last year caused a demand upon the Bank of England for more than six millions of pounds sterling—about thirty millions of dollars, which was drawn in gold and silver from its vaults, and exported to the Continent to pay for grain. This with.. drawal of so large an amount of specie, produced at once a depression in the value of cotton and other American produce, and of course lessened our means in England of paying for the large amount of itn. portations of foreign merchandise. There has therefore been a continued drain upon our banks for specie to ship to Europe to supply this deficiency. Nothing can be more honourable to the character of our merchants, than the sacrifices they have made to support their credit both at home and abroad. In this honourable struggle to maintain inviolate the commercial character of our country, they have received every support which was in the power of the banks to render them. There is, however, a point in human affairs, when it becomes necessary to resort to self-preservation as the first law of nature. That period is now arrived ; every effort has been made by our banks to stem the torrent, but in vain. In support of this declaration, it is only necessary to state, that since the late resumption of specie payments, the Bank of the United States has paid out in specie upwards of twenty millions of dollars. In addition to this, the Bauk has made great sacrifices to support the cause of internal improvements, not only in Pennsylvania, but elsewhere. Of the ability of our banks to meet all their engagements, no one can doubt. The safety of a bank does not consist in the amount of specie idle in its vaults, but in the ample security which it holds of its debtors. All that the banks require is time to collect the debts due to them, to enable them to resume specie payments. We are requested to state that the Commercial Bank of this city has not united in sus

pending specie payments."

The Philadelphia correspondent of the Morning Chronicle says that

the United States Bank possessed specie to the amount of four minima of dollars when it stopped payment, and that the other Philadelphia banks had two millions ; but he adds, that it must have all been paid away in four weeks by the Philadelphia merchants to those of New York, who "would have drained them dry."

From the New York Herald, 18th October—" The Attorney-General of Pennsylvania has sent a circular to each of the Philadelphia Banks, wherein he states that proceedings will be instituted against any bank issuing bills of a less denomination than five dollars. It is stated that an injunction has been issued by the Vice-Chancellor, by which the dis• counts maturing in the United States Bank in New York are held for the benefit of the holders of post-notes of the United States Bank, made payable in New York. * * * The effect of the Philadelphia suspension is progressing South ; each mail brings accounts of banks that have sus.. pended. The following is a list of the bank suspensions so far as heard from;

Banks of Philadelphia, Baltimore, Harrisburg, Frederick, Maryland, York, Wilmington, Del. Chambersburg Washington, Gettysburg, Georgetown, Norfolk, Richmond, Charleston, S. C. Rhode Island. The news of the Philadelphia suspension reached Charleston on the 14th; and a meeting was held immediately, consisting of delegates fresh the Union Bank, State Bank, Bank of South Carolina, Louisville, and Charleston Railroad Bank, and the Planters and. Mechanics' Bank; when it was resolved to suspend forthwith. This will probably be the ease throughout the South and West. We observe in the proceePl of the meetings of the Southern banks, a greater degree of unanunity and decision in suspending than in the more Northerly institutions. At

Charleston they were unanimous ; at Richmond one or two of the banks voted against it; at Washington the Patriotic bank did not concur with the others in suspending. Several of the Baltimore banks did not feel the necessity of the measure ; and in Philadelphia nine of the banks, the noses of which we gave yesterday, voted decidedly against it. The Now York and Eastern banks do not recognize the necessity or convenience of the measure, with the exception of Rhode Island, where the banks have shown almost unworthy subserviency to Southern opinions, but even there six out of twenty banks voted against it. Rhode Island is peculiarly situated : most of the bank-loans, amoentinig to 12,000,000 dollars, are directly or indirectly payable at the South. -She has therefore pursued the mistaken policy of depreciating her currency in order to save the difference. From the West we have not heard the effects of the explosion ; but as it is the season when their greatest wealth is most available, it is possible they may go through safely. All the banks South of Philadelphia to New Orleans will doubtless stop. New Orleans is, however, strong; and her position, like New York, is such that she will form a rallying-point for the trade and healthy currency of that section ; and the three points of New Orleans, New York, and Boston, will form the skeleton of the healthy trade which will rise out of the ruins of the unlimited credit system which reached its zenith in 1836, and has finally perished with the wasted energies of the United States Bank, that thought to sustain and regenerate it.'

From the New York Examiner, 19th October—" All the banks in the city of New York, with a couple of trifling exceptions not worthy of notice, continue to meet their engagements in specie, and are amply able to meet their circulation, (which may be presumed to be much curtailed,) and. their deposits in specie, if demanded. There has, however, been no run upon them for specie ; nor, foreign exchanges being in our favour, and the balance of indebtedness with other parts of the Union being also in our favour, is it well possible to conceive from what quarter any such demand. should come. If it should come, however, our banks, we repeat, are prepared to meet it in specie from their own resources, and should these by any possibility fail, they will have the support of the Federal Government. This latter fact may appear strange in foreign countries, to which the cry of' divorce of Bank and State and Sub-Treasury," has reached ; but it must be recollected that by law the Federal Government is only permitted to receive its dues in specie or the notes of specie-paying banks ; and if there are none of the latter—and there would then assuredly neither be specie—forthcoming, the Government would be placed in a sorry predicament. New York is, therefore, the only sure foothold left on which the Government can collect its revenues. But while we speak thus confidently, nay, advisedly, of the ability of the New York banks, it cannot be denied that they maintain it at the expense of the commerce of this city, which is suffering to an unparalleled. extent."

The Boston banks and the banks generally in the Eastern states continue to pay specie as usual.

The following letter from the agent of Messrs. Baring to the President of a Boston bank, speaks well for the resources of the banks in New York and Boston to meet the difficulties of the money crisis

" New York, 16th October 1K9.

"Dear Sir—Mr. Winchester called on me this morning in behalf of your bank, to inquire if I would authorize the bank to draw on Messrs. Baring Brothers and Co., if it should have occasion to do so. In reply, I beg to say that I shall be in Boston soon, and will have the pleasure to see you on the subject; but I conceive no occasion can arise, inasmuch as Mr. Quincy is drawing in Boston on Messrs. Baring, and the banks here also against stocks, for a large amount, and on other houses also ; and I think the amount of bills offered will prevent any export of specie of any consequence, and be more than sufficient to meet the demand.

'The banks here, generally, are in a position of great strength, and their engagements so reduced, that nothing can touch them without their own consent; and they may not only continue, but increase discounts, and have more specie than is desirable for them to keep ; and, as I understand the position of the Boston banks, they are equally strong, and with a good understanding between them, may give the necessary relief to the community. Boston, too, is getting to be a creditor city, and need feel under no apprehension whatever ; nothing can touch her. Be assured that New York will not only continue to pay specie, but that there will be a gradual relief to the money-market. "Dear Sir, very truly and respectfully yours, T. W. WARD." "Franklin Haven, Esq., President of 'Merchants' Bank, Boston."

The suspension of cash payments had produced a heavy fhll upon all kinds of American stocks, the shares of the United States Bank having gone down at once to 70. But when it was explained that funds had been remitted to cover the whole of the drafts on Paris, the panic subsided ; and on Wednesday the 16th October, they had advanced to 83 in New York, and to 96 in Philadelphia. On the 18th, the prices had fallen to 78 at Philadelphia, rising and falling alternately both there and at New York ; and on the 19th the last pieces at New York were 741 for United States Bank Shares. Exchange on New York with Philadelphia 15 premiunt s and exchange on London varying from 8 to 10 premium. Notes of the United States Bank were at about 15 per cent. discount.

The Liverpool is understood to have brought specie, chiefly in sovereigns, to the amount of 400,000 dollars. They were shipped for the most part by the firm of King, Prime, and Ward. Some further quantities are coining forward by the next two packet-ships. Messrs. Morrison, Cryder, and. Co., have charge of most of the present consignment.

There had been most destructive fires in New York, Philadelphia, and Mobile. Of the conflagration in New York, the Commercial Advertiser supplies particulars " We observe that some of the morning papers put down the loss by the great tire in Water Street at about 1,000,000 dollars. It is much the greatest tire dint has occured here since the conflagration of December 1835. The entire square bounded by Water, Fulton, and Front Streets, and Burling Slip, is a heap of ruins, except five or six stores of Fulton Street—only one on that street being wholly destroyed, and one on Front Street, next to the corner of Fulton. Some of these remaining Intildin.s are much damaged. The entire Square was devoted to extensive commercial pursuits. So rapid was the progress of the flames, that several stores were destroyed, with their contents, before the doors could be reached. It was with great difficulty that the large hotel, known as Holt's, was saved from destruction. This was effected by the aid of his steam-engine, and covering the windows with wet blankets. On the same side of Water Street, almost to the corner of Burling Slip, the fronts Were injured by the intense heat from the fire on the South side."

The loss by the Philadelphia fire is estimated at half a ; an at Mobile property worth 700,000 dollars has been destroyed, in two conflagrations, both believed to have been wilful.

Mr. Trist, the American Consul at Havanna, who has been repeatedly accused by the American papers of having been extensively concerned in the Slave-trade, has been at length removed from his post.

The yellow fever was on the decline in the Southern States. Nevertheless, the deaths at New Orleans, during the week ending on the 0th of October, had amounted to ninety-six, of which thirty-nine were cases of' fever.