The Bank has this week raised its rate of discount
from 2 to 3 per cent., actuated by the drain of bullion which had him place to meet the demands of the Germans. This action of the Bank came like a clap of thunder on the Stock Exchange, and caused a panic fall in almost all the stooks,—which had recently been ris- ing. North-Eastern Railway shares went down 10 per cent. in three days. The 'North-Western wont down 6 per cent. from their highest point after the triumph of the amalgamation. The Great Western went down 5 per cent. Caledonian went down 6, and so forth. They have hardly yet begun to recover. Forpermanent holders of stock there is not the slightest occasion for alarm. The panics which take place on a sudden rise in the Bank rate, especially if ccasioned by such a temporary and limited cause as this, affect really only speculative buyers and sellers, or men who have pledged their stock for ready money.
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