Book contents
- Frontmatter
- CONTENTS
- List of Charts, Tables and Figures
- Nomenclature
- Chronology
- Dedication
- Introduction
- 1 Growth of Confidence (1763–1828)
- 2 Opportunity and System (1828–30)
- 3 Good Timing (1830–2)
- 4 Silver Linings (1832–4)
- 5 Changing Too Soon (1835–6)
- 6 Barings Alone (1837–9)
- Conclusion
- Epilogue: Argentina and Singapore (1890, 1995)
- Notes
- Glossary
- Bibliography
- Index
3 - Good Timing (1830–2)
- Frontmatter
- CONTENTS
- List of Charts, Tables and Figures
- Nomenclature
- Chronology
- Dedication
- Introduction
- 1 Growth of Confidence (1763–1828)
- 2 Opportunity and System (1828–30)
- 3 Good Timing (1830–2)
- 4 Silver Linings (1832–4)
- 5 Changing Too Soon (1835–6)
- 6 Barings Alone (1837–9)
- Conclusion
- Epilogue: Argentina and Singapore (1890, 1995)
- Notes
- Glossary
- Bibliography
- Index
Summary
It is a great thing to have got along for two years and a half without making any serious mistakes.
In the present state of things, I find no overstocks, but rather British and American industry in vigorous action, and the world at peace. Things are in the main in a sound state, and it would not be possible to have again in the near future such a crisis such as that of 1825–6. Time will be needed to create overstocks, to raise prices, to induce price pressure.
Thomas Wren WardThe new partnership and Thomas Wren Ward established relationships with American commission merchants and bankers at New York and New Orleans that acted as additional anchors of operation to the main agency in Boston. The timing of the firm's renewed commitment to the United States was excellent. The recovery of depressed commodity prices, real estate and foreign trade was underway in the Atlantic economy.
On the eve of an economic uptick, the bank established an office in Liverpool for the receipt of American news and cotton, and for integration of its new operations in India and China. In the years 1830–2, Barings was quite confident of its ability to compete with more recently-arrived British firms in the United States. It was perhaps even more sure-footed in this market because of its American partner, Joshua Bates, who largely determined American policy. At this time, the firm was highly successful at attracting accounts, and profits were large. The firm experienced some difficulties with the Bank of the United States in the slight downturn of 1830, but resolved these to mutual advantage. Barings’ timing in terms of politics was less good. As the House committed to the business of the United States in 1828–9, Americans elected a president less friendly to financial institutions than his predecessor, though the firm was unaware of this at the time.
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- Baring Brothers and the Birth of Modern Finance , pp. 51 - 80Publisher: Pickering & ChattoFirst published in: 2014