Mr. Clay to Mr. Seward
Sir: The President’s message has been now received for some days. It was anxiously looked for in all Europe, and has been read with general satisfaction. Under the apprehension of possible war with France and England, United States stocks had declined at least ten per cent. from the highest point reached since the war was closed. But now, under the pacific tone of the message and the indorsement of the able financial views of Secretary McCulloch, which had been already made known in his Fort Wayne speech, American bonds are having a rapid and steady rise; and if Congress shall sustain by legislation the views of the message, our stocks will at no distant time will ascend to or above par.
When the resources of a state are derived from fully developed realities and industries, a foreign debt, more especially when it is based upon unproductive loans, by exhausting the precious metals, is ruinous to a state. But it is different with us. With new and fertile lands, with vast mines and valuable staples, which may be indefinitely produced and sold at great profits, we can well afford to borrow money at an interest which would be ruinous to older countries. A sound financials policy, then, such as that sustained by the President and the Secretary of the Treasury, by a general restoration of the specie basis, and a sure redemption of the funded debt in a reasonable time, will not only establish a safe foundation for home industry, but give us immense credit abroad, which will thus afford us all the reproductive capital we shall so much need.
The foreign relations of the United States are regarded as ably sustained, and it is thought that we can maintain amicable, or at least neutral, relations with all our rivals, without a permanent sacrifice of the Monroe doctrine or our honor. And, although it is not my province to criticise the President’s acts or opinions, I must say that he has shown great ability in the laying down the ground of his foreign policy, and which you had already initiated.
Having previously taken the liberty of saying a few words upon the all-important subjects of naturalization and suffrage, I venture only to say that it seems the President has gone the full length of his executive powers in the liberal direction; and if more is necessary to be done, it remains with Congress and the States to perfect what he has satisfactorily begun.
Your obedient servant,
Hon. William H. Seward, Secretary of State, Washington, D. C.