The Nevada Democrat., 1862-01-30
The Flour Speculation.
From the 5. I. Herald, of January PSI


The utter heartlessness. which occasion
ally gives rise to speculative movements in
merchandise has perhaps seldom been more
nOtingly exhibited on this coast, than in the
late. and we may say, present "movement,n
as it is called. in the leading necessares of
| life. 1t seemed not sufficient for the chas.
tisement of the people, that the fairest por-
tiOns of the State should be devastated by
the food, and the accumulation Of years Of
toll be swept into oblivion, that hundreds
of lives should be sacrificed, and benevo.
lence taxed to its utmost to relieve the me-
cessities of the rescued, but that these very
misfortunes should furnish an occasion to
the harpies of trade to add TO the msfoF-
tunes of the hour by laying an exorbitant
tax on certain Indispensable articles of food
the "staff of life" not excepted.
Since the grand -four speculation of the
winter of 1852 aud 1853, which occurred
under somewhat similar circumstances, We
have witnessed no attempt of the kind so
utterly indefensble. AT that time we i'm
ported nearly or quite all the -four that we
consumed. A winter of unusual severity
set it, and II became difficult to transport
goods from one portion Of the State to an-
other. This gave rise to high prices in the
mines; but in this city, there was no insult
ficiency of supply, and it was well known
that feet of hour laden vessels was on its
way from Chile TO this port. Under the
pretext, however, that breadstufTs must grow
scarce, aud encouraged by the almost fabu-
lous prices then ruling in the interior, spec.
ulators concerted to put up the price Of
-four, and the article consequently advanced
in the course of fortnight, from $40 TO
$44 per barrel, and was tending TO still
higher rates. when the bubble was suddenly
prcked by the arrival Of something like
dozen cargos in single night from the
abundant source of supply.
On that occasion. the rule of the cormo.
rants was Of short duration, and the coun-
try was better able then to bear the inflic-
tion than now, for ii had suffered no great
and overshadowing calamity. Indeed the
punishment entaled on the speculators
themselves by the result of the heartless ex-
pertinent in some measure was worth the
sacrifice wrung from the people. Men who
had suddenly become in their own estima-
tion the mllionares of the time, as suddenly
found themselves beggars-their i'll gotten
gains had vanished in brief period of
twenty-four hours. Some of these men
have passed away and are almost forgotten,
while few still linger on the stage, capable
of afiording, in the retrospect Of their uu-
fortunate careers, lessons which might now
be probably read by their imitators.
The present movement had for its basis
not solitary excuse. except the fears Of
small dealers, who had been made the
dupes of the crafty. For some time previ-
Gus, owing to the pressing demand for wheat
for expectation, and the limited require
ment for -four, the city miIlers had been
manufacturing but sparingly-scarcely be-
yond the current demand tor local consump-
ton. Farmers, too, had been holding back
their wheat, encouraged so to do by the ad-
vaucing prices. Suddenly the heavy rains
came upon the country, and to move wheat
from the points Of accumulation was i'm
possible. As a consequence, supplies at
hand began to run low. Exaggerated re-
ports now began to be spread in reference
to the destruction of grain throughout the
interior. These things were the levers by
which the "movemenp was commenced A
few benevolent individuals stepped into the
market, and bought up all the -four they
could lay their hands on, and then COM
menced knowing" the small deaers-for
the large were too well posted to be trap
ped.
In one respect the time was we'll chosen
for this nefarious undertaking. Alarm was
easily spread among the unthinking; aud
many small consumers were induced to buy
largely Comparatively speaking) at high
prices On them. and on the retail dealers,
must fall the bulk Of the loss-for loss must
be sustained somewhere, so soon as the
abundant grain supplies of the interior can
be brought to market