The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1865-08-21
FINANCIAL AND CONNER lAl.


SUNDAY, August 20. ls~'
The mast week has witnessed an event - II ~, -
NJ, $50, a- .sun purst upon the pub
kpe history VI va Of squall in the tropics Mon
nc WIN 'no pon an unusually stagnant market most Of
o pomnent speculative brokers and outside operators
being absent from town. bit before nighfal the start
ling discovery was that large amount of forged
gold checks held by different banks and brokers in
the street, aud suspicion directed strongly against
Edward 3. Keichum one of the firm of Kstchum, Son
& Co.. and himself a member Of the Board OF Bro
kers Immediately those carrying stocks and gold
for HIM, foreseeing what would be likely to
happen. gave peremptory orders to sell por.
ton OF the same at the Evening Exchange
on that day But 1t was not until about noon on Tues
day that the facts Of the became generally known
and the failure Of Ketchum, Son Co. was announced.
Then too it transpred that In addition to the gold
check fogeries Edward B. Ketchum had distracted
rites from the repositories OF the firm to the Of
nearly two millions and hail. making the aggregate of
his frauds more than four millions.
panic at once seized upon the financial community,
and tho greatest disrust prevailed The failure OF
Charles Graham Co. announced simultaneously with
that of Ketchum Co., in consequence Of his transactions
on account Of ''young Ketchum Edward B Kctchum
was Familiarity called More failures were apprehended
and rumors q damaging character to individual credit
were freely circulated. "a general smash" to quote
conversational language was apprehended oy not rev.
and stocks were pressed for sale with an mpetuosty
which seemed at the moment to angur badly for the
immediate future OF the market. The telegraph shot
astounding messages to all parts Of the country and to
the local banks many OF which had accounts with
Messrs Ketchum Son Co. The news OF their failure
occasoned almost great shock as the failure Of the
Bank of England would produce in Great Britain.
Stocks declined from four to twelve per cent and gold
Y Int ed a
ceeded 20 the storm which had before ragged and there
was gradual recovery of confidence The brokers and
operators and private capitalists, who had rushed from
Saratoga Newport and other summer resorts aston
ished find that lull had already supervened and in
most cases. instead Of selling out their stocks or with
drawing their brokers' balances they had intended
they remained passive. The market staggered lenders
were extremely cautious Of both credits and coaterals
and loans only procurable by first class borrowers
brokers than usually divided in opinion as to
the course OF prices and then came rally. The
speculative director In Erie found himself saddled with
larger load OF stocks than he expected owing to
the Ketchum and Graham failure having thrown more
than he baraned for upon his hands His only aterna
tive therefore, was 70 s'bulr the market by buying
more aud upon this course he speedily resolved sum-
moning his aid at the time the moral influence
Of few powerful but now comparatively penness
operators He means by his purse and the before men,
toned moral influence couneract the natural tendency
OF the market, after such shock as it has
just received, and plumber the street TO ill
his pockets To this end much talk is en-
poyed and ''mora influences arc brought to bear to
further unscppuous designs but those who are wise
will leave livestock market severely alone and allow
Judas Iscarot, Barabbas Company to work out their
own selfish ends without outside interference
Tic gold market after being depressed to 140 became
steady and sold Up to l44k Saturday, tho closing
quotation being l43z The highest and lowest prices