The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1868-01-21
Correspondence of the Democrat.
NEW York, Jan. II, 1868.

Christmas and New Years have both passed since
last wrote you. Both were said to have been I'M
usually dull this year. They certainly were so to
in comparison with those which preceded it
ago the old plantation. Christmas is not great
a day here as New Years. On the latter the custom
is for every gentleman to call upon any person that
he may know or have ever been introduced to if he
is SO disposed Every bar-keeper keeps open house
in the morning for his especial customers-all the
public officials do likewise-and if man selects his
houses he is pretty to get jolly tight by night
The Ministers generally condemn the use of wine,
and in Brooklyn | think it was less offered than
formerly; but in New York there difference
1t is a custom handed down by old kniekerbock New
York
The New Year brought many settlements of ac-
counts and many didn't settle, hence failed. There
are but few houses which have sold largely to the
South which have not been badly cramped en-
tirely failed. Failing, here though, with good
many, is merely mode of settling up and commence
ing again with clear books, at least the Dr. side
of the Ledger. Some of these houses have acted
with great magnanmity and generosity to Southern
buyers, and their loss is greatly to be regretted.
take the liberty of mentioning one which has lost
largely fear but still continues its business, only
changing from Broadway to - street, just in rear
of their former location. l allude to Messrs. Tracy,
Irwin & Co., Dry Goods, &c. Men who have been as
generous they and shown such confidence in South
ern honesty, deserve TO be rewarded
One of the great cxcitemens of the peculiar ex-
cable locality Wall Street. has been the fight against
the Pacific Mail Steamship Company. That Com
pany has in past times been considered the strongest
corporation in this country Its stock, originally
$500, 900, increased to $40, 0O0, OOO and but
few months ago worth $175 for 500. 1t went
down low sos and is now STA. The chief
reason of this is the opposition line to California
North American Steamship Company-controlled by
VIM. III. Wells, the great shipbuder lie carries
first class passengers from here to California for 500
in currency.
Stock operations are both interesting and exciting.
The mode of conducting them may be worth telling.
1,,;n 10 D., e. 4 Of
200 per share. Mr. Jerome, the liberal and rather
reckless of Jerome Park, bought six millions;
it fell to $50 and Mr. Jerome failcd-others did too.
Not that all this money was advanced, but 1t was
gentle bet, respectable gambling operation Thus
Mr. a. goes to Messrs. J. F. U. & Co. and says want
900 shares Pacific Mail what is your marg in. If
Pacific Mail is ''weak,' Messrs. U. Co. want large
margin; if it is 'stiff," that is tendency upward)
but a small one; if STEADY" medium. Well,
suppose it steady: 1000 shares of Pacific Mail at
lis. represents S115, 000-Messrs US commission
will probably be S2S74 for buying. Then they will
want you to deposit from $1,000 to $4,000 as a
margin, they may have confidence in you OF the
stock. Well, week passes, the stock falls to ITO,
and Mcssrs. U. notifies you that your margin is
haused and you must renew it or they will no longer
''carry the stock for you. you do not place more
money on deposit they sell your stock and make up
the difference with your $1,000; but if the stock
rises say to 25 they notify and ask for Instructions
You say SELL They sell at the advanced rates and
pay you the $4,000, less commissions. Frequently
no sale really Is made because IN law sale should
be delivery; but in one-half the Wall
Street there is actual delivery. Messrs. U. 60 to
Mcssrs. F., from whom they bought, and call for
delivery difference in price. Mcssrs F. pays diff
ference buy for delivery. The real fact Is, this
MIR 4. stakes $1,000 that Pacific Mail will not fall
under 49, that it will rise Mr. a shows conf
dcnce in that sockhe is fer raising its value, hence
he is s'bull Mr. B., the other hand, sell 200
shares of Pacific Mail because he believes it is going
down and wants to create dstrust in its solvency-
he is ''bcar.' Mr. B. sells Pacific Mail than
he delver-than he has on hand-that is he sells
'short.'' If it falls he buys to make up his sales
and if it rises he pays the difference Mr. A buys
stock than he Knows any market for, hoping to
make it scarce and create higher price and better
market-he is buying 'long.' The whole system
can only be thoroughly understood after years of
experience, and though some make fortunes, most
persons who made money elsewhere lose it when they
60 into the ''Street."
have endeavored, briefly possible, to give
your readers idea of how business is conducted
in which large portion of the capital of this City is
employed, and have run out my letter that must
close More anon. SCIo.