Western Reserve chronicle. [volume] (Warren, Ohio) 1855-1921, 1869-10-06


prompt and decisive action of tn
] administration. The silly and doubt
!. less malicious reports that officials o
the government were to some exten
favorable to the hegiganticseheme which
had just been perpetrated were happi
" found to be utterly unwarrantable
In this instance the administration
was most favorably spoken of by al
who attended General Butterfield'
office, and quitting the Sub-TreasurI
with lighter hearts than they had en-
tered it many heaved a sigh of relief
With that dignity, eOOlness and afta
bility which the momentous occasion
demanded. General Butterfield was
equal to the great emergency, anC
when the panic was put an end 10 he
quietly resumed his duties, while the
prineely merchants, who had anxious.
ly assembled near him, went theiI
ways rejoicing.
THE EFFECT.
/ Possibly no avalanche ever swept
with more terrific violence than did
I the news of Secretary BOutwell's tele-
I grams into the Gold Room. 1t is q
remarkable fact that when man tried
( for murder Is pronounced by his jury
men to be guilty" his lower jaw falls
somewhat. Next to being convulsed,
the ''bulls" were frantic, not to say
ferOciOus and unmanageable. There
was first a deadly stillness-it lasted
but a mOment-the muscles of the
animals were relaxed, and then came
roar of rage and disappointment
that was truly pitiable to hear. The
"bull" was stung and was unable to
horn his opponent, while the specta-
tors rejoiced and made merry at his
defeat. The result was an ebullition
of feeling never perhaps equalled in
the history of the famous Gold Room
of Wall street. From some issued the
wild cry of despair, Others rushed
from the room and sped through the
streets like raving maniaes, while a
number still clung to the ground re-
fusing to believe the Information
But the proof was there. The gold
fell and with it the hopes of thousands
whose fortunes, like the adventures
of old, were centered in the day of
battle. 1t is hard to picture the sad
sights that followed. Even in the
Gold Room the earnest cries rose
higher than the announcement of
the prices. Broken hearts and thieves,
Gagged in their own trap, mOaned most
piteOusly. In the words of the poet:
Harsh tongues diseordant, horrible dis
Words Of despair, fierce accents ofdispute,
Striking Of hands, with curses deep and
Raised loud tumult.
It was a frightfuI scene-a true and
faithful picture of the gamblers mis-
cry, and one that will perhaps prove
a salutary lesson to the young would
be dabblers that like to invest. Down
the gold fell and up went the hearts of
the "bears," who, unhappily, were
only rescued from the deep when life
was almost extinct with very little
of recovery. The bulls
were furious, while the "bears" danced
with delight. New street was q dan
gerOus place to stand in, apparent
from the eager plunges made by the
animals, reminding one of
the frolics of pOrpOises. Quiet eiti-
zens were shouldered roughly. There
was no time to "eXeuse me, sir" for
the moving portions of the eommuni-
ty were bent on going somewhere at
all hazards.
A TRUCE.
Although the ''bullsn did not ex-
aetly hold up the white fiag-why
should they while the game was good? I
they nevertheless fought bravely to /
he last, retiring finally with great
oss of blood, both parties being heav- [
ly pushed. Towards one o'clock the I
combined forces seemed to take a rest, I
here seeming 10 be a sort of mutual
ruce after the excitement of the
Gold fell, and as it descend
d the "bullsn threw up the sponge,
heir brother gamblers at the same
ime striving to conceal their weak
less by smiles. The welcome tele-
ram from Secretary Boutwell, sent
he reckless plunGerers reeling to the
and the financial robbery was
imely nipped in the bud. The horde
las been promptly dealt with, and
he result will prove satisfactory.
AN EXPLANATION.
Though apparently wrapped in
1ystery, the roguery is not difficult
D comprehend. Some men sell gold
DR. future delivery in the hope that
he price will fall. When it does so
heir profit is made by purchasing it
the lower price and delivering it in
llfilment of their contract at the
igher. Now and then it rises instead
falling, and they have to pay more
)r it than they obtain, and the result
J loss. But no matter in what aspect
uring the interval the speculator is
short" of gold, but nevertheless OBJ
lins it in order to carry out his con-
act.
Instead of contracting for delivery
definite future time, as three or {
lirty or sixty days from the day of ;
lie, it is most common to sell the :
Did for immediate delivery, and I
len to borrow it, until the seller {
ishes to 'cOYer'-that is, to buy ]
back. By far the greater part of all '
lie transactions in gold are o. this ma
Ire; that is to say they are bets on s
lie future price of coin. The proper
on which these bets bear to what is !
Illed the Legitimate business'-that '
to the transactions of merchants {
no buy and sell gold in the ordinary i
,urse of trade-is startling TO those /
no have not considered it. The {
lilly transactions of the Gold Ex- {
lange Bank are from S1OO, 600, 900 to s
Q, ,0O0, ,000-that is to say, the book 5
ansfers of gold bought and sold
Mount to these sums, while the ac-
al amount of coin and coin eeTtifi- ]
ties used in these exchanges is from I
',000, 900, S3, 200, 900. The whole / !
mount of gold coin owned by the {
INKS, bankers, merchants and spec '
atOrs of New York rarely exceeds I
o, ,0OO, 900, and but part of this can /
. brought into Wall street for specu- {
tive deliveries. If a combination of {
pitalists, therefore, but buy up that :
Mount, then all who have gold to de- i
yer must buy or borrow of them. If
ey buy not only that amount, but
uch more, sold "short" by the other a
mblers around them, they have the
tier at their mercy, and can raise e
q price for the time at their will, s.
all who are ''shortn to pay O
EN- the difference of price. The ad- a
nee from 135 on Thursday morning
l55 yesterday represents a difference s,
more than $40, 600, 900 on the trans
tions of that day alone. a
SUSPENSIONS. d
The result has created a profound y
nsation through the entire eOmmu- =
ty. Immediately after the news y
d become known confidence was q q
restored, though many still =
lger around the Gold Room in an =
ipation of another rise. The con- I;
luence of yesterdays operations ., :,
mot be known in day. OF course :,
e most idle and injurious rumors VI u
re put in circulation. To be sure ~ ~
ere NAV have been some failures, "