The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1872-11-27
AndshsF fsiack Hrlss q. 8 kag sss
and F'oslowcd inc Arrest Or Jay
Gould.

4 u ~ ggs98 z
The history Of the latest all.street sensa.
ton Is briefly told by the New York Herofd.
as follows: One ealmy. saturday Ia the earls
| part OF last October the attsactions OF The
ace-course at Jerome Park Withdrew from
the busy whirl of Wall street the Younger of
| that nohle pair of brothers who have made
| themselves so famous in Erie and other
speculations--viz., Mcssrs, ,Iay Gould and
Henry n. Smith. While Smith wns dis.
| porting himself on the grand stand of the
great metropolitan sporting ground Gould
| was In his office in Broad street; Watching
the stock indicator and spying out the plans
Of his speculative adversaries: He was then,
IA he had been Tor MANY LONG day before;
"bcar y: and bis many Interests were sd
wrapped up in the market that he could not
afford himself holiday, as had his younger
ally. His rusty scouts prowling around the
Treasury In Washington startled him with
important intelligence. The Government
had decided to and would on next Monday
relieve the money market with FIVE millions
of currency and i've millions of gold. Gould
and Smith had been locking up money
to cause fall IN stocks. Here was a
sudden danger to their plans. Such
an etfluX of money would ruin men operating
on the "bear "Side. Gould, foreseeing such
a contingency, changed his position in a
twinklng, covered his speculative sales of
| stocks. and came out n "bull" with very
louG horns. Smith was away ut the races
| all this time, and Gould WAS unwilling to
| close his contracts for him. Smith, learn
ing of Gouid's action, upbrlided him with
| jnSratitudc. 4 quarrel was the result.
| The longtime friends became enemies.
| Smith remained "bear" and Gould con-
| tinued q "bull." In the course Of the sue
| ceedinG few weeks Gould joined q "p00l'
| i'll Northwestern, and cast his lot with the
| bulls" as against the BEARS" who in
Guided Smith. Tho "bullS" put UP the
stock to 100, causing heavy losses to Smith,
who, in revenge, has turned over the books
| Of the former firm Of Smith, Gould, Martin
| Il Co. to the president of the Erie railway,
| and ayowS the embezZlement by Gould of
many millions of Eric money. Gould is
| arrested and held to bail. but returns to Wall
street and takes revenge in turn upon Smith
| hy putting Northwestern shares to 200 per
| cent. Such is the story.
| The scenes in and around the Stock Ex-
change at the closing on Friday are graphi-
| cally told by the New York Herald, which
| says:
The whole thing was indeed so sudden
as 10 take away ones breath, and men stood
| bewildered and mentally paralyzcd in the
midst of Il storm such as, III the same limited
area, Wall street had only seen very few
| times before. In the bankers offices the
| brokers stared at the tell-tale figures on the
| tape i'll mute astoniShment-120, 20, 50, 40,
| so. and SO OH up to $50, seemed TO be simply
| Incredible; and even if he did not say so,
man could not resist suspicion that for
| brief season the operator at the Stock EX-
H. I,n .,,tl,
| and that he was writing simultaneously
on thousands Of tapes the wild sug-
gcstions of a disordcred Imagination.
But in the Exchange itself the excitement
seemed 10 approach almost tragic signifi-
canoe. Every man on the floor gathered
around the Northwest clique brokers, who
stand usually near the Wall-Strect door, and
looked on aghast at the terrible throes OF
the financial earthquake that had overtaken
them. Nothing but the impossibility Of
making anything by such cXtortiOnate figures
was in the way To prevent the victorious bulls
from pushing up the stock yet another 100
per cent. Such were the fears that now took
possession of the crowd that surged to and
fro, while some men jumped upon the chairs
and g;tzcd panic->trickcn ut the scene, and as
the clock struck wild bids of 2U0 were
| heard flying eagerly around tue hail."
| When darkness ended the battle down
town the Combatants appeared to have, as
usual, adjourned to the Fifth-Avenue Hotel,
where the excitement, if not the combat, was
renewed. 1t is known that Smith is short of
the stock to an amount exceeding 10000
shares and that Drew is in similar position
rs regards upwards Of 10000 shares. Con-
siderable excitement existed in the stock
market in New York on Saturday. North
western sold first at 155, then al $50, down
to 115; again at 100. Later in the day
Northwestern common stock was sold under
the rule tor parties who refuse to settle,
forty-thrce thousand shares, to kcnnon, Cox
Il Co., Of which Daniel Drew is special part
ncr, for = cash.