New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1873-09-19
THURSDAY. Sept. ls-P. NJ.

DESPITE the failures and defacatiOns and various
rumors of impending troubles and disasters yet 10
come which have been current so long IN the street.
the announcement this morning OF the taiihre Oh
the house of Jay Cooke & Co came like clap Oh
thunder FROM clear sky, and the statement WA
scarcely credited for a moment even by the most
persistent bear the Exchange. This was pre-
ceded by story that the Pennsylvania Railroad
Co. was in trouble, but the uneasiRess arisngrotn
this rumor was quickly dispelled when 1t became
announced that Drexel Morgan & Co. were offering
to discount the paper Of the concern at II per cent
per month OF course great discredit has been
thrown upon all classes of railroad paper by late do
faults and the natural effect of the various suspen-
sions has been to reduce the prices Of stocks
Another evidence of the late excessive railroad
building In advance of the requirements OF our
country is the failure of the firm alluded 10 at tho
the head of this paragraph In their state-
ment they give as the cause of their Sus-
pension the heavy drafts of their Philadelphia house.
the drain upon their deposits here and their adj
vances on account of the Northern Pacinc Railway
For some time it has been apprehented that the
house was in trouble from the large advances to the
Northern Pacific Railroad and the difficulty IN ne
gotiating the bonds. This has come TO the knowl-
edge of the general public and accounts for the fall
ing off in deposits 1t is not likely inasmuch ~ the
London house Of Jay Cooke, McCulloch " Co u
reported solvent and have large cash surplus LA
we are assured by the firm here. that their comp-
cations with the Government will seriously affect
negotiations now pending with the Syndicate, OF
which this house was prominent member. 1t is
hoped that the suspension will be temporary az ar
rangements are said to be already in progress look
ing to a settlement with their creditors The fail
ure of so prominent and leading house "a tins. IN
connection with financial disasters and frauds
which have Immediately preceded IT, results. ss
might be expected, in almost universal DIS
trust as to the value of securities and
the stability of financial houses and IN
situations. The more hopeful believe that
we have the worst of the panic, and we SIN
cerely trust that their hopes well founded but
that confidence which is necessary to the success Of
business enterprises has received a shock from
which it ia not likely to Immediately recover The
excitement in the street to-day surpasses our poor
powers Of description, 'weiwil leave that to the
imagination of readers. The failure OF this houss
gave rise. of course, to numerous stories and the
street was flooded with rumors of other failures
Some were absurd. others malicious and nearly all
needed confirmation.
The only authenticated failures Of which we have
heard in this city are those of Richard Schel and
Robinson & Suydam. In Washington the First
National Bank has suspended and in Philadelphia
Messrs E.W Clark x Co.. who are understood to have
no business connections in this city, have failed
There were rumOrs in circulation questioning tho
financial soundness of prominent trust company in
this city. which are believed to have been without
foundation in fact. The following card was posted
on the office.doOr of Jay Cooke Co. III Philadelphia
to-day:
1--WE regret 10 be Obliged to that, owing to
me xpected demands U.s. office has been Obliged
TO suspend payment In few DAYS we VIII DE aDe 20
present statement OF our affairs TO our Creditors unts
which time must ask ther patient confederation
We believe our assets to be largely IN excess OF onr a
bilities JAY Cooks 20
1t was in the stock market that the effect of this
suspension was most marked. The dealings were On
scale of magnitude scarcely if ever witnessed be-
fore in the street. the number of shares changing
hands being over $4,000. which par would repre-
sent over 100000. and at the prices obtained
represented considerably more than half that sum.
Of the shares sold 10000 Western Union
Telegraph 1920 Pacific Mail. 60,l00 Lake
Shore 42,9O0 New-York Central. $500
Union Pacific, 1880 Ohio and Mississippi A,7D
Rock Island, $1,000 Toledo and Wabash, 1920 st.
Paul Common and 1880 Of all other stocks The
fluctuations 80 frequent and violent as to make
it almost impossible to follow the of each n-
diyidual stock. Western Union was the most promi-
nent stock upon the list both as TO the extent
of business and variation in price, opening
at 49,, selling down to rs. and closing NJ
81. Wabash fell from So to ~, aud recovered
to 50. at the close. Northwestern went OIL
A. per cent, Rock Island st. Paul. and Panama each
declined a per cent. and Pacific Mail St. But we
must refer our readers to the usual comparati's
tables below and the printed list of sales for more
complete history of the days most remarkable stooA
market At the close there was rally ana TO
covery of from TO 3 per cent, imparting considers
III, "a, lat following
the opening. highest lowest, and closing prices u