The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1874-08-13

those who were not sharp enough to ana
lyze their motives still held their conf
dence In the honesty of their transac-
tions. The combination held their trades
fer July, and then laid their plans to ex-
tend their purchases for this month. In
other words, they "spit ON their hands
and took fresh hold" while their VIC
Tins nibbled unconsciously about the
hook on which they were so soon to he
caught. They were determined to &C
complish at the end of July what they
failed to do in June.
After the Fourth of July the receipts
dropped off largely, and yet they were
larger than at the same time in 1873.
Over 400 carloads daily were coming in,
but the bulls thought they could manip-
ulate the stock and these receipts, not
withstanding they were greatly surprised
at the manner in which the market held
Its own.
They handled all the cash corn offered,
and at the same time continued to prose-
cute the movement, and succeeded in
squeezing the dealers by increasing their
purchases for July delivery and keeping
complete control of the market for cash
grain.
Four prominent parties have figured in
this corner. Chief amongst them in this
city Is Jack Sturges, as he is Familiarity
known, or King Jack" as he may here
after be called. He is one of the leading
members of the Board Of Trade, and has
always been noted for his extensive deal
ings. He has attended to the purchasing
part of the deal.
Mr. E. K. Bruce, another successful
operator, has had charge of the shipping
of grain to the East.
The financial, or, rather, banking, oper-
atoms of the combination have been
| transacted through the Chicago branch
of the Bank of Montreal.
The handling of the corn in New York
city, ON its arrival there, has been done
by Jesse Hoyt & Co., house backed by
unlimited capital.
Since the organization Of this combi-
nation liking Jack and his associa es
have handled something like 100000
bushels of corn, all of which has been
bought, paid for, handled and shipped
from here to New York. The bulk of it
has gone to Europe from New York, but
large consignments have gone to Mon
treal on account of parties interested in
the deal.
In all probability-although it is hard
to arrive at a co rect estimate in such
matters-the financial backing of the
combination ranges between $15,0OO,OOC
and $4,000, 600. 1t is one of the strong.
est ever formed in the American grain
market.
Owing to the mistake which these
operators found they had made in June
and the consequent REIMBURSEMENT Of
their plan for the time being, other deal
ers we're thrown off their guard, and con
tinued to extend their line of shorts
without any thought of the consequences
which would soon overtake them. Many
settled at an opportune change of the
market; but, as was shown by the heavy
advance in price yesterday, large mum
Der of short" trades are outstanding ant
unsettled.
On Tuesday morning the pressure wa!
first brought to bear. Everything hai
then been arranged. Prices opened Al
sixty-three cents and the combination
marched their forces upon the field. Thu
figures were buoyed up to sixty-foul
cents on Change. At the Afternoon
Board sixty-five cents was reached, anl
on the curb in the evening sixty-eight anG
one-half cents. This began to open thu
eyes, somewhat, of the more wary oper
ators, but they failed to catch the rea
meaning of the transaction until ycster
day:
ty-eight cents, advanced to seventy-thlet
and closed at seventy-two on Change
with settlements between parties
outside the ring at one to three cents
under the market price. The call fol
margins to secure trade was very large
and many who were unable to put ar
we're forced to settle their deals. The mar
ket on the curb closed at seventy-twc
cents. This immense advance in the price
of corn, as might be expected, threw con
stem alton into the camp of the dealers
who were not looking for such develop
ments and completely disorganiz ed tl,e;1
forces. 1t is estimated that fully one
half of tine Board have been "caugnt o.
the turn" not expec ing that the con
bination would succeed in carrying ou
the operations it had on hard.
The amount of corn row in store is a:
follows: Yellow, 12,656 bushels; No. 1
q, 1874 bushels; high mixed, POS, 524 brsh
els; No. 2, 1,OsA ,646 bushels. OF thi'
grain probably four-fifths is held by tht
combination which has brought abou
this corner.
| Va COul sc luCIC Is COuSluCIdUlC
nation felt ON the part of the small
opers tors of the Board against the I" hi,
fish" who have prac;iced this swallowin.
game. 1t is o business, however, ii
which all of them are ever ready to EN-
bark and are only prevented from en-
So ging in because they are not fortunat,
enough to have the money and, perhaps
the courage.
In addition to the above corner dev ell
oped by the direct operations of few
individuals, there also exists a corner il
the oats market. This, however, is tn
direct result of an insufficient supply O
this cereal to meet the demand, and ma,
be termed q legitimate corner. Tn
small stock in store-less than 1000
bushels-is owned by two parties, VIII,
are squeezing the "shorts" to their hearts
content. Prices advanced from four t,
six cents yesterday
Mess pork and lard are also under con
troll of few dealers who own about al
the stock there is in the market and All
therefore able to direct the course o
prices. Within the past ten days porl
has gone up six dollars per barrel ant
lard one dollar per 100 pounds. Stock il
both these lines of provisions is extreme
ly light. Of pork there are not NOR,
than 81, 600 barrels in market, and of lart
less than $4,000 tierces. As fully tire,
months will elapse before the new pack
ing season dealers may expect to Sc,
"war prices" before the corner is raised
~