Lamoille newsdealer. [volume] (Hyde Park, Vt.) 1860-1877, 1874-08-05
The Chicago Grain Corner"


Q ranked in point of size aud cunning mani
! pulalion with the most noted gambling
operations of Wall street. The combi
nation that has been working the ''cerner'
d was formed about the first of June, and
their first intention was TO bring the "cor.
ner" to climax, July ]. The market
was carefully canvassed and the amount
S of corn held by farmers estimated as close
, ly as possible. But they made a slight
miscalculation. They supposed the stock
, in the country was much smaller than il
really was. At the end of June. the re.
f ceipts we're coming IN largely-over 1000
carloads daily-from Illinois and Iowa
that the combination couldn't afford tC
| ''corner" and advance the prices. The
influx of grain was too great for them
For the time being, therefore, the 'cor.
ner" was off, and those who were 10.
sharp enough to aoalyze their motives,
still held their confidence in the honesty
of the combinations transactions. The
combination held their trades for July,
aud then laid their plans to accomplish at
tie end of July what they failed to do 10
June. How well they succeeded, Fridays
TRANSACTIONS show. All through the
month they handled all the cash corn Of
fered, and at the same time continued to
prosecute the movement, and succeeding
in squeezing the dealers by increasing
their purchases for July delivery aud
keeping complete control of the market
for cash grain. When Friday-setiling
day--came, the .'shoris" found them.
selves practically in the hands of the
combination. Their contracts must be
filed before three o'clock or settled at the
prices of that hour, with no corn bought.
or, at best, with that bought, like their
own sales. for July delivery, and which
might be delivered to them to turn. The
''shorts" we're practically at the mercy of
the combination who owned or controlled
four .fifihs Of all the corn in the country.
AMI could sell TO the "shorts" at pretty
much what figures they chose.
The scene, when the situation became
known, was one Of riot and confusion.
Amid frantic yels and hoarse screaming,
corn was sold TO the combination by the
bears, and was accepted in as large quaint
tiles as offered One firm alone sold
$50 600 bushels at so cents. When the
board closed and the gong sounded the
signal for retiring, transactions we're go.
ing on with undated fury. 1t was next
to impossible to stop 'raflickipg. So in.
tatuated had dealers became and so ex.
citing was the game they were playing,
that they held on as drowning men catch.
ing at straws Al; rhe Office of the lead.
err of the combination, where the deliv.
cries must be made, the excitement was
not less intense. The office and vestibule
was Tiled with trembling brokers. each
anxious TO make his delivery and receive
his check. Finally, the bell. struck 3
o'clock, and the doors were closed but
the crowd Of dealers broke down the
doors ard insisted that the clock had been
tempered with. Receipts were brandish.
ed ficrcely aud threatening gestculatious
made, but all to no purpose. The dam
ago done to brokers by their failure to
make their deliveries to the combination
cannot yet be definitely decided upon. A
day or two will tell the story better, but
but it is said by those claiming 10 know
that the amount not delivered is not short
Of 100000 bushels. A great number of
small dealers lose heavily, and will doubt
less have to suspend.
The parties VINO figured most in the
transaction are four in number, chief
among whom is Jack Sturges of Chicago
H. K. Bruce is another successful one.
The financial, or rather, banking opera.
lions Of the combinati, On have been trans. ,
acted through the Chicago branch of the
bank of Montreal; the handling Of the ,
,orn in New York city. on its arrival
here, has been done by Jesse Hoyt Go,
! house backed by Unlimited capital.
Since the organization Of this continuation
King Jack" and his associates have 0
handled something like 5000. 00o bush. D
is of corn. all of which has been bought, L
laid for, handled and shipped from Chi. y
ago to New York. The bulk Of it has q
one to Europe from New York, but large 7
assignments have gone to Montreal on
ccount Of parties interested 10 the deal. Il
all probability the 6uaucial backing cf u
ne combination ranges between SIS, 900 u
90 and $40, 1000. 900. 1t is believed n
rat the combination will hold their y
round and run the deal into August, and Sc
osslbly to the close Of the crop year, CT
I'D the quotations for August and Sep o.
mber delivery certainly favor this sup. he
,sitinn. iii