New Orleans Republican. [volume] (New Orleans, La) 1867-1878, 1875-12-05

fitted CHI elk for $1,000 with l. tile, b gh-ad
N Co. as margin. The next morning
everybody greeted me- with great cordially
as l entered the office. Notwithstanding
the Private in big letters, on the inner
office door, hey all knew that had become
speckerlater. For long time | fingered
the paper tape, trying 10 make up my mind
what 70 buy. Presently BIyhead says to
me, We'll, Mr., Quacken bush, do you feel
pretty ''bullish" to day.
Mo says /; 4 feel pretty catfish,
though Everybody laughed like they
would split their sidts
"'What's the matter row ? Gays /
"'Oh nothing, nothing, Bot l forgot that
Won wasn't familiar with Wal. street slang.
lou see when man goes Long OF STOCK,
that is, buys it with the idea that il will rISe
in price, he is said TO he "a hull;" aud wheu
he thinks the market Is in such a condition
that stocks will have general rise. he i.
said to be publish" On The ort.ary, v her
he operates for tall in prices, he is said 20
be bear, or TO feel "bearish.'
'"Thunderaton says |; IL that case IL
obliged TO he bulish, Tor haven't got any
stock to sell il did think they were going
| down ;,
Then you would have to ''go shor: be
said that is, you would have tc sell some
! stock that you did not hare a. the market
price, taking the chance of buyiDg 10 al a
| lower price, and IN the meantime We could
borrow the stock foT Won ard deliver it 10
F., the person you sod 1t to.
| Just then small Office toy sill down eft
OF bigh stoe! and skipped into the back
office, singing in shrill voice:
He who sells what isn't hisr
Must ahte UP or % to p-izsel.'
| FINALLY choking down a Dig lump that
| kept Ilsirg up N nv threat. | mana ged to
give ul order tor lu0 shares of Pacific Mail.
| L selected this stock On a very curious
| principle as now lcok upon il. Il was
| selling way above par. anC t occurred to
| me that 1t mus be really a very desirable
| property 10 fetch so high a price. ! had
hardly received my notice l.;tle paper
| slip thrust into my hald by Mr.. Little with
| destinations privacy, When | felt some body
| pulling a. the sleeve Of M Goa. on the
other side. Turning, saw at my elbow a
most respectable locking person, of noble
| bearing. with gold.rl ned eyeglasses and
| gray beard He pinehed NY arm winlieG
| at me in the most mysterious manner. and
| then passed into the street, evidently wish
| lug me to follow him. Once outside he
| grasped my arm, and leading me around two
| corners ami backing re into adark doorway
he said, gazing cautiously about as if to
make sure tIat we were quite alone;
| 'Quackenoush, | like your looks and I'll
| tell you thing | wouldn't mention to any
| body or have you mention not for worlds.
| Its "a dead sure thing. | got il straight as
string way from the inside Here he sunk
his voice to an imposing whisper, and muir.
INJURED in ny ear: Rock Islands sale.
| Mind you, cont say it wont have a squirt
| up, but lts dead sale. For heavens sake,
| now, don't tell those idiots in the office any
| thing about 1t. cant co anything there
myself, because they would all know it and
| follow my lead; but you can, Quackenbus
| Go in aud sell it short; there's i've per cent
in it at least; there's strong pool on the
| short side. and they are bound to break
it clean down within a week Not word
! now 10 a living soul" | went back to
the office highly elated. | had ne idea
that it was SO easy for an Outsider to get
reliable information about the inside work
ings OF Wall street. Then | looked az the
tape. Pacific Mail had gone up two per
cent during the time | had been away.
Whewh! | could hardly get my breath to
give the order 10 sell at this profit. Two
hundred dollars clean money in half an
hour! What au internal tool l had been to
waste the biggest part of my life in a saw.
mill. Before night Pacific Mail had ad-
vanced two and half per cent more. and
| went home saddened az the thought
of the $3.50 more | might have made
if ! had hung on. However, | had cold
200 shares OF Rock Island upon the ad.
vice of the respectable looking gentleman
with the gOld-rimmed eyeglasses. / could
not sleep much, thinking of the mist AXE |
had made IN selling my Pacific Mail, and
the first thing next day bong it back at
full ten per cent above my original pur-
chase Within a week Pacific Mail had
sold down six per cent, or as they variously
expressed it in the office, had had a break
or got a set back or a black eve | ut
terly refused to realize nv loss of 5000 on
il, and when they advised me TO cover my
Rock Island. which had gone up to three
per cent, laughed at the idea. Finally,
/ +1N.Nnr. rxl,l g.
had to close both transactions al a total
loss of $1,000, as against the 5000 profit.
"A few days after this Mr.. Bighead took
me into his private office and said to me-
Il see you talking often with Colonel Blath.
erby 1.-THE gentleman with the gold.rimmed
eyeglasses). Does he give you 'pointsW'
what do you mean says !.
:" Il mean to AJAX does he tell you conf
dentially that one stock is going up or an.
other down; does he say that he has special
means of knowing what this or that pool
or clique OF operators are about to doP
He has once or twice given me hint
upon which l have acted, replied.
WELL said he, i feel it's my duty to
tell you to look out Tor him; he is prOses. |
sional point giver;' that is to say, not
having any money with which to operate |
himself, he picks up something by putting |
in circulation rumOrs and giving points to |
anybody whose opinions he can influence
" was distressed to ind that the respec-
table-looking colonel was not reliable and
determined in the future to act only upon |
information got directly from the officers
and directors Of the different railroad COM
panies, who must, he thought, be able to
know the real conditions of their organiza-
tons. Adhering strictly to this plan, con-
trived 10 lose 1877, 900 in three months on
advice freely given me by the directors of
the different companies in whose stocks |
m ma hnl IS
stock operating came into vogue, and in
sheer desperation | went largely into the |
purchase of privileges Stock privileges
are of four sorts, puts calls 'straddles'
and spreads They are all contracts signed |
by member OF the Stock Exchange, or
somebody in whom you have confidence. |
If stock ia selling at say 20, and | |
think it is going down, buy put on it
at say SO for thirty days. For this l pay
Sl06 25; and if the stock declines any time |
within the thirty day to say %, buy the |
stock at that price and put it. to the signer |
Of the privilege at the price he agreed to
take it at, viz: 60. Thus make $500, less
the price paid for the put and commits |
missions. of course he doesn't generally |
want the stock at that price, and 80, instead |
of making me buy and deliver it, he simply |
pays me the difference. A cali is Just the |
reverse of this. For q certain sum the |
maker of the contract agree to deliver to |
the purchaser 100 shares of given stock at |
given price within a given time. A |
'straddle' is a double privilege, and costs |
more money-generally from $3.50 to $3.50 |
per 100 shares-and gives me the right |
either to put or .calP the stock at the mar
ket price at the date Of the contract anv |
time xvifhip tho thirfv dous a.. 7 /