The sun. [volume] (New York [N.Y.]) 1833-1916, 1878-07-31
WALL STREET In A FERMENT
JAY GOULD SAID TO he PIyCHED BY
THE FAIL IN GRANGER STOCKS.


Another nnv OF sharp Declne-Vnfnvornbie
Crop Prospects the Ostenstbie Reason
Gould and Keene the Real Influence,
SARATOGA, July 3o.-Cammack and his
party here are jubiant. Tho severe break in
the Western stocks has Mt last showed that
the bears were right. Ever since tho Turko-
Russian war was closed. Cammack has been n
bear. and the fact that duringth five first weeks
OF the opening OF the Dardanolles 100000 |
bushels OF wheat had passed the straits. con- |
firmod him in the opinion that the Western |
railroad stocks wero bound to the dovil. no |
matter what the crops were. for there was no |
longer any market for American wheat except |
in England" He went short OF stocks. and so |
did his followers. The Keene- Sage Wander
bilt fight kcIt up prices, and made some OF the
worst bears cover, but the big ones. like Old
Cam. Travers and all that gang. remained
short, and are now rcaping the reward Of their
pluck.
Cammack is keeping up here truly Olympic
attitude. He does not seek any body's friend
ship or society and Vanderbilt s counting him
just ne II Old Cam. and not himself, was the
great railroad Mogul.
had occasion to see n telegram addressed to
one Of the biggest operators here II was dated
Wall street. July 80. $3.50 p. NJ. and ran thus;
IN, The shCtthotpsd hull; are all whipped out, and
go Franz %STs closed Ssi r. OS account Sd.y
ketnc feels sun hullSl. but sells the auCtpA
back again He seems to think that the market may
pool TO day but refused DO saving that prices were
likely 70 10 lower and that the time for bull turn had
not yet arrived
To-day's money article OF the World produced
accusation here. Everybody wanted TO know
who were The lorgss, SPECTATORS who came 70
story was dismissed as a hoax. for the names Of
Sage and Gould were given in connection with
gentlemen Is likely TO show fight under any
circumstances.
The shrinkage in stocks, particularly tho
Granger shares, in the past few DAYS has seri-
ously alarmed Wall street and yesterday morn
tons Of panic No3witRssta 1 w the heavy
previous decline. another onslaught was begun
II was reported from inside sources that Jay
Gould was seriously embarrassed for money
and that loan for s20O000 had been thrown
being deemed insecure having been tai an from
raitletraps down toward the bottom of his box.
Northwestern common from S9S tumblcd to Sc,
common fell from 371s TO 35. and the preferred
from % 70 70lt. Other stocks participated sym
or financial crisis no such decline in >" ii a
short space 81 time has occurred in Wall street
n, n years ears, Ten days ago the quotations for
western common. 5lb Northwcstern preferred.
1sa; 81 Paul common. So 81. Paul preferred.
common. 10 points; Northwestern preferred.
l2A points: st. Paul common. Is points st.
The ostensible reason for this decline Is the
damage to the crops along the line Of these
crops would not reach within thirty per cent Of
the previous estimates on which the rise was
partially based. The real reason goes, how
ever, further back. Since year ago Gould has
slowly but surely been losing that prestige in
| the stock market SO essential TO success; While
he has occasionally made some really brilliant
strikes. he has had to counterbalance these by
| some tremendous losses. Notably among these
have been the Pacific Mail operation tho loss
| on Michigan Central and New York Central last
| fall. and the Union Pacific stock lObbery. This
latter Is aud has been q milestone around his
neck for years. Virtually holding all the stock
with Congress proof this year against all his
bribery. he is unable to get rid of a share Of it.
lent with Union Pacific for collateral. No con-
| siderable amount Of IL could be- sold without
breaking the stock to IS and as Could has little
| else in his cash boxes. his alleged failure TO
| effect n loan yesterday Is explained.
When the movement began last March In
Northwestern, the common stock was selling at
about "a, an advance Of nearly 20 points from the
| spring OF 1877. when 1t sold RS low as is. This
summer. in the contest for the election which
resulted IL triumph for Gould. 1t sold rs high
| rs 554 Few outsiders would touch II. how
ever aud. though Gould has been selling out
over sin,e ne election, he and few big opera
/ few weeks ago. before the present decline.
! Russell Snge was saddled with heavy blocks Of
| Lake shore accumulated by him as the result Of
puts +" sold on the stock. rs he himself says. on
| the faith ~ representations made 10y VIM. II
Aandere.N a So rs NaiHg ana dividend -paying
| fore he went To- Europe. and loft Sage IN the pos
| session 81 thousands 81 shares for which there
| was no market. Outside of Sage. about the only
| bulls left IN the market were Jay Gould and
James keene. each with axes to grind in
! the shape Of long stock To sell 4 comhi-
| nation was formed between the two.
| which lasted until n few days, when
| tho presence OF several prominent West
| ern operators with large blocks Of Granger
| shares To sell aroused the suspicious OF the
ever alert Twenty-thrd street bears They
| quietly gained the first trustworthy news ot the
| damage inflicted on the growing crops West.
and al once with that AS a lever began Il tremen-
dous onslaught on the Granger shares. in which
they were joined by investors and other heavy
operators, So sudden has been the decline tina,
| Gould and his friends were in a measure un-
prepared to meet II. and though themselves
heavy sellers in the decline. have failed 10 re-
alze the profits anticipated from the bull cam
| pagn Of the spring.
The reports Of any personal meeting between
| keene and Gould, though rife again yesterday.
| are without foundation.
Notwithstanding the enormous decline Of tho
the events OF the next two days are awaited with
anxiety. A veteran stock broker, as he left the
room NJ gong sound" shook his head om-
| nously and said: There's nobody but the
| cques to buy stocks. and they don't appear to
want EN-. This shower has only commenced"
Pandemonium reigned in the bucket shops.
Three. after heavy losses. shut down and re-
fused to do business. In two others the busi-
ness transacted was enormous. In one place in
Broad street the ground floors Of no less than
three buildings are occupied by one concern, In
addition to n private of1ce in another building.
There Is also restaurant and barroom. ele-
gantly fitted up attached. Stock indicators nro
scattered through the different rooms. and at
the end of cach is n large blackboard. Hun
dreds OF excited operators surged in and out OF
these rooms all day. among, them being many
smaller way. are seeking to retrieve their for
tunes.