New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1881-07-24
THE RAGE FOR SPECULATION
EMPLOYMENT OF THE MANIA.

APPLIANCES AFFECT SPECULATION.
Said an old broker OF Broa LIST. to a TRIBU
reporter the other day:
The outward evidences of tho ncrca sed mania
i"r speculation among Americans doubtless strike
an occasional visitor to thu Street particularly
thah they DO Us unhappy hGbitues. The growth has
oefh gradual to US; 1t is before eyes all the timc'
"hi'c you coming down after absence of year
or two SEE at glance the great change and deve-
| opm"ut Of the business"
The development has recently been immense; has
| 1t not 7" was asked.
"EVtraor,linarv in every rrsncct Take IL frat "a
10 the number of brokers now engaged in the mmc-
| date vicinity of the Stock Exchange. There are
l'loo on the list, to which number the seats in the
Exchange are limited. but the number actually en-
gagged as partners and employees of those having seats
form small army. Probably each name on the list
represents five or six other hungry eager pushing,
rushing crushing and fcyeriSh gamblers in stocks.
| mean that number of actual agents men who do
not speculate with their own money but make their
living oil the brokers' rccntage for investing for
others Beside these are innumcrable clerks whom
yon seldom see or hear, and runners whom you are
constantly seeing The number of these workers has
hc"n largely IncraaS ri by the SyStema2ng of bust
ness and the regulations which require stock dcv-
erlrs to be made within certain hours Ii is hard to
guess at total of those employed in merely conduct
ing the brokerage business Then You must also re-
member that there has been an increase in
the number of exchanges. There are now
TWO Mining Exchanges recently established, and all
these buildings around here are filled with
fellows trying to make living ont of the brokerage
on INNING S.ocaS II is amazing how they MANAGE
To make living or to pay their rent even. Why,
some of those old buildings between
and Wall-St., which run through from Broadway
TO NeW-St.. Just back of the Stock EXcnango, are
perfect bonanzas 10 the owners who nave fitted
'h'n up INTO small and cranpcd Offices at
rcEtS'
Perfect hives of industry, SUPPOSE the re-
porter vonturcd.
The answer was look Of pity and contempt for
the evident ignorance of the reporter.
"Thcy neither spin nor toll
But fleece p
NO; the brokers have increased in respect
ability and responsibility as well as in num-
beers. especially in the last few years This
has been owing largely to the greatly aug
mcnted value of seats in the Board of BROKERS
and the limitation Of the number of mem
bcrs to LOO. When bought a scat in 1857 there
were three hundred in tn" board and paid 500
for nv seat During the war the number ran up to
about l,0Oo aud the value of n scat to 5000. In
loGS think 1t was the number was limited to
Loo and the price set upon the seats not then
taken was $4,000. believe some seats were sold
nj that tune by IN" owners for ahont r., 800 hut
after while the vacancies were all taken M
at $4,000 each. The last sale Of which /
H''Ih NY Il ftlllInG member tOr $1,000.
! ~ c"urN" men owning such valuable fran
chiscs, you might say. are very care
i3l pot to run any risk Of fort itiug Them by
sh my eNasio'N o responsibilities or rrpuiatiOn of
orders as was formerly done. II involved they
hasten To- lay their case before the Board 10 avoid
P'na tlr~ ana to save Them ~'atS The consequence
- that business between hr lcr> and their customer,
Is much more carefully and honestly couduc ed than
II Formerly was - sides, the SpccuIator can watch
the liuriu1tlous of Tia" market through the gold ana
stock ickers as closely as thc broker himself and
thus he is not forced 10 depend absolutely as
formerly on the Judgment or tlc representation Of
his broker aS To closing out his account and the
price, obtained. Disputes on his point used form, rly
to be the great cause of trou lie between brokers
and their customers, and brought most of disrcputc
on the former
INCREASED MAGNITUDE or TRANS ACTIONS
Has there not been great increase in the mag
niiudc of the translctionsf'
9TH" most wonderful part of the whole business
Wcdca IN millions where dealt in thousands n
few years AGO. Transactions involving the control
Of lines Of railway many hundreds of miles in length
and stocks away MP in the millions every day
occurrences. Nyudicatcs Of half dozen bankers
take M ~ single grab greater loan, than the
Goyornincnt at first feared To- appeal To the whole
sncculators who used - come down into thr street
day and they hry or -cll thousands of shares
where once they dealt IN few hundred. Once, too.
If was their custom To dead exclusively in favorte
S'"'h' mu'h "S one might bet on ~InGl" card At
faro; now they study the state of the general mar
Ret and ca III several leading stocks at the
time, bnilln@ or he1rlng all as the state of the
market Influenced thclu.'
Has the class OF spectators changed"
VERY greatly. II used To- be called gambling in
Wall Street and many people avoided spcculnt:ou
hccausc they felt that II risky to trust brokers
as we'll ~ Somc hing akin e" he dsrcputabc to deal
on MARGINS. Now merchants and manufacturers
who never thou;ht few years arc of induging in
any other except their legitimate business take al
most daly flyers in st0cks Then there is another
important class newly Innoo ulatcd with the mania
Tor spcculailng. mean TN" lawyers. OF late years
the court and conscp urnt the lawyers have played
important parts IN t. great transactions of the
street, particularly in railway operations. and the
lawyers have been lei into spr ION rs thousands
Of others have been before them. And through the
lawyers their clients have come 10 take hand Ii
Is very .hi'cllous disease, You must know.
Meyer HAD III But Non are young yet with Il
| snll" ana ront"mp iuouS -llrus of the shoulders
II suppose II IL truc thai "ongrcs5lnru and IcgiS-
latols and Government officials large spccula-
tors T.
late heavily. II was not always but ideas to
the propilcY of officials in possession Of legislative
| aud government secrets and plans are much less
rlgld than formerly. When n member OF Congress
OF the H. GNlIlulc knows, or Trunks he know hat
committee Will report on bill likely to affect the
money or stock market, hc has great temptation
I" use his knowledge To his own advantage. Lay-
NtIs IN the being possessed of informal dh
of intended motions affecting stocks have been
drawn INTO speculation, with great Success
but thr multitude only TO gel shorn.'
And women or IL il all fiction about them! p
Largely fiction; the number has been greatly
exaggerated in all che reports have ever read sen
sali nal stories mainly; but still there are many
women who deal in stocks through brokers who are
other names; on the women deal through their
lawyers who employ brokers for them. There is
4 solt of woman's office kept sorncW here uptown
' but know nothing about il
lave not II great many brokers from other cities
! recently come to New York ;"
cry many, mainly mining-sharc brokers' have
settled here since the mining fever broke out But
the treat sprculatOr, and lnlnccrs of other cities
nave also his the centre @ financial