St. Paul daily globe., 1884-08-31
Pork Can Now be Bought in Any Quan.
tity Desired at s19, or So Less
Than Day Ago.
The Cereal Trade Gets No Attention What
ever from Other Than Local
Spectators.
Wall Street Has a Miniature Boom During
the Last Hour, All Stocks Clos
ing Higher.
CHICAGO.
lsnecial Telegram to the Glohe |

udy Col. faVOrlLe, ArmourS right power, went
on change and offered this option of S24, but
there were no takers at this figure nor even
when drop was made to $50, making thetotal de-
cline $780, This is evidence that the ''short''
interest has covered and that Armour has
pocketed his profits and now has object in
keeping up the price of his favorite product. The
origin of this remarkable corner dates back only
few months, to the time when Grant and Ward
failed at New York precfpitating great panic
in that city This was some time in the latter
part of the month of May. Wall street was wild
with excitement, and New York spectators de-
clared that there no limit TO the decline in
all sorts of values. Pork at that time about
SIC per barrel. New York sold everything with
out discriminating closely, but was particularly
anxious to sell pork. 1t couldn't sell it fast
enough Phil Armour had his cellars filled with
this property. He had hand hundreds of
thousands of barrels, representing millions of
dollars, and, to protect his own property, he
began by buying against New York's selling. In
one day he took in over 100000 barrels. New
York in a week or so began to suspect that sell
ing short against Phil Armour's
buying might prove disastrous business,
Before the situation dawned fully upon the
minds of short sellers, however, the market had
been sold short fully 800, 600 barrels. In the
meantime Armour had been compelled to take
all the cash pork in the country, and good deal
of it was scraped up here and there, out he got
the major part at from SIC to $18 per barrel.
Suddenly the price began to advance. The
''shorts' were nervous, but they held out. The
figures rapidly climbed up to $50, then to $22,
and, advancing SOC day, was not long in reach
ing $26, and finally 1928. In the meantime a good
many ''shorts" settled, but large short interest
held out to the last and day before yesterday
lot of 5000 barrels settled for. Yesterday
the last of them stepped up to Armours Office
and settle their differences, and to-day August
pork is selling at $50 and September at $11.70.
1t is learned that the short interest amounted
to about 1000 barrels. This pork, large part
of which Armour had to buy to protect himself,
cost about $16.50 per barrel, and the average
settling price was about $780, leaving margin
of profit, exclusive of carrying charges, Of about
SO per barrel Armour's profit by the corner
it is declared cannot be less than 81, 500, 0O0
There have numerous efforts by the shorts dur
ing the progress of the squeeze to escape from
the tremendous pressure Nat. Jones and his
Wall street customers, among whom pre-
sulned to be the great bear, Woerishoffer, made
an effort to have summer-packed pork made regu-
lar. 1t failed and finally Jones and all his fol
lowers 'came In" and paid tribute. 1t is
declared to have cost Jones personally $1OO, 600
The Jones kick the most vigorous and the
last that was made. Fowler Bros. were among the
heaviest shorts in the west, and they attempted
to deliver ''reected' on their contracts but this
scheme only partially successful, and they
were compelled to finally settle at the top of the
market Most of the leading receiving houses
were also caught short from $50 to 5000 barrels.
w. T. Baker, Irwin Orr g. Co., the Chandler
Brown Co., and many others were mulcted for
small amounts.
1t is admitted that Armour may advance the
price for September and October, but it is not
considered probable. 1t is thought, however,
that he will keep the near futures few dollars
above cost in order to protect the product he hos
in hand. Mr.. Armour is naturally smiling
and happy. He has always believed
that self preservation is the first
law of speculation and is also inclined
to believe that when the new stock
furry occurs New York speculators will
sell anything before pork. 1t is part of the
gossip OF the day that the Fowlers have been
caught by the decline just as they were caught
by the advance They have, it is said, great
lot of cash pork not yet inspected, which they
waiting to put in at the top prices at the
close of the month.
Referring to whatever cash pork there may be
left over, insider says "Nobody need feel
any alarm over its presence. large share Of it
has already been shipped Whatever may be
left will be swallowed by pork eaters. 1t will
not find its way back on the speculative market
at any rate.
Lard fuctuated within Sc, closing at $3.50 for
October. The same option in ribs fell off 20c
under current figures twenty-four hours ago,
closing at $10 The provision crowd were more
active than for weeks past and the general out
look is for livelier markets and better times on
change.
Trading in grain was only fairly active and
in general way the feeling was easier and
prices somewhat lower after the first hours
trading. Light receipts contributed to the early
strength, but later it became known that 700
cars Of wheat were expected in Minneapolis Mon
day and this had a weakening effect. Trading
was slow, as is usually the case Saturdays
and the closing was easy at bottom prices.
The speculation in wheat continues purely of a
local character. The market opened steady on
the light receipts and the merit it has OF being
cheap, and was literally purchased for an hour
or 90, the chief investors being McHenry, Com
stock, Linn. Bedding and Carr. Up to noon the
general disposition was to buy, but after that
hour large receipts at the winter wheat points for
Monday were talked. The market eased Off and
slightly lower prices prevailed. In the early
hours Love Bros. and Eldridge we're quite heavy
buyers October wheat opened &c below yes
terday's close at 81 &c. sold up to &c and closed
at siAc, the lowest point. November opened
steady at 931lc and closed at s31sc.
Corn opened steady and fractionay higher,
the day it was bought freely by Rumsey, Driver !
and Baker, the chief strength coming from these
purchases, though the upward movement was
only nc. At the top liberal selling was INDUCED
in by Henry Matthews, Geo. Brown. shirwin, |
Kammerer, Wheeler & Gregory and Schwartz &
Dnpee, which broke values A@5Sc and the close
was easy at nearly the lowest figures. Septem-
Der opened at yesterdays close and closed nc
off 515sc. October opened at 5OHc and closed
at 5OHc, the same as yesterday.
Mr. Bodman, of Mimine, Bodman g. Co.,
said: s'The markets strongly influenced by
good demand for cash cOrn which is 2lc above
october Yesterday September was 1AW1N
over October. To-day it is only 1Ac. In my
opinion there is good reason for discounting
the future"
Oats showed few If any features beyond
sympathetic weakness with other cereals when
they began to 90 down, and showed slight de-
cline for the day, the closing figures being 251
for September and 2G7Sc for October Hutchin-
son. by common consent az big seaIper as there
is on change, would like to go short anywhere
from 1,O0O, 900 to 10000 900 bushels Of year oats
but the crowd are afraid Of them. Twice to-day
he passed the trading card around the crowd, in
vitihg them to take what they would, but could
only dispose OF a few small lots.
There was considerable activity in the provis-
ion pit, the main ention being attracted to the
break up in the pork corner detailed above, but
,.rza.tIol r,.iccs