The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1884-05-21
FINANCIAL SITUATION,
AREvIEw OF THE RkcrNT FAILURES.
On Wall Strett-Ths Clusis Which Conlblnsd 4
Brink About the Crsshes-The Methods Of the
Bpsculatora = Gould Not . Guat Loser,
n Dali Days Said to Bs In Store.

and which the public has had reason, dur
ing this year at least, to suspect. Thu
great bull movement Of 1SSOsl, which fol
lowed a recovery from tho panic Of 1873
carried stocks far beyond their value
This movement was prolonged until lAsl
year. ". A''an. lN'f.A7 'g.I7', 'f'a. -''
| Had 1t stopped at more generalization, /,
might still have been considered natural;
but 1t led to enterprises whose disclosure
unsettled public confidence in oil stocks.
The Northern Pacific tiasco was one Of
them, Denver, Wabash, and others OF a
mushroom quality, were also instances in
this line. Thousands OF miles OF unneces.
sary railroads had been built, paralIelinp
Older lines; business could not. quickly
enough adjust itself 10 such increasipp
facilities, and loss Of earnings followed,
which, In the case Of the Union Pacific, has
been most damaging. o.
| A DEARTH OF FOREIGN TRADE. @
Then general business became unproGt.
able, foreign trade fell of, and public con.
tidenoe was quickly Withdrawn, giving tho
bears an ascendancy which they had not
enjoyed Tor several years. 1t became evi.
dent several months ago that the crash
must come. Many rich invcstors who had
not liquidated during the fall depression,
and apprehending disaster to themselves
unless they could be rid OF their holdings.
set out to prepare 10 unload in February,
and the market was Bpurted 10 or l5 per.
cent.
This looked well on paper, but the public
did not buy, and the shrewder specuietors.
while Declaring the market bullish. began
quietly to unload on their less fortunate
associates. Gould in this wsy ia eaid to
have made 100000, while Vanderbilt,
who held his stocks, saw them depreciate
81 900. 900. Gould's holdings were too large.
however, to be thrown overheard entire]v'
He had, probably. $50 1000 600 or $4,000.
600 Western Union, and 10 put them m
the market would have broken it At once.
consequently, while disposing Of what he
could with safety, he hedged by selling the
general list short at the high figures. He
had covered many Of these shorts before
last week, and was ready for smother bull
movement when the market slipped from
his grasp. I7.
GOULD NOT MUCH OLA LosER.
Then he. began to unload at Wholesale,
and it is believed that he is not much the
loser by the panic. At any rate, he was
always in advance Of other holders, and
many who had put in their money for
profit were compelled to sell on a market
that went down from IS TO II per cent,
Besides such holders, two CLASSES Of mar.
sons suffered from the crash-a few hon
est brokers and houses which in the de.
clining market supported their schemes
with money and securities not their own,
The extent Of crooked actions is not vet
fully known, but probably Grant & Ward
wrongfully converted 81, GOO, 900, and Young
Emo, S2.500.0O0. Fiek & Hatch ruined q
savings bank, and Dimock l. Co, compro.
mised telegraph company.
Young Enos case illustrates the tempta-
tions and consequences OF bold specula.
tors. His father ID reputed worth Sis ,OOO..
000, and the young man is IS years old.
He started in buslnee, with giIt Of $780,
600 from his father, and by him was made
president Of the Second National Bank,
with ealary Of $4,000, He had as much
money as he could spend, but craving
for more led him to appropriate hundreds
Of thousands Of dollars out of the banks
downtown vault, and, losing it in specuIa.
ton, to report 10 the cashier that he had
loaned it, at the same time furnishing a lIst
Of fictitious securities which be reported as
desposlted in the downtown vault as COL
lateral.
ESs's ONE FAULT.
His courage and bad luck excited the ad-
miration Of his street friends. He was al.
ways cool and ready, never complained OF
adverse turns, and was bold, generous and
full OF good spirit, but he could not conine
himaelf to the use.of his own funds. 1t ia
doubtful il he will be. punished. His ia.
ther has paid an immense sum to the
bank, and the di ectora haye given checks
for about the full 20 percent dividends per
annum which they have drawn on their
stocks during the past fften years. It is not
believed that Emo senior would have de-
pleted his own fortune to such an extent
without assurance that he would not be-
prosecuted, although he has been credited
with saying to saye the bank he would
sink his fortune, but not dime for his
son. --t l=,5- ~ Tst9 80
Assuming that Wall street troubles are
ended for the time, the situation is hardly
less perplexing than it was bafore the
craah. Prices haye fallen to q point al
which, there 10 q, speculative chance Of
making money, even in the bad slate of
general business; but in prospects, even ior
q month hence, there is nothing sure, Ii
the wedding out OF weak and rotten houses
has been'thorough, it is still problem
how much liquidation will bo naoessary.
There are certain firms which must sell
stocks. The foreign orders which came in
late last week were probably sent over
rather to affect the situation than from real
belief in the stability OF prices.
DvLLDAIs IN STORE. = t5.lt
Many investors are disposed to await thc
passage Of a dull period which mupt sue:
peed the present excitement and feyerish.
ness, and the effect on banks and general
business can be felt, until there shall be
improvement il railroad earnings, re-
vival of the coal trade and increased for
eign demand for our products, and until q
definite estimate Of the new csohs are made
: predictions for the future cannot be madt
on safe basis. :: Il 4, e -. 81, ..1sI7
The behavior OF the bears during thu
past week was commendable. They made
;; q few raids on the market, and did very
! little BOOSTING. They believa thai: many
STOCKS hsVe not yet touched bottom, anc
, say that Gould must dispose Of NOR,
Of his holdings, and that there will bt
general liquidation during the oominI
three months. This; however, e merSly ,
; matter Of opinion, ahd they declare it is5 t,
be nothing elae. So far from helping th,
J. downward course Of stocks, their leadel
i went into the market on Friday and pre-
t vented q dangerous break in Lake Shore. I
: There has bsen little to pyais;e in The be
8 hayior o! ths banks, except that they hay
}. taken care Of themselves. Such action, nj
doubt, did much to restore con6denc
on it!hidsy ys,;. but shs retpsa oi hsnk VIII
y modste BROKERS who went TO- them Twill viii
A good securities, worked mrrh naed,or