New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-03-07
OIL GETS RATHER SCARCE.
STOCK BROKERS CAUGHT IN A WISE.


| LITTLE SQUEEZE AFTER DELIVERY HOUR PUTS
OIL on THE STOCK EXCHANGE TO $1 40.
All Wall Street WAS agog yesterday afternoon
over an lncipient corner which was developed
In the oil market Of the Stock Exchange, where
trading in National Transit certificates In the
unlisted department was begun on last Thursday.
The furry did not reach important proportions,
but 1t derived fictitious interest from the fact
that 1t came SO soon alter the experiment OF the
Exchange was initiated and called attention TO
the newness' of Of the members who
have been fostering the attempt supply
opportunities for brokerage and scalpng.'
The Stock Exchange requires deliveries to be
made by 2l5 p m. and in the case Of railway
and other securities after fifteen minutes notice
the broker to whom the securities are to be de-
livered may require in case of default the buy
ing in under the rules of the securities coming to
him. In the unlisted department this fifteen
K. Willard IL Co, house which has opposed tho
admission of oil certificates, BY ordering the buy
ing In Of $4,000 barrels of oil. forced the cash
price up from SO Ia cents to 81 Is per barrel.
Oil certificates have been extremely scarce
for speculative use for several weeks and yes
terday morning loans were renewed at from Is
cents to 50 premium Der LOCO barrcs-pald 10
the lender at the Stock Exchange. The market
yesterday early developed strength and advanced
from 93 3,ia9ia92 l.? cents to about 96 cents.
1t was ruling around the latter figure about 3
o'clock and rumors began to circulate that some
Of the shorts on the Stock Exchangee. could not
Chairman Henriques began to buy in certificates
by the order Of T.. X. Willard & Co these pur-
ehases sn.ta, being e made for the acSoun, Of H. 4
Clarence McKim, of No. so Broadway The pur-
chases were 5000 barrels at 96 81 1000 at
ss ss SGOG sa at oS0' S5' ,os9 a. ss oGS 5000
81 IA 900 at 81 %. and 10. 900 barrels 40
81 45 per barrel. Mca time the dealings :" reg
ular way Were being made at from 95 7-s 10
o. 1-S cents although the closing figure was
90 cents. Part Of the oil bought for Horton &c
60. was for the account OF Calm Co. Of No.
45 EXchange-pace, but members Of that firm
said subsequently that their differences the
transactions were extremely small.
JOY AT THE LITTLE EXCHANGE.
At the Consolidated Stock and Petroleum Ex-
change. meantime. the oil speculation in a
state Of high excitement orders being filed for
the account of Stock Exchange shorts at almost
any prices asked. The market jumped rapidly to
81 per barrel but closed at resction to 9S Ia
cents. The incident at the Stock Exchange gave
considerable alarm to the bears and at the close,
so eager was the demand Of belated bears TO
secure oil for delivery to-day that sl0asl5
premium on 1000 barrels was offered freely.
=. There was general surprise expressed that Mr..
Mckim should have been caught mapping. lie -
at the Consolidated Exchange, but he sold his seat
In that Board last autumn and joined the Stock
Exchange on September Is, 1877. Horton x Co,
the other squeezed firm, has been prominent In
floating oil into the Stock Exchange and one OF
the members has been quoted as assuring " the
boys" that his house would and could lend all
the certificates needed to carry on transactions.
Another well-l,nown house had boosted that 10
could lend 100000 barrels, although these
claims were subsequently reduced 20 100000
barrels. The brokers of the Consolidated Exchange
took malicious delight in jeering at the Stool!
Exchange over the snag it struck after four days
dealing in oil Even the bears at the little Board
joined in the camor of triumph and cheered
dollar oil when it was reached as black eye eye
the Stock Exchange couldn't run the universe, and
that it had made its own market and found 1t
hot seat to rest upon. Offers were made 10
establish a school for instruction in oil manipula-
ton, and everybody wanted to be professor at
high salary to teach the big exchange how to deal
In the article.
NO BOY corr AGAINST THE "BrGv EXCHANGE.
The reports, however, were emphatically denied
that the Consolidated brokers had made COM
bine" not to lend certificates to the Stock Ex-
change, and it asserted that free loans were
made to stock houses in the morning. Most OF
the loans at the oil board cleard up in the
afternoon and there is little oil to 80 around In
any event There are only $4,000 certificates
adoat, representing 5000, 600 barrels of OIL and
Of this amount 5000 certificates. representing
5000, 600 barrels, are in the custody of trust
company for the benefit of the producers who last
November agreed with the Standard Oil interests
to shut down one-thrd of the production Of tho
petroleum country for year.
There some condemnation OF the action or
Willard N 20. in insisting on positive delivery
yesterday of the oil bought by, them or loaned.
ana many stOckDfokelS cA pfts>fu tnc oplnioH ihdO
their taken with the hope OF discreditins
the oil department of the Stock Exchange by
showing the ease with which n corner could
be made. The prevailing opinion was that tho
experience of yesterday would result In killing the
oil market at the Stock Exchange. Several
prominent houses, however, thought that IN the
end the incident would result in larger business
and that the sellers of oil would take precautions
not to he caught again In the same way. The
corner I'm itself was insignificant, and the feeling
of LOYALTY which prevails among most members
will possibly preserve the life OF the oil depart
ment longer.
MANY RUMORS AND TWO MISHAps.
The rumors that started by the rise in oil
were innumcrabe some Of the accidents in the
Street about the same time gained ludicrous im-
portance. crowd gathered in front OF the office
Of Jameson, Smith & Cotting just after the close
of business and the popular impression in the
gathering seemed to be that the firm was short
nj oil" A + rBrNF reporter who forced his way
into the Office discovered that the woodwork around
one Of the heaters had caught fire and that Few
carpenters were trying to find the cause under tho
supervision of the Fire Department Mr Jameson
said mpetuousy, when the rumors were men.
toned: =" Oil; we don't deal In the stun. ,,
Another accident occurred at the new building
Of the Consolidated Exchange. The driver OF a
sand cart made miscalcuaton In dumping tho
Load and was slightly astonished when cart and
horse as well as sand tumbed into the basement.
The witticsms that followed the occurrence would
have been unnoticed if it had not been for the
annarent corner in oil at the Stock Exchange.
of},cers of the Exchange insisted that their men,
bers did not need sand" however. for the sharp
ADVANCE had not resulted in failures.
pITyrSBURG OIL MEN EXCITED.