Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1890-04-02
WHEAT AND OATMEAL
The Staff of Life Weakening at the
Main Sources of Supply.
EUROPEAN NEWS FAV0RS BEARS,
The Oatmeal Trust Brings Handsome
Profits to Producers.
CHICAGOS MOVE on BUCKET SHOPS
EUROPEAN NEWS FAVuRS BEARS.
CHICAGVS MOVE ON BUCKET SHOPS
OFFICE OF PITTsBURG DISPATCH. !
TUESDAY. April / 1890

TUESDAY. April !, 1890
The upward movement of wheat and -four,
which was noted in this column few weeks
ago, has been arrested, and the drift for a few
days past has been in the other direction. The
output of Hour at Minneapolis last week was
lSS 40 barrels. against 81 275 barrels for the
responding week of last year.
The current number of the Minneapolis Mil
Ter reports that one of the -four mills of that
city, with a capacity of 500 barrels per day, is
out of orders and will suspend operations for a
time in order to make some necessary repairs
and improvements. The London correspondent
of the same paper reports European wheat and
hcur trade very dull. The quantity of wheat
ahoat in Europe, according to this correspond
ent was. the lst of March. "a, ,OOO 600 bushels,
against 100000 bushels at the same time a
year ago.
The unknown quantity in the European
wheat markets is the Russian supply If sup
plies from that source should come up to bear
lsh estimates all hopes of advance IN prices
here will be blasted. The Russian yield is the
problem which battles spectators at this date.
Oatmeal Trust.
In May, 1857. the Consolidated Oatmeal Com
pany was organized under the laws of Illinois
with a view to control this important industry
and furnish better profits to the manufacturers
than they had been receiving for some time
past There were, at the time the trust was
formed, some 20 mills in the country engaged in
the manufacture of oatmeal. About one-half
entered into the syndicate at the start and the
balance have been frozen out or bought out, SO
that the Consolidated Oatmeal Company is now
practically monarch of all 1t surveys.
Before the trust was formed the price of oat-
meal to the wholesaler was S. 90 per BARREL
Now it is S. 40 per barrel. The con-
sumner pays at the same rate as before the
organization of the trust, namely, SO 90 per bar
rel or sc per pound. The manufacturers have
succeeded in more than doubling their profits
at the expense of the wholesale dealer.
Douglas & Stuart. oatmeal manufacturers, of
Des Moines Ia, reaped profit of 1000 in
one year on the advance brought about by the
trust. Schumacher, OF Akron, no doubt did much
better than tnis. Since the Consolidated Oat-
meal Company organized, according to the Chi
cago Tribune, which recently contained a full
page article on the subject, the profit of the
mills in the syndicate have been S2.9T7.0 900 over
and above the legitimate gains of s2,57O,OOO.
II thus appears that the trust has succeeded
in more than doubling its revenues, and while
consumers have not suffered so far, the middle
men are especially very sore over the curtail-
ment of their prohtS.
The Move Against Bucket Shops.
The first effects of the action of the Chicago
Board of Trade against bucket shops was felt
in this city to-day. There are seven or eight
of these institutions in Pittsburg, and so far as
grain quotations are concerned their communi-
cations with the Chicago Board of Trade are
cut of for the present. The movement is evil
IDENTIFY intended to force spectators in grain to
deal directly with the Chicago broker.
The expense of private wires or direct mes
saGes from Chicago will be too great for a sue
cessful hucket-shop trade.
Spectators in grain and flour heretofore only
needed to step into the various bucket shops
and could there learn the situation in the
Western metropolis any minute The feeling
among our operators in this line is that there
will soon be found way to get around the
difficulty, and while quotations Tor the present
may be withheld, it will not be for long. Chi
cago brokers have undertaken a big contract
and few days will demonstrate their ability TO
deliver the goods.