New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-04-13
BEARS BADLY FRIGHTENED.
THE SHORTS IN TROUBLE IN CHICAGO
PORK AND GRAIN PITS.
A FURRY IN PROVISIONS EXTENDS TO WHEAT
DEALERS IN CORN HAVE A

fpy TELEGRAPH TO THE TRIBUNE. ]

Chicago, April 12.-This was a day OF panic among
the shorts 1t began in pork, but, like all panics, 10
spread. The terror among the wheat shorts became
even more extreme than that in the pork pit Il
the market had lasted another hour the fright would
probably have spread to AS it was, 1t lasted
long enough and spread far enough to cause ad
vance OF nearly cents in May wheat, TO cause an
advance OF 81 in pork Of % cents per hundred in
lard OF % cents per hundred in ribs cause an ad-
vance Of 56 Of cent in and OF IA Of cent in
oats. Such punishment upon the short seller in SO
many articles in day has not been inflicted before
In years Hutchinson large buyer of May and
June wheat and he certainly was bent on driving In
some Of the big shorts. Yet it will pretty certainly
turn out that the chief pressure to-day a natural
one, caused chiefly by the overselng result
ing from six months trade in single option aggre-
eating possibly 100 100000 bushels all Of IL upon ts
basis Of about 5000, 900 bushels Of cash grain May
wheat started at 81 "a cents, sold from "a IA IN
10 81 cents, and closed at s5 IL cents. June was,
most OF the day, at little premium over May, but
did not reach above 80 cents. There was no such
pressure on July as on May, and the fluctuations
were moderate. 1t opened SO IL cents sold from
90 TO "a 7-S cents, and closed at 81 Ia cents.
The first incentive TO the market was natural
one, tho weather 1t freezing hard all over
Dakota The newspapers contained specials declaring
that the newly planted wheat was blown out OF the
ground, and the signal service bureau was out in a
bulletin predicting most unusual storm conditions
wheat strong and kept it moderately active and
moderately firm for an hour, possibly. Had there
been no unusual occurrence in the provision pit wheat
might have continued all day it opened simply a
moderately active and moderately firm market
There had been unusual fluctuations until after
pork had advanced "a barrel and until after the
shorts IN hog product had furnished so startling an
Illustration Of the occasional perils Of short selling
The Illustration certainly had effect III the wheat
pit II was not instantaneous. But one May wheat
short decided TO cover and then another Within
thirty minutes after the 10 cover started tile
whole bear fraternity was in full stampede 1t was
at this iuncture that Hutchinson began to take an
important part in the advance. His brokers' RYDER
& Morgan, by steady buying really made the market
compelling everybody In the pit desrous OF buying
May to bid over them to get any stuff They con.
unued these tactics until May got to 90 cents. BY
that time the bear panic fierce and the calling
Of margins SO sharp that the crowd carried the May
price to 0l cents without any aid
from Hutchinson. Indeed the latter from
90 to 81 cents and from that down
to SO cents was free seller.
Corn, during the greater part Of the day, was COM
paratively dull, within range Just before
the close the sad experience OF the short sellers in
wheat and pork was taken to heart by the shorts
and there had followed some covering. May opened
at 81 IS cents, sold between 81 5-sa3l "a and
81 3-7o 81 IL and closed at 32 Ii. OATS like corn
escaped the excitement Of the surrounding pits. But
there appeared a little of that uneasincs, Which had
created such astounding results IN wheat and pork.
The closing bell sounded just in time for the oats pit
10 escape IT, May started % IL and closed at
30 34 cents. July the same price. The New
Workers and the Londolers who have been dabbling
in pork here. and In this market since last fall who
suffered such disastrous defeat last October had
their revenge today. The buying Of pOrh
which has been going through the
old clique houses all the month"; but which has become
particularly noticeable this week, today I'm an
advance in pork OF 81 barrel May opened at Sl1 So
sold up 10 cl5 so and closed at $13 20. July ali
day 20 cents premium May. The buying orders
in pork have all along come from Sawyer. Wallace Is
Co.. OF New York. and have been executed chiefly by
Hutchinson and by W. q. Mccormick. Hutchinson
had the most Of the buying orders to-day. These
evidently unlimited TO the price, the purpose plain
y being 10 advance the figures fast and far as
Ia make IL absolutely impossible for ordinary short
to stand out and 10 keep putting up margins.
Iintchinson's men, in bidding for May pork, ignored
the actions. II thev could get An offer at ono
figure they Immediately advanced their bid 25 cents.
The price advanced about II barrel in the fir, hour.
and 80 barrel more in the next thirty minutes. At
once there were margin calls OF - barrel flying
around. The gossip was that one short came in
on 10000 barrels. The extraordinary "action7 at
gave rise To the inevitable gossip about Armour
corner. AS good judge. however as Ream gave ID
as his opinion that the squeeze was as much natural
as artificial
Lard and ribs sympathized with pork. the former ad
vancng - cents. and closing - cents the OPEN
ing short ribs advancing - and closing - cents
30 ii cents, July at s5 II cents.