The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1891-09-25
A FINANCIAL SCARE.

A FINANCIAL SCARE.
NEW YORK, Sept. 24.-The announce
nlent of the passing of the Missouri Paci fic
dividend today caused general surprise,
ana for short time CONSERVATION, while
the immediate effect upon Missouri Pacific
and the rest of the Gould stocks was de-
cidedly demoralizing. The whole stock
market felt the depressing effect. The
opening was irregular and excited. The
weakness in Missouri Pacific was the
most pronounced, and 4 per cent was
knocked off its price within the first hour.
The market then remained quiet, though
feverish. until the last hour, when there
was a renewal of the depressing influence,
and transactions again assumed enormous
proportions, while prices melted away rap
idly The close was weak at the bottom
figures, and tonight,s very material and
significant among the leading shares, Mis-
sOuri Pacific shows decline of 9ss: Union
Pacific. 35S: Wabash preferred, 2%; North
American Reading and Iackawanna, 22s;
Atchison and Burlington, 23s, and others
smaller amounts
NEW YORK, Sept. eft was stated this
afternoon at the Office of the Missouri Pa
cific railroad that there had been no meet
ing of the directors today and that there
had been positively no action taken in re-
gard to the dividend.
New YORK, Sept. 24-The Tribune to-
morrow will say that Gould is responsible
for the great slump in Missouri Pacific
today. HIS sons George and Edwin have
been short of the market and the crash
in Missouri Pacific was devised 10y their
father on account of paternal solicitude.
The question on the street was, Have
the Jioulds covered their shortS?" 1t was
assumed in reply that If they had not
done so. further unfavOrable developments
might be expected from the direction of
the Union Pacific.
CHICAGO, Sept. "a - The excitement
over the passing of the Missouri Pacific
dividend and the drop of that stock from
74J5 yesterday TO 90 today is not confined
10 the financial world, but is shared by the
railroad men, who are always keenly in
terested in every new move on the part of
Jay Gould. The goSsipS are busy today in
connecting this incident with the action of
the Rock Island in splitting its dividend
in two and spreading pessimistic rumors
about the Burlington, the AtchsOn and
other western roads Then, report was
circulated to the effect that the Missouri
Pacific is manipulating grain rates. Rail-
road officials here say that the Chicago
lines are reaping very little benefit from
the increase in the volume of east-bound
grain shipments, for the reason that
nearly all the grain is going east via St
Louis or Duluth. Furthermore, they in
sist that this would not be the case if
rates were not so largely cut via these
gateways, since Chicago is the most nat
ural and direct outlet for such traffic to
eastern seaboard points Among the
things laid up against the Missouri Pacific
is the fact that out of 1856 cars of coal
shipped from the east via st. Louis to
Missouri river points during the month
of August, the Missouri Pacific got lS5
ears.
LONDON, Sept. 24-The reporter of the
with the ROthschildS, Speyers, LaZard
Bros. and ether bankers, and they all
agreed in their statements that further
shipments of gold are going to America.
The chief clerk of the Rothschilds' house
said that il WAS uncertain whether France
would make the bulk of the gold exports
or whether the burden would fall on Eu-
gland. But considering the fact that
France has a worst harvest than England
81 would seem that she should send the
bulk OF the gold. The Bank of France
may, however, as on former occasions OBJ
strUCt the imports by raising t he premium
on full-weight coin. The Bank of England
Is certain to raise the rate of discount,
hut, according To the chief clerk, more
gold viii 60 to America in spite OF the
efforts to prevent IL.
In an interview with Mr.. Robert Giffen.
head of the commercial department aud
comptroller of corn returns of the British
board of trade. he was asked what truth
there was in the calculation that England
and the continent would Ice forced TO part
with gold amounting TO 800 900. 90 TO paw
for imports of American grain. Mr. Citizen
ridlculed the estimate. He said before SO
100000 IN bullion was sent TO America
both the Bank of England and the Bank
Of France would rsise their rates OF dis.
count and check the draft
According 10 Mr.. GIfTen. not bullion,
but securities and exports viii go to Amer
lea TO pay for gram. Undoubtedly, he
said, there would be heavy drain of gold
Tor several months TO come, but the nay
ments for gIain were not the sole cause of
such drain. An important factor in the
financial situation was the silver question
Stable American houses were making
preparations 10 force a silver crisis, whica
Is now inevitable, by making gold pur-
chases In Europe.
When asked If such crisis WAS newt
able, Mr.. GlfieR replied: In my opinion
il Is impossible TO avert il. The United
states has become overloaded with paper
currency. The Issue OF the silver certi-
ficStes TO the amount of &l2, 000.000 ster-
ling annually WAS gross Legislative mis-
take and Is bound to bring a crash speed
ily."
In response 10 an inquiry as to how soon
the crash he predicted could be looked Tor
Mr.. Giffen said; February Will probably
realize the worst OF the position. | do not
see how grave trouble can be averted by re-
medal legislation. There Is hardly time
to avert It even If the parties ia congress
could agree upon the means