St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1892-12-20
MONEY CAVE. HIGH,
Wall Street Bulls and Bears
Have an Exciting Time
on Change.
Dissolution OF a Pool in Cfi-,
eago Gas Nearly Causes ls3
a Panic. oas,s
~ "a
All thu Industrial Stocks
Made a Special Target by
the Bears.
81 q
10 i
Money Stringent for a Time,
Loaning.as High as 40 4
Per Cent. ii.

NEW YORK, Dec. 19--There was an
exciting time in the stock exchange this
morning when an announcement was
made that tho big pool, including James
r. Keene. l. Il S. Wcrmser and E. C..
Benedict, had been dissolved, the con-
tract having expired by limitation.
With the first report of this occurrence
there was stampede among the hold
ers of Chicago Gas certificates, and the
price started down rapidly. The trad
ers who have been watching the stock
for break offered it down at first; then
a food CT commission orders came in
from all quarters, many of them being
to sell the certificates for the account OF
spectators whose margins had been eX-
hausted, for the pool had worked the
prices to 100 some time ago, and on the
way down, many orders were loaded
up. Today their accounts were closed
out. Then there were others who had
bought the stock for investment, num-
Der OF whom Joined in the stampede
without understanding what the reason
for the decline was.
On Tie floor of the stock exchange
whisky trust is allotted space next to
Chicago Gas. and the traders in that
stock Joined in the crash as soon as Chi
cago Gas broke. The bookS of the
whisky trust, OF Distiling and Cattle
Feeding, as the concern is formally
called, closed today for the dividend Of
IL per cent, and the stock, which closed
at 65s6. opened at 651%, an advance of &
In short time, however. the price
gave way. falling q per cent. and be
fore
The Decline Was Gin ecked
the certi licates sold at 81, fall of per
cent. While this decline was in prog :
resS the crowd trading in Chicago Gas
intermingled with the traders in whisky
certificates, and presented scene only
equaled on the floor in times OF panic.
There was. however, no trace OF pan
icky feeling at any time today.
a good deal OF the liquidation and
of the decline recorded was attributed to
We extraordinary stringency in the
,oney market. Brokers were in the
crowd early, trying to make arrange
ments for carrying stocks, and the
earlier borrowers paid 10 per cent per
annum for money on call. Several re-
newals were made at the same rate, and
then the supply OH the exchange was
exhausted. The borrowers bid Is. 20
and 25 per cent and as high as 40 per
cent, or equal to nearly per cent per
week was paid by borrowers, who had
urgent need nf money. LII the afternoon
one firm sent over $500,000,000 to lend,
and was followed by other houses desir-
ing money at the high rate. but with the
appearance OF aSuppiy the urgency OF
the demand disappeared.
Members of the Chicago Gas pool state
that there had been no quarrel between
the operators composing it, and that
their relations are as friendly as ever.
They also deny that the dissolution was
forced by the tightness of the money
market. AT the office of l.. q 5. Worm
ser the statement was made that the
point had already been reached and its
accounts closed up. but the members Of
the firm remain confident OF the value
OF properly as an individual payer. 1t
is SAID that the pool in Gas, which was
closed up a year ago. divided profits OF
$1,000, 900.