The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1893-05-05
WILD EXCITEMENT ON CHANGE
Heavy Failures Lead to a Panic in
New York'S Stock Market
PANDEMoNIUM WAS RBIeNING
Other Firms Reported as in shaky Con-
dItion-The Market Glutted With
Stocks.
PANDEMoNIUM WAS RBIeNING
Associated Press.

New York, May 4.-Shortly after
opening, the market was thrown into
panic by the announcement of the
failures of Henry Allen & Co.,apd B.
L. Smithe and Co., and liquidations
were enormous, especially in such
stocks as these firms were supposed to
be interested. Great excitement pre-
vailed as block after block came up
on the market.
A. H. King & Co., firm which under
various names has been in business for
forty years failed yesterday. The
liabilities amount to a quarter million
dollars.
Jus before O'Clock, call loans
jumped to 20 per cent, adding to the
general Decentralization. The scene on
the exchange was very wild. Crowds
gathered around the trading posts OF
active stock, and men swung their
arms and yelled themselves hoarse in
attempts to sell. Going and coming
brokers' messengers ran as If satan
was after them. Nobody thought OF
walking and the gravity of the sit
uation was accented by the pale,anx-
ious faces of the struggling brokers.
THE CAUSES OF THE PANIC.
New York, May Avail street was
startled soon after the opening by the
failure Of Henry Allen & Co., house
which, because of its ramifications in
Chicago and other Western cities, has
commanded large patronage and ex-.
erted an important influence on change
Almost simultaneously with this an
nouncement came the failure of b. l..
Smith & Co., and later the suspension
of Schuyler Walden was made known.
These three concerns owe their mis-
fortunes to the remarkable define in
National Cordage stocks of which they
had bought heavily for customers who
failed to respond to calls for additional
margins Throughout the day there
were rumors of other failures impend-
ing brokers and spectators were kept
in a state of trepidation and excite
ment by the fear of further calamities.
Liquidations were on a wholesale scale,
nd intense excitement prevailed as
the various firms sold their customers,
and a perfect avalanche of stocks
came upon the market. The drop in
prices was unusual even for times Of
panic, and denoted the serious straits
in which the spectators find them
selves.
The fact that London and Paris
bought heavily and investors here with
ample means also took stock freely,
failed to stem down the wayward cur
rent. There are many rumors OF other
firms suspending tomorrow
Henry Clews voiced the feeling Of
the more conservative Wall street men
when he sain tody:
There are times when big mems
souls, as we'll as their pockets, are
are tried. If the after are well filled,
however together with a clear head,
opportunities are afforded for quick
movements in the market. 1t would
be good policy to buy good stocks here
after on pronounced breaks for the fair
profits which the succeeding rally Is
sure to bring. 1t must be remem-
bered that prices are now fully as low
on the average, as those in the Barring
panic in 1890. That was a worlds
panic, while this is but a local one.
At any rate, it is confined within the
boundaries OF ourown country. l am
ute of the opinion that today will
eradicate the weak spots and make
stronger bottom for good stocks than
they havd had for somletime past.
Squalls come periodically and after we
get over this one we will be exempt
from another for several years to come
This is the experience of the past and
the present upheaval will not be unlike
former ones in this respect"
William Sharrer manager of the
clearing house associaticn, regarded
the cause of the present depression In
the market-es the effect Of the so-called
Sherman bill with the accompanying
idea that the United States treasury
cannot pay out gold below the hum
dred-million reserve. ''The situation as
/ see It, he continued, 81 Stipulation
as the result of the idea of scarce
gold and the trimming down, where
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