The morning call., 1894-03-22
FAIRS FINE HAND.
Brokers See 1t in the
Wheat Deal.
QUEER RUMORS ON CHANGE.
Strange Motives That Move
Some Directors.
LAUMEISTER ON THE SITUATION
The President Of the Board Believes
the Bulls VIII Win at
To-Day's Meeting.
LAUMEIsTER ON THE SITUATION

supposed TO come before storm.
NAV wheat slumped to 81 11h, at which
price McGlauAin made several purchases.
but the amounts involved were quite
small as compared with the business done
on other days.
Everybody is waiting to learn the result
OF the general meeting of the exchange
which viii be held this afternoon, and un-
I'll then there will be little or 10 excite
ment among the brokers.
Just what the members OF the exchange
will do when they assemble cannot De
foretold.
The men who are short on May wheat
are anxious to see the recent action of the
board Of directors sustained. and are pull
ing every string to wheel votes in behind
them.
Late last evening they appeared quite
Jubilant and declared that a count of oses
proved them to be in position where they
could Outvote their opponents three to one.
Ot course this declaration may be true,
but there are many who have little or no
faith IN It. This is particularly the case
with McGauf1n aIfd his supporters.
They are more than confident that they
VIII win, and are making active pTepara-
tons to celebrate their victory.
Why" said Mr.. McGiauf1in. 81 do not
ask IS that justice be done. If we were
pleading for favOrs it would be quite
different and perhaps they would not be
granted 10 Us, but then that is not the
case.
The directors of the exchange met and
decided that certain construction should
be placed on one of the rules of the board.
That rule was adopted over seven years
ago and until few days ago was allowed
TO remain virtually dead letter. Why.
then, should 1t be dug up at this time?
The answer Is easily given. The men
who are RESPONSIBLE for the thing are di-
Tsctly Interested and have assumed the
position which they now occupy solely for
the purpose OF protecting themselves, and
not because they are desirous Of accom-
pishing any great good.
"a maj ,rity OF the members of the Prod
uce Exchange realize this and feel quite
Indignant over the turn affairs have taken
Consequently they will stand by US. AS
regards the feeling OF the general public
why l know that a majority of the people
Of the town are with me-"
In support of their position the "short'
element has prepared a statement, W hich
the constituents claim shows the actual
condition OF the wheat market to-day, and
JusIides the position assumed by them.
The statement reads as follows:
The value Of wheat for export purposes. as
ascertalDed by the board OF directors from two
signeTs of petitions 10 FIX he marginal value at
Under existing affairs the sellers have mar
gined their contracts virtually TO 81 20, or
S6 90 per ton above the value of spot wheat to-
day, while the buyers have margined the con-
tracts virtually down to 80 cents per Genital, or
not down TO the market price by to-day 80 cents
per ton.
II everything contained in this statement
be true apparently the shorts" occupy
the 6rmer position in the fight. but tn en
the "longs" seriously question many of the
figures quoted by the other side.
Here is q statement which they have
caused TO be issued:
The value OF spot wheat as McGlaunin figures
IL Is 80 cents. THESE figures are based on the
last actual sales.
Wheat is selling in the market to-day at from
971a cents 10 81 0212, and in some cases
millors have paid as high as 81 O614
All contracts held by McGaufin are mar
Eined GOWN TO 80 cents, and not 80 cents as
previously reported.
The total mem bership of the Produce
Exchange is about two hundred
OF this number perhaps thirty brokers
are short on May wheat, and as McGlauf-
lin is the only man long there are at least
$50 members in a position to vote inde-
pendently on any questions which may
arise.
Charles S. Laumeister the president of
the board, Is one of the Independents, and
he strongly favors the cause of McGlauf-
lin.
I'm my opinion" said be. "the directors
q.
and justly so, for they had no right to
take the stand which they did take.
"Of course they assert that their actions
were governed by q desire to prevent Teck-
less gam bling. but then if they considered
the present deal reckless why did they par
ticipate in il? They knew several weeks
ago that they were selling wheat al a
price away above its market value, but
they did not refuse to contract for every
dollar in sight. 1t seems TO me that what
is sauce for the goose should be sauce for
the gander."
In consequence of a lack of something
batter TO do, majority of the men on
Change loitered around and discussed
affairs relative to the existing deal.
Every body took turn at guessing Just
who was back Of McGlauflin, and the fna
conclusion was that somewhere James @.
Fair figured in the matter. The grounds
upon which this conclusion is based seem
SO reasonable that many are inclined to be-
lieve that the secret has at last been eX-
ploded.
Fair, it appears. employs as his conf
dental man a brother of Eugene Bresse,
MeGlauhin's partner Another link is the
fact that McGaufln & Bresse's attorney is
W. S. Goodfpllow, who is likewise the con-
fdential legal adviser Of the ex-senator.
Fair is also closely related in a business
way to Baifour, Guthrie & Co. The Bresse
who is in the milio naire's employ has Of
late spent much of his time In running be-
tween Fairs office. McGlauf1in's place and
the Balfour- Guthrie headquarters, and
hence the latest conclusion OF the men on
the street.
Just to what extent Fair may be inter-
ested, however, no one claims to know
Some maintain that he is the moving spirit
IN the DEAL while others are inclined TO
believe that he has done nothing more
than 20 advance money to Baltour, Guthrie
q Co. to help them out of tight place.
In connection with this last belief an
other theory crops up, the purport OF which
is 10 explain the causes which brought
about the deal
In brief it is to the effect that an i'm
mense plunge was not planned, the idea
being simply TO buy up lot of wheat at
= the low prices which ruled a short time
ago, ID anticipation OF an immediate in-
crease.
The expected increase did not come,
and the men who were "long' were forced
to dive deeper into the market In the hope
of eventually pulling out even or quitting
and breaking themselves.
Should this really be the condition of
affairs the "hulIs" have n hard flohi obaad