, 1896-08-05
NEARLY CAUSES PANIC
DIAMOND MATCH FAILURE GRE
ATES GREAT ALARM IN
CHICAGO.
Announcement of the Big Crash Came as
a Bolt Out of a Clear Sky-Compli-
cation Reaches New Nork-Chica-
go Banks Hold Millions of Stock as
Collateral. But viii Not Press for
Payment.

Chicago, Aug. A-Noyhing in years
has caused such a furry in commercial
circles as he collapse Of the Moores in
their efforts to maintain control OF
the Diamond Match company and New
York Biscuit company. 1t has been the
ualk of every man connected with the
stock exchange and the board of trade.
Archer striking feature of the failure
and n which in a measure shows its
extent and breadth is the fact that the
stock exchange for the first time in its
history adjourned Indefinitely at once.
Is doors We're opened without doing a
dollars worth Of business. The follow
Ing nC.ice WAS posted On the door of the
exchange: The Chicago stock en-
change has adjourned subject to the ac-
t,1n of The governing committee. p. J..
Wilkins. secretary"
Outside the door and through the
corridors CT the building were excited
groups Of brokers and traders in stocks
discussing the situation. Everyone con
rected with the exchange was endeav-
Jring to convince everybody else that
there was no cause for alarm. They
announced that The officials of the ex-
change were e~ndeavoring to form a
rCCl to buy up the stock of the Moore
brothers to hold it until the furry was
over.
AT a meeting CT the governing COM
mittee a resolution vas adopted call
ing for the appointment of a commit
tee of four the chairman of which shall
be the president of the stock exchange
and The other three to be appointed by
him % confer with the bankers of Chi
caG0 and The Moore bro hers to arrange
uron a basis of settlement. This COM
mittee will meet a, 8 p. N. today. This
action had the effect to modify the eX-
citment Of many of those interested.
These best posted in the matter de-
clare MAT ,here is no fear of a general
panic. The governing committee at a
meeting today adopted the following:
Resolved, That in cases of all stocks
bought and sold regular the trades
shall be carried out and that in cases
where stock has been bought regular
and sold in the account the stocks shall
nos Oe delivered until the opening of
the clearing house"
The Cicago News Bureau says the
banks are taking this Diamond match
furry very comfortably. Their only
anxiety seems to be to help customers.
The basis of bank loans on the Moore
securities has been a low one for a long
while.
The NewYork Biscuit has not been
a popular collateral even. Diamond
Match has been popular, but the banks
nave understood there was a lot Of
water in it.
The Chicago News Bureau, which
deals in board of trade and stock eX,
change news, says: The banks have
been ultra conservative in their loans
to the Moores and their interest is
rather lndlrect thal direct. some
hanks have not loaned above 10. 1t
has been considered thar the stock was
good collateral up to 10. The banks
interest is really chiefly in the interests
of their customers. Most of the big
commission houses have had the Moore
business and have helped to carry the
security. The anxiety of the banks is
not so great in regard to Diamond
Match leans as regarding New York
Biscuit, which was marked up from
under 80 to owe par.
There is hardly a rich man in town
who has not been in some way interest
ed, usually as money lenders. Boston
has been very largely interested, also
Baltimore.