The times., 1897-09-10

TIE great boom in the stock market, ia
some ways unprecedented in the history
OF the New York stock exchange, finished
It's work OF moving down bucket shops
yestdFday with the fan Of willard Co of
New York, Washington aud many other
cities and the serious crippling if not
complete reut, CT snsby & Co, 1881 F
street the greatest OF the Washington
brokers not directly connected with the
New York exchange. With perhaps one
exception there are none Of the bucket
shops remaining in the city.
There has never been a time before in
many years v lien this could have been
said, perhaps since buckeuing was first
an institution. Silsby & Co. failed TO
opea FOR the payment OF accounts yester
day morning Later in the day there
came the message from New York TO the
street" that Willard Co had failed.
There have been rnulors for two or three
days past that Silsby < Co. We're sha,lly.
The suit OF Tremaine & Co. Wednesday for
s. 900 probably precipitated The closing
down Of the Ilrm and possibly caused
what would otherwise have been averted.
NJ. snsby was at his office early this
morning, but left for New York soon after
10 O'Clock The following notice was
posted in the customers room a the open
ing Of business hours:
''silsby & Co, Sept. 0.
THE recent failure OF well-kuown
house in New York which was carrying
a large line og stocks for US, as many OF
you well know, has caused us a temporary
embarrassment. We feel confident this
viii be short-lived.
we do not pr oppose closing our busi
Iiess- but ask the indulgence ofour patrons
on the0ld accounts for few days Checks
yni be given in settlement OF same, a part
OF which can be used margins Oh new
accounts All new accounts win be settled
daily, as usual. Old accounts can be closed
when ,oEveHient."
Following this bulletin was the follow
ing telegram from Mr.. F c. Hibbard, the
New York manager for Robert Linoblom
& CO., Mr. Slsbys grain brokers:
'soiry you concluded to stop. Come To
New York immediately, and we can puu
you through
Mr. sIsiy went TO New York accordingly
and was there all day yesterday. De was
long distance telephone by a Times re-
puiter Ee said that he was most conf
det that his affairs would be Strengthened
out satisfactorily to all his customers ia
a few days. Mr.. Susby had no statement
TO make as TO when he VIII probably re-
turn.
Tie office OF the firm was open for
business yesterday, and some trades were
W IN ne traders room pay on new trades
Immediately, AID the Use Of old accounts.
If desired, III tie payment Of margins.
There Is rUInOr, though no statement is
made by The firm that the failure " Cuth
bert & Co., two OF three weeks ago, put
Filsby & Co. il q hole for several thou
sand dollars.
A reporter Of TIE Times called On Mr..
Silshy Ola Wednesday at has office to ask
him abCut tie ruInors concerning his house.
y have lost a large amount OF money
through the failure OF a weIl-known New
York broker" he said; but I have ample
funds behind me, and If there Is any en-
barra SsInent il viii be only temporary, !
promise you"
severa! customers Of sisby & Co., who
have been dealing heavily with him dur
ing tie last three months, and now have
large accounts with him were seen by
The Times man yesterday. They all ex-
press confidence that he win pay up.
Silsby K go. yesterday filed q bill of sale
to Mr. william D. KIa usman, the mana ger
Of the firm. Of all the office furniture at
their office on Fifteenth street, the con
sideration being given As $500
The suspension OF snsby& Co. VIII cause
also TIE closing down OF several other
smaller brokers in various parts OF the
city, who have done business through
them. The failure OF Willard & Co. in New
York and this city today hits the remainder
Of the So-called bec6et-shop dealers, and
81 II probable that not more than one or
two. n any Of them viii be in existence at
the end Of the week, unless they can make
other ooEnsctions. The brokers doing busi-
ness through the New York Stock Exchange
are, OF course, MT affected.
Tie effect on the bucket shops or such
phenomenal rise in the stock market
as that since the passage OF the tariff bin
Is very easy OF explanation. During the
last two months there has been a steady
advance in the price Of all securities Oh
the New York stock exchange, with no
reactions worthy Of note. Never before
in the history OF the exchange has there
Bt--u SUN eitdug advance ana SUCH
n large volume OF business. For weeks
at a time the number Of shares dealt in
on the exchange was over half a million
day.
Prices went up by leaps and bounds,
three or four points aud even ten points
a day in particular stocks, but steadily,
point by point, all over the list. Almost
everybody in the country who takes any
Interest in speculation has been Of the
oplnicn that this boom would come, and
has been speculatng on this side of the
market, or in other words, buying. This
great volume OF business has been the
best thing in the world for the commits
sion brokers, the people who buy and
sell stocks for others on a commission
Simply, having no interest in the trans
action themselves, further than their IA
OF 1 per cent. The larger the business
on the New York stock exchange, no
natter which way the mar ket goes,
the better it lis for the commission brok-
ers.
The bucliet-shop keepers, on the other
hand, have been absolutely powerless as
long rs tiey have done business in their
ordinary way simply making a gamble
with the customer on the quotations on
the New York exchange. The market was
gong all one way, and everybody was 60
lug with it. The broker who had the
nerve 70 stand against this movement, pay
ing out his money steadily as fast as the
market went up, was certain in the end to