The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-02-17
CORNER in MAY WHEAT
JOSEPH LETTER CREDITED WITH
MAKING a GREAT COUP.
Prices boosted TO %i.o3 IL at the
CIOse-ArmOur Badly Squeezed
other Markets Nervous


| Joseph Letter has securely cornered the
May wheat market plays fast and loose
| with the fears of a tremendous short in
| terest and is showing himself TO be by all
odds the most remarkable factor ever en-
countered in the local market Once more
| the battle between Armour and Letter is
being witnessed Vague rumors from the
| Northwest showing that some big forces
| were at work there, revealed themselves to-
day in the shape of facts. Armour sent
| his brokers to the Northwest section some
| days ago to buy all the cash wheat in sight.
| 1t is held Armour wants to return an
| equivalent for the wheat which, despite his
denials, 1t is asserted he borrowed from
Peavy to deliver to Letter ON December
| contracts. No sooner did Letter hear of this
| flank movement that he began TO plan
coup. To-day's instructions were forwarded
| to all of Letters brokers in the Northwest
| to follow I'M Armours agents and bid 2,
| and cents higher than Armour on all
| wheat Offered to the latter Although Ar
| mour denies the report of borrowing from
| Peavy, q leading broker is authority for
the statement that Armour placed check
for SO 900 in the Northwestern National
Bank payable to the order of Peavy, TO
! insure the return of q vast quantity of
| wheat which Armour secured from Peavy
| to cover his December snort line TO what
extent Armour has obtained cash wheat to
cancel these obligations is a matter Of con-
lecture. But one fact is certain and that
is Armour had to pay a premium and had
to wrestle hard with Letters agents to Sc
| cure cash wheat in the Northwest"
| Shorts i'm wheat caught it hard to-day.
May was bid up to $1.03$s and closed at
$1.O3H, an advance of 3s4QS7sc. July, hither-
| ole as
May. The May price is the highest reached
| for that delivery since 1891 1t was almost
| altogether scare market shorts being
| thoroughly alarmed over the Letter grip on
| wheat. They found great difficulty in COW
! ering. A feature was the buying near the
| close by Letter brokers of all the July
| offered. Corn and oats We're strong and
higher, corn advancing &c and oats 1sGAc.
| Provisions were irregular and closed at
slight declines.
Trouble for shorts in wheat was indicated
on the curb before the regular opening.
May was bid up to 81 on rumors of large
| agements of wheat for shipments to Lis
bon and talk of a reduction Of the Portugal
grain duty. The bullish feeling was greatly
increased by an interview regarding the Eu-
ropean situation by a prominent Chicago
trader who has been travelling through Eu-
rope, in which he confirmed the reports Of
almost unprecedentedly small stocks, and
said that Europe was dependent ON the
United States for her supplies Opening
| prices of May wheat ranged from $3.50 to
| 81, compared with yesterdays closing price
of 99ssQ9912c. There was a perfect rush of
shorts to cover at once, but, as was the case
yesterday, almost no wheat was offered for
sale. Inside of fifteen minutes bids had
price, and for the first time wheat came
on the market in considerable quantities.
mostly offerings against those privileges
Though everything offered was taken,
prices sagged off to $1.00l2, and the excite
ment, which had been intense. died down to
certain extent. 1t was evident the trade
was thoroughly alarmed over the apparent
" unshakable hold Joseph Letter has on
May wheat, and an official announcement
that he has contracted for the moving of
100000 bu of his wheat to the seaboard
with the promised movement of 100000 bu
more, served to increase the anxiety of
shorts to get out. This. in fact seemed to
be the only factor in trading. Apparently
no attention was paid to the news of the
blowing up of the battle ship Maine, and
the usual news colorless. Liverpool
was 3s@9sd higher at the close. Northwest
receipts were $50 cars, against 34S a week
40 cars 10 of which graded contract The
day clearanceS from Atlantic ports
amounted to 100000 bu. For some time the
market t1uctuated nervously on narrow
amount of trading, but about noon it COM
menced 10 advance again. and on this adj
vance Outsiders made their influence felt
Traders who have been heavy sellers here
against purchases in New York were forced
to "unstraddle" Northwest shorts also
came into the market and helped make
things int testing. About half an hour from
the close July, which, for some time past
has been comparatively neglected, jumped
into sudden activity. 1t had previously been
tagging at around S67sc, but heavy buying
sent prices flying. Most of the July offered
was taken by the Letter brokers. At the
close July had advanced to S915c. May, i'll
the meantime. had been up to $103as, and
was bringing $1.0SA as the closing bell
sounded. On the curb, after the regular ses-
sion, it sold as high as 1.0512.
There was another big trade in corn and
| the market strong. Sympathy with
| wheat and a heavy demand from shorts sent
| later on realizing. but rallied again on gen
| eral buying by long interests and closed
strong. May ranged from 313sc to 307sc and
| closed Sc higher at 31AM31$sc.
Oats were fairly active and Irregular
though averaging strong. The market start
| corn. but heavy commission house selling
and some general realizing broke prices bad
| ~ The demand became urgent again later
| In the day, many early sellers buying back
| what they had previously sold Export de-
| mand was again active May ranged from
2734c to &c aad closed 1s04c higher at 27ssc
Provisions were active. Heavy receipts of
| hogs gave the market a weak start but the
| heavy advance in grain, the demand espe-
| cialy from shorts. increased and prices
| ers, which helped prices. Later the market
| became weak under realizing sales. The
| close was steady at slight declneS Nav
| pork &c lower at $11.10; May lard PIC lower
| at $5.1712 and May ribs DC lower at $5.2712
Estimated receipts for Thursday-Wheat
| ~ cars; corn. 275; oats $780, hogs 3S 900 head
Leading futures ranged as follows:
Onan- It.t