The morning news. [volume] (Savannah, Ga.) 1887-1900, 1899-12-19
Caused by Violent COntrac-
tiOn in Values.
TRUST COMPANY SUSPENDED.
Firm Of Bankers and Brokers Also
Had 10 Close.

There Was n Demand for Ready
Money-BanIks Checked the Col
lapse by Offering Plenty of
Cash-Produce Exchange Trust
Company Could Not Realize on Its
Securities-SeabOard Is Interested,
But Consolidation VIII Not Be At
fected.
New York. Dec. 1S.-Panic conditions de-
veoped on the Stock Exchange this after
noon with the imperative need of money,
developed by the violent contraction in
values. Stocks were being thrown over
without the slightest regard to the price
they would bring and at distressing sacri-
fee of values.
No end TO the helplessness of the situa-
ton seemed in sight, when, in the last
half hour of the market, some $4,000 OOC
was offered on the Stock Exchange by the
concerted action of the clearing house
banks to force the rate arbitrarily down to
6per cent without regard to the distract
cd bidding at higher rates, which was be-
ing done by other brokers for distressed
operators.
The collapse in the money rate checked
the decline and drove the bears to cover.
The recoveries produced by their urgent
clnes had been, but the losses were by no
means entirely retrieved.
Large offerings of stocks continued at
the rally, and at some points of the list
prices broke anew before the close, max
ing the closing exceedingly irregular and
unsettled. The excitement continued to
the end with sentiment looking forward
anxiousy for the developments of another
day.
The seriousness of the crisis has called
forth the best efforts of powerful and con-
servative financial interests, who are busy
concerting measures to tide over the mon
ey difficulties, which beset the stock mar
ket, and which, by reason of their extent
and the Importance of the interests in
yoved. threaten to affect the country 5
business interests unless obstacles are
opposed
Only Two Failures.
So far as actual news was concerned to-
day, there was a suspension by a newly
organized trust company and by a firm of
bankers and brokers who have figured as
traders in stocks to an extent of some
Importance. Neither event in itself would
have been sufficient to precipitate a crisis.
But they We're supplemented with a whole
- s,I,
spared no interest, however powerful, long
established and hitherto free from sus-
pcion il may have been.
One would think from the tone of some
OF the gossip that was flying about by tel
ephone telegraph and by messenger boy,
or by whispers and even by shouting in
the obbes of the Stock Exchange, that
the whole financial fabric had been under
mined and was about to tumble in ruins
Yet the day closed with two failures above
mentioned as the sum total of disaster, 50
lar as admitted insolvency was concerned.
The reason for the widespread effect up
on sentiment of the trust company's sus-
pension was. that 1t was one of a large
number of institutions recently formed on
similar lines and which have thriven upon
the multiplying Of securities incident to
the Industrial combinations which have
been feature of the past year.
The securities Of these combinations, as
class, have been in disfavor in Wall
street for many weeks past ard in fact
ever since the headlong inflaien in their
Prices and subsequent collapse last spring.
Some Of the least fortunate of the new
combinations have been affiliated with the
uust company which closed its doors to-
oay The incident caused feeling of dis
Uust with regard to the whole class of in
uustrial securities, as is sufficiently evil
uent from the wide breaches made in the
values of this class of securities in the
days trading.
Trust Company's Suspension.
The Produce Exchange Trust Company
0t this city closed its doors to-day. A
notice upon the door says that the COM
lany suspended payment pending a read
'uslment of its affairs.
A statement Of the ocmpany's condition
d. the close of business Saturday last
SHOWS assets. $1l7l9,50o including syndi-
sa'e loans of $4,423,5OO; demand loans $685.
WV ~ cash on hand, Sis, 600; cash in Western
Na'ional Bank, s5Ss 600; cash in National
MY Bank, 100000; cash in First National
D'nk' Jersey City. $lOO. 600; cash In Stand
ard Bank, $4,000.
iae Produce Exchange Trust Company
'9 organized a couple OF years ago with
eapital Of S2,5Oo0O0, and had reported
:. 'p1's and undivided profits at this time
o' over 100000.
o.. business was chiefly with merchants,
~ smen and corporations In rs imme-
''s Vicinity and Il was also supposed 10