The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1899-12-19
And BadIy-Squeexed SpeculatOr
Said to Have Paid 1856 During
the Height of the Panic.
TIDE TURNED BY THE BANKS
WHICH TENDERED MILLIONS OF
DOLLARS AT PER CENT.
Government to Deposit Large Sums
I'm National Banks III Secured by
Bonds-Fears for To-Day.

NEW YORK. Dec. 1s.-Panic conditions
deyeloped on the Stock Exchange this aft
ernoon with the imperative need OF money
developed by the violent contraction IN
values. Stocks were being tnrown over with
out the slightest regard to prices they
would bring and at distressing sacrifices
of values No end to the helplessness of the
situation seemed in sight, when, ia the last
half hour of the market some 100000
was offered on the Stock Exchange by the
concerted action of the clearing house
to 6 per cent. without regard to the dis
tracted bidding at higher rates which waS
being 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 bidding were almost as violent as
the declines had been. but the losses were
by no means entirely retrieved. Large Of
ferings OF stocks continued at the rally and
at some points of the list prices broke anew
before the close, making the close exceed
ingly irregular and unsettled. The excite
ment continued to the end. with sentiment
looking forward anxiously for the develop
ments 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
money difficulties. which beset the stock
market. and which by reason Of their ex-
tent and the Importance of the interests
involved threaten to affect the country's
posed.
1t Is considered a point gained to have
effected cessation of the ruthless sac
rifice of values long enough for a period
Of consideration over night. For the SELL
ing OF stocks had unquestionably reached
that stage where ordinary considerations
OF prudence or even necessity had been
thrown to the wind, and the sufferers from
the money stringency wereyunloading their
holdings in the true panic spirit. A pause
Of a few hours for consideration is likely
In itself to do much toward rectifying such
q condition.
TWO SUSPENSIONS.
So far as actual news was concerned to-
day there was a suspension by a newly or
prfz zaI
bankers and brokers who have figured as
traders In stocks to an extent of great i'm,
portance. Neither event in itself would
have been sufficient to precipitate crisis
but they were supplemented with a whole
crop OF wild and incoherent rumors which
spared no interest. however powerful. long
established and hitherto free from s,is-
picion IL may have been. One would think
from the tone of some OF the gossip that
was floating about by telephone, telegram
and by messenger, or by whispers and even
by shouting I'm the lobbies of the Stock
Exchange, that the whole financial fabric
had been undermined and was about to
tumble. Yet the day closed with the two
failures above mentioned as the sum total
OF disaster. so far as admitted insolvency
was concerned
The reason for the widespread effect on
public sentiment of the trust company's
suspension was that it was one of large
number of institutions recently formed on
similar lines and which have thrived upon
the multiplying OF securities incident to
the industrial combinations, which have
been feature OF the past year. The Sc
curities OF these combinations as a class
have been In disfavor In Wall street for
many weeks past. and. in fact, ever since
the headlong imitation in their prices and
subsequent collapse last spring. The dis
favor which is attached TO them i'm Wall
street has been quite indiscriminate and
based on many varying considerations The
principal allegations against them are over
capitalization. exorbitant prices paid for
constituent properties and vulnerability TO
existing and threatened legislation against
combinations. II is evident that In so large
a number OF combinations as have been
made these allegations can scarcely apply
- all alike. But the sheep have not been