The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1885-1921, 1899-03-16

% Liverpool anu taNIe- ne SOUGHT "
control the European cotton market
through his bank influence.
He was urged 90 this. says
writer. by the uncertain position %
American credit in the European mar
kets.. because the central point OF this
commerce was London. where the i'm
ports OF manufactured goods from
France had created a deficit for Ameri-
cans OF from sl3 900 10 $4,000. 600.
Add to this Sl3. 1000. 900 OF in crest on
debt OF 1884 .OO6. 6iS. borrowed by the
various States on their own response
bility.' In carrying out this project less
was thought OF n possible rise in cot
ton than of losing So 900 900. TO be au-
nually paid in Europe. The rise OF
single penny on the pound on $4,000
bales OF $50 pounds each 1.-THE |
quantity furnished by the crop OF 1857 |
/ 3S) would have made a difference o.
Sl1 500 900: the rise OF a second penny
would have reduced the trade balance
against the States to- almost nothing.
The first year this colossal sPecula-
ton did very well. but later money be-
came tight in England. interes; rose
and there was dearth OF breadstuffs.
The spinners used only 1850 bales OF
cotton per week and prices went down.
Nearly thirty years ago Wall street
passed through the memorable day
known as Black Friday" II was an
attempted corner" in gold. For
months a clique of men. of which the
late James Fisk. Jr.. was one. manipu-
lated the market with great success
and controlled all the gold in the mar
ket and banks. They held forty mil
lions when they commenced bull opera
tions in the early part of September.
1869. They bought gold at 40 and
down to 1914 and realized large pro-
fits on sales from day to day.
: On September % there was great eX-
Icitement on the Stock Exchange and in
all business circles. The bear party
at times" says an account. seemed
, perfectly frantic while undergoing
punishment at the hands OF the eSul-
, tant and defiant bulls. and as the war
, OF battle and the screams OF the vic
tins resounded through New street. II
/, seemed as though human nature was
undergoing torments woIs~ than any
that Dante ever described IN hell. An
: excited operator asked visitor what
were the features OF the market. and
=. the reply was simply bowling"
An intelligent broker said: 1t Is the
scheme of a clique. The facts of the
: on London Is plenty at 1O5 to 100
which would afford a handsome profit
:, for the importation of gold from Eu'
u rope at present prices. IL being. more
. over. we'll known that a million oi
gold or more is now on the way here
. and still more is ordered. Second. the
. parties who hold the gold In this mar
y ket are paying an eighth per cent. !
- day carrying il"
At o'clock Wednesday Afternoon
Fisk appeared in the gold room anC
. gold rose from 1871 to 14iA. Wager
y were offered of any part OF $4,000 tina
>" the price would reach AS. They talk
- ed freely of the assurance they has
from Washington that the Government
&c would not interfere. and Presiden
Grant and members OF his family wer
quoted as being with them. Anothe
rumor was that they could secure tn
"A services and influence OF Mr.. CorbiI
the brother-in-law OF President Grant
ie as President OF the Tenth Nationa
= Bank, which had been recently puT
u, chased in connection with Tweed an
IN Sweeny. The consideration was TO
S25, 900 per annum The business on tn
!. Produce Exchange and the ordinar
-. foreign exchanges was paralyzed. An
= York Central fluctuated 30 per cen
II in less than as many minutes on
ie rumor of judicial interference with tn
re consolidation authorized by the Legs
IL lature OF the New York Central an
H. Hudson River railroads.
Friday, September %. came wit
Ut every thought turned upon Wa
IS street In homes and business circle
D. there was the same apprehension. IL
: all interests were involved. The bull
III bid the price of gold up to IA. TIL
party without demanding their gol'
D compelled sellers and borrowers VIII
u had contracts with them to- place 5 q
~ per cent. additional advance in priC
ne in their hands or else settle ut IN
% price OF the day.
w At about IL o'clock when the prize
es was about 16O. suddenly there was
u rumor that the Government had set
IL orders to sell SiOOO.OOO OF gold an
Is buy greenbacks in the regular wa!
re which proved true. The price tumble
oo ), 10. 20, 80 per cent. and fell to Is
iy Frantic operators shouted that the
ne would sell at 100. while just before q
e equally excited operator had been o
IL fering to- buy at 100. After the brea
IS the range was about 1873. Agony an
u despair, wild passion with some an
a sullen gloom with others. marked n
ne closing OF the fatal day.
. IL was not known for many day
10 what settlements would be made. tt
>. Offices OF the leading operators wei
10 closed early on Friday afternoon. Or
IN operator said, II made $4,000 an
III. would take a quarter OF II to-day rattle
tie than run the risk OF tomorrow" tt
IS Gold Exchange Bank Clearing Dep1T
II ment was not prepared with It's a
~ counts. Certified cheques OF the Tent
'e- National Bank were thrown out
I'm some of the banks. There was a run Q
ne the bank and n large sum was pa
es' out. There was no session OF the Co
as Room on Saturday. The failures We
10 fewer than expected. rs liberal settl