The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1900-12-16
PHILLIPS AND HIS DEAL
Some Inside History About the
Recent Corner In Corn.
Hov TIMELY AID WAS GIVEN.

- Money at n Critical Polnt-Later
Haaated Funds at the Young Spec
wamfor's Disposal.
The success OF the recent corner In |
cmrn concluded by George Fl. Phillips. |
the young flnancier, who Is again said |
Ao Dc cornering the corn market. has |
peculiar interest to people Of Morris. |
NEk-. because Phillips was born there. |
and the man that gave him his chief |
mkd in the deal at a critical moment |
was also a citizen of that city, Daniel |
HM, says the Chicago Inter Ocean. |
The inception OF the deal is au inter- |
esting story. Mr.. Phillips was close
student of the market situation on corn |
for several months past he had a
number of large deals in the last May
option for himself and customers and
made n nice little bunch of money out
GT it. lie knew that the farmers had
depleted their cribs of old corn, which
kad been sold when the price mounted
20 s. cents during the summer. which
gave the farmers an average of 40
CENTS at their home markets. lie real
ixcsl the enormous demand for corn
for homo consumption and for ship
ment. He found that with practically
only one crop Of corn on hand. while
estimated to be as large as the crop
Of last year. depleted reserves were
prompting the cattle feeders of the
west to pay 30 ceuts and better for the
new crop. He discovered that while a
large quantity of corn was coming to
market only a small percentage of 1t
was contract. He saw the situation.
He talked with friends and confided
mis- beliefs. They were financially un-
able TO support him in trial of his
theory that it would net a handsome
profit to buy November corn. Phillips
knew the big houses We're all selling
corn and that they would sell all they
could of it. A couple Of million. hush
els would take all in sight. and Phil
lips wanted it. He lay awake nights
Seheming as to methods to accomplish
IL
The last week in October, without
any definite plan ahead of him. but
confident his position was right, he
RaFeh1sed big line of November corn
1entfOn was to hold this amount as a
matter of profitable speculation. Ev-
erybody had it to sell in the pit, and
same of the traders in the pit who
knew Phillips and knew that his re-
sources were limited sold him the corn.
but with the admonition that they hat
Cd TO do it because it would cost him
all ha had Everybody at the time was
~hfrrislI" on corn-in other words. be-
Eertd the price was so high that corn
would be much Cheaper and that it
W1s policy to sell it. TIL" small pur-
ehaSe Phillips made. however seemed
20 gfve buoyancy TO til" market. 1t did
nat sag. as had been anticipated. The
drmand was heavier than ever. Fhil-
AiIss bought little more.
Some Of the bigger houses. poting the
&lKt.pgth Of the market. thought it
Eys.if time to sell and started at it.
Thc offerings wero 50 great the market
R,Ct anne heavy ut ouce. For few mo-
n3cntS Phillips thought he would have
II dump his small holdings to save
htuSrff Il heavy loss. Before doing it
hs. found an old customer of his. who
has recently aided in the incorporation
of the tirdr-r II. Phillips Commission
company- pnninl IIir of Morris. Ills
who happened to he in the building
1LlE day Hill OWLS y number of rich
farms in Illinois. Phillips briefly told
Hill the story-how the market had
gone up on his small buying. hut how
the big fellows were pounding the mar
kr1 down by tLeir offerings. that no
body would take. He would have to
xcN at great loss. But Hill said: go
buy some more for yourself and 500.-
600 or GOO.O0O for me. We will see
what that will do for the market"
Philips was back in the pit in ten
seconds He knew that his theory on
xhorasce of November corn was to
have a trial. He quietly took every
Aushcl of corn offered. He got it ut the
price OF the sellers. The market closed
M Shade lower. but firm. The next day
Phillips bought another half million.
The market responded by advancing
slightly. The buying continued for a
week. as Phillips could pick 1t up. At
the end of that time he found himself
with a little less than 100000 bush
els bought for November delivery.
Name of the traders understood the
deal They knew Phillips had little
ready money and thought he had lost
hks head or was filing commission or
Aexs for some of the big houses.
Phillips kept his own counsel Ten
days of November had passed before
anybody in the trade, began TO realize
that November corn was q scarce arti-
Gle The demand was such as 10 take
@OSt Of the corn in stock for shipment.
The price was steadily advancing and
held every point gained. The market
went gradually to 40 cents. Phillips
greatest worry at this time was to
keep the price down. 1t was becoming
k@own that he had bought big line
more corn than there was for delivery,
ssm0 those who had sold him were be-
s-rmmfup little apitafod If the Dricq went