The Savannah morning news., 1901-05-13
WEEKLY MARKET REVIEW.
Sensational Movement in stocks.
Collapse Follows Combination
Cotton and Wheat Lower.

sensational Movement in stocks
Collapse Follows Combination.
Cotton and Wheat Lower.
The caution given in this review the
last two weeks has proved timely. The
stock market continued it's extraordinary
Doom early in the week. with the Pacifcs
and Changers in the lead, Northern Pa
cine being the most prominent. Up to
Tuesday numerous new high records were
made, but on Wednesday it became evil
dent that there was corner in Northern
Pacific. The shock of this development
at once caused a panicky feeling in the
general market, and on Thursday the de-
moralization became complete. Frantic
bidding by shorts carried up Northern
Pacific by leaps until the price touched
LOCO AT the same time the rest of the
market went to pieces, and leading stocks
dropped sharply all the way from 20 to
% points. Money went to 60 per cent and
ali the elements of a genuine panic were
present. At this point the banks came to
the rescue, and later the generous for
bearance of the big houses chiefly con-
cerned in the. struggle for control of
Northern Pacific did much to restore
calm. The market assumed a healthier
tone, and most of the spasmodic decline
was regained.
Stated briefly the cause of the panic
appears to have been as follows
The Union Pacific interests demanded
an equal share with Northern Pacific in
the benefits to be derived from the traf-
fic arrangements attending the Burling-
ton control This having been denied,
Union Pacific people began buying North
ern Pacific, and acquired a majority on
paper But there was not enough stock
to fill short contracts, and hence the cor
ner 1t seems that an INSCRIPTIONS
clique, discovering the anomalous situa-
ton, took advantage of the acute posi-
tion bought heavily on the oversold mar
ket, and then with quite unparalleled
severity mercilessly squeezed the shorts.
AT this time it appears that the where
abouts of the control of Northern Pacific
is still matter of uncertainty, and there
fore it is not possible to say that the
trouble is all over, although it can scarce
ly be doubted that the worst is passed.
Cotton was variable. July declined
some 50 points to 741c by Wednesday,
then by Saturday morning had risen to
7S4c, but fell off later and closed at
765c. August closed 10 points lower at
f.0Uc. new crop UlOnlnS ueCllHeu dpOuI
points. Weather reports were less ia
vorabe, as complaints of drought are al
most general; so far the crop is not start
ing we'll Receipts continue unprecedent-
eddy large for the season, and the move
ment seems to fully Justify the estimate
made here in September and ahered to
ever since that the crop will be 1O250,OO0
to 10500,000 bales.
Wheat ruled easier the market devel-
oping rather acute weakness on Thurs
day from the panic in stocks, July fall
ing to TOSS. A moderate rally was i'll
sustained. the bureau report proving even
more favorable than had been antici-
pated. and July closed at 705sc, about &c
down for the week. The report gives the
condition over "a on the largest acreage
on record for winter wheat. Nothing def
mite has come out yet on spring wheat
For the present, the advisable course
appears to be that of selling on all the
firm spots 65c for July is not unlikely
MY,, Williams