The Savannah morning news., 1901-05-15
LONDON MEN SQUEAL
THE NORTHERN PACIFIC DEAL TOO
HARD FoR THEM.
ALMOST PARALYZES MARKET.
NO TRADING IN AMERICAN STOCKS
YESTERDAY.

The English Dealers Lack the FacII-
ity I'm RiEhting Themselves of
Their American Brethren or the
Nerve or BOth-MOrgans, ROths-
childs and Others TidinG Opera
tors Over with 3 Per Cent. Loans.
The Northern Pacific Corner said
to Have Cost London Bears f1,-
100000.
London, May 14.--According to present
plans, J. Pierpont Morgan will not go to
America just now. The situation on the
Stock Exchange to-day was the most re-
markabe known. as far as Americans
were concerned. There was absolutely no
trading, the arbitrage people not dealing,
and quotations were entirely nominal
The optimism with which yesterdays
settlement of NortheGn Pacific was hailed.
disappeared in the general realization that
it was only temporary. Steps are being
taken to form an arbitration committee
to relieve stock brokers of their diff
cultes in connection with the Northern
Pacific affairs!
A representative OF one of the largest
houses said:
UNLESS the Morgans and Kuhn, Loeb
& Co. accept some such arbitration moth
ing can save the London market from
serious smash. The temporary arrange
ment, it is believed. may overrun the next
settlement. but not much longer. 1t is
thought the arbitrators might set a fixed
price. That would prevent serious fail
ures and meet the views of Mr. Morgan
and Kuhn. Loeb e. Co."
Assisting English Brokers.
The Morgans. Rothschilds and one or
two other houses readily advanced loans
yesterday at per cent. in order to as
sist operators over the settlement. This
action meets with approving comment in
the financial articles Of the morning pa
pers and is contrasted with the difficulty
created by the policy of other banks and
money lending Institutions In withdraw
ing the usual facilities.
IF the latter are anxious to cause a
panic" says the Daily Telegraph. they
are going the right way 10 work"
It is now asserted that but for the
action of the Stock Exchange committee
for general purposes in suspending the
buying in rule, the whole of the arbitrage
firms would have declared themselves
bankrupt as the only way out of an inn
possible situation.
This" remarks the Daily Telegraph,
would have been a death blow to the
American market In London, which, as
1t is, is hard hit, and the day of reck-
oning is still only postponed"
1t Is estimated that the corner I'm
Northern Pacific cost the arbitrage deal
ers and the bears here nearly f1,000 600.
The affairs of one big operator, whose de-
fcency of 10000 has already been ca
bled, were satisfactorily arranged yester-
day by outside assistance on condition
that he resigns after the settlement.
The Daily Mail warns the public
against dealing in Northern Pacific
shares, declaring that these are danger
Gus on the ground that Mr.. Morgan might
institute a rate war.
Morgan Reports on situation.
New York, May 1.-THE Journal OF
Commerce tomorrow will say:
]. Pierpont Morgan cabled his New York
office from London last evening that the
situation there showed decided improve
ment and that he looked for still further
Improvement.
There were indications yesterday, how
ever, of a more friendly feeling between
the conflicting interests in the Northrn
Pacific contest. Both sides took pains to
deny that any personal feeling had arisen
in the controversy and certainly no spirit
of retaliation. so it was said. at least,
would be shown by either party.