The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-05-10

NEW YORK. May 9.-Bitter stress devel-
oped in Wall street by the second hour of
trading on the Stock Exchange to-day. The
violence of the commotion had spent much
when the chairmans gavel fell announcing
the close OF the days proceedings. The
casualties were great, and the field of battle
was strewn with wounded, and maybe with
dying. but of actual fatalities none was
recorded of Importance during the day.
During the night the panic rumors of insol-
the rumors pointed refused even to show
any signs of distress and professed them
selves ready to meet all obligations. In
more than one instance the answer to these
rumors was for a representative u nc
house to go upon the Stock Exchange and
place loans TO large amounts, as indicating
the abundance of resources at hand; but,
notwithstanding these and similar devices
for keeping up credit and confidence, the
fact was too obvious from the crash os
values the exchange that credits and
borrowing power were shrinking at too
prodigious rate not TO leave the mind of
the whole financial world in condition of
intense strain. But the indications at TIE
close of the day were strong that the prin-
cipal damage had been wrought on the
speculative class or upon holders Of securi-
ties for margins. The banks have been so
well protected by recent extensions of the
margins exacted In the market value of
collateral over the amount of loans placed
that they had little to fear short of an abso-
lutte wiping out of market values.
BANKERS FORM A POOL.
The shrinkage of collateral made it neces-
sary for the banks in many cases to exact
additional collateral during the day. and
this added much 10 the distress for a time.
But in late dealings the principal banks in
financial districts agreed to form pool
and raise a fund To loan the money rate
down 10 per cent. on the Stock Exchange.
The bid for money had been run UP TO 90
per cent and was threatening to keep alive
the panic. The dozen banks quickly came
TO an agreement 10 raise $4,000 00O with
implied willingness 10 increase the sum II
necessary. There were very heavy loans
placed also by individual banks, ranging
I'm some cases TO s25.OO0OO0 and $40. 100000.
Through the early part of the day bankers
exacted the market rate for loans. But
With the growing need TO suppress the pane
they offered the rate down TO per cent
Old customers OF the banks were not
charged over per cent at any time. but
when outsiders came In asking for new
leans the law OF supply and demand was
allowed 10 run it's course
The state OF excitement was very appar-
ent all through the financial district during
the period OF the panic, but there were few
sensational scenes. Now and then a white
faced woman would peer from a cab out
side a brokers Office and would be driven
on in a fainting condition after receiving
message from the interior. Wherever any
near approach could be made 10 a ticker
or TO board on which quotations were
posted there were great throngs OF excited
spectators scrambling for a view of the
course OF the market. But the real stress
OF the occasion was upon men who We're
smut Up IN the private offices OF their
brokers or were struggling and even fight
ing on the floor OF the exchange. The out
side country could obtain little idea of the
actual occurrences in the exchange. as the
brokers were remote from the public gal
laries in their temporary quarters in the
Produce Exchange. and are half shut off
from view by sixteen-foot wall
RUINED IN a TWINKLINC
In the brokers offices sat many men who
were reduced 10 absolute ruin as result
OF fifteen minutes proceedings on the Stock
Exchange Some of these had been made
opulent within a few weeks past as a result
OF the unparalleled rise OF prices With
the true gambling spirit they had placed
sll their winnings in new ventures on each
successful turn To-day's drop. there
fore. wiped them all out. But the glittering
attraction OF this market has brought into
II constantly increasing assortment OF i'll
experienced speculators-men and women
who have brought long-standlng boards
from secret places and from savings bank
deposits with the determination 10 make
one successful stroke and then retire with
the principal The demands from this class.