The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1901-05-08
Hartman and Gould Contend
With Morgan and Hill
And Wrest Control of the Prop
erty From the Latter.
BIG SLUMP STARTED.
Heavy Selling Brings on Pan
icky Condition.
A Heavy Decline in Prices All
Along the Line.

New York, May S.-The stock market
was utterly demoralized at the opening
today by the developments in Northern
Pacific. What We're rumors yesterday
became assertions Of fact today that the
Hartman interests in retaliation for the
recent attempt to secure control Of the
Union Pacific had turned upon the Nor
gan-Hill interests and wrested from
them the control of Northern Pacific
The competitive buying which resulted
caused a virtual corner in the stock to
the discontinue and panic of a very
large short interest
The collateral consequences of the
open war thus disclosed between the
most powerful financial interests in the
country caused acute alarm among the
large operators long Of the market. The
Hartman syndicate, supposedly backed
by the GOulds and Standard Oil interests
in bitter warfare with the Vanderbilt
Morgan-HilI combine. offered alarming
suggestions to the heated Imagination of
speculatOrs- While shorts We're bidding
any prices for Northern Pacific there
fore spectators were unloading other
stocks all through the list. By some
means Northern Pacific had been forced
1O3z points under last nights close here
in the London market this morning. The
opening sales we're Of 1000 shares at 155.
a rise Of 111k over last nights here and
of 221z ever the mornings London price.
On subsequent purchases of blocks not
exceeding 1000 shares the price jumped
) points at time to $50 and then fell
back to 1856. The price huctuated vio-
lently afterWard between 155 and 145
The preferred stock broke 9 points
Canadian Pacific broke AZ and then ral-
lied 6K opening losses in other stocks
ran from / to 81
Union Pacific rose a fraction, broke
and then came back 3, measuring the
hopes of advantage to the stock from
the Northern Pacific coup. Some Of the
most urgent buying of Northern Pa
cific came from arbitrage houses, show
ing that foreigners were largely repre-
sented in the short interest. The disor-
der on the stock exchange was extreme
during the first hour, but strong raj
lies in the general market and the re-
lapse in Northern Pacific reassured
holders and the market became Quieter
A brief rally in the market met with
heavy selling again and prices slumped
at such a rate during the last hour that
panic conditions developed. Holdings
were thrown over without regard to
price and declines of half to a point be-
tween sales were true in the active
stocks There were occasional feverish
pauses in the downward course due to
desperate attempts to check the liQuida-
tions, but their duration was only mo-
mentary. The drop in St. Paul reached
1874 in Union Pacific 161k in Rock IS
land IA, in Brooklyn Transit 105a
in New York Central 83z in Missouri
Pacific g. in Louisville & Nashville 8, in
Pennsylvania z, in Peoples Gas 8. fl.
Texas & Pacific S15, in Southern Pacific
8, in Canadian Pacific 10, and the gen
eral run of active stocks up to 5. Unit
ed States Steel stocks suddenly col
lapsed, the common falling 6az and the
preferred II, by rapid stages As the
declines reached greater proportions
and wiped out the more strongly mar
gined accounts, the weight of the offer
fngs increased and the confusion and
nervousness seemed to deprive the op-
orators of their power of judgment.