Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1902-04-16
Day Of Great Excitement on Wall Street
Among Spectators,
URPAsSEs UNION PACIFIC FURRY
Sensational Trading in Southern Railway
Common Adds to Confusion.
EDWIN HAwLEY IS AN ACTIVE PURCHASER
MOrERn's Disposition of New Property
Not KRown-spencev of southern
Declares His Road viii Not
Control Louisville.

NEW YORK. April 15.-wan street
passed through one of it's most exciting and
sensational periods today. The Louisville
Nashville situation. which had hung
menacingly over the district for a week or
more, was cleared by the undisputed state
ment that John w. Gates and his associates
had wrested control OF the property from
the Belmont party and we're in absolute
possession Accompanying this statement
which had been discounted the day before
was one that the Gates faction had selected
]. P. Morgan & Co. to settle the differences
between the contending interests.
While these events were happening a
movement without parallel In the history
of the Stock exchange was on IN Southern
| Railway. Trading In Southern Railway
common set in on a tremendous scale and
at one time interest centered almost en-
| tirely in that stock. II became evident
before the opening Of the market that a
settlement would be reached.
Big MHEnates ut Conference.
At the office of J. p. Morgan & Co. a series
of conferences began before 10 o'clock.
Those present during the morning were:
George w. Perkins and William Pierce
| Hamilton, representing the Morgan inter-
ests; August Belmont, Samuel Spencer.
president OF the Southern railway: Edwin
| Hawley, president OF the Iowa Central and
Minneapolis g. st. Louis roads; John w.
Gates, Talbot j. Taylor, head Of the brok-
erage firm OF that name. and son-in- law
| OF James r. Keene,. and Francis Iynde
Stetson, one of Mr.. Morgans attorneys
Shortly before noon the appended an
nouncement was given out by the broker
age firm Of Harris. Gates & Co., in which
John w. Gates is a special partner:
We have bought large amount of stock
| or the Louisville & Nashville road, We
dld not buy Il for speculation. but for In
win Be- any eoTner 's Il the STOCK "SEs
Of J. Morgan gar % Co 's asd reanestsd ~ ns n1nqs shem
to act as arbiters in the situation, because
desire not to disturb in any way the gen
eral market condition and because we know
they, Morgan G. Co, have no interet what
ever IN the property or In recent purchases.
Gates Admits Purchase.
This statement was later changed s.
that It read;
I'VE have fought control" etc.
George w. Perkins, a member of tbs
banking house OF J. Pierpont Morgan & Co.,
gave out the following statement tonight:
At the request of Messrs. Harris, Gates
| a. Co., who, on their own Independent act,
have recently made large purchases OF
Messrs p MoTRHn Fs1lrGsd co "a banSsT s5SsH
have consented to take control of the stock
so purchased and to receive the same on
| deposit
Throughout the day operations in South
ern railway shares continued on an enor-
nous scale. Demand was extraordinary al
most from the outset Common stock ad-
vanced 3% and the preferred 3h points.
Blocks of 5000 and 10000 shares were
common and there was one Strong OF
10000 shares and another of $1,000. while
the trading was at it's height.
Morgan Influence Felt.
Much of the early buying was attributed
to Morgan influence, but 1t soon became
clear that the Gates clique. as we'll as
room traders generally, were taking a hand
in the game. In the first half hour fully
200 900 shares of Southern railway common
changed hands BY the end OF the FIRST
hour transactions in this stock alone
reached a total of 35O.OOo shares. BY noon
considerably more than 100000 shares had
changed hands.
Dealings fell of after that TO some ex-
tent. but the records for the number OF
shares OF a single stock sold in one hour,
in two hours and in one days trading were
all shattered as a result OF Southern rail-
ways performance today. The total sales
for the day reached a total of outstanding
stock of the company is 1,20O, 900 shares
Breaks Union Pacinc Record.
On April "a, 1901. there we're 6s2 800
shares Of Union Pacific sold on the New
York Stock exchange during the struggle
between the Morgan and Hartman inter-
ests which eliminated In the May panic.
That record was broken today. There
were complaints that order for less than
/ 900 shares could be executed. The stock
sold after that at 34h. compared with sax
last night. There were numbers Of huctu-
ations before Il advanced TO t0h and be-
fore the reactions from the top figures.
About this time there was marked
strength in Illinois Central and Chicago,
Indianapolis & Louisville. based, presume
bly,, on the belief that these roads would
beneit in some way by the selection OF Nor
gan G. Co as arbiters of the situation.
N The widest rumors were circulated to
account for the record-breaking activity Of
Southern railway common. Veteran brok-
ers failed to understand why Morgan in
terests should want to increase their hold
ings Of this stock
Spectators Are Busy.
Later. when it was seen that the Gates
crowd and spectators generally were buy
ing in Southern common the movement par
took Of a purely speculative character and
although the stock continued phenomenally
active throughout, heavy proht taking ses.
It below the high level Despite numerous
attempts TO rally the price fell on to s7N
and the closing was 37A. net gain for the
day OF 3A.
Louisville & Nashville shares advanced at
the opening, but fell on almost soon ss
the bulge in Southern railway came. Trans
actions in Louisville q Nashville aggregated
about 5s. 900 shares. the stock closing at i27.
a net loss for the day OF point.
Fully two score brokers we're active IN
the buying and selling OF Southern Railway
| common.
That Southern Railway company will have
considerable to say as 20 the future Of
Louisville q Nashville became the eonvie-
tion Of most Wall street men bsfore the