The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1902-10-02
SHAKE=UP IN STOCKS
Call Money in New York Scars
to Thirty=Five Per Cent.
MORGAN COMES TO THE RESCUE
Various Gigantic Deals on Foot, Call
ing For Millions of Ready Cash,
Given as the Cause ofsB.g
Shake Up.

Stocks broke disastrously in New
York Monday when the rate for cell
money rose to 35 per cent and the
market was almost in a panic just be-
fore at the close.
After the close of the market, James
R. Keene, the bull leader, said:
"The money situation alone has un,
settled the stock market. Underlying
conditions are safe and reassuring as
ever. | think the plans of relief set
afoot by the secretary Of the treasury
will ease the situation shortly.
The whole list went down in the
days slump, led by Louisville and
Nashville, which lost over II points,
and st. Paul, which lost about 10. Gilt
edge stocks like Pennsylvania drop,
ped from to points.
The Southern Pacific, that stock in
which the largest pool ever known IN
Wall street history has been operating.
and on which James r. keene has
staked his reputation as an operator
held firm until late In the day, when
it was forced down, despite all the mil
lions Keene could send in support of it.
]. P. Morgan poured millions into
the market in vain. More than twenty
million dollars was paid out by Morgan
p oi in S1,n nPtN
ber 1, but the only effect 1t had was to
break the price of money from So to 20
per cent. 1t did not stay the down,
ward deluge o. liquidation.
Cause Of Strineency.
There is high authority for saying
that the real cause of the money strin-
gency is that j. P. Morgan & Co. are
buying up all the foreign bills Of ex
change to pay the English stockhold-
ers cash for their stocks surrendered
in the organization of the ship trust.
Mr. Morgan has already called On his
syndicate for twenty-five million dol
lars for this purpose and it is stated
that he will require that much more.
The reports that plans are we'll ad-
vanced for the Atlantic Coast Line to
take over a majority interest in Louis
vile and Nashville stock is attributed
by those in a position to know to the
fact that the Louisville and Nashville
stocks not now controlled by J. P. Nor
gan & Co. either by direct ownership
or under the option given that firm by
the interests represented by Gates and
Hawley, will constitute minority
stock. 1t is also said positively that
the dividend will remain at per cent.
Among the heaviest sufferers in
Mondays crash is said to be John w.
Gates. He is in Europe, where he is
said to be desperately endeavoring to
unload his American stocks on the
London exchange.
Above the crash of millions Russell
Sage stood smiling. He had been
selling stocks for a month, fairly tum-
bling them on the market at high
prices.
A manipulation said after the furry
that the technical position of the mar
ket was much improved by the shake
up.
The greatest loss was sustained by
Louisville and Nashville. Disappoint-
ment regarding the probable disposi-
ton of the road as much as anything
else is supposed to have caused the
break
Other features that combined to un-
settle the market were disQuietlng re-
ports concerning the presidents con-
dition, the prolongation of the coal
strike and the undoubtable fact that
London and the continent are unload
ing Americans" in large blocks.
Practically all the money loaned on
call came from trust companies and
out of town corporations and private
individuals. The banks of the Clear
ing House Association stood aloof and
made virtually no Loans for specula-
tive purposes. Moreover, the so-called
substantial interests offered no sup
port to the market.