The Van Buren press., 1902-07-19
CORN FELL WITH A IHUD.
The Bears Had the Whip Hand, and
Drove the Bulls From the
July Corner.
SETTLEMENT BY OUTSTANDING SHORTS,
Perfect Weather, and More FROM
ised, in the Corn Belt, Coupled
with Heavy Arrivals, brought
Corn Down to 81 IL Cents, Drop
From the Fancy Price of 30 Cents

| she u"ty a'.' -
Chicago, July 16,-The famous John
| w. Gates corner on July corn came to
an abrupt termination Tuesday when
it became known that shorts to the
extent of many million bushels had
effected private settlements with Har-
ris, Gates g. Co., and that the deal
was at an end so far as the stSel
magnate was concerned. The July
price responded to the settlement by
quick jump of 1874 to 65A, Later
it recovered a fraction and closed at
65R, substantially the price of the
cash article.
just how many business deals were
subject to private settlement will
probably never be known, nor is there
much chance that the identity of the
"big fellows" in the trade, who doubt
| Mr., Gates and the friends associated
with him in the deal, will ever be pos
itively known. Mr.. Gates il at pres
ent in New York, and Mr.. Scotch,
manager for the Harris-Gates house,
would admit only the fact of set
Element by the outstanding shorts
Even the fact of termination of the
July deal was left largely to infer
cnce. But the trade readily figured
that with the shorts practically all
in nothing in the shape of corner
could exist
Admit MIR. Gates Was Right.
No special excitement attended the
premature puncturing Of the bubble
by the men whose property it vas.
The trade has all along admitted that
Mr.. Gates was right and also his abil-
ity to do what he pleased with the
corner, and If he chose 10 close the
deal couple of weeks prior to the
time at which it would have ended by
limitation there was no one 70 say
him nay. The only unusual thing in
the pit prior to the time at which it
became known that the corner was at
an end was the unusual purchasing
of July corn in small lots by yariou,
commission houses, The pit trade
during the day however, was not
much over 100000 bushels.
Manager Scotch would not discuss
the settlement price. This price, how.
ever was not Il matter OF decided in
terest TO the trade generally. with
the knowledge that Monday nights
closing price was 81 and the opening
Tuesday from 70 TO 80, the consensus
of opinion among the outsiders was
that MIR. Cats has demanded either
so or 81 cents from the people who
were foolish enough to sell him corn
all the way from co cents up.
"rhc length" of the line Of July
settled for by shorts is also a matter
OF more or lcss conjecture, Mr. Scot
ten called it Several million bushels"
and said that the length OF the line
had never bees over estimated. 1t
has been called IA high ns 2j,00o,OO0
bushels, but more generally 10000,
900 bushels
IL Is "A matter OF common knowl
edge that since il became possible TO
make deliveries on July contracts
the llarris-Ga'cs people have taken in
and paid for about three million
bushels, This would leave settlements
on some l700O0O0 bushels.
Profits Of the Dria,
TO form an estimate Of an apparent
profit by the deal would necessitaie
u knowledge Of the average price at
which the property was bought, This
can never be known, unless, some
time later, Mr., Gates chooses to di-
vulge IT, 10 IL estimated, however, by
close observers Of the transaction,
that Mr., Gates profit will not exceed
$l500,OO0 This amount will be die.
yided between ten or "A dozen million
aires who were Interested in the IeAl,
Gates and his friends have between
100000 and 100000 bushels of cash
corn which they must dispose Of be-.
fore the corner can be called abSo-
lutely settled, This corn represents
the CORPSE which in every corner
ever run has been the stumbling block
to success II the average price Of
the Il0rrs-Gates holding should
prove well up 10 the 70 cents point,
the clique has on hand several mil.
lion bushels OF corn which cost It's
holders In excess Of the present mar.
ket price. Right here is the salient
point, win II be necessary - mar,rt
this large holding Of corn at less than
N cost
Corner Crowd Lost Its Nerve.
The corner Mt one time promised
many millions OF profit, and the men
whose well-iIlled cribs line the tracks
q nearly every railroad entering
Chicago IRE held responsible for the
disappointing ending Of the corner,
There were substantial reserves from
the bumper crop o: 1900 and the yield
Of 1901 This corn has been held for
n satisfactory market The holders
did not begin TO take advantage ~
the situation until the price Of July
got up In the 70's, ood when II finally
reached 90 cents Chicago was delugcd
with cash corn, For awhile the Ilnr.
ris'Ga,cs people kept the market
cleaned up, but steadily increasing
quantities began coming, aud the
prospect OF loading up with n lot %
sO'ccnt corn, which they might not
be able later TO dispose Of AZ over 20
cents, became somewhat appalling.
Tho King nj sea,