The San Francisco call., 1903-09-18
MAKES BIC COUP
IN WALL STREET
Young Cornelius Van
derbilt Cleans Up
Ten Millions.
Acts on Advice Given Him bv
Rockefeller and Wins
Large Fortune.
Special Dispatch to The can.

NEW YORK Sept. H.-One Of the big
gest cOups in Wall street during the re-
cent bear raid, il was learned to-day,
was made by young Cornelius Vanderbilt.
He cleaned up $4,000 0O0 using margin
Of s., 900 600. His fortune is said now TO
exceed $4,000 900 in all.
Most OF his Wall street profits were
made in Brooklyn Rapid Transit and
Southern Pacific. He did not touch United
States Steel. avoiding the temptation that
a possibility of a twenty-five point turn
might have given him. Nor did he sell
short on New York Central, though it
dropped steadily from 156 to 12O
The slump in Chicago and Northwest
ern gave him several millions. 1t gave
him margin that sent up his PROFITS on
the other stocks in which he was deal
ing. He had advisers. Through his uncle,
William K. Vanderbilt he was brought
into friendly relations with John ID.
Rockefeller. who has been such factor
in the bear raid. Rockefeller is said to
have engineered many of young Wander
bilts short sales and enabled him to make
money in every stock he handled.
o + + .
the important issues with which the let
ter deals
therefore this reply" he says. rather
embodies the results cf our conversations
than adds anything new to them Bal
four continues;
Agreeing as I do with you that the time
has come when change should be made in the
fiscal canons BY which We bound ourselves
in our commercial dealings with other Gov
ernments il seems paradOxical indeed. that
you should leave the Cabinet at the same Tune
that others Of my eolleagues are leavl1s -, l'
who disagree on the very point Win US oolh-
Yet I cannot but admit that there is some
force in your arguments in support OF that
course. based as they are upon your special
and personal relation with that portion OF the
controversy which deals with colonial prefer
ence. You have done more than any man,
living or dead, to bring home to the citizens
OF the empire the consciousness or Imperial
obligation and interdePendenee between the
various fragments into which the empire Is
geographically divided.
/ believe you to be right in holding that this
interdependence should find expression In our
commercial as well as our political ana mil
itary relations L believe with you that a
closer fiscal union between the mother coun-
try and the colonies would oenent the trade
Of both and, If such closer union could De
established on fitting terms advantages TO
both parties would increase with years and as
the colonies grew in wealth and population.
II there has ever been any difference be
tween US in connection with this matter IT has
of the proposal which would seem to require.
on the part OF the colonies, a limitation in the
all-arOund development N a protective pohcy
and. the part OF this country, the estaD-
lishment OF a preference in favor OF important
colonial products On the hrst OF these re,
quirements I say nothing. but II the second
involves as il most certainly does. a taxa
tion however light upon fOOdstuffs. am
convinced. with you that public opinion Is
not yet ripe for such an arrangement The
reasons may easily be found in past political
battles and present political misrepresenta-
tions.
II then this branch OF fiscal reform is not
at present within the limits Of practical poll
tics. you are surely right in your advice not
to treat II as indissOlubly connected with that
other branch of fiscal reform to which both
attach Importance. and which we believe. the
country is prepared consider without pre-
judice. I feel however. deeply concerned that
you should regard this conclusion, however
we'll founded, as one making II difficult In your
very special circumstances for you to remain
a member of the Government Yet / do not
venture in a matter 50 strictly personal to raise
any objection If you think you can best serve
the interests of imperial unity, for which you
have done so much by pressing your views
on colonial preference with the freedom which
Is possible in an independent position. but
hardly compatible with office
How can L criticize your determination? The
loss to the Government is great indeed. but
the gain to the cause you have at heart may
be greater still. If So what can I do but
acquiesce? Yours very sincerely,
A. J. BALFOUR.
P S.-May I say with what qualification,
both on personal and public grounds. ] learn
that Austen Chamberlain Is ready to remain
a member OF the Government? There could be
no more conclusive evidence that in your judg-
ment as in mine the exclusion Of the taxation
OF food from the party programme is. in the
existing circumstances a course best fitted
practically to further the cause Of fiscal re-
FORM