The daily morning journal and courier., 1904-03-19
COTTON KING SUSPENDS;:
 WILD PANIC ENSUES
DANIEL J. SULLY FORGED TO
 THE WALL.

Months Has Been the Bisgest Figure in the Cotton Markets of the World Goes Down with n Crash-Unab:e to Meel Demands for Large sums of money-statement That Debts svili be Paid In FnIi--The Losses.
 New York, March 1S-Daniel J. Sully, the cotton operator who has for fifteen { months been the biggest figure in the < cotton markets of the world, and who A has s'bulled" cotton from seven cents a s pound to over seventeen, announced to- day his inability to make good his en- 4 agreements on the New York Cotton ex- E change. Within few moments cotton fell nearly thirteen dollars a bale from the highest figures of the day. Edwin i T. Hadley, of Providence. was a mem ] Der of Sully's firm.
 4 Scenes such as followed the arl- & nouncement of the failure it has been x the privilege of few brokers to witness. & Traders in the street have witnessed stock panics in previous years, corners have been broken and many crashes E have been recorded, but none has been accompanied by such frenzy and con X fusion.
 While there had been no premonition 1 of the impending crash, no morning of the season had witnessed a more de- moralized market. In less than ten minutes after the opening half a cent had been taken off the price of cotton. Prices went up and down 10, 20 and 30 points within two and three minutes. May opened at 1925 and sold down to 14.75 in less than fifteen minutes, while July, opening at 15.22, went down to 14S6.
 Toward the end of the first half hour early sellers started to cover and there was rapid advance. There was noth- ing in the news to account for the ex- citement. It seemed merely renewal of bear operations and the catching of further stop orders. Shortly after the afternoon session, however, there was a Hull in the pit, and at about five minutes after two o'clock the announcement of the suspension was made by Superin- tendent King, who read from the ros- trum this notice:
 "We regret that we are unable to  fore have to suspend
 Daniel J. Sully & Co.,.
 For few seconds there was an orni- nous quiet over the floor, as though the news had stunned all within the hear ing of the announcement. Then with one impulse mighty shout went up from the bears who had been fighting Sully and the bull clique for months. sszta were torn by frantic brokers in the mad efforts to unload holdings, and chairs and camp stools were dashed into the pit to emphasize wild traders efforts to sell. Messengers were hastily E and out of the building; telephone booths were beseged and telegraph of- fees flooded with dispatches.
 Outside the Cotton exchange appear L ances gave littl eindication of the pam demonium within until the messengers began to rush between the exchange and the brokers offices. Soon the news reached the Stock, Produce and Coffee exchanges, and traders on these mar kets hastened to the scene of the panic. Crowds assailed the entrance to the vis- itors' gallery, but a double guard was placed at these doors and admittance was refused to all but those accompa- nied by members
 It was estimated that something like three-quarters of a million bales of cot ton were traded in during the twenty minutes of the panic that followed the announcement, and that of this up wards of half a million bales represent ed forced liquidation" or the selling out of men whose margins have been nearly or quite wiped out. As the mar lxet slumped 25O points during this per- iod the loss falling on this element amounted to something over a million dollars.
 The market steadied after about twenty minutes and then there was a sudden upward shoot of about hun dred points. This sharp rise was brought about by the buying of brokers and speculators, who saw that the mar ket had slumped too far and would re- act just as it did. A part of the excite. ment on the floor of the exchange was caused by the scramble of brokers who wanted just such bargains and had to fight to get in the ring to get them. Int buying rush was almost as exciting and just as noisy, if not more so, as the panic.
 The announcement of Sully's suspen- sion was put out on the tickers every. where within few moments after fl was made, and there was somewhat ot furry on the floor of the New York Stock exchange after the news reached there. Mir Sully is member of that exchange, having purchased a seat two or three months ago. Stocks went of from half point to point and a hali on the fear that the failure might bring rush of stock-selling there. The weakness was only momentarily, how. ever, for the word was passed around that Sully had not been trading ir stocks and, in fact, that the clearing house sheets had never shown a single transaction by him. The market was treasured and stocks went up again.
 Upon the announcement of the fail ure press representatives hurried to SCI MT. Sully for the purpose of getting some statement. MT. Sully, however shut himself in his private office ant would not be seen. Shortly after three o'clock Sully went into conference witt counsel and later Edwin Hadley, jr., o1 Providence one of the members of ths firm, sent out message by his secre. tary which read:
 ''No statement of any kind or de, AH.. 1s-