The Indianapolis journal., 1904-06-01
MAY WHEAT DROPS SAC
COLLAPSE OF BIG SHORT INTEREST
THEORY CAUSED DECLINE.
The July Option Was Influenced b3
May and Closed 1-2c DOwn-Corn
Gained 3-4c-PrOyisions Higher.

CHICAGO. May 91.-A break Of 424c to-
day in the price of May wheat. due to col
lapse of the theory that there was an out
standing short interest. caused weakness
in other options. The July option closed
with loss of 14c. Corn is up sc, oats
show gain of sc to &c. and provisions
l2lkc to 47lzc.
The break in May wheat did not come un-
til near the close of the days trading. The
market opened weak as a result of lower
prices at Liverpool July started &c TO asc
down. at S51sdS5ssc. Sentiment soon
changed, however. Figures connected with
the weekly statistics OF the international
trade were less bearish than they have
been for some weeks past, and excessive
rains had fallen in many sections of the
Southwest. The bullish reports from the
Southwest were partially substantiated by
liberal purchases by St. Louis houses and
by the strength in that market.
The corn market also showed decided
strength. In consequence of an improved
demand developed in the wheat pit the
weakness with which trading began was
not only arrested. but was in a short time
replaced by fair degree of strength. On
good commission house demand July
gradually advanced to s614c. After the first
hour the market experienced a long inter-
val of dullness. transactions being largely
of a scalping nature.
The question TO the size of the out
standing short lines of May wheat had act
ed rs check on many traders, but the
session wore away without any sensational
lipturn in the price of that delivery the con-
viction that shorts had practically covered
their lines gained ground. This resulted In
considerable selling in future deliveries,
causing a weak undertone.
During the last half hour the feature of
the trading the wide fluctuations in
May, in which month, however. trading
was very light. From 9SAc the price sud
denly dropped to 9S1zc. quick rally TO CSC
followed. The close was 9lc. Afer selling
off TO S514c July closed at S53sc.
Clearances OF wheat and flour were equal
TO 400 bu. Primary receipts were 6S6. .200
bu, compared with 10000 bu a year ago.
The amount on passage decreased 1032, ,00C
bu, while the visible supply decreased 536.
600 bu. Minneapolis. Duluth and Chicago
reported receipts of $40 cars against l0e
cars last week and $40 cars a year ago.
An active demand from shorts, with COM
paratively light receipts, caused an ex-
tremely strong corn market. Trading was
active throughout the day and the volume
or business was large. Advices from Kan
sas were bullish, the crop in that section
being reported greatly injured by floods
statistics also were generally favorable tC
holders. There was some realization late
in the day, but the market closed strong
July opened 1sc lower TO 1sc higher. at 46fs
Q41lsc, sold up TO 4S1sc and closed at 4724
Local receipts were S5 cars. with of con-
tract grade.
Oats were quiet and Influenced mainly
by the action of other grains. The May
delivery was weak on moderate selling by
longs, but future deliveries received some
support and ruled quite firm. Statistics
were bullish. but the weather and crop re
ports were bearish. After opening un.
changed TO 1sc lower. at 3S3sG3S12c July
sold between 3S2sc and 3S1sc closing at 3S5,
u3S%c. Local receipts were 175 cars.
Provisions were strong on an active com
mission house demand, Big shipments oil
hog products for the past week were main
ly responsible for the improved demand
The firmer feeling in corn had a little in
fue nee: After ranging between 81. 2712 anC
| gain of 45c TO 47lkc. July lard was up 12bc
at $50. and ribs showed a gain of 171zc, a
| Se75
Estimated receipts tomorrow: Wheat
% cars; corn, 7S2 cars; oats. 232 cars; hogs
| $4,000 head.
Leading futures ranCad folIows.