The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1904-01-01
SPECULATION in 1903
YEAR WAS GOOD M TO BUY
WHEAT ON neutrality-suspicious..
st. Louis Holds Larges Line of Winter
Wheat i'm the COuntry-Is Spen-
GERS December Corner.

written for the Journal by A. W. C"sandy")
ThOmson-l
The year 1903 has been an unusual one in
the cash grain trade. The corn crop of 1902
was of poor quality and very unsatisfac-
tory to handle, and in many cases consid-
cradle loss was involved. This years crop
is undoubtedly much less than the govern
ment estimate and is not moving at all free
~, nor is the quality much better than last
year.
The wheat crop in the winter wheat belt
was light, which, together with farmers be-
ing disposed to hold. made a very small
business in wheat, as compared with for
mer years. Very few dealers can show on
the right side of the ledger what they
should for the trouble and expense they
nave been put to in the attempt to market
the crops.
Our large millers in this State are forced
to go to the larger markets, such as Chi
cago and st. Louis, and buy much of their
material by personal inspection in order 20
get good winter varieties. / do not want to
be understood that there is no wheat left
in Indiana; on the contrary, 1 think there
is considerable. but our farme friends are
imbued with the idea of getting 81 per bush
Ell some time before another harvest.
WINTER WHEAT LINE AT ST. LOUIS.
On this proposition 1 am very skeptical.
st. Louis holds the largest line of winter
wheat of all the other markets, and at this
time it is the highest market in the country,
occasioned by the December option being
cornered. 1t is said there are over 100000
bushels of contract wheat in st. Louis ware
houses. Now the question is: Will they be
able to market it all without breaking the
market? 1 think not.
There has been no time this season when
the Western wheat markets were not rela-
lively higher than the Atlantic seaboard for
winter wheat. and yet exports have been
fair. On this point one can only figure that
the wheat that has gone abroad from the
Atlantic coast originated in the Eastern and
Southern States tributary thereto. The bal
ance is made up from wheat grown west of
the Mississippi, and is largely of hard varie-
ties, which has found an outlet through the
gulf ports.
The speculative business has been good,
and opportunities for profit abundant on
both sides of the market. One had to only
shut his eyes and buy wheat in May, of
course, taking the good profits that accrued
and reinstating the line on the setbacks.
This applies also to oats and corn.
THE DECEMBER CORNER.
The bull clique in st. Louis got their in
spiration to buy up and get the crowd short
to them for the December options from Wis
it's by special representatives sent through
the winter wheat belt in May and June.
Up to the latter part of May the reports
L received from my correspondents relative
to prospects were very fattering.
/ had the good fortune to meet with, and
later correspond with, the st. Louis bull
clique, who assured me the crop would
be one of the smallest Indiana had raised
in years, and was admonished to take the
long side of the market for keeps. L knew
these gentlemen TO be honest and sincere
in their opinions, so advised my country
friends accordingly. Strange as 1t may
seem, the farmer who raises the wheat
was the last mar to be convinced of the
correctness of the prediction of the St.
Louis experts.
l am convinced the same thing will show
in corn later on that has proven true of the
winter wheat crop, and May, July and
September corn will sell some time during
the life of the options in the 50s.