New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-03-19
COTTON EXCHANGE PANIC
Big Iosscs in the Great Drop M
Prices.

Tho -cere on the Cotton Exchange "oe" 80
S-r1v SUSPENSION announcement vas -.
- o. dramatic one. The market had oeeh
-, z,,-trs tbe dav ;he stump Of THURSDAY
; ,.,.-,.. l,.eu ..lcceeded 10y another shaIP ~
4 --f-o - .r,, .-st fifteen minutes or the uaulis-
Pa co e.- as could be detected. there was 10
Ia, urerronitiou of the Suliy crash mr.
.5,.rero~e Superintendent King OF ne 'o''oI
r-vg,ar-1p mounted the rostrum al TWO
mast . o'clock. holding paper IN ms 'l''i0'
. s,ro,,ncad that he had a communication ~ i''-'
tbere was an intense hush At once r..
- ~ This kind mean only one thing i"0
-, ,-,s who had failed? This the mem
- leaned IN a moment NJ. king read 'he
s.,,o,,frr ,.ot,ce. the name OF the arm oei'6
read last:
..suneriptenden; King. Cotton Exchange
w. rao-a- 10 state that We are unaole 10
-,a.f our engagements, and viii therefore ma
..5 DANIEL. J. sULLY & CO.
ro~ p space OF time that seei'e1 ~
IN some who were watching but NNi''
,,robsb,,, short. there was hush. Then 1heie
was uproar. and the floor Of the eAoili'se
elevators and the Railways were crowded WIN
,,,e,, and l,ovs rushing pei NEIL here and there
The e,s+ concern was to send the news to oinces,
t,,. .beY-e WAS also the necessary business oil
Getting into the market at once. For moment
tho circle round the pit was almost desetIeu-.
livery messenger boy that could ne hau was
rushed 10 telephones. bus there we're not nan
enough 10 20 round. so brokers rushed ou'
and ia themselves
p. Was oni,- a moment before the trading De
ean again: the ticker record showed that Nhen
trading began the pit wss. Il course the oei'ue
- oy.f,-,,,a-, hut the streets surrounding the
Cotton Exchange were also filed Win H. Met
bose faces showed Intense emotion were run
a
state Of absolute bewilderme1t This could De
sop7, IL, the streets and I'm the Railways OF the
exchange. There was such n rush To elevators
,lls+ they stopped running for FIVE or ten MN
,teq during the height OF the excitement
.rg,o cotton market was IN state Of panic
e,- about twenty minutes IN which time there
arpeared 20 be no bottom FOR prices
rra customers, offices IN Cotton Exchange
houses we're also part %: the cotton MARKET
and there was 2 little panic in every one o.
these. As a matter % fact the men Who s'oou
around tickers and in front Of the stock o"ards
we're as much interested as the brokers on the
floor These men were having their margins
,rined out in The stump. and in some cases this
meant loss 81 their entire capital put up IN
speculation. There were some men slghuy
Ialer than usual in these groups.
Il Was estimated that abou. three-fourths or
q million bales OF cotton were traded I'm during
the panic which followed the Sully announce
mcnt. IL was estimated that upward Of half
a million Of Jhis trading meant forced Aqulda-
tion."
The market steadied after about twenty min
utes and then there vas a sudden upward
shoot 81 lust about an even hundred points. or
50 bale-a reaction from the panic.
Although the galleries OF the Cotton Exchange
have been closed 10 the general public. and only
those having cards Of admission are admitted.
The galleries were damned within a few minutes
after the panic started, the doorkeepc- being
unable 10 -eprcSs the rush % men and women
from the hpllwav.
The anuounceura-t OF the SuIly suspension
was promptly put out on me tckerS. and there
was Hurry on the floor OF the New York Stock
Exchange after tho news reached there. Ar
Sully is member Of that exchange, having
purchased a seat IN January. Stocks went OF
from half a point 10 a point and one-haif on
the fear that The failure might bring a rush 81
stock selling there. The weakness was only
InomentaIy, however. for d was soon asCe--
fained that Mr.. Sully had not been tradin. h,
stocks. and. ~ fact. that the Clearing House
sheets had never shown single transaction by
ms mouse This was not conclusive but the
market was treasured and stocks rallied a little
M SullN suspension was not formally an
nounced on the stock Exchange until little
before ;he close OF the market. Ii was an
hounced on the Coffee Exchange also. The cot
ton bulls recently went into tho coffee market
and caused an activity there which correspondof
10 the activity ia cotton. The coffee market ad-
FanccG and declined with tho cotton market
l9st month. bat IL WIS significant that tho an
nouncomeut Of the suspension yesterday caused
only slight break in coffee prices