The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-02-07

~~TVVvF<VS$TN~S%~~SSS~@FNRS y
oaarket-why, the msFket was simply
Turpentine- Everybody was buying t.,
and everybody was wondering how
high it would SO. Greenbaunl and the
other seven included It looked as If
the stock had resumed it's triumphant
march 10 par.
Then Sharpe called in all the stock
his brokers were leaning 10 the shorts
and he himself began 10 borrow it.
This, together with the legitimate re-
quirements OF the biz short interest.
created demand so greatly In excess
of the supply that Turpentine loaned
at sixty-fourth, at a thirty-secOud.
at an eighth and finally at q quarter
premium over night. II meant that the
shorts had either to cover o. to paw
s25 per diem Tor the use Of each 100
shares of stock they borrowed. ON the
3l,400 shares that the syndicate was
borrowing il meant an expense of
nearly $4,000 a day, and in addition the
stock was rising in price. The shorts
were losing at the rate Of many thou
sands a minute. There was no telling
where the end would be. but il certain
y looked stormy for both the real aud
/ fictitious shorts.
Ar. Sharpe sent d peremptory mes
4 sage TO GTeenbaum. Lazarus & Co. T.
q NJ. Wechsler. Morris Steinfelder's
Sons, Refs < Stern. Kohn, Fischel &
| Co, SHERMAN q Lindheim, -RosenthaI.
/ Shaffran & Co. and Zeman Bro It
/ was the same message to all;
Send me at once all your TuTpen-
/ tine stock
There was CONSERVATION and dismay,
also admiration and elf-COngratula-
4 ton, among the recipients of the mes
I sage. They would have to buy back in
/ the open market the stock they sold a
] few days before It would mean losses
/ on the reasonable transactions OF fully
/ quarter Of q million. but the pool
stood to win" simply fabulous sums,
I if Sharpe did his duty.
/ There were some large blocks OF
/ stock for sale at Sc, but Shapes bro
/ kers cleared the figures with n fierce.
/ irresistible rush, whooping exultantly
{ The genuine short interest was simply
! panic-stricken, and atop it all there
) came orders TO bug an aggregate OF
, LOCO shareholders from Messrs.
I GTeenbaum, Wechsler, Lindheim, Stein,
I fielder, Refs, Fischel. Shafrran and Ze-
| man. The stock rose grandly on their
I buying 1000 shares al sc. 300 at 66Sz
4 geo at 675s, 1,200 at IS, Z, 200 at 69Is. 1000
/ AT 20. 500 at 701a, 1,20G at ~. Total
7 81 40G shares bought in by the "Skindi-
/ cate" Total, 81 400 shares sold By Sam
/ uel Wimbledon Sharpe to his own asso-
+ ciates in the great Turpentine pool. In
/ all he found buyers for Il, 200 shares
I that day. but Il had taken purchases
( OF exactly LOO TO stampede the
/ shorts" earlier in the day. and in ad-
/ dition ne held 1880 shares acquired in
+ the course OF his bull manipulations
: which had not been disposed of when
] he discovered the breach of faith. so
/ that at the days close he found him
10 =. -
/ manipulatively purchased, but short
/ for his personal account of $500 shares.
On the next day came the second
chapter OF the big Turpentine deal.
! Dir. Sharpe, having received the poOF
/ ia 400 shares. divided it into three lots.
/ 10000 shares, $4,000 shares and "a 400
/ shares. The market had held fairly
/ strong but the lynx-eyed room traders
! failed to perceive the usual support"
! in "Turp" and began to sell It in order
10 make sure.
Slowly the price began to yield All
/ that was needed was a. leader. Where
| upon Mr.. Sharpe took the first lot Of
| the pool stock, AZ, 600 snares, and hurled
! il fun at the market. The impact was
7 terrible; the execution appalling. The
market reeled crafty. The stock, which
| after selling up to 72$4 had closed on
| the previous day at 717s. dropped TWEEN
=
On the next day he fired by Y0ileys
/ $4,000 shares more at the market. ne
I stock sank to IA. Such q break was
almost unprecedented
J GTeenbaum rushed To ShaTpe's Office
The terrible break gave hmm courage 70
! do anything. a Wall street worm viii
turn when the market misbehaves it
| self
What's the matter?'' he asked angri-
~. What are you doing to Turpen-
| tine?'
Sharpe looked him full in the face
/ but his voice was even and emOtioniess
as he replied: Some body has been
wish did. I was afraid 1 might have
to take 100000 shares more. so just sold
! as much as I could. I've marketed
| most of the pools stock. If it had not
! been for the jag of stock L struck
| around so and 81. TuTpentine would Be
selling at So or 30 today. Come again
next week. Greenbaun, and keep cool
Did you ever know me TO fail? Good
by. Green baum, and don't raise your
voice when you speak TO me.
This has gone too far" said Green
baum, hotly. You must give me an
explanation or by heaven I'll
"Greenbaum." said Mr.. Sharpe in a
listless voice, don't get excited. Good
by, Greenbaum. Be virtuous and you
viii be happy" And he resumed his
cased-tigeT pacing UP and down mis-
Office. As by magic Mr.. Shapes buriy
private secretary appeared and said
This way. Mr.. Greenbaum' and led
the dazed trUstmaker from the office.