The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-04-22
GATES CORNER in
SMITHEREENS NOW
May Wheat Drops Below the Dol.
lar Mark with Hardly a
Wabble.
VALENTINE IN PIT .s.ss
DIRECTING WIND-UP1
One House Alone Sells LOO, 900
Bushels Receipts a Factor 3
- 7 in the Slump. rs

Chicago, April 22.--May wheat came
down with a crash today below the: doll
lar mark. Less than six weeks ago it
was $l.2l12. Today May wheat touched
9S19c. OF this sensational decline of %
cents the net loss today was 1l15#centss
bushel. The market reacted some
what at the close, final quotations be-
ing at 81 even. ~.
1t was evident from the opening that
brokers for John w. Gates and his
cOterle engaged in an attempt to corner
the May option in wheat, had not only
withdrawn support but were actively
disposing of their holdings.
After the days trading was over
operators freely expressed a belief that
the Gates party had got out of the May
wheat deal with little, If any, loss.E
There were numerous stories of ~ an
agreement with Armour and other lead-z
ing traders, following which May wheat
was left to its own resources. The re-z
port was general that Mr.. Gates had
fully protected himself.
| Immense purchases of July wheat
presumably for Armour, during the past
| few days, were said to furnish the basis
| of the agreement. A favorite theory is
that as May wheat was being sold,
hedges in July were being taken. e AM
other report was that Gates and Armour
representatives, at secret meeting t a 3; !,
4 ings and switch into the July option
ofsetting any losses in May by great
er profit in July. go. + II
1 Wild Scene in Pit. =S
4 The scenes in the wheat pit were
among the widest ever witnessed, altho
the trading was not as heavy as on
spectators, while the floor was crowded
1 with traders and brokers. The din
could be heard plainly in the boulevard
below. z4.ers s. .-4
The crowd surged and pushed as the
4 break in prices continued and members
4 on the wrong side in efforts to. cover,
I losses. shouted themselves hoarse, With
perspiration streaming down their
cheeks as they vainly sought to stop the
runaway market, -ss,4e..,t
Today's decline was almost continu-.
GUS There was slight breathing
j spell at $l.02 the market rallying tenn
porarily to $1.04. However, il was soon
/ followed by the worst slump of the day,
i the price going to 981ac shortly before
i the close. ~ ss..:.
i There was slight rebound in the
Hast few minutes, the quotation as the
d final gong sounded being 81. even q
Ebushel. -
/ Following the severe decline Thurs
4 day during the last previous trading,
3 the break today was taken by many
traders as further confirmation that the
4 wheat was practically at an end.
i AT the opening May was Off l to z
cents, at ST 08 to $1.09. Following al
most Immediately sales were made at
! $1.07. ;::.Es
!, Before the session was half over
] another 2 cents had been snapped OH.
Slump Was Direct.
There were no fluctuations, the quota
II lions making an almost sheer descent to
] $I.O3 a bushel as against 81 10, Thurs.
i days closing figures, and $l.lS12, the
{ high point Of Thursday. .,ss..s:
The chief apparent reason for the ex-
; traordinarY decline was the absence OF
: support. In addition there was an I'M I'M
, confirmed but explicit dispatch from
3 Minneapolis that the May deal had been
settled. ~ +..:.:g:. Fl. .zsr.s..:::2 Is
; Aside from this, the increase of re.
/ ceipts was decided bearish factor, ar
2 rivals Of wheat here. for the week max
: ing total of 100000 bushels, against
i 100000 for the lastweek-and 2O3, OOg the
: corresponding week ayeaT ago: Such
7 a heavy total was generally regarded
las plain proof that the high price OF
the May option. was bringing y1 IN gram am
Z that would ordinarily 60. to Minneapo'
lis, ST. Louis, Kansas City and other
r. A..Valentine Of Armour 8 Co. was s
in the pit in person. 1t was eStimatea
that ], 5oo, 600 bushels was sold by one one
house alone the greater part, Ct Ct az be,
l inc generally believed to be "cllque
wheat. Otherwise the selling scat e
& The 9 clique selling smashed the
. market for May to $l02 before tn aest
mas any With Slsa net loss Of s Cents
81 bushel from Thursdays close, the = mar mar
! tletarallied, May recovering. to $l:o4. .
81 while the fierce drive at May was =
3. Inrogregs, Valentine supported price,
7 For July and September wheat. t bn'
WITHOUT aetually Pfre a1thep aa Re
+ suit The. collapse in price was ai1nos'
g, wholly confined to the May option.
al ~