New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-04-23
GlTES'S DEAL COLLAPSES.
WY WHEAT DOWN TO 81.
Frer.ied Scenes in Chicago Pit
Talk of a Corner in July.


-.,,sro. April 22.-one of the most celebrated
- ever known on the Chicago Board OF
-. came 10 2 climax to-day A daring effort
= lain " Gates and his associates TO control
80 wheat available in America for delivery
= Z Nav apparently ended with a Wholesale sac
-. n prospective profits TO escape possible
-. i,sses on existing investments. Incident
- +se result was one Of the widest sessions
1. ..r known in the Chicago wheat pit At one
-. --i,as showed 2. loss OF 11la cents a bushel
- ~ dav. the price of the option being driven
-, in sensational series Of rushes 10 9Sl2
- busheI The closing quotation was 81,
.,,s, 81 p less shan six weeks ago.
's-.o-sl arinion tonight is TO the effect that
,-.,,s and his friends emerged from the battle
-+.t Ii,tle. If any. actual financial loss. Gossip
..,,s,s that they effected an alliance with Ar
- and other leading traders whereby the
s..ss Marty. while obliged sumnIarily TO liqui-
-. Nav wheat oI an enormous scale today.
= nevertheless fully protected through prior
"a Concurrent operations OF the allies in both
-. and late. optious. Another view of the
...,s-ion according 10 some observers, Is that
-. new grouping OF astUte spectators, includ-
~, 7obr ". Gates himself, has merely cleared
-. decks for stu more gigantic corner in
..hss, for delivery in July. TIE idea is thar
-. bieh prile heretofore prevailing for May
,best has induced a securing Of the country
~ grain traders TO secure wheat 10 sell TO the
ts,u leaders BY dropping the price 10 cents
s,sbeI to-day the spectators assumed 10 be IL
.o,,-oI have mace il clear that if the country
< -aked over for vleat 10 bring here they mean
= buv il al q figure OF their own making. The
-,shfng Of the price down to-day, il is argued,
mas more drastic action than was for the mo-
ba ND A.
rour interests. The result being that they ac-
,or6inrly jumped the price back TO 81 a bushel.
The Gates party, il is said. had figured that
she movement Of wheat 10 market would be
rrsciicalIy exhausted before May arrived. The
factor that is alleged 10 have caused them TO
give I'D the deal was the steadiness with which
beary shipments from the interior continued
this and The Disappointing, long drawn out dull
ness Of the demand Tor flour and the apparent
unconcern Of the millers.
The scenes attending ro-days startling decline
we're such as are seldom Witnessed in the worlds
greatest wheat pit Almost frenzied in anxiety.
;hs traders In the pit awaiting the opening Dell
huadled like steers about 10 stampede.
The sound of the big bell was the signal for
mighty roar of voices, a din never before
equaIlea. according 10 men who were present
Il the stormy sessions that marked the most ex-
citing. periods in the famous Letter and Harper
deals Clothing was torn. hats were smashed
md bodies bruised il the frantic efforts Of the
traders 10 sell the grain. Shorts had appar-
ntly covered, and longs. big and little. hurled
heir grain at the hands that were closed against
Is Nobody seemed 10 want Nay wheat
ss--s s.
When 81 Nvas reached the wild roar that
marked the opening was doubled in volume.
Bur while The nearby option was plunging
downward there was q steady buying move
mert going on in the July. Brokers, presumably
working for Armour and his associates. whether
including Gates or not, were taking on liberal
lots OF the later option. In one hour alone it
was estimated that these brokers had bought
more than 3,0O0O00 bushels
This buying OF July prompted frightened
shorts 10 cover, they believing that the Gates
and Armour forces had combined 10 huu july
b the expense of The hard hammered May.
Tonight % was estimated that J,W}oOoO bushels
Minneapolis
There was a big drop IN the price Of May
wheat yesterday in the local market. in SYM
pathy with the sensational decrease in the West
me price here broke 494 cents a bushel, May
selling at g9izc against 81 04A Oh Thursday.
July in the mean time. declined only z cent a
busle. having support al the West, presumably
due 10 closing out d spread" which had been
mace some time ago. The impression here was
that the May deal was practically over and that
only the final details remained 10 be adjusted.
H. IS Is reported, John ". Gates and his asso-
caes have for the last week been liquidating
iheiF holdings Of the May. the losses viii be
comparatively small II they have not unload
ea they stand TO lose probably several million
collars, IL is believed on the New York Produce
Exchange