Pullman herald. [volume] (Pullman, W.T. [Wash.]) 1888-1989, 1905-04-29
CLIMAX ON WHEAT
Widest SESSIONS EVER SEEN
In The CHICAGO PIT.
j. w. Gates Crowd Failed to Corner
All May Wheat in America-Prlce
Dropped Nearly 12c a Bushel in
Day-Corner on July Wheat Is Look.
ed for-MiIIons of May Delivered.

Chicago, April 23.-One of the most
celebrated deals ever known on the
Chicago board of trade came to eli
max Saturday. A daring effort by
j. w. Gates and associates to control
all of the wheat available in America
for delivery during the month of May
was apparently ended with a whole
sale sacrifice of prospective profits to
escape possible huge losses on ex-
listing investments.
incidentally there was one of the
widest sessions ever witnessed In the
Chicago wheat pit. AT one time prices
showed a loss of 111ac a bushel for
the day, the price of the option being
driven down in a sensational series
of rushes to 9Sbc a bushel The clos
ing was 81, as against $1.23 less than
three weeks ago.
Scenes attending the days startling
decline were such as are seldom wit
messed in the worlds greatest wheat
traders in the wheat pit, awaiting the
opening bell, huddled like steers about
to stampede. The sound of the big bell
was the signal for a mighty roar of
voices, a din possibly never before
equaled, according to men who were
present at the stormy sessions that
marked the most exciting periods in
the famous Letter and Harper deals.
! Clothing was torn, hats smashed and
bodies bruised in the frantic efforts
to sell the grain. The gallery was full
! of spectators, while the floor of the
! board was crowded with traders and
! brokers. The din could be heard plain
! ly in the boulevard below, making
wholly inaudible the clatter of horses
hOofs on the asphalt. The crowd in
! the pit surged and pushed as the
break in prices continued and mem
bers on the wrong side, in efforts to
cover losses, shouted themselves
hoarse. with perspiratiOn streaming
down their cheeks as they vainly
sought to stop the runaway market.
General opinion is to the effect that
Gates and his friends emerged from
the battle with but little, if any, act
ual loss. Gossip insists that they eff
fected an alliance with Armour and
other leading traders, whereby the
Gates party, while obliged summary
to liquidate May wheat, on an enor-
nous scale, were nevertheless fully
protected by their prior operations of
the allies in both May and later op-
tons
May Mean More Gigantic Corner.
Another view of the situation, &C
cording to some observers, is that
the new group of astute spectators
including the redoubtable Gates, has
cleared the road for a still more gi-
gantic corner in wheat for delivery
during July The idea is that the high
price heretofore prevailing for May
wheat has induced a securing of the
country by grain traders to secure
wheat to sell to the bull traders. BY
dropping the price II cents bushel
the spectators, assumed to be in con-
| troll have made it clear that if the
country is raked over for wheat to
bring here they mean to buy it at a
figure of their own making.
More Drastic Than Anticipated.
The rushing of the price down, it
was argued, was more drastic action
than was for the moment, at least,
required by the Gates and Armour in
terests, the result being that they &C
cordingly jumped the price back to 81
a bushel.
The Gates party, it is said, had fig
ured that the movement to market
would be practically exhausted before
the month of May arrived. The fac
tor that is alleged to have caused them
to give up the deal was the steadiness
with which heavy shipments from the
interior continued, and the disappoint-
ing. long drawn out dullness of the
Germ of the millers.
Shorts had apparently completely
covered, and longs, little and large.
hurled their grain at the hands that
were closed against it. Nobody seem
ed to want May wheat above dol
lar
When 81 was reached the wild roar
that marked the opening was doubled
But while the nearby option was
plunging downward there was steady
movement going on in July. Brokers,
presumably working for Armour and
his associates, whether including Gates
or not, were taking on liberal lots OF
the latter options. In one hour alone
it was estimated that these brokers
had bought more than 100000 bush
els