Lewiston evening teller. [volume] (Lewiston, Idaho) 1903-1911, 1907-10-30
KEENE, HILL AND HARTMAN,
THE Barring FAILURE AND
OTHER CAUSES HAVE IN THE
LAST TWENTY YEARS CAUSED
PINcHEs ON THE STREET.
BLACK FRIDAY WORST ALL
The Famous "GoId Corner" Formed
by Fisk and Gould in 1869 Was Re-
sponsibIe for the Crash That Upset
Many Large Fortunes.


NEW YORK, Oct. 3O.-Now that
they have had time to catch their
breath Wall street men are figuring
why it was that last weeks collapse
in the stock market was accompanied
by so few failures. That the collapse
did not result in a panic, with the
consequent failure of many stock
brokerage houses, may doubtless be
attributed to one cause, namely, that
the public was not in the market.
To go no further back than 1908 it is
found that declines much less severe
than those Of last week brought dis
aster to a number of stock exchange
houses In July of that year a sharp
decline of prices on the oath of the
month, following long period of
liquidation, forced the suspension of
two stock exchange houses, and these
were followed three days later by an
other. The failure of Talbot ]. Tay-
lor & Co., one of the three, was con-
nected with the losses incidental to the
disastrous end of the Keene pool in
Southern Pacific, and too large inter-
est in more or less unmarketable Sc
curities was assigned as the reason for
the suspension of w. L. Stow & Co.
and E. S. HooIey & Co., the two other
firms.
The panic of May 8. 1901, finds it's
adequate explanation In the Northern
Pacific corner. resulting from the fight
between the Hill and Hartman forces
for the control of that property, and
in the necessity of selling other Sc
curities to meet the situation develop
ed by the corner in Northern Pacific.
Losses in that stock were made good
by sales of other securities, and 1t was
all done so precipitously and with
such dread of the result of the strug-
gle over Northern Pacific that values
crumbled away.
| The extreme weakness of the market
in November, 1890. was attributable to
several unfavorable developments, not
the least of which was the news of
the Barring failure, which became
known on the 18th of that month. Dur
| ing the same month a number of fall
ures occurred here, although the de-
clines were not as severe as those
which have taken place in recent
weeks 1t was in November, 1890, that
Decker, Howell & Co. failed. and sew
eral less important failures occurred in
the same month.
September, 1873, is remembered as
one of the most disastrous months in
| the history of the stock exchange. 1t
was on the goth of that month that
| conditions become so bad that the
authorities of the stock exchange clos
ed the institution for ten days. On
the same day trading on the stock ex-
change was suspended at the height of
the panic, but not before score or
more Of houses had gone to the wall.
| Probably the most famous Of all the
panics that at ore time or another
| have seized the financial community
/ in this country was BLACK Friday
4 September "a, 1869. For this the Fisk
Could corner in gold was responsible.
On that day gold rose to 1924, and
| SlOChS bTOhe with unprecedented VIZ
lence. Lockwood & Co, prominent in
those days, failed, and the announce
ment of their suspension was followed
by the failure of many other firms.
The Gold Exchange bank became in
volved and suspended.
The declines from the high point of
that month to the low point on BLACK
Friday" in some of the stocks active
at that time We're 23A points in Chi
cage & Northwestern, 16 in the pre-
fered, 1915 in Chicago & Rock Island
Is in Erie, 1874 in the preferred, 52%
in Hudson River, 3OA in Lake Shore
19% in Milwaukee & st. Pau 14A in
the preferred, 53A in New York Gen.
trail, S% in Ohio & Mississippi, rs in
Western Union, and 21A in Pacific
Mail. When 1t is recalled that these
were the declines not of the day OF
the panic alone, but of the entire
month, it will be seen that they Offer
striking comparison with the declines
of the early days of last week.