Omaha daily bee., 1910-02-21
GRAIN EXCHANGE METHODS
of Chicago Board Says
Corners Detrimental to Business.
OBJECTION TO MARKET DOPE
Letters Sent Out by Members, He
Thinks, should BE CensOred-
Edward Porter Peck Makes
Address. p
OBJECTION TO MARKET DOPE

WASHINGTON, Feb. a-Disapproval of
corners and possible censorship OF mar
ket letters figured in yesterdays hearing of
the opposition to the anti-option bills before
the house committee on agriculture. The
effect of corners and market letters sent
broadcast by members OF exchanges were
discussed by President White Of the Chi
cage Board Of Trade. He disapproved Of
corners as wrong, detrimental to the x
change and disturbing to business.
While the amount of business done where
there was = corner was very small COM
pared to the total amount OF business on
the board, tho corners, he said, attracted
more attention than the regular operations,
Men who have been successful in cor
ners." he said, can be counted on the
fingers Of two hands Letter lost {1o,O oO,-
O0O-"
H was a bright and shining example"
lnterjected Chairman Scott, smiiingly.
Mr.. White said the Chicago Board OF
Trade recently considered a PROPOSED
amendment to its rulings designed to pre-
vent corners and pena;iLing any one dc
faulting in the fulflllment of his obllsa-
tons 70 deliver. The change was voted
down on the contention that It might work
so as to impair the sanctity Of contracts.
"sOmefhinE VIII he Done"
Il think" he added, that sentiment is
now getting around to the point where
something along that line will be adopted"
~ Guild you regard II as an evil To seek
to induce outsiders 10 speculate on the
board?" asked Chairman Scott.
BY way or explanation, Mr.. scott read T.
letter from a member of the Chicago Board
OF iIaGc, winch, according to the chair
man, vas a pa!puDie old for speculative
business by whI,h the lambs out In this
cold are induced 10 come into the fold and
be SHARED"
The market letter question" replied Mr..
White, mas never been formally discussed,
but mas been talked over informally. 1
would 10, myself Write SUCH T-letter as
that just retrd by the chairman. l defer to
M. -4O..l., mo Lnons more about that
point"
Vice President Merrii OF the Chicago
board interrupted to say that there was a
very general sentiment among the mem
beIs Of the beard that 1t vas time that
the exchanges, to maintain their hlga
reputation for Integrity. should exercise
some censorship over letters going from
our members"
burden IL ON Consumers
MIR, White contCnded That there WaS Ia
future trading in beef, because beef die
lot lend Itself readily to rucu transactions
being more per!shable than other products
so dealt IN; that the prices OF hogs, pork
ard lard we're largely based on future
quotations, that buying OF futures b. spe-
c~ula;ors forced The prices up and that the
packers were holding the bag In the
matter OF tho high prices of hogs,
The farmers, he insisted, we're getting
their full share Of the high prices Of hogs
and the consumer he admitted was
getting his full share OF the burden OF tho
hi6h prices.
Vice President George II. Davis OF tho
Kansas City Board OF Trade said tn,
beard tried years aEa 70 do business with
out future transactions, but the effort wa
rot a success.
Ward Ames, Duluth, filed a brief setting
forth the opposition OF the Duluth Boar
OF Trade TO the Scott bill and contendinl
that it's passage would seriously interfer,
with the export business II not ruin It.
Edward Porter Peck. president Of tn.
Omaha grain exchange, made a short ad
dress in which he vigorously opposed tn,
proposition 20 abolish trading In options
VIII Report scott Bill.
While the committee on agriculture ha
not yet formally canvassed It's views. TN
indications tonight are that Il will repor
me Scott bill, with some amendmsn,