Evening star. [volume] (Washington, D.C.) 1854-1972, 1910-11-27
HALT WILD TRADERS
Board of Governors Forced to
Check Reckless Speculation.
DROVE THE PUBLIC AWAY
Banks Saw Vanishing a Chance to
Unload Securities.
IDENTITY OF BULL PARTY
Morgan Coterie Given Precedence as
Leaders of Upward Movement.
Money More Plentiful.
DROVE THE PUBLIC AWAY
IDENTITY OF BULL PARTY
BY ". G. NICHOLAS.

/ BY ". G. NICHOLAS.
/ Special Correspondence OF The Star.
NEW YORK. November 26, 1910
The crazy performances of a group OF
| reckless spectators drove out of the mar
ket such large part of the public that
| the authorities of the Stock Exchange
| were obliged in self-protection to call a
halt. The consequence has been that for
the past several days business on the ex-
! change has been conducted in a most or
derby manner 1t is true that the record
of sales shows a big reduction from the
figures of ten days ago. but what is done
now bears the stamp of genuineness. Left
| to itself the market will probably soon be-
come normal again and the public can
resume it's interest without feeling in dan
ger every minute of falling into a trap or
getting the double cross. 1t is bad enough
! for the public to speculate under the best
possible conditions. but to have the SEN
sation of being bushwhacked and skinned
at every turn by gang of irresponsible
| traders was little too much.
| The big banking houses. which are
really the foundation and hope Of the
stock market. were behind the movement
| ton, which has characterized the market
since the elections, and for that matter
| for a week before. They saw these people
| were wrecking their plans and frighten-
ing everybody out Of the market.
Wanted a Broader Market.
The general supposition is that these
big people wanted to see the market
broaden in order to make a basis for an
| enlarged trade in bonds and also to be
used in case of need for a general distri-
button of concentrated holdings of stocks
OF themselves they could do nothing to
stop the pyrotechnic plays on the floor of
the exchange. They impressed the board
of governors, however, with the need OF
action. and as soon as opportunity offered
effective steps were taken to put an end
TO the disgraceful exhibition.
The Incident which gave the excuse was
lOud-mouthed duel between two floor
traders of small caliber. one OF whom
wanted to sell an unbroken block Of
$4,000 shares of Steel common at 1914,
while another broker of about the same
financial responsibility noisily proclaimed
a Willingness to buy an unbroken lot Of
5000 shares at 19a.
The commotion drew a crowd, and it
looked as though the two men were about
to buy and sell the entire capital stock
of the billion-dollar corporation. They
presently locked arms and went out to get
a drink, and moment later 100 shares
of Steel was traded in at 1914, and then
another lot of 100 shares.
Offenders Given Warning.
The affair was so ridiculous that it
aroused the anger of influential members
of the board Of governors, and solemn
warning was given the offenders that If
anything like that happened again they
would be subjected to severe discipline.
Word was passed along the line that
further monkeying would be dangerous,
and the practice was brought to a sum-
mary close. Which was good thing all
around. One of the two verbal dueiists,
who felt that he had been made a goat
of, went home and got sick. He sent
word downtown the next day that he was
under the care of four doctors and three
trained nurses.
The market is far from being in a
hopeless condition. although it is
checked full of artificial features. Be-
yond question the banking syndicate
part of July Immediately following the
liquidation of the Pearson Farquhar
syndicate are today carrying enormous
lines of securities. There were times
might have unloaded. 1t does not ap-
pear however. that they did so, prefer
ring rather to increase their lines than to
diminish them. In this respect, however,
the Dig fellows were not in entire har-
mony. The Standard Oil element stood
aloof all the way through. 1t not only
did not get aboard when the movement
began, but 1t stood angrily or suAenly |
on The sidewalk and watched the process |
sion go by without taking part. They
saw prices rise 10 to % points without
making a dollar Naturally they are a |
grouchy, grumpy lot and they are pre- |
dieting that something dreadful is gong |
to happen. With other things they are |
sore because one branch of the bull party |
made financial arrangements abroad for |
q large sum of money with which to |
finance specula tive campaign which |
might last three months or six months. |
Reports as to the amount borrowed on !
the other side ranged from 10000, 600 to |
$75,OOO.OOO Both of these estimates are |
probably too large.
Morgan Coterie in Lead
The bull party is variously called the |
Morgan party and the Eugene Meyer |
party. 1t is quite safe to give the rank |
ing place to the Morgan coterie. 1t was |
first in the field, and it's interest in the |
market to that of the Meyer crowd is |
probably in the proportion of dollars to |
dimes. 1t is less tumultuous in its mar
ket methods, however although at times
1t is enough in evidence to suggest the |
criticism Of too much Morgan" That
was the cry raised when Morgan was |
trying to float almost anything that |
came along, climaxing on International |
Mercantile Marine. The cry of too much |
Morgan" was used in a very ugly way at |
that time and there are those now in