Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1914-08-01
WORLD MARKETS
FEARING PANIC
HALT BUSINESS
Occurrence Unprecedented in
History; War Situation in
Europe Responsible; Wall
Street Quits Indefinitely,

ief MORNING JOURNAL sFtC's% ltAttu WlRtl
New York. July 31.-The complex
machinery of the securities markets
of the world came to halt today for
an indefinite period, an occurrence
Unprecedented in history With all
Europe seemingly on the verge of war
and the continental exchanges closed
several days ago, with the London
market following suit today the New
York stock exchange would have
been called on to bear the weight Of
the worlds financial burdens. II had
virtually done so all the week, for
while the London market was open
transactions were only nominal. The
unloading of stocks here by panic
stricken Europe during the last four
days and the consequent collapse of
prices made history in Wall street.
To continue longer to bear the bur-
den. in the opinion of bankers whose
Influence determines the course of
events would have been hazardous.
After period of hesitation and ex-
IRENE nervous tension 1t was decided
ten minutes before the hour set for
the beginning of business today that
the exchange would not be opened.
That action closed the last great mar
ket of the world. All other American
exchanges quickly followed suit
At it was, there were four assign
ments, three of them announced on
the cotton exchange. The firms are
Flower & Co, bankers; S. II. p. Pell
e Co.. stock. cotton and grain brok-
ers; Homer, Howe & Co., and F. j.
Friederickson x Co., both cotton
brokers With the exception of Flower
&c Co, the assignments are understood
I ohave been caused by the extreme
decline in cotton operations. Pell d
Co.. were reported to have been the
leading firm on the long side of the
cotton market and to have been
caught with enormous commitments
on their hands when the break came.
Flower & Co., who are not members
of the cotton exchange, are said to
have been embarrassed by the break
in stocks No statement of assets and
liabilities was issued by any of the
firms involved.
1t was the impression tonight that
the worst of the storm had passed.
George w. Ely. secretary of the stock
exchange, said there was no indica-
ton of trouble from any other quar-
ter New Ycrk's leading bankers as
serted unanimously that the position
of the banks was sound.
How long the stock exchange VIII
he closed Is matter of conjecture,
the answer depending upon the course
Of events abroad.
Wheat PIungcs Downward.
Chicago, July S1.--Wth export
trade in wheat as completely stopped
for the time being as if the United
States was the enemy of all Europe
values on change today declined.
Prices. although steady at the close,
were 81 to 6 &c down. as compared
with last night other net losses were
Corn. 3is to Y oats. / u to y, and
provisions generally 20 to 81 ".
Regardless of how disturbing war
news became today, wheat plunged
down grade The action of exporters
In refusing to make any ocean snip
ments unless for spot cash In advance
proved more important than the mo-
Dlllzatfon OF millions OF soldiers.
Nervousness over several failures III
New York ard because Of threatened
difficulty in the final settlement OF
July speculative contracts in Chicago
was effectuauy dispelled by one OF
the largest and strongest houses mere
offering to assist any firm likely 70
be unable to meet obligations at the
board of trade clearing house.
In the corn market, the weakness of
wheat more than offset the effect of
an urgent eastern demand for corn
Ter domestic distribution.
Oats. like corn. felt the depression
oVershadowing wheat
Stop loss selling led to sharp drop
IN provisions until packers came to