The Farmington times. (Farmington, St. Francois County, Mo.) 1905-1926, 1919-11-28
MANY LAMBS SHORN
ON WALL STREET IN
RECENT HEARING

-
Just how many Missourians, Arkan-
sans and Kentuckians were caught IN
that collapse of industrial securities
when Wall Street went wild recently
and their Investments in speculative
securities were swept into the discard,
without a vestige of value left for
consolation, will probably never be
known.
The newspapers are prone to pub
lish lengthy articles about men who
invade the bulls and bears dens on
Wall Street and wrest fortunes from
those wild old gamblers. The men who
win these fortunes are never so mod
est about letting the world know of
their good fortune as they try to an
pear, and the story is seldom sighted
in telling. In other words. one may
discount the amount alleged to have
been won, and then leave a safe mar
gin for the Imagination of both the
writer and the Spectator. But los
ers hold their heads down in shame
and are silent as long as possible.
Of course there is legitimate trad
ing" in New York and the other large
financial centers. Then there is
great volume that bereft of the tech
meal terms means Just gambling, pure
and simple. And it was this class that
were swept off their feet in the recent
Wall Street furry.
In this latest collapse, however.
were several entirely new elements.
Chief among them was the entry JIM
to the New York speculative whirl of
brand new crop of millionaires.
These gentlemen acquired untold
wealth in supplying war materials. or
in the unprecedented advance in all
commodity values during and since
the war. Being ambitious to further
augment their gains, they addressed
themselves to speculation in stocks, |
and for a time it was all "cold tur-
key" with them.
Much of the values indicated in the
quotations of many of the stocks were
fictitious. The prosperity was bulded
on a fimsey base, and the collapse
was inevitable And as usual, it was
the "small fry, the investor in the |
provinces" as New Workers term all |
the rest of the country not contained
in Manhattan Island, that bore the |
brunt of the eruption. The old tim
ers, and the men with experience and |
money enough to carry them through |
their planned campaigns did not lose |
their all, like those poor fellows, who, |
successful in their own environment, !
pltted their wits and their dollars |
against the wits and the dollars OF |
that remorseless gang of Wall Street,
and are left holding the bag.
There was a warning. issued long |
ago by the men at the head of the
Federal Reserve System. The infor-
nation disseminated by the agencies
OF the United States treasury De-
Partment issued warning after warn
ing But those VINO went Gown N the
nnNnclal maelstrom would not heed.
me bankers Withdrew their support
Cail money went up to 81 per cent,
ana mus money 10 complete the |
tra IN became prohloitiVe.
Inc outcome mas developed the tact
tnat II is perfectly well and right to
invest IN well seasoned standard stocks
ana ponds put dubious speclaltles and
uhGrleu issues are e%celieht properties
10 leave alone; NO tip on the market
llstlng Is exclusive; however quietly
whispered II you nave II be assured
khat hundreds OF othcrS also nave the |
same information.
But this lesson in finance is not
without its recompense. Men who
lost heavily will probably profit in the
end. They have demonstrated they |
can accumulate, and they will begin
again, and next time they will not en- !
deavor to build their financial struc-
ture on the foundation that has proven |
more unsable than sand-speculation,
or as it is better known here in the
West-just common gambling.
There will be those who will recall |
the Governments warning that in the
heat of speculation was permitted 20 |