The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1922-10-13

PROBES BREAK
IN WHEAT PRICE
Armour to Decide Today
Whether He Will Explain
Grain Transactions
BENEFIT FROM BREAK
Emergency Car Delivery Rule
Compels Traders to Sell
At Loss
(By the Associated Press)

Chicago, Oct. l3.-The Federal
Trade Commission, in its investiga.
ton Of the spectacular break in the
wheat market last May, looked to J.
Ogden Armour today for his answer
to questions concerning his transac-
tions in grain since the war time
ban on trading in wheat futures was
lifted in July, 1920.
j. Ogden Armour again today re-
fused to give the Federal Trade
Commission, which IS investigating
trading in wheat futures, the fig
ures showing the extent Of his grain
trading in 1920, 1921 and the early
months of 1922. Mr.. Armour, on the
stand Wednesday, had refused t.
give details of his grain transactions
and was excused until today. '
When Mr.. Armour, characterizing
himself as only "casual trader" in
grain, declined Wednesday to furnish
details of his board of trade opera
tions he conferred with his attor-
neys and told the Federal inquiry
board he would decide today whe.
ther he would disclose the request
ed details of his transactions.
Witnesses yesterday, among them
Arthur w. Cutten, one of Chicago's
heaviest traders on the grain mar
ket, testified that large elevator in
terests, including the Armour Grain
company and the Rosenbaum Grain
company, which were "short" of the
market last May, were principal ben
efitters of the wheat break from
STAG to $1.16 and were responsible
for the emergency car delivery rule
which compelled traders on the
"long" and to sell at loss.
George E. Marcy, president of the
Armour Grain company, who was ex-
pected to appear before the COM
mission again today, had testified
the rule permitting the delivery of
grain in cars on track instead of in
elevators, was invoked because all
elevators were filled to overflowing
and there was no storage room left
7. Mr.. Cutten said one thing that con-
vinced him the rule was invoked to
please the elevator interests that
were short, was the fact that there
were 1890 cars of wheat on .hc
tracks in Chicago at the time while
there were only about 800 cars Of
other grains. Between 100000 and
100000 bushels Of wheat were on
the tracks while other grains were
being stored, he said.
Mr.. Armour had previously testi-
fled that he had only general know
ledge of the affairs of the Armour
Grain company and declared that
Armourand company, meat packers,
did not trade in the grain market.
Victor Murdock and other men,
bers Of the commission tried in vain
to secure the decision of the witness.
Finally Mr.. Murdock, vice-chairman
of the commission, excused Mr.. Ar
mour and said the commission would
decide later what it might do in the
situation.
Howard Jackson Of Jackson Bros,
told the commission that the high
price for wheat in the spring when
the farmer is not selling, and the
low price in the fall, when he is
marketing his crop, is purely ma
tural movement due to the laws of
supply and demand. a'''A al.
He agreed with Chairman Murdock
that the problem facing the farmer
is that of adequate storage at home
70 hold his grain for the best mar
ket.
"The whole trouble is with the
farmer" Mr.. Jackson said. "He is
never satisfied. If you give him 50
for his wheat he wants So. He doesn't
use any judgment at all in his mar
keting."