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Fall Of The Moores

Fall Of The Moores image
Parent Issue
Day
7
Month
August
Year
1896
Copyright
Public Domain
OCR Text

Chicago, Aug. 5. - How long can they keep it up? This was the question which daily interested the flnancial and Stock exchange interosts for some weeks past when the Moores in the lace oí declining markets abroad, in Xew York and on the Stock exchange maintained their stocks at comparatively high prices. The question is answered. The Moores have pulled the "peg" and the most stupentlous speculative deal ever manipulated, so far as Chicago and prob.ibly so far as this country is concerned, is at an end. A conference of bankers and the governing committee of the Chicago Stock exchange was held at 7 o'cloek Monday evcning. Telephones were kept busy in calling the members together, and while the cause of the cali was suspected no one knew exactly what was coming. It is a grave matter and one which has the widest influence and will waste many fortunes Chicago is familiar with the history of the boom in the Moores- Diamond Match and Xew York Biscuit. The transaetions have amounted to millions of dollars and the proflts in the earlier part of the deal were suffleient to make fortunes, as the final losses, so far as the present is concerued, will unmake and break many who were more fortúnate whon the advance fir.st started. J. II. Moore Made the Aimuuncement. The meeting at Armour's was not kept long in suspense as to the reason therefor. J. H. Moore, who has been rnariaging the deal f rom this end, made a short statement, in which he admicted thajb his firm could not put more margins. Then there was consternation. , In t he consultation which followed the goYerning committee of the exchange decided that it would be wise, pending the ad j ust ment of details and certainintricate affairs connected with the settlement of the matter, to adjourn the exchange for a few days. In the meantimes there will be continued efforts to get things in shape,as every one is inclined to make concessions, and go as far as possible to mitígate the sh'jck. The seercts of the clearing house are as olosely guarded as the confessional and it is impossible to teil the amount of open trades. Fortunately the settlements of the Jury accounts are over and the August trades were nothing like as heavy as they were doing the early part of July The carrying charges were made very heavy from the Juiy to the August account, and asa result many holders of the former trades were compelled to get out entirely - a fact for which they will now be grateful, although complaining at the time of the exeessive rates. But the holdings in the claring house are a comparatively small purt. The Moores were obliged to take a large amounr, of scock on deliveries of July account, and this explains the reason why they made the turning charges so heavy Stock Held by Kich Brokers. Fortunately again for the market, the stock which is in the clearing house is largely in the name of big brokerage houses - concerns of unlimited capital - and these houses are believed to be perfectly able to protect their trades, and, under the rules of the board, will be obliged to do so. Bankers who are carrying a largo amount of stock havo aoted in a very generous manner. They heard the statement of the Moore interests and calmly asserted their absolute ability to earry all and any stock which they might have on hand, and, furthermore, agreed not to cali any margins in connoction with the market, thus assuring that the price they have been lending at is the lowest which can be reached in the way of a break. In the past the Moores have put up margins as fast as called on, and they were always heavy. Much of their stock was bought outright. Many of their friends were in the deal, and a large amount of foreign and New York money was employed in the manipulation. Private capital of big men has been freely used and the resources of the Moores were deemed to be practically beyoud the possibility oí suspension.

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Subjects
Ann Arbor Argus
Old News