Logansport Pharos-Tribune from Logansport, Indiana on November 10, 1897 · Page 20
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November 10, 1897

Logansport Pharos-Tribune from Logansport, Indiana · Page 20

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Logansport, Indiana
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Wednesday, November 10, 1897
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*>AILY PHABOS WEDNESDAY, NOV. 10, 1897. •BMJ. r. LOTTTHAIK. JOBS W. BARNES. JLonthain A Barnes. VCITORB AKD PROPRIETORS. TBKMS OF BtTBSCKIPTION — Dally per week, 10 oenw; per month 40 ceotg; per year utrlctly in a^vanop) $4.30 The Weekly Pharos and the Sanirrtay Pharos, the nvo forming the Serai-Weekly ~!itlon, fl.25 a year, strictly m advance. Bnterea at the Logansport, Ind.,poBtofflce as Moond claeB mall matter, as provldud by law. IN New York It Is required that, candidates for office file aojitemized statement of personal expenses In the campaign. Mayor-elect Van Wyck says he spent but SI 58.75. IF the Democratic meiuoers of the Ohio legislature should agree to vote for Governor Bushnell for senator as the secretary of the Democratic state committee says they will, then look out. Banna's enemies in his own party can do the rest. EVERY civilized nation in the world except Egypt has made application for space for national exhibits at the Paris exposition in 1900. The two essentials of the show will be novelty and color. One of the chief novelties will be a street theatre. THE jury which Is to try a notorious New York murderer was selected ID a single day. This Is in striking contrast with the usual experience, as for example, the Luetgert case in Chicago. It naturally suggests the, query, why cannot all murder trials be disposed of In some reasonable time? THE decision of Judge Fox, of Klchmond.that county commissioners have no authority to employ tax ferrets, may put a stop to a plan that has caused thousands and thousands of dollars to be paid Into the public treasury by dishonest tax payers. While the tax ferret system Is in a measure odious, no one can deny Its effectiveness. IF you are on somebody's note as surety, which It is safe to assume that you are, a recent decision of the Indiana Appellate court will Interest and probably instruct you. The court holds that a written notice served on the holder of a promissory note, properly dated and signed by a surety on euch note, commanding the holder to "sue the note which I signed for Rue, or I will not continue to be responsible as surety," Is not such a notice as will relieve the surety from liability under the provisions of sections 1224 and 1225, R. S. 1894, In case suit is not brought on the note within a reasonable time. The'court holds that the only way a surety can be relieved from liability is to serve a notice on the holder of a note to "forthwith" sue the principal. the exception of Charles L. Henry, of the Eighth district, all the Republican representatives in congress from the state will, His understood, ask to be returned next year. Some of them will not get back without a struggle," says the Indianapolis News. "Just now George W. Steele, of the Eleventh district, has more trouble on his bands than any of the others. There Is a candidate against him in every county In the district, with more to follow, It Is said. S. E. Nicholson, of Howard county, the author of the temperance law, was the first opposition candidate to appear. In a short time C. E. Cowgill, of Wabash county, entered the race, and It was not long until the gap remaining was filled by the announcement that the following additional candidates were In the field: Dr. Charles H. Good, of Huntlngton county; James F.Skutes- man, of Miami, and Qulncy A.Myers, ofGass. Cass county may decide to present still another candid ite, and there Is prospect that Grant county, the home of Congressman Steele,may yet put forth an opposition candidate. Tbe district is reliably Republican and the contest for the nomination promises to attract unusual attention. Mr. Steele has represented the district many years, and the politicians seem to have reached the conclusion that the place ought to go to some one else next year. "Those who have watched Mr. Nicholson since he entered politics say they will not be surprised If he secures the nomination. It has been suggested by some of the politicians »t Indianapolis that Mr. Steele might have become a strong candidate for United States senator had he announced his candidacy for that office Instead of deciding to stand for renomlnatton and re-election to congress." It many states and counties have no money with which to construct good *o»d», they have aa abundance at prisoner* lying idle who could do the work for nothing. These prisoners would in most cases welcome the task which gave them a glimpse of outdoor life and air. Way the inmates of American jails and penitentiaries have not long sinoe been utilized in this way, instead of being allowed to be a dead expense to the pub- understanding DEALING IN FUTURES THE PRACTICE DEFENDED BY HON. D. R. FRANCIS. Knterview With a Man Who Know* All About Grain Speculation—The Danger of "Corner*"—Claim* That "Future" Trading Helps the Farmers. [Special Correspondence.: ST. Louis, Nov." 2.—"The man who goes into a wheat corner loses money." So says the Hon. D. R. Francis, ex- secretary of the interior. .Mr. Francis probably knows more about grain speculation than any man in public life today, and lie speaks with authority. "There was'Old Hutch'in Chicago," y)ntinned Mr. Francis. "He ran corner after corner in grain, and he became a pauper. There was John Inman in New York. He had made a fortune of several millions in cotton. Two years ago after a short crop he undertook to corner the cotton market. They unloaded so much cotton on him that it cost him half his fortune, and he died within six months. This is a large country, and the man who undertakes to corner any of its products has a pretty big contract on his hands, "Corners." "The first money I ever made was made in an oats deal. Ifr was f 15,000, and it seemed a very big sum. I have been in several other corners, and almost invariably I have lost. In 1SS2 four of us ran a corner in wheat and "IT WOULD PUT BUSINESS BACK TWEUTV- FIVE TEAKS." put the price up to $1.68 a bushel. The / shorts got angry and went to Toledo, Indianapolis and every place where they could find wheat in the hands of merchants or farmers or millers, and they borrowed it for 60 days. Wheat began to pour in on us, and the price went down nearly 50 cents a bushel. The shorts lost money on the deal, but so did we. My share of the losses was $5G,000." "If corners are so unprofitable,"! asked, "why do men run them?" "They are forced into it, "said Mr. Francis. "Ko man starts out deliberately to corner wheat or anything else. Suppose 1 have bought 100,000 bushels of wheat for future delivery. Some man on 'change, in the vernacular of the street, starts in to 'make me sick' by selling 100,000 bushels at a quarter or half a cent below my price. I have the same confidence that wheat will go up, and to protect myself I buy the other 100,000. If he offers another lot at a half cent less, I bug again. After a time 1 conclude that the sellers are going short of the market—selling stuff they haven't—and when I find they have nothing to deliver I very naturally try to put the price up. Of course if the other man had sold only what he had and could deliver the wheat, there would be no corner." "How does the corner in grain affect the outsider?" I asked. "It benefits him." said Mr. Francis. "It puts up the price of gram, and he gets more for his product than he would under normal conditions. In the case I just quoted to you all the farmers and grain dealers and millers from whom wheat was borrowed made money. The railroads got a big sum. The men who lost were those who were in the deal. " Speculation and Prices, "What is the general effect of grain speculation on the price of grain?" "1 think it makes the price of grain higher thau it would be otherwise, and the farmer gets the benefit of it. One reason for that is there are always more bulls than bears. A man who is new to speculation is always more likely to buy than to sell. He is like the fellow in Bobson's play, 'The Henrietta.' When they asked him why he hadn't sold 'Henrietta,' he said: 'I'm going to do that today. I bought it yesterday. I couldn't sell it till I bought it, you know.' The man who goes into grain trading can't accustom himself at first to selling something he doesn't own, and he is much more likely to buy than sell. That really works to keep the price of grain above the normal. Then the ease with which grain is handled under the system of buying and selling for future delivery makes it possible for the farmer to get a better price for his crop than he could possibly obtain under the old conditions. "The prices of gram are sent by the Western Union Telegraph company two or three times a day to every railroad station •where there is a -wheat buyer. When the farmer comes to the buyer and says: 'I want to sell my crop. I shall begin harvesting nest week and I'll have about so many bushels,' the buyer can figure out exactly the price •which he can afford to offer. The buyer knows that the price of October -wheat is, say, 98 cents in St. Louis. He knows that he can wire me and I -will buy one or two or three carloads at that figure lor delivery in October. He knows just What it -will cost to ship it. He esti- I mates the shrinkage, and after deducting 2 or 3 cents a bushel for his profit he can make the farmer a fair price fat his crop. Now, if that man could not §ell to me in advance of delivery, he could not handle the grain on anything like a 2 or 3 cent margin. He would have to offer the farmer 50 or 60 cents under the cash price because he would take the risk of a falling market in the time it took to harvest the wheat and get it to St. Louis. "Dealing in futures is good for the fanner in another way. The wheat crop, for example, comes to market in July and August. During those months the markets are always glutted with grain, The millers who were the chief buyers of wheat used to get together and agree not to pay more than a certain figure for Jso. '2 wheat, and often because of this combination the price dropped 5 cents a bushel in a day when the receipts were large. Now the millers cannot control the market. If they don't want to pay the cash price for wheat in August, some one else will buy that wheat and sell it for, say, December delivery at a price which will pay storage, interest and insurance. That insures the farmer a fair market for his grain at any season. "It would put business back 25 years if dealing in futures were prohibited. Today the world is one great market for grain and cotton. Liverpool, Hamburg, Paris, New York, Chicago, St. Louis, are all one. I buy in St. Louis today. I sell the wheat in Berlin tomorrow, or perhaps I sell today and buy tomorrow. If I offer in Paris and my agent there wires me that wheat is selling below my price, I answer perhaps with an order to buy instead, and I sell futures here instead of buying for future shipment. The balance of prices all over the world is on a knife edge. "In the last year I have gone into the export business very largely. I used to buy grain for cash, sell it for future delivery and keep it on storage in St. Louis elevators. It is harder to bring grain to St. Louis now becaiise there are so many routes to the gulf over which grain can be shipped for export, and of course grain can be stored more cheaply in a country elevator than in a city elevator. I have my men all through the west buying grain for shipment abroad. Every night I send cable messages to Liverpool, Paris and Berlin offering grain for two months' shipment—that is, I offer it for shipment in December, January or February- March or November-December. The answers come in the next morning before 10 o'clock. The difference in time, you know, is about seven hours. 1 usually offer from 25,000 to 50,000 bushels to each of the three markets. Suppose I received orders from each of these markets the next morning for 50,000 bushels of wheat. If it is for December-January shipment, I may buy December wheat that morning, or I may buy November wheat and afterward sell my November and buy December or January. In either case I am protected against loss because if 1 have to pay more for my December wheat later than the price at which I sold it abroad'I have a profit on the November wheat, which balances my loss. Now. if I could not buy futures against it, I could not possibly take the risk of selling 150,000 bushels for future shipment. So if dealing in futures were prohibited business would be very seriously restricted. The Moral Side. "There is another side to grain futures, and that is the moral side. I have given that a great deal of serious consideration in the last year or two because 1 have six children, all boys, and I have had to consider what I would do with them, whether I would put any of them into my business or not. I know that dealing in futures awakens the gambling instinct in a man, and men who are on the exchange got a false idea of money values. Money comes easy there, and it goes easy. But when I look over the business field it seems to me that there is hardly a part of it in which there is not the spectdative feature. The 1 farmer sells his hogs when they are only pigs. The horse fancier sells his foals-before they are born. The shoemaker contracts for hides which are still on the hoof. The cloth mills make contracts for cotton before the seed is in the ground. All of these are speculators just as much as the man who buys or sells futures in grain. "They say that more wheat is sold on the Chicago board of trade in six weeks than is raised in this country in sis there had. been an advance which cost me f 4,800. After that I bought more wheat and evened up. I suppose I've made some money out of the advance, but nothing like the sum reported." "Sharp advances stimulate speculation, do they not?" "Yes. They bring a great many people into the market who know nothing about the conditions of trading. Directly after the publication of that story concerning my profits in wheat I received letters from three women, one inclosing $1.000, another inclosing $300 and another a smaller sum. The writers wanted me to invest the money for them, i didn't evea know them all. Of course I returned the money. "Conditions have changed a great deal in the last 15 years. There are fewer outsiders trading on the floor of the exchange and the dealings in futures there are confined almost entirely to the professional grain men. Where the gam- 'ling is done is in the ' bucket shops,' the places where not a bushel of actual grain is ever bought or sold. The bucket shops are merely gambling houses, and they ought to be closed up. To prevent trading in futures on the grain and cotton exchanges would injure legitimate busines* They have tried it iu Berlin, and from what I can hear it has resulted merely in driving the traders from one place to another." The German l&vr. "What do you think of the feature of the German law which requires the public registration of every man who deals in futures through a broker?'' I asked. "It seems to me an excellent provision, " said Mr. Francis. "There is no objection to it, provided the details of the transactions between brokers and their customers are not made public. It might prevent clerks and other persons holding positions of trust engaging in purely speculative transactions in which they would be tempted to use their employers' money. "Stock speculation is a great deal worse than grain speculation in many ways, I think," said Mr. Francis. "Men rum railroads not to eam dividends for their stockholders, but to make the stock go up or down for the purpose of speculation. "I tell you the successful trader in stocks as well as in grain or cotton has got. to know what is going on in every part of the civilized world, and I don't know an occupation which demands such constant thought and such a wide range of current knowledge as trading on the great exchanges. The man who is not prepared to give his whole attention to it would better let it alone." GEOUGE GKAXTUAII BADT. MUCH GOVERNED. An Instance of Anstria's Macnificent Bn- rpjiacrjicy. [Special Correspondence.] Y TESSA, Oct. S3,—Some European press correspondents have intimated that Austria will stand by Spain in her dispute with the United States over the Cuban question. Austria is a pretty good partner for Spain and understands the value of a body of free and self governed citizens about as weH as Spain does. The following incident, which happened here, shows how Austriaus must love a government that concrf§is itself so mucn with the private affairs of its citizens: Vienna has a great hospital and medical school which attracts a good many American students. On the Fourth of July a party of American boys rooming in a pension ou Hoefergasse decided to celebrate the anniversary of the immortal Declaration of Independence in a very mild manner by displaying the stars and stripes from an upper window of the house. But the flag of liberty had not been floating in the Austrian breeze more than half an hour when a Vienna policeman knocked at the door and demanded an explanation. "That is not the flag of Austria," he said. "What do you mean by displaying such a banner without the authority of the police?" The Americans assured him that no offense was intended to the Austrian government. "Then it is not a signal of the anarchists?" asked the official. No. On the contrary, it was the flag of the United States. Tbe policeman withdrew and the students supposed that was the last of the trouble. But an hour later the officer appeared on the scene again, accompanied by a sergeant of police, who wanted to know the significance and purpose of that flag. "If it is the flag of the United States of North America," said the official, using the mile long designation which all Germans affect when referring to the country that in the English language is known simply as "America. " "why do you hang it out of a window today for the first time?" The students tried to explain that it was the anniversary of their country's independence, but in Europe they have no s.nch national birthdays and the Austrian did not easily comprehend. Finally, however, he seemed ' to be satisfied that the foreigners intended no hostile demonstration against his government and withdrew from the scene, leaving the students once more to their pleasures. But the end was not yet. At the end THOMPSON'S HERB TEA . . .FOR THE.. . Blood, Stomach Liver and Kidneys Composed of Roots, Herbs, Leaves and Barks. A GUARANTEED CURE ... FOR... Oysp psia, Biliousness, Liver and Kidney Complaints, Kheumatism, Neuralgia. Catarrh, Nervous Debility, Sick Headackey Loss of Appetite, Blotches, Pimples. Scrofula, Erysipelas. Salt Eheum, Eczema, Weak Back, Fever and" Ague and all other Diseases arising from Impurities ot the Blood or Derangement of the Nervous System. Price 25 Cents, PREPARED BY THE THOMPSON HERB TEA CO. NEW YORK. I have used Piso's Cure for Consumption, and can recommend it above all others for Coughs and Colds. It is selling like hot cakes. «.B*e*^*rtAr» J&rfcn» GO ST AV FALK, Druggist, W^PUC.,0.0. * August 31, 1897. ==PATENTS=* and Canadian Patents promptly obtained, Patent, Mechanical and Perspective Drawings prepared, Inventions Developed, B B. GORDON. Spry Block •>»*-»•»»•• •*! I'iWisengvrTraflir Inci-wisinc "IVi-st. Chicago, Nov. 10.—Pai-Fviisrer traffic on western roads is rapkily inoi'^asing. Reports show that recent earning? are far in advance of those for the cnrre- spondinK period last year. The improvement noted is not confined to any particular class of busings. It is pretty equally divided between local and through traffic. >"ovak's Trial Commenced. Vinton, la., Nov. 10.—The Novak murder trial was called in the district court yesterday. It will take the greater part of the forenoon today to secure a jury, as the state evidence will be almost wholly circumstantial and the state is examining the ver.iremen very sloeely upon that point. ABBREVIATED TELEGRAMS. There is a demand for good miners on the Menominee rar.ge in Michigan. President Harper proposes to introduce military drill at the University of Chicago. The total fire losses of October i:, tlifl United States and Canada aggregate $11,3X7,500. Today and tomorrow the Northwestern Beekeepers' society hold a meeting in the Briggs House, Chicago. Tillie Anderson, a patient in a St. Paul hospital, has been kept alive for five weeks by artificial respiration. John Lynch, -.vho would have been IIS years old had he lived forty-five dcys longer, is dead at Muncie, Ind. A 5-year-old boy fell from a forty-foot viaduct at Janesville, "\Vis., ar.ci suffered no more injury than a bad cut on the head. George Brown. Jr., of Indiana, a son of Admiral Brown, retired, has been appointed by the president an assistant paymaster in the navy. The attempt to start a movement In the Central Labor union for the erection of a Henri" George memorial building at New York has fallen through, A wave of religious enthusiasm ha« seized the students of Smith college, Northampton, Mass., and revival meetings are held two and three times a day. The farmers of Brown county, Wis., will form a co-operative association, through whk-h they expect to buy their TREftTMENT FOR WEAK MEN. TRIAL WITHOUT EXPENSE. The f amous Appliance and Remedies of the Erie Medical Co. aowfor the flrgttime offered on trial without expense to anr honest man. Not a dollar to bepaia in advance. Cure Effects of Error* or Excesses in Old or Young. Manhood Fully Restored. Hoir to Enlarge and Strenpthejl Weak, Undeveloped Portions of Body. Absolutely unfailing Home Treatment. No C. O. D. or other scheme. A plain offer by a flnn of b jgrh standing. 64 NIAGARA ST . BUFFALO, N. Y ERIE MEDICAL CO. 6 - 4 NJ - AGAR ^ of another hour another policeman made i farrr.ir.g- machinery and many other ar- "STOCK SPECULATION IS A GREAT DEAL WORSE THAN GKilX SPECULATION." years. That is true, but most of it is the same wheat sold over and over again. My contract -with an importer in Berlin may be transferred through a half dozen hands before the time to deliver the grain, yet the actual grain is intended for delivery all the rime. "The export trade is something which most people overlook when they figure up the transactions on the Merchants' Exchange. In the recent flurry in grain they reported that I had made 1300,000. Now, it is a fact that I had sold grain for export before the advance began, and that I did • not count <>n the market going up. So I did not buy unuj his appearance and said that the chief of police would :jracionsly allow the students to put out their flag—only it must first be examined by an officer who should see to it that the fastenings were secure. Accordingly the policeman made, his way tip stairs and carefully inspected, the flag. He thought the rope was not strong enough, and another piece was therefore sent for and made fast Then at last he concluded that everything was all right and that nobody on the street would be injured by the fall of *>"'s bit of muslin. If anybody wishes to find other examples of bureaucratic overgovemment, let him go to Austria. JOHN THORP*. ticles. Six drunken Ir.diar.s tried to take possession, of a street car at Green Bay, Wis. The re<Jskics were arrested after considerable damage had been done to the car. Consul General de Castro at Home telegraphs tiie state department that the Italian wheat harvest this year is only 86,836,700 bushels, about 60 per cent last year's production. John A. Willard, of ifankato, Minn., *ell-knowu as a millionaire and banker, 4aj! made an assignment. Direct liabilities, WSO.OOO; indirect, twice M much; more than. J2.000JJOO. aged couple were recently taxmett at Newburs:, Wl*. The groom. John Bch«rer, i* 71 year* of a*e, iPB« th» APS* The North Walk flystery BY WILL N. HARDEN A Stirring Story of * Mysterious Crime »nd the running down of the criminal. We have purchased the righto and th» story will b« Published In This Paper Look for It