The next day Sugar opened with a wild rush: “25,000 shares from 140 to 152.” That is the way it came on the tape, which meant that the crowd around the Sugar-pole was a mob and that the transactions were so heavy, quick, and tangled that no one could tell to a certainty just what the first or opening price was; but after the first lull, after the gong, there were officially reported transactions aggregating 25,000 shares and at prices varying from 140 to 152. I was over on the floor to see the scramble, for it was noised about long before ten o’clock that Sugar would open wild, and then, too, I wanted to be handy if Bob should need any quick advice.
A minute before the gong struck, there were three hundred men jammed around the Sugar-pole; men with set, determined faces; men with their coats buttoned tight and shoulders thrown back for the rush to which, by comparison, that of a football team is child’s play. Every man in that crowd was a picked man, picked for what was coming. Each felt that upon his individual powers to keep a clear head, to shout loudest, to forget nothing, to keep his feet, and to stay as near the centre of the crowd as possible, depended his “floor honour,” perhaps his fortune, or, what was more to him, his client’s fortune. Nearly every man of them was a college graduate who had won his spurs at athletics or a seasoned floor man whose training had been even more severe than that of the college campus. When it is known before the opening of the Exchange that there are to be “things doing” in a certain stock, it is the rule to send only the picked floor men into the crowd. There may be a fortune to make or to lose in a minute or a sliver of a minute. For instance, the man who that morning was able to snatch the first 5,000 shares sold at 140 could have resold them a few minutes afterward at 152 and secured $60,000 profit. And the man who was sent into the crowd by his client to sell 5,000 shares at the “opening” and who got but 140, when the price would be 152 by the time he reported to his customer, was a man to be pitied. Again, the trader who the night before had decided that Sugar had gone up too fast, and who had “shorted” (that is, sold what he did not have, with the intention of repurchasing at a lower price than he sold it for) 5,000 shares at 140 and who, finding himself in that surging mob with Sugar selling at 152, could only get out by taking a loss of $60,000, or by taking another chance of later paying 162—such a trader was also to be pitied.
No one who scanned the crowd that morning would have believed that the calm, set face on that erect Indian figure, occupying the very centre of that horde of gamblers who were only awaiting the ringing clang of the gong to hurl themselves like madmen at each other, was the hysterical man who the night before was wildly praying for this moment. Nearly every man in that crowd was calm, but Bob Brownley was the calmest of them all. It’s the Exchange code that at any cost of heart or nerve-tear a man must retain good form until the gong strikes. Then, that he must be as near the uncaged tiger as human mind and body can be made. Only I realised what volcano raged inside my chum’s bosom. If any other man of the crowd had known, Bob’s chances of success would have been on par with a Canadian canoeist short-cutting Niagara for Buffalo. Nine-tenths of the Stock Exchange game is not letting your left brain-lobe know what race your right is in until the winning numbers and the also-rans are on the board. If one of those three hundred chain-lightning thinkers or any of their ten thousand alert associates knew in advance the intentions of a fellow broker, the word would sweep through that crowd with the sureness of uncorked ether, and the other two hundred and ninty nine, at gong-strike, would be at each others’ throats for his vitals, and before he knew the game had started would have his bones picked to a vulture-finish cleanness. Suddenly, as I watched the scene, there rang through the great hall the first sharp stroke of the gong. There were no echoes heard that morning. The metallic voice was yet shaping its command to “at ’em, you fiends” when from three hundred throats burst the wild sound of the Stock Exchange yell. No other sound in any of the open or hidden places of all nature duplicates the yell of a great Stock Exchange at an exciting opening. It not only fills and refills space, for the volume is terrific, but it has an individuality all its own, coming from the incisive “take-mine-I’ve-got yours,” from the aggressive, almost arrogant “you-can’t-you-won’t-have-your-way,” the confident “by-heaven-I-will” individual notes that enter into the whole, as they blend with the shrill scream of triumph and the die-away note of disappointment, when the floor men realise their success or their failure. I picked Bob’s magnificently resonant voice from the mass—“40 for any part of 10,000 Sugar.” It was this daring bid that struck terror to the bears and filled the bulls[[2]] with a frenzy of encouragement. Again it rang out—“45 for any part of 25,000”; and a third time—“50 for any part of 50,000.”
[2] Those who seek to depress the price of a stock are known as bears, and those who oppose them by trying to raise the price are bulls.
The great crowd was surging all over the room. Hats were smashed and coats were being stripped from their owners’ backs as though made of paper, and now and then a particularly frantic buyer or seller would be borne to the floor by the impetus of those who sought to fill his bid or grab his offer. Through all the wild whirl, straight and erect and commanding was the form of Bob, his face cold and expressionless as an iceberg. In five minutes the human mass had worked back to the Sugar-pole and there was the inevitable lull while its members “verified.”
I could see by the few entries Bob was making on his pad that he had been compelled to buy but little. This meant that his campaign was working smoothly, that he was driving the market up by merely bidding, and that he had the greater part of my 50,000 yet unbought, which inturn meant he could continue to push up the price, or in the event of his opponents’ attempting to run it down, he would be under the market with big supporting orders.
Suddenly the lull was broken. Bob’s voice rang out again—“153 for any part of 10,000 Sugar.” Again the gamblers closed in and for another five minutes the opening scene was duplicated, with only a shade less fierceness. After ten minutes’ mad trading a mighty burst of sound told that Sugar was 160 bid. Then Bob worked his way out of the crowd, and passing by me fairly hissed, “By heaven, Jim, I’ve got them cinched!”
I went back to the office. In a few minutes Bob without a word strode through my office and into the little room occupied by Beulah Sands. He closed the door behind him, a thing that he had never done before. It was only a minute till he opened it and called to me. In his eyes was a strange look, a look that came from the blending of two mighty passions, one joy, the other I could not make out, unless it was that soft one, which suppressed love, emerging from terrible uncertainty, generates in deep natures and which usually finds vent in tears. Beulah Sands was a study. Her heart was evidently swaying and tugging with the news Bob had brought her. She must have seen the nearness of release from the torture that had been filling her soul during the past three months, and yet such was the remarkable self-control of the woman, such her noble courage, that she refused to show any outward sign of her feelings. She was the reserved, dignified girl I had ever seen her. “Jim, Miss Sands and I thought it best that we should have a little match up at this stage of our deal,” Bob began. “I want to know if you both agree with me on adhering to the original plans to close out at 175. I never felt surer of my ground than in this deal. The stock is 163 on the tape right now.” He glanced at the white paper ribbon whose every foot on certain days spells Heaven or Hell to countless mortals, as it rolled out of the ticker in the corner of the office. “Yes, there she goes again—3¾, 4, 4¼ and 1,200 at a half. There is a tremendous demand from all quarters. Washington’s buying is unlimited; the commission-houses are tumbling over one another to get aboard and the shorts are scared to a paralysed muteness. They don’t know whether to jump in and cover or to stand their present hands, but they have no pluck to fight the rise, that is certain. The news bureaus have just published the story that I am buying for Randolph & Randolph, and they for the insiders; that the new tariff is as good as passed; and that at the directors’ meeting to-morrow the Sugar dividend will be increased, and that it is agreed on all sides she won’t stop going until she crosses 200. I’ve been obliged to take on only 18,000 of your 50,000, and at present prices there is over two hundred thousand profit in them. I think I could go back there and in thirty minutes have it to 180. Then if I rested on it until about one o’clock and threw myself at it for real fireworks up to the close, I could, under cover of them, let slip about half our purchases, and to-morrow open her with a whirl and let go the balance. If I’m in luck I’ll average 180-185 for the whole bunch, but I’ll be satisfied if I get an average of 175, which would allow me to sell it on a dropping scale to 160.”
I agreed that his campaign was perfect, and Beulah Sands said in her usual quiet way, “It is entirely in your hands, Mr. Brownley. I don’t see how any advice from us can help.”
Bob went back to the Exchange and I into my office. Bob had been right again. In ten minutes the tape began to scream Sugar. With enormous transactions it ran up in fifteen minutes to 188, in three more it dropped to 181, and then steadily mounted to 185½, dulled up, and was healthy steady. Presently Bob was back and we sat down again.