ng to buy securities for cash may
send a list of same to the Committee on Clearing House, 55 New
Street, giving the amounts of securities wanted and the prices
they are willing to pay.

"No offer to buy at less than the closing prices of Thursday,
July 30, 1914, will be considered.

"Members of the Exchange desiring to sell securities, but only in
order to relieve the necessities of themselves or their
customers, may send a list of same to the Committee on Clearing
House, giving the amounts of securities for sale.

"No prices less than the closing prices of Thursday, July 30th,
1914, will be considered."

Thus was established a market in the Stock Exchange Clearing House
which was kept in operation until the complete reopening of the
Exchange. Immense labor and difficulty were brought upon the Clearing
House Committee in order to handle and supervise this unusual method
of trading, and the extraordinary success with which it was carried
through has entitled them to the lasting gratitude of their fellow
members. The business was conducted by having a large clerical force
tabulate the orders received and bring purchasers and sellers together
who were willing to trade in similar amounts and at similar prices. In
order to consummate a trade the Clearing House would notify both
parties, leaving it to them to carry out the delivery and payment, and
requiring them to inform the Clearing House when the transaction had
been completed.

* * * * *

The first effect of furnishing this means for establishing a
restricted market was very encouraging. A very considerable amount of
business began at once to be entered into. Many people with ready
money, who felt that securities had fallen to bargain prices, appeared
as purchasers and relieved the necessities of those who had been
embarrassed by the war crisis. A little later, however, when the
progress of the war took on a more discouraging aspect, this "Clearing
House Market" fell to the arbitrary minimum of the closing prices with
a large excess of selling as compared to buying orders, and the "New
Street Market" grew in proportion. During the darkest days of
depression the prices of a few leading stocks such as U. S. Steel and
Amalgamated Copper dropped in the Street ten points or more below
their July 30th closings, and business in the Clearing House almost
ceased, but in the later Autumn,