“MARKET RIGGED.”

Manawatu Standard, Volume XLV, Issue 128, 4 May 1925, Page 11

“MARKET RIGGED.”

WHEAT SALESMAN STARTLES CANADA. HUGE SWINDLES ALLEGED. WINNIPEG, MANITOBA, April 18. The most sensational document of the year for the wheat trade wa3 published last night in a statement made by Mr David Smith, chief selling agent of Canada’s wheat pools. Mr Smith alleges that a huge conspiracy exists for tne manipulation of markets, against tho interests of farmers and consumer! alike. “It is clearly indicated that the old theory of supply and demand controlling prices at Chicago and Winnipeg has been a mere myth during the past few months,” say 3 Mr Smith, “and that, instead of these markets being of assistance in l arketing the grain of two continents, they have brought about a demoralised situation in all importing countries.” Mr Smith then recalls tho recent wild fluctuations—on April 11, advance of 11 cents; April 13, broke 7; April 14 advance of 5; April 15, broke 7; April 16, broke 9. He insists that the tremendous break from Idol. 80 cents was entirely unwarranted. “The world’s wheat situation is such,” he says, “that every bushel of wheat in this country is worth 25 cents more per bushel than the present market price. On March 30 we had acceptances from the United Kingdom of 1,000,000 bushels, on the basis of Idol 62 cents, Fort William delivery. On the same day the Winnipeg market was forced down, closing at Idol 50 cents, or 12 cents a bushel under what Europe paid for Canadian wheat that day. “Powerful American interests spread false reports about Canadian wheat, thus demoralising the markets and gaining hugo and unfair profits.” Mr Smith ullages also that propaganda from London aided rich Americans to “rig” the market by running up prices, and then publishing false information to demoralise tho markets. They thus obtained big profits both ways. “The law of supply and demand has gone by the board,” he says, “and Canada’s legitimate market has been filched from her.” W innipeg wheat to-day advanced 8 cents a bushel.