THE WHEAT MARKET.

Star (Christchurch), Issue 17526, 1 May 1925, Page 8

THE WHEAT MARKET.

SENSATIONAL DOCUMENT. ALLEGED HUGE CONSPIRACY. WINNIPEG (Manitoba, Apiil IS. The most sensational document of the year for the wheat trade was published last night in a statement made by Mr David Smith, chief scliint; agent of Canada's wheat pools. Mr Smith alleges’ that a huge conspiracy exists for the manipulation of maikets, against the interests of farmers and consumers 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,” says Mr Smith, “and that, instead of these markets being of assistance in marketing the grain of two continents, they have brought about a demoralised situation m all importing countries.” Mr Smith then recalls the recent wild fluctuations—on April 11, advance of 11 cents; April 13, broke 7; April 14, advance of 5; April 15, broke V. April 16, broke 9. He insists that the tremendous break from 1 dollar SO cents was entirely unwarranted. “The world’s wheat situation is such,” Mr Smith says, “that every bushel of wheat in this country is worth A 5 cents more per bushel than the present market price. On March 30 we nad acceptances from the United Kingdom of 1,000,000 bushels, on the basis of 1 dollar 62 cents, Fort William delivery. On the same day the Winnipeg market was forced down, closing at 1 dollar 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, thuh aomwtabgmfaoibgmftaoibmfwyp demoralising the markets and gaining huge and unfair profits.’ Mr Smith alleges also that incorrect propaganda from London aided rich Americans to rig the market bj* running up prices, and then publishing false information to demoralise the markets. They thus obtained big profit* both ways, adds Mr Smith. “The law of supply and demand has gone by the board,” he says, “and Canada’* legitimate market has been filched from her.” Winnipeg wheat to-day advanced S ■cents a bushel.