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Show "BUCKET SHOPS." St.T Lake Crrr, Jan. ith, 1SW. To Editor Dacrtt Ifarti I obcrve in the dispatches frequent reference Jo what aro called "bucket hop." I am an are that this title is given to some speculative conccnM of a queUionablo character, but would like to be Informed as to their exact nature. The term is not In local ue, and I would not be surprised ifa good many ieople Imagined that a "bucket shop 1 a !co where bucket are made by machinery. Searciieii. The term 'bjeketshops" Is not applied to a place where buckets or pails are made. It is a word now in general use wherever gambling in stocks er proJuce is practiced. Chicago Chi-cago may be said to be Its home. The legislature of Illinois tried to suppress the "bucketshops" but It was unsuccessful. The Chicago Board of Trade has been at war with "bucketshops" for the past five years. Xo member of that Board can operate a "buckelshop." The bucket shop Is an office of-fice run by a broker who deals In "margins," in "jiuU," "calls" and "straddles" in the stock or produce market. The bucket shop broker will invest sums as low as $5. The patrons of the buckot shop are divided di-vided Into "bulli" aud "bears." Properly speaking the "bucket shop" epitomises all that is dishonest dishon-est and speculative in the trading world. It deals principally In wliat is called "options." These options embrace either a rise or fall of stocks or produce generally within a limit of thirty days. For instance, a man goes to a bucket shop and invests in-vests $ on an option of 100 shares of U. P. Block. He buys for a rise. Suppose the stock is selling at the time at 73 and if within ten days it advances to SO, then the bucket shop patron cau sell and pocket the ad vance. Hut If there is no advance before the limit expires, then all is lost. |
