The Short “Turns,” or, Who Makes the Profits?
The “ turn” may be described in brief as the income of the jobber, or in other words element of chance to be reckoned upon according to any doctrine of probabilities, as sometimes favouring one side, and sometimes the other. The stock may recently have become very much depreciated in value, which carries with it the obvious suggestion that it may fall still further indefinitely, short of the bottom, for reasons which have so far contributed to depress it. Under such circumstances, unless the jobbers in the markets have limits at which to buy such a security, they probably will refuse to purchase from an outside seller, or from anybody, at any price, unless it come within the range of a fancy figure. With stocks, therefore, that are liable to sudden and considerable changes in value, the “turn” assumes dimensions in proportion, and speculation in such securities is correspondingly dangerous.