End of Oil Exchanges
Standard Oil curbs excitement of unruly speculators trading oil and pipeline certificates.
In a sign of the growing power of John D. Rockefeller at the end of the 19th century, Standard Oil Company brought a decisive end to Pennsylvania’s highly speculative — and often confusing — trading markets at oil exchanges.
On January 23, 1895, the Standard Oil Company’s purchasing agency in Oil City, Pennsylvania, notified independent oil producers it would only buy their oil at a price “as high as the markets of the world will justify” — and not necessarily “the price bid on the oil exchange for certificate oil.”
