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Roswell Pettibone Flower

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Roswell Pettibone Flower

Born: 1835, Watertown, New York (sixth of nine children) Died: May 12, 1899 (heart disease; died wealthy and at the height of his bull market leadership) Role: Governor of New York (1892–1894); banking firm R.P. Flower & Co.; floor operator and bull leader Net worth at death: Large; stocks fell 30 points on announcement of his death Affiliation: Connected to Henry-Keep (married Keep's widow's sister; managed her estate)

One of the great bull operators of the late 19th century. Livermore cited him as the archetype of the "superpromoter" — not a technical manipulator like James-R-Keene, but a figure whose personal bullishness and wide connections created a following large enough to move markets.

Career Arc

Started as a wool carder in upstate New York. Worked in a store for $5/month to attend high school. Launched a teaching career (boarding with students), then became a deputy postmaster. In a celebrated early story, he bought a gold watch for $50, sold it for $53, and considered this the beginning of his speculative career. Six years later he had bought a half-interest in a jewelry store for $1,000.

Made a strong impression on Henry Keep, who married his wife's sister. When Keep died, Flower found himself trustee of the widow's $4 million estate. This connection gave him both capital and credibility.

Flower moved to Manhattan to manage the funds and built his own fortune as a stock operator in the 1870s. He spent two decades in politics (including two terms in the U.S. Congress) before returning to Wall Street in the late 1880s. He founded R.P. Flower & Co., a banking and brokerage firm.

The 1898 USS Maine Play

The New York Times reported that Flower made a fortune in 1898 by "wading confidently into the panic that resulted from the sinking of the USS Maine in Havana Harbor — the incident that sparked the Spanish-American War." He bought aggressively into the panic selling. The Times: "He came into the market with a vigor and showed such confidence that he became apparently the master of the situation. Under his leadership the markets started upward, and gains in market value were tremendous."

Bull Leadership Style

His declaration of faith: "I am a believer in American stocks and a buyer of American stocks because I am a believer in our country."

He bullied the market with conviction rather than technical precision. His opponents — primarily James Keene and Russell Sage — were "violently opposed" to him, yet his stocks rose by $100 million and "have since been continually strong and have been more popular than any other group in the Street." When his optimism won out, the Times crowed that the former governor had "whipped the enemy entire."

Henry Clews described him as having "a very plain exterior" and language "noticeable more for its force and directness and emphasis, than it was for polish."

Death and Market Impact

On the evening of May 12, 1899, Flower died of heart disease. Stocks fell 30 points at the news. New York Air Brake fell from $185 to $125 with declines of $5–$10 between transactions, before recovering to $164. The bull market of 1899 "died along with Flower."

The mini-panic illustrated a recurring pattern in markets: when a large directional position is concentrated in one person's leadership, the death or withdrawal of that figure creates an instant liquidity crisis. His followers did not know when to sell; they only knew that the bull argument had just disappeared.

Significance for Livermore

Livermore mentions Flower in the context of explaining why, after Keene's era ended, the Street found itself without true manipulators. The "plunging Westerners" who made fortunes in U.S. Steel and stayed in New York were "superpromoters rather than operators of the Keene type" — they had vast wealth, personal followings, and the ability to move markets through their names alone. Flower was the template for this figure: more promoter than technician, more personality than process.

"Still, the Street found in them plenty to gossip about and they certainly had a following among the professionals and the sportier commission houses. After they ceased to trade actively, the Street found itself without manipulators."

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