Omaha daily bee., 1889-09-13
THE COPPER SITUATION.

The announcements that the grand copper
combination has been completed have been
premature, to say the least, says the Iron
Age. The general plan has been worked out,
however, and there really seems to be some
prospect that it will be given a trial. There
IS always a possibility, of course, that
there will be some bitches over
the details, and that some con.
Germs may not be induced to
enter into the pool, probably acting in the be-
lief that they may take advantage of Its bene.
fits without bearing any of its burdens. So
far as can be ascertained at this writing
none of the mines to be heard from are indi-
vidually very large, but at least one of them
is important enough to create a feeling of
With u few exceptions, however,
the American companies appear to have
fallen into line, the large holders of copper,
to whom the load carried by the Societe DIES
MetauX and the Compton d. EscompJe was
transferred, seem willing to cooper
ate, and ssome Roadway has been
made with the great European companies.
1t is not to be wondered at that the American
companies give least trouble. They are sup
posed to be able to take care of the home
market without much danger of Interior
ence. The special device by which this is to
be done is the old pool sale arrangement of
the days OF lake supremacy, expanded to ill.,
Cluue une MOUNTAIN anu ArlZOnd mines. 10
prevent any irregularities the lake copper
is all to be sold pro rata by a New York
broker. and the casting brands by a Balti-
more firm. The doing out of the metal to
consumers aud the establishment OF prices
is to be IN the hands of an autocratic COM
mittee% composed of Colonel Livermore, of
the Calumet and Helca mine; j. b. Haggan,
Of the Anaconda, and w. keyrer, who is
identified with Arizona interests. 1t APP
pears that fines are to be inflicted
tn NC nntr tn frnn ~ tAnn ~ Tho a,,.1-
ment. One cause of lrregularity
which grew out of the interest of one mine
In Il copper rolling-miQ has been removed,
through the fact that the mill in question has
joined tho association of copper manufac.
turers. Even with a few of the smaller mil.
ing companies enjoying the fruits which fall
to the lot of free lances, the plan seems quite
capable of OUTLYING dangers to its existence
for awhile, provided that the price is kept
moderate, and provided that the foreign
markets are kept in shape,
The bulk of the stock of copper here and
abroad is controlled by great banking
houses. 1t is stated that the Banque de
France is carrying $4,000 tons, the Roths-
20, 900 tons, and Baron HIrsch 20, 600 tons.
Besides, the Earrings have a large stock of
Montana copper. the Boston and Montana
company continuing to deliver its OUTPUT on
the old societe contracts to that banking
concern. The holders of the Rothschilds
are considered to be well taken care of, since
that honse is now virtually the owner of the
great manufacturing plants of the Secete des
Metaux, consuming, as they do, upward of
%, 600 tons OF cope annually. 1t is under
stood that the present owners Of the soclete
stock in this country have agreed to ship it
aboard, and undertake to keep IL there, pro-
vided that the American mines will not ex-
port more than "a given quantity annually,
say about 1000 gross tons. In other words.
the banking houses will let us alone and
turn over the American market to homo
producers, providing the latter will keep
their shipments to Europe within bounds.
But even that concession is inadequate, so
far as the American mines are concerned.
They have o deep interest in the foreign
markets for two reasons. Their surplus
must be sold there and within certain limits
prices must follow the course of values
there. Whatever agreements might be made
on this side they could not long outlive free
competition in Europe. IL is understood
that this contingency is TO be met by a re,
s~triction of output on the part of leading
mines contributing to the European markets.
The whole plan is so huge, and is beset
! with so many dangers and difficulties, that
few, even among the copper producers, are
sanguine as to its continuance for any
lengthy period. Manufacturers in this
country, when the time for pool sales does
come, will be offered the usual guarantees
that during the time of delivery the market
will be sustained. Neither they nor con.
sumers generally will be rash enough to buy
| for more than oheir immediate wants. They
have all learned 10 get along with very low
stocks and will not change their policy so
long as the prices are kept much above the
| 10-per-cent level.