Daily inter mountain., 1900-01-13

INTER MOUNTAIN
telegraph and telephone companies placed
specially large orders for conductivity
wire, Thus there came q day when pro-
ducers and refiners found themselves sold
ahead for some time and unable to meet
the additional demand which still pre-
vailed.
Peace negotiations between the United
States and Spain having come to a sat
isfactory conclusion, and the country it.
self, In consequence Of abundant crops
being In prosperous condition, money
became very cheap and credits were
freely given, all of which gave additional
stimulus to an upward movement which
soon set in with full force and continued
until late in the fall. bringing prices up
to level which had not been seen for
number of years; and was then most
~ due only to unsound speculation, which
soon died out, so that similar periods
were more or less short lived. q
That speculation helped matters along
In the present instance, goes WITHOUT
saying. but If some parties-and there
were many, especially in Europe-lnaln-
bringing prices UP to their high level,
! they were sorely mistaken, and it is only
just and fair to say that the upward
movement was the direct consequence
of an extraordinary demand which could
not be satisfied. Had it not been so and
had not the trade been compelled con-
tainually to remain in the market as
heavy purchasers, the high values would
surely not have lasted as they did: and
throughout the year there was a cOn-
ttnued scarcity Of spot copper, which, in
several instances. was so marked that
considerable premium could be obtain
ed for the some over more distant de-
livery. I
1t has often been urged that whenever
product like copper rises too high in
values it will have two effects, to stim-
ulate production and curtail consump-
tion: and while this WILL in general al
ways remain true, in extraordinary times
such as we have passed through during
the past IL months, additional facts will
arise, which, to certain extent, will
upset standard rules.
We have often pointed out before that
an increase in the production Of cop
per can only come shout slowly and that
existing large producing mines will rot
continue forever: and the truth Of this
has this year been very largely demon
strated. 1t is true the high Jewel of prices
I has launched a number of enterprises
which. while individually not producing
able quantities. These have, however.
been very largely offset by the shorx
production Of some of the larger produc-,
ing mines, and the total increase for
the year, in spite of the very tempting
prices, is not more than the regular aver
age during the last 10 years. '
On the other hand, manufacturers have
been SO busy, building has been going
on to such large extent, the require
ments for electrical purposes for ship
been so large that the higher prices no
longer proved a serious obstacle to con-
sumption.
Sooner or later this will and must al
ter, and while at the end of the year
a slight falling off in consumption is mo-
ticeable and has already told on the high
prices established previously, consump-
ton in general is still going on at so
satisfactory rate that it will take some
time before a larger production Will
bring prices back to the level which we
! have been accustomed to.
When making comparisons of prices,
one has now also to take into consid-
GRAFTON the increased costs of material.
Fuel and all raw materials, as we'll as
wages and freights, are higher, and as
long as the present activity lasts they
are likely to continue so. Higher SELL
ing prices are therefore justified, pro-
vided that the profits of the industry
are not seriously curtailed. oI.a
Whatever the future may bring forth,
it can be confidently stated that con-
sumption is likely to remain eminently
satisfactory, and that the prosperity Of
the last few years in the copper indus
try will continue for some time to come.
unless opposing factors should arise
(Which, however. cannot now be fore
, seen) that might interfere with the ma
tural course Of event.
The mining industry has been large
ly fostered and for time new PROPOSE
tions came out almost daily. It is nec-
essary to say that great number of
them were worthless, or nearly SO, bur
there cannot be the slightest doubt but
what a good many Others possessed great
merits and will continue as regular pro-
ducers, even if low level of values
should be permanently established, Of
which there Is at present no sign.
Copper shares on the whole, especial
ly during the first half of the year,
, showed enormous advances, which were
partly justified by the higher prices oh.
tanned for the product, but were mainly
due to the speculative fever prevalent
throughout the world and the desire on
the part of large capitalists who had
not so far been interested in metals, but
who all at once displayed a tendency to
! become dominating factors. attempting
! to concentrate the production of the
United States in their hands.
This did not prove an easy matter.
Nevertheless they succeeded in getting
under their control a heavy percentage
! Of the output, though far from con-
! trolling interest. The fears entertained
/ at some time or another by the larger
consumers that they might have to SUBJ
init to the dictation of few large cap
italists have SO far been groundless, ana
/ it is to be hoped, in the interest of the
entire industry that it will remain so.
Special efforts were made to get the
entire output Of Montana concentrated
in the hands Of one strong concern, but
even these efforts were foiled by two
large and important factors remaining
, out and preferring to act Independently.
In a similar way the largest producers
Of the Michigan copper district refused