The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1901-12-29
MINING STOCK MARKET
Investors BeWai Tumble During
Recent Months, But Are Hope.
fUI For Future.

HOUR MONTHS ago the conditions
in the stock market could hardly
have been more encouraging
Prices had been steadily advancing all
along the line. The general public had
recovered confidence in the stability of
values and was investing its money
again with a liberal hand. There was
apparently good reason for their con-
fidence. Mines in every part of the
state were increasing their output,
dividend payments were being made
with agreeable regularity, prices Of
lead, silver and copper were reason
ably steady. money was easily obtained
at the banks, investors were coming
from far and near, attracted by the
fiattering prospects; mine owners were
finding it Easy to dispose of properties
a. a fair price; in fact, every cOndl-
ton appeared to be at the best.
A glance at the table herewith will
show how the prices went up and up,
and it will show, too, how they went
down and down. A study of them in
connection with the table showing the
vast total sales will also tell of the
worries and heartaches that have at
tended the downward movement and
the embarrassments that have re-
suited. There have been but few fail
ures publicly announced, but there
have been many of them, nevertheless,
and too often of parties who could i'll
afford to engage in speculation, espec-
tally to bear a loss.
Cause of Decline.
The question was asked of an intel
Iigent operator the other day, What
is the occasion for such a sudden de-
probation in values?" The answer
came, Yankee-lke, What was the Oc-
casion for such a rapid appreciation in
values?"
A stock that is selling at a given
price today and is advanced to twice
as much tomorrow, when there is no
change in the conditions at the min
and no tangible reason for such ad-
vance, is under an influence of some
sort that cannot be considered legiti-
mate. The bull influence that 1.
responsible for such an advance Ger
tainly should be investigated and the
public advised by those who are re-
spOnsible for the protection of the in
VestOr- The stock exchange is SUD-
posed to be organized for such prOtec-
ton. The action of the broker who
advances the price of stock where there
is no good reason for it is as repre-
hensible as the other one who. for his
own selfish reasons, circulates false
reports to depreciate prices. That
there have been instances of both
within these past four months is
known to everybody now, but the
knowledge of it has come too late to
save the losses which have resulted.
Confidence has been shaken to the
foundation. 1t may. and probably will,
take months or years to restore it. The
injury to the state and its mining in
dustries is a material one. It win
undoubtedly check the movement of
capital this way, which was well under
way, and in that respect its injurious
effects viii extend TO every other in
dustry as well.
Conditions Excellent.
If we look at the situation as it IS
there was never time when there
were more reasons for encouragement.
The mines in every district that are
being legitimately operated and intel
ligently managed are responding with
an output in excess Of any previous
period. Much new machinery has been
placed and put in operation during
the past year: there have been no
labor troubles: transportation rates
have been steadily maintained; there
has been no advance in treatment
charges, but rather an inclination to
favor the producer. All these have
contributed to a substantial prosper
ity.
1t is true that the price of lead has
fallen, probably to the extent, taking
both classes, for those having contracts
and those without. is about one-third
Of cent. On orc carrying 80 per cent
lead this would make a difference of
s. per tOn-not enough in itself to
greatly embarrass the mine operators.