Arizona republican., 1903-01-12
PHoENIX. ARIZONA, JAN. l., 1905
The Past and Future OF Copper.

In its annual review of the business
of the country. the New York sun goes
into an exhaustive analysis of the cop
per market, and the conditions which
have operated to depress prices. The
conclusion is reached that the worst
period has been passed, although ma
teriaI advances are not predicted for
the immediate future.
1t is pointed out that in numerous
respects the year 1902 has passed into
history as a most unsatisfactory one
for the copper industry. There were
many features connected with the
course OF the copper metal market dur
ing the past twelve months which bore
unmistakable testimony to the depres-
sion through which it dragged its way
each month. At the very beginning of
the year the largest domestic copper
surplus on record confronted the mar
ket. and conditions presented such an
extremely unfavorable aspect as to
produce in January the low price of
the year.
Accumulation of stocks and the re
lease of the same in great volume
about the middle of January By tired
holders were sufficient TO knock the
price down to IL cents, as against 1614
and Il the month previous. When the
eIeven-cent level was reached tremen-
dous buying resulted for both sides of
the Atlantic, and every pound avail
IL LIT.
that price was greedily bought up.
Predictions of ten-cent copper had
been previously made, but the extent
and strength of the buying when cop
per touched eleven cents astonished the
trade and brought about a rapid recOv-
cry before January expired, thereby
sending the price to 1874 cents.
The fluctuations of the year are ioI-
lowed by the Sun in detail, and the
causes explained.
y slight improvement showed itself
in December, which raised quotations
from 11.6O to 11.75, but dullness was
very apparent throughout the month,
and no extraordinary demand arose to
create any added stimulus to the mar
llet. Talk of important negotiations
between copper interests were heard
during the closing days Of the year.
and sentiment took on a more rosy
hue. The turn of the year was expect
ed to bring activity and perhaps a
more buoyant feeling. as every one is
convinced the period of depression in
Negotiations during the first week of
the month were on 4 basis of 12A cents
a pound for the Lake Superior grade OF
the metal and 1878 cents for electro
lytic.
StatisticaIly considered. copper had
to contend against a heavy surplus and
a growing production in 1902, and the
market felt this incubus keenly. Large
imports OF the metal from Europe and
Mexico also added to the weight of
supplies, and produced conditions det-
rimental to the development of any
really buoyant tone having the neces-
sary staying qualities from which
healthy market could be evolved.
The year just closed was marked by
an occasional rally which raised cop
per prices slightly for short periods,
but for the most part the recovey
stopped short with simply fractional
gains to be followed invariably by
relapse into the previous uncertain and
chaotic state The highest price of
copper last year was 131a for a short
time carly in tho year, and the lowest
price II cents. From January to July
quotations most of the tine were from
L to 121s, but from August to Deem
Der the bulk Of the business was trans
acted at figures below u cents.
Despite the apathetic state OF the
market for copper, the consumption of
copper progressed at an amazing rate,
and the quantity absorbed was enor-
nous. Consumers understood the sit
uation, and their knowledge of existing
copper supplies enabled them to time
their buying OPPORTUNITY, although
Orcc in while producers adroitIy man
aged to sell freely on the market
hulges. Competition among producers
kept values down. and prices had no
chance to soar. Notwithstanding the
heavy movement into consumption
Trade friction also played its part. and
with no general agreement between
selling interests the market lacked the
support which such an arrangement
would naturally impart.
With home consumption estimated
at from 100000 to $4,000. 900 pounds a
month, or about 20 to 75 per cent of
domestic production, it would seem
he copper industry, properly man
ght to prove a remunerative
COR corporations engaged in