Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1907-11-20
NO CHANGE APPARENT.
No Curtn,iment OF Production Of Lead
In spite OF Efforts Made.

The situation ga the lead market
which for many months has been uhsat-
isfactory has failed so far TO show any
evidence Of Improvement, IN spite OF
strenuous efforts 10 enforce cur
,,,srt ~ PRODUCTION. The largest indie
nendent producers IN Idaho and Mis-
souri have refused TO make any restric-
ZION. the American Smelling Renn-
insy companv and the United states
Smelling. Refining & Mining company
have succeeded in enecting some re-
auction IN output by discouraging the
dslivcrv OF lead ore: the Federal Lead
co1npany OF Missouri has reduced Its
nroduction But IN spite OF these meas
urss tho stocks OF refined metal, about
4 600 tons az the beginning Of 1907, have
Increased. especially since the midyeaI'
until today they amount 10 20,O00 70
1900 tons.
The slackening in the demand for lead
has created new conditions IN the mar
ket. For several years upward or 20
ner cent OF the lead produced from
dornestic ores has been refined and sold
bv three Interests. chief among which IS
the American Smelling & Refining COM
many. The market price has been prac-
tically controlled by the latter, mas
much as the price fixed by 10 was
adopted by the other large producers
A comparatiyely small amount OF lead
was sold during 1906 by independent
dealers al prices higher than those OF
the trust. but the total volume ot ihis
business was Insignificant in compari-
son with the great production marketed
on the established terms. The trust
showed great moderation al that limo
in not marking up prices when 30 might
easily have done so.
II has been fully recognized, however,
from tho beginning that tho apparent
~ successful regulation OF me price Of
lead by the American Smelling g. RE-
Hning company was based Ou a gcuercl-
Iy rising market: and that the test on
lts control would develop on failing
market This has been proved by th.
experience 0f recent months When the
demand became slack Independent pro-
ducers. who previously had been selling
at the trust price. began 90 uuderscn.
and manufacturer whose contracts oN-
pired decided 10 take their chances 90
INC omen market -o that the latter acc
qulred "a magnitude greater than for
years past Al the present limo n d.
the market lu which competition is ac-
tive and wherein is transacted the bulk
0f the business not previously arranged
hy contract.
Consequently there arc NOW two mar-
S,fs for lead. viz. tho trust market. bon
which deliveries are made under cone
tract az tho selling price Fixed by Che
trust. and the open market in which
wholesale trading Dr. done in the ordin-
arv way The difference Boo prices bee
tween the two markets has steadily
been increasing under the pressure oi
the independents to scn thoIr product
uutu now me open market stands about
/ a cont par pound below tha trust price.
/ We have been quoting thn Two markets
bob our weekly report. hut heretofore
! have been giving only Iha weekly range
az th.+ opcu market ln view az lts
present importance We shal hereafter
give thr daily quotations OF the open
market as representative on tho Ftua-
] zion iu lead reporting also the quota
I GnIuF company As explained above
I tHt production III lead o. going into CON.
| sumption on both tcrms hut o. ls 40 Do
| remarked that a. large part 0f the lead
| of tho truFt A. contracted with lts OWL
manufacturing auhs.dl1rIfH