Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1907-08-28
How One of the Largest Con-
sumers of Red Metal Views
Existing Conditions.
MANIPULATION OF MARKET
Has Been Productive of Present Chaos
In Copper Tradc---What is
Needed.


per in the country has sent j. L. Ga
ligher of the Utah Mining Machinery
g Supply Co.. some interesting gossip
Bearing on the general business out
look OF the country. with additional
comment on the copper situation.
The business situation indicates
some slowing down in activity, al
though the relaxation Is not as great
as is reflected by the behavior of the
stock market The scarcity and firm
ness of money restrict enterprise in
various quarters, and people have not
the courage to do much in the way of
expansion until the factors favorable
thereto become more numerous The
future of the railroads win be bright
If the attitude OF legislation does not
become too hostile. The recent liquida-
tlon In the stock market shows the
state of sentiment in financial circles.
and although the business situation is
sound there is a decided disposition to
be very conservative. Crop prospects
are good but monetary conditions must
improve before general business will
strike out as aggressively as before
There is great deal of new construction
sidetracked until 1t can be financed,
and when money becomes plenty, con-
sumption of all materials will start up
again VII u HtdNN Stdlts lit VAST
sources of the country need a larger
supply of free capital to develop them
at a rapid rate, and to secure the nee
essary funds there must be confidence
in the corporations that have new bond
issues to float, Average crops viii
do much to form a basis for a brighter
business outlook.
COPPER MARKET SITUATION.
"Al developments in the copper mar
ket recently have certainly been in
the consumers favor and no important
sales are being made The irregular
ity In quotations is a most unfortunate
thing for producer and consumer alike,
and market stability Is impossible so
long as sellers continue this Irregular
ity in an absolutely dull situation,
Such proceeding can only work con-
fusion in the trade and is exceedingly
detrimental to manufacturers conduct
ing a legitimate business There is
an unfortunate condition which would
seem to he created more or less by
spectators and those who are known
as manipulators. which lends credence
to the theory that quotations are often
made with view to their influence
on Wall street and the hope Of secur-
ing financial gains by conspiring to
create an unhealthy condition either
by over imitation or undue depreciation
of values as the case may he, but the
general result upon business interests
is very bad.
When the demand was unusually
good copper was rushed up to 2652c.
per pound, when the wiser policy would
have been never to have allowed it to
so above zoe. The precipitate haste In
advancing prices met with some eff
forts to counterfeit this action but
more short-sighted interests were I'M
able to resist the temptation TO exact
the big premiums obtainable from the
needy consumer and even al top prices
| Il was hard to obtain u full supply
except for distant future. After the
| tension of last year has become a thing
| of the past. the trade conditions are
| coming down TO a normal and more
| healthy basis. The whole situation
| is perplexed by the action of an err
ratio copper market, and consumers
| for their own safety are compelled TO
| adopt a waiting policy.
ASSURANCE is NEEDED.
What the manufacturer and buyer
| need is the assurance that they can
safely buy copper for two or three
| months deliveries and not be left in
| the lurch before thirty days have
| passed by a radical decline in the mar
| ket value OF their raw material. Con-
! dtions in manufacturing lines are fair
| ly active, and such as TO warrant the
| maintenance of n reasonably firm cop
| per market, provided the unnatural
| means for depressing II cease. The
| present rate of consumption is less
than that last year. but the pace ten
or twelve months ago was very much
too fast to continue, and the country
was attempting more than IL could
reasonably finance. Now current busi-
ness is sufficiently good to keep up a
! steady demand upon the mills OF the
country at fairly encourag ing level
and with the proper reimbursement of
the copper market TO existing condi-
tons trade should open up hopefully
in the fall.
The larger American producers have
been quite inactive OF late, but they
have not made any formal announce
| ment OF a change in price of electro
lytic since the &c. level was estab-
| lished Quotations by irresponsible
parties are very misleading. and 10 the
consumer really mean nothing, as not
a pound OF copper is bought or sold
NJ the alleged low prices. The pro-
ceeding is kept UP by regularly quot
ing copper. presumably for the senti-
mental effect II has In all business cir
cles in this country and Europe Con-
servatism should be the watchword OF
the consumer and hand to mouth"
policy followed until our unfortunate
| financial problems are solved and the
market for raw copper on stable and
| eolid hagls +"