Bisbee daily review., 1908-12-27
DEMAND FOR
COPPER BETTER
IN JANUARY
Walker Predicts Higher Prices
For the Metal When Demand
Is Expected To Consume the
Speculative Copper.

OBy George l. Walker in the Boston
Commercially
Copper is dull and quotations are a
shade lower. Lake is 14S TO i4Ss
cents, and eIectrolytic 14A to 14h
cents per pound. Producing interests
are selling very little copper. When
the big buying movement occurred,
about two months ago, the leading
producing companies sold practically
all the copper they will be able to de-
liver in December and January, and
also some for February delivery. That
a number of them did not buy enough
copper for December and January ac-
count is proved By their requests now
for earlier deliveries on some of their
January contracts.
There is a feeling among consumers
that producers should make slight
concession for new business, and they
are holding off on new purchases in
anticipation that prices may be
shaded. The leading producers, now
ever. declare that the surplus stocks
of copper have been practically ex-
hausted. that the bulk of their pro-
duction has been sold for so TO Go
days ahead, that the general business
outlook for next year is very favor
able and they are confident that cop
per prices will advance. They claim
that it would hurt the trade situation
rather than 1elp 1t to reduce metal
prices at the present time, and il is
their intention, therefore, 10 maintain
an asking price of t41a cents for cleo
trolytic and 14$t for lake They be
lieve that the buying demand will be
strong enough in January to carry the
market higher than this.
An interesting feature of ice metal
market is the existence of an unusual
Iy large speculative interest. 1t seems
that the extreme fluctuations in the
price of copper during the last eight
or ten years has made the metal at
tractiye to traders, and that many
individual SPECTATORS nave purchaser
raw copper which they are holding for
higher prices Occasionally one VI
these spectators decides suddenly
that he would like to sell out and he
proceeds TO offer his copper arOunu
to consumers. The bids made MIN
are usually half cent below the mar
ket, the consumers themselves under
such conditions taking the position Of
spectators, A few sales have been
made at such extreme concessions,
and these Transactions have been the
basis for the publication of quotations
of IS and ID cents for eIectTOlytic
and lake. There is every reason to
believe that the buying demand from
consumers which will come in after
the first of the year will absorb ali oil
this speculative copper and also all
that the producers may desire to sell.
A few years ago promoters of su-
buTban street railways were making
tremendous profits and the extensive
construction of new lines by these
interests was largely responsible for
the scarcity of copper which ultimate
" caused Ii to advance to 26 cents
per pound. At present there is little
or no money in the suburban street
railway business; but the financiaI
world has been amazed meanwhile by
the tremendous profits made by yari-
Gus men and syndicates which have
equipped water powers for the genera
ton and sale Of electricity for light
ing and power purposes. AS a result
there is now big demand for water
power, and plans are being drawn for
new hydro-eiectric plants at various
points in the United States, Canada,
Mexico, South America, Europe and
Australia. There is every prospect
that this scheme of power production
viii make a larger demand for copper
in the coming few years than the
street railway business ever did in the
past.
1t is declared on excellent authority
that the leading electrical companies
have contracts signed or in process
for the equipment of portions of eighi
or ten different steam railroad sys
TENS in the United States, and al
many more in Europe The demand
comes chiefly from the roads whicl
enter the large cities, especially New
York and Chicago, and from the
the outlook for the metal trade i!