Bisbee daily review., 1908-03-15
WALKER TELLS /. IF 4 LOWER
 COPPER PRICE
But Is Optimistic of the Future Because of Resumption of Production at Butte-Be-
 lieves Stocks Are Good Buys.

Copper is slightly weaker. Lake Ii offered at IS cents, and sales of cleo ] trolytic are being made at 12A cents per pound. Domestic consumers are buying a little more copper, but as they are unanimously bearish son the metal market still, their purchases prove that their business is improv ing. A little over year ago this country reached a point where it was consuming 6O,00O,000 pounds of cop per monthly. Twelve months later domestic consumption had declined to about 20,000,000, loss of 66%o within a year. Those in a position to watch the metal market say there has re gently been an improvement; that 33% the consuming demand has in creased to nearly 409o of the maxi. mum volume. One nigh in the trade who has studied the statistics oF pro duction and consumption says that if the consumptiye demand goes back To 509o of the maximum, 1. e., to 30,000,- coo pounds monthly, and the foreign demand continues normal, as it has during the past six months, a market will be provided for the entire output Of all the mines.
 The announcement that the several idle mines of the Butte district and the Washoe smelter would resume operations immediately generated a pessimistic feeling in the trade this week and caused the slight decline in prices. Certainly the Amalgam- ated management would not have tax. en this important step unless there was an excellent reason for it. I be- lieye it was based on the fact that the surplus supplies of copper were practically exhausted; or desire te give employment to the 10000 work ingmen who depend upon tae com pany, and to earn something for stockholders.
 I am quite sure that the Amalgam- ated management did not take this step until assured that there had been a distinct and definite improve ment in the iron and steel situation; that the new orders on the books of all the steel companies had begun in creasing. Iron and steel have been watched as a barometer by the Stand ard Oil-AmaIgamated interests for many years They still have confi- III I1Io Oe4I O1AClIRg eahG NICg therefore are satisfied that by the time the Washoe smelter is putting out it's full volume of production again the business of the country will have improved sufficiently to absorb it It will be go days before any cop per from the Washoe smefter is re fined and delivered to consumers, and no considerable volume will come from this source before July.
 It may be expected that Amalgam- ated's resumption will have a senti- mental influence which will keep the metal market depressed for two or three weeks to come. It is quite pos sibie, however, that a scarcity of real copper may cause an advance in the price of spot before any of the new production is available.
 Viewed from either investment or speculative standpoint, the position of the coppers is improved by the action of the Amalgamated company in resuming operations at it's several Butte mines. Amalgamated directors did not take action until they were satisfied that real improvement in general business was under way. Later on this betterment will find expression in advancing metal prices and increasing dividends. Before that time, however, copper stocks will quite surely sell considerably higher.
 I have received great many let ters recently from subscribers who seem to have a settled opinion that all copper share Investments should yield 10%. One says: Butte Coali- ton never paid more than $2 per year. Why should 1t sell for s20?" Others argue that the fluctuating character of the metal market is a sufficient reason why copper mining investments should yield at least .10@5. These letters recall to my mind others that I used to get when copper share prices were pumping against the stars. Tn those days cor respondents called copper stock which paid 5eo on it's price. with cop per at 26 cents, a slpendid invest me7t
 There are few investors who are unwilling to put their money into stocks which yield 10% in boom times of business depression. h. times of business depression. In- yestoTs of this kind always make money, and even accumulate large fortunes. They go contrary to the popular idea, subiugating their hu-