The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1909-03-12
Mines and Mining Stocks
MARKET CONDITIONS
NOT ALTOGETHER BAD

The market letter of Hayden. Stone d
| 20. Tor the week ending on Friday last
deals with general stock market condi-
tons as follows:
The best thing that can be said of
tins market is that it grows dull on the
weak spots. While it continues to drag,
there are at least no vicious attacks on
prices. such as those of last week. and
what activity there is is on the upward
side Mr.. Taft's speech is fully up to
our expectations: it is strong in the
strength it derives from the advocacy Of
the virfle policies of his predecessor, and
temperate in its presentation of these pol
lcies To recommend further legislation
ana executive action, Ito render the re-
forms lasting, and to secure-at the same
tlIne-freedOm from alarm on the part
OF those pursuing proper and progressive
methods is to sound a note that has
been quite unheard from the presidential
chair for the last four years.
FROM 8 hurried resume, we should fix
on this as the most important paragraph
In the speech; important, because it prom
ises an entire absence of any vindictive
spirit, while maintaining the high stand
ard of integrity set by Mr.. Roosevelt. An
inaugural embodyias these two distinct
features-strongth. combined with tenn
perance, had been very generally ex-
pected; consequently, its delivery had no
effect marketwise. We believe; however,
that this is the first step toward estab-
fishing better understanding between
the executive and the corporations, and
as such, it will gradually disseminate an
undertone of confidence that is indispen-
SABLE to any further upward movement.
We note considerably more activity in
the copper metal market. More copper
has apparently changed hands, and while
much of this will not go into immediate
consumption il improves the statistical
February showed a very sharp drop to
figures of less than half those when the
transportation of copper was at the max
tmum. OptimiSts will argue from this an
increased consumption in this country;
pessimists will see in il an inability in
overloaded Europe to absorb any more.
Probably the truth-as uxual-lies
somewhere between these two extremes
Certain it is-that the worlds supply of
surplus copper, now closely estimated
around 30O000.0I0 pourds, is daily being
added to, and that the refusal of cop
per producers to face the music and agree
on a policy Of reduced production is go
ing TO delay materially the recovery in
this business. The failure-a year ago
business principles, a policy adopted by
every other industry. is-in the long run
going to be just as disastrous to the
low cost producers as to the high There
would be far more likelihood of the low
cost producers Increasing their next divi-
dends if they had concurred in a policy
of curtailment and SO placed the industry
where it would haveTbeen among the first
to share in any recovery.
''The cut in steel prices does not seem,
so far. to have evoked much new bust
ness but II has produced many more in
quiries. and the business will follow
shortly
Turning from the demoralized copper
metal market. and the temporary inaCtiY-
ity in steel. to the railways. we find here
very positive grounds for encouragement
True. the comparisons are with tine period
of severest depressiOns, but nevertheless,
there is a gain, which is more than can
be said for the profits of the copper pro-
ducers, or-temporarily-fo the steel and
iron makers. This gain has also the best
possible foundation. as the agitation for
reduced rates has blown over, the bottom
has been definitely reached, and any gain
in the other Industries will be reflected
in still further gain by the railroads.
1T is no wonder, then. that We cannot
re Train from feeling bullish on the stocks
of our standard railways. particularly |
those whose lines lie west of the A1issis- |
sippi. Other classes of stocks will. Of
course, follow along in time, but these
should lead the way