The Goldfield news. [volume] (Goldfield, Nev.) 1904-1911, 1909-07-03
THAT DEMONSTRATED ZONE" FALLAcY

PEAKrSo Of the present. tendency Of the stock market, and Of sor
the vazio" mining camps in particular. The Mining investor. -
part: -
We have been told. with repeated forcs, that the summer. now
beginning. is going to be lively by way Of mining stock activity.
Much Of this viii be confined to curb and exchange trading-a
sort of forsrunnm Of general investment
That more money is going into the camps and into the indi-
vidual properties, We accept without question. We also believe
eastern brokers are even going . far 8 to condemn stocks that
are advertised. We assume what they want is to deal in shares
that are not understood BY the many.
Once . camp has doomed and has brought ont some very rich
producers, it becomes the habit Of q large part Of the public to
pay attention to what the demonstrated mines are doing, and to
not look with the proper sort Of interest on what the prospects
are attempting to achieve. This is proved in the Godheld dis
tict where the burden Of the tain is Goldheld Consolidated, Flor
ence and Combination Fraction.
Even admitting the overwhelming success Of these PROPOSE
lions and granting their positions in the market, we should not
overlook the fact that sincere, methodical development IN outside
properties is better than it ever was in the past. We must not
forget that the work on these properties is all that could be ask
Cd and is much more consistent than the operations that original
ly ushered in the camp.
This truth win be emphasized just as soon S some good
strikes are made outside. Tho demonstrated Zone is a theory
that has had to be revised from time to time in all the big dis
tT1cs. It has been the pet idea Of those who can never see good
except in actual demonstration.
Mining men who have been duly impressed with Godhsd,
have been too free to make the statement that '.the camps all
right, only its limit is known This is unfair, and begets mar
rowness.
The prospects of an extra dividend Of the aoldheld conson-
dated sesm to be a matter for future consideration. In the
meantime, the nuctuation Of Consolidated shares go OIL merrly,
with such variations as to indicate the amount Of manipulation
that is apparently in operation.
If George wingheld and his associates start to pay extra div
idends, what win be the result? It is logical that Consolidated
will advance, but is it not posi-, lie that manipulation will simply
be carried on at a little higher level?
In the meantime. the actual advance in the Goldhelds gen.
orally, as well as in the Nevadas as a whole, must be uniformly
upward to . certain point. It Is true speculation has been rife
In some Of the lesser issues, and that variations in stock prices
have been pronounced. We are not trying to sidestep this situa-
ton in the least, but we do say the logical course must be a steady
advance in many Of the stocks.
So far as the situation can be perceived now, this will come
largely through strikes in other properties. Consolidated, Florence
and a few others have made about all the sensational strikes they
can for a while, and have a number of years hard work before
them to properly develop their present reserves and mill the pro-
duct.
GoldAeld especially needs outside strikes more than anything
else, and when a few Of these have been recorded, there should
be a general upswing to the various groups. After this has
tranpired, we look for heavier manipulation, and a larger vol
ume of curb trading.