Bisbee daily review., 1910-10-02
SURPLUS MUST
 FALL 0FF FROM
 PRESENT SIZE
Walker Points Out That Even With Production at Today's Figures, The Consumption Is Steadily Growing
tBy Geo. Walker.

Except to take care Of pressing requirements, consumers hate noi been II, the market for three weeks past. A few Of tie ni.il producers and practically all consumers are predicting lower prices; but the very heavy and general restriction of pro duction by substantially all the larger producers. made plain by their August figures of mine output. can not fail tn be reflected n the Cop per Producers association statements for November. December nd Jan uary in heavy reductions in the worlds surplus
 It is almost unanimous op5nion that domestic consumption :uast soon be- one predicting a year ago that the average domestic consumption the first eight months of this year would be 65,0o0, 900 pounds. as it has been. would have been laughed at. Just it has exceeded past ex- pectations. so is consumption likely to far oyerrun present predictions. As long as metal prices continue under 13 cents, the worlds consmup- ton will go on expanding. Consider ably more copper is now going into manufactures than is coming from the ground, and the surplus cannot fail to decrease steadily fer several months to come.
 l understand that producers will not encourage an advance to more than 13 cents for electrolytic and 1914 cents for lake unfn the sta istics show the market to be in an entirely healthy position. This change may come about suddenly, however, for should the Copper Pre- .ducers' figures, which will appear about two weeks hnce, show a heavy decrease in refinery output, consurn- CTS are in a position to buy up at one stroke practically all Of the worlds existing surplus.
 Of course, the entrance upon the producing stage of such mines as Miami. Ray Consolidated and Chino vii, be an important factor in in creasing the worlds output. Con sumption. however, is increasing at the rate of 10 per cent annually. This will call for about 1s0.000,00 pounds more copper next year, and the thre companies mentioned can- not possibly produce as much as 100. .000. 900 pounds in 1911. The pros pect. therefore, is that next year will witness no further increase in the worlds surplus Should business con fidence return meanwhile in the United States. this country alone may increase it's consumption 100000 ,0O9 to 150.O0O, ,O00 pounds over this years phenomenal record. There is good reson to hope, there fore. that the metal situation has permanently turned for the better. and that the coming two or three years will wit ness decreasing supplies and ad' yaHcing metal prices, nothwithstand- ing the prospective further increase in production.
 speculative opinion continues amosl
 Notwithstanding the fact that almost unanimously bearish, stocks are gradually advancing. It IS al most an irnpossibility to buy more than few hundred shares of any copper stock on the list around pres. ept prices. The big traders and in side interests, who have been prac' ticaIly out of the market and wait ing for a lower range of prices upon which to buy, are practiclly sure to experience difficulty and djsap pointment when they attempt to ac cumulate large lines They will have to bid up prices sharply. The market is not only liquidated to a standstill but there is a considerable scattered short interest, especially in the low priced stocks of the more heavily capitalized companies. Even tht comparative weakness in the meta market recently has failed to stimu late any new selling of copper mining stocks.
 While there is good prospect thai prices will score further advances immediately, there cannot fail to bt a stronger buying demand wher forthcoming monthly statements o production and deliveries show fur ther substantial reductions in the worlds surplus metal supply The time to buy copper stocks is after a long decline. when prices have reached a point where they refuse to go lower, and when the genera outlook is most discouraging- All o' these conditions are with us a present.
 There can be no question tha some of the so-called inside inter ests are already adding to then holdings of copper mining stocks The support in Amalgamated ant Anaconda. the strength of Utah COP per. Ray, Chino and Inspiration ans the recent sharp advances in Ten