Bisbee daily review., 1910-05-01
LOWER METAL
 REPORTS HAVE
 AN EVIL EFFECT
cBy George L. walkerl


 The fact that consumption has a last oyertaken production is certain ly cause for encouragement. This condition has not been brought abou by any reduction in output. as the tentative agreement to curtaiI. said have been entered into by the lead. ing producers appears not to hay been observed by any Of them. Tn metal situation, in my opinion should be left 10 work itself out by natural processes, precisely as it al ways has in the past. Curtailmen of production would bring about a ficticious advance in prices. be lieye that prices will advance soon as a natural result of increase in demand I shall not be surprised see copper sell at 20 cents again within two or three years.
 Following the sharp rally of a week ago. the copper share mar ket has again been characterized by a dearth of new buying orders and prices have sagged back to only a little better than the lowest level The declining tendency of the meta il London. kept ever fresh in the speculative mind by the quotations which are received twice daily. the reiteraticn of predictions that the largest copper selling agency would soon. arbitrarily reduce iss asking price to twelve cents in order to get rid of the large surplus it is com monly believed to be carrying; ru mors that the government will be- gin an antitrust suit against the Steel corporation; another democrat ic victory. this time in a New York congressional district, and the la mentally disappointing showing made by North Buttes annual re- port are only few of the factors which have tended to increase bear ish sentiment and reduce the buy ing demand.
 All of the news seems 10 be bad news. and , have never previously known a time when public and mad ing sentiment was so strongly bear ish. The public and traders have practically no stocks left, commissio brokers are carrying smaller lines of speculative stocks than they hay for years. and there is a considers bIe short interest. The situation is one in which a bullish opinion courts public disfayor. I feel. however tha all Of the many bearish factors have mentioned. and many more have been fully discounted already and that the next important move in the market will be al advance in prices. Though I know am going contrary to the tide of public opin ion l strongly advise the purchase of the stocks Of all the legitimate copper mining companies, including those representing good prospects a well as producers.
 Last December every body in higt and low finance, insiders and out siders were agreed that there woulC be a good advance in prices duriRi January. and that later the marke would decline. There was too mucl unanimity of opinion. Everybody di' | his buying during December or ear Her and when January opened ther ! was not buying power enough lef
 to bring about the expected advance i Prices declined continuously from tn first 10 the last day of the month ! At present. everybody, believing tha | the market is now oa it's way to : much lower level, has sold his stock 1 and there are not sufficient nun | Der of sellers left to break prices
 The money which is being held bac
 for purchases at lower level wi
 come into the stock market afte
 prices are higher Those who bu
 good stocks now on every slight II , action stand a great deal better tha
 an even chance of securing profit ] of four to six points within a wee
 or two.