The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1911-06-13
The Reason
for the Present Market

Written for the Boston journal by Gay & Sturgs's
Statistical Department. Arthur i. Carahan, editor
Some weeks ago we expressed the opinion that good
active copper stock market Immediately ahead.
This opinion bassed primarily on our idea that the
metal situation would right itself and better price
copper would be obtained. The market when we
felt then to be ahead has already begun to show itself
in a very pronounced way. We still believe that tins I'M
proved market condition in anticipation OF better
prices for copper although the latter condition has not
yet developed Therefore believe that the real mark
ct is still ahead of and will blossom out when the
price of metal advances The monthly report of the Cop
per Producers Association issued this week confirms us
in opinion.
Back of this Improvement in the copper metal stua-
ton, regarding which we feel such confidence, rs the
general bcttermen of the entire industrial situation of
the United States, which is obvious to those well IN
formed This forecast has been proved for many weeks
by signs of the times which cannot be mistaken Lead
ing industrial laying the foundation for
campaign of expansion, and although these things are
not fully apparent the surface yet they are well known
TO the makers of the markets. and their existence can be
definitely measured by the market movements.
Auxiliary to this industrial expansion which is now in
the making have at the present time auspclouS
mise of splendid crops The industrial situation will be
immeasuruably strengthened by the success which this
years effort in agricultural lines leads us to expect The
farmer has met with highly favorable conditions for
period of years. beset only by occasionally poor crops Ill
certain localities
His development in scientific methods has served
large purpose in enabling him to make the best OF
the advantages placed at his service and, in fact the
advantages in small degree attributable TO these
very methods There fore the unusually good crops which
present conditions promise for 1911 will pow
erful factor in CARRYING ont the industrial plans of the
country because the farmer will seek investment for his
surplus industrial lines.
Coming back to the metal situation it is well known
and long established fact that in the ultimate anay
the metals are dependable upon the constructive in
ustres for their life because the market for them is
found almost entirely in constructive lines. The stock
market looks forward and these conditions in ad
vance, and therefore stock market conditions always
several months ahead OF the actual industrial movement
We have been resting in a state of quiesence for
several years nstraly and the country has caught up
with its former expansion At the time large stores
of money have accumulated which seeking out
let in legitimate industrial investments. These com
bined conditions make the expansion towards which
looking forward more than reasonably That
not alone in this opinion is established by the
widespread optimism manifesng itself in investment
and speculative fields.
Copper ranks second only 10 iron and steel among the
metals demanded in the lines of expansion which have
outlined There has been less talk about the
production of this metal outcome of the
mines which have been developed and the deposits in
developed territories We realize the possibilities of the
copper deposits Of these districts but also recognize
the difficulties of developing copper deposits in dis
trics has been exemplfed in the history of the cop
per camps of America. Therefore, do not expect to
the mines and the new territories developed any
more rapidly than their predecessors.
II far cry from estimated in undcveoped de-
post TO actual refined copper the market, and do
not believe that the copper deposits will be deve
opcd any more rapidly than the increasing consumption
a i. g. A -.