The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-05-24
GOOD TIMES ARE
NOT FAR AWAY
BulliSh Sentiment in Regard to
Copper Issues Is Com
Ing West.
GAY a STURGIS ARE
VERY OPTIMISTIC
Point Is Reached Where Pur-
ChaSes Are Bound TO Result
Generally Good.

one OF the most bulliSh articles on the
copper issues for many months is sent to
the west by GAY & Stmcs under date
OF May is. There is much i'm this COM
nunicatiou that is timely. and the fol-
lowing excerpts viii prove interesting:
The tinc 10 buy copper shares is not
when the consumers of the metal arc
clamorinc for IL and tho producers arc
stimulating an advance in price when
ever possible, This condition brings
| about an active speculation. during
which an exaggerated idea OF values OF
different mines becomes general and
thousands Of people, becoming carried
away by their environment oycrstcp the
rules Of prudence and implicate lhcIr
credit beyond a reasonable limit Many
such periods have been seen in the last
twenty years. during which the conner
Industry has grown from ono on conpArA =
tive uninporlancc to = Very large lIem, l,
in The economic world. These periods
have been rreccded by apsthcitc copper
share markets like tho one VIC now have.
Why Coppors Are Slow.
The reason for the present .slagusni
market ror copper shares Is partly i"Nnd
In the general influences. largely polill-
cal, surrounding all securities, other Sc
curitss however. arc by no means 50
Frustrated and holders OF them by N"
means so discouraged as copper shares
is an ovcrproduCtion of the metal. caused
both hv the oVerstimulation resulting
from the excessively nlEb prices OF l''p
and 1907 and by the discovery of means
for prohtaby treating tho low grade
copper deposits conmonlT cAUcd Dor ,
phyries." The ovcrproducIion Is a real
and tangible fact,
Tho result OF the surrounding condi-
tions and tho ovcrproductlou Of copper
together with the painful TACT, Tor hold =
ers of shares that during the last year
many of the older mines have given IN
mistakable signs OF senilc decay ~ =
market for copper shares onIN hpl,IlH11l ,l;1
perhaps in MANY casos fully consistent
with present values. are. on Inc Nholc,
very low i'm comparison With tho extent
OF the industry rcpresentGd, ,,,o,.,r,o,I
usually starts when industrial and labor
conditions arc al their worst when mills
arc shutting down and labor ,,, rs ne'ns Is
psralyyed. At the present moment We
are in tho midst Of such period. MINIS
throughout the east arc working on
greatly reduced time and MANY arc IDLE
These conditions have grown scnleiE
worse during the last month and there Is
more idle labor tGan for probably seven
or eight years. This restriction oi out
nut must mako Itself felt within less
than six months AT the consuming cnd;
tho shelves OF iohberS and retailers VIII
the demand viii compel the factories to
return 10 full time. tho idlc lanor WIZ nc
recmployed and period of good times
will prevail This ineWtaoln period. we we
the stock market.
Good Times Near.
Metal prices reflect from six months 10
year in advance the periods OF good
times" We feel that ono of these pc
rods Of good times" is now not over
twelve TO eighteen months away. ana
therefore this is close 10 the psNcholoSl ,
cal moment when the metal prices (and
in sympathy the stock markeO may be
expected TO herald its coming
Liquidation has been almost constant
since November Of 1903. except for a Few
short lived speculation in certain Lake
Superior shares Prices today are only
fractions Of what they were. speculation
Is nil the metal is very low and opti-
misn is almost lacking. Transactions
are so small that il would appear only
odd lots are existent on the street Spe-
cial lines have hecn iauidated 10 such an
extent that those left arc SO nearly PAID
for a-s to he almost non speculative.
In other words. copper shares prob
ably are more nearly out Of the street
than ever before. This condition polnrs
absolutely TO period when ordinarily
purchases must be profitable.