Weekly journal-miner., 1911-05-03
THE SITUATION.

Although the developments of the last few weeks have had a discOn- certing effect on the rank and file of traders the patient confidence of the finacial powers has remained un- broken. The Mexican situation is being handled by President Taft in such a way that it is believed that European complications will be avoid ed, and there is every indication that President Diaz of Mexico and the Madero faction having declared an armistice, will bring about an ad- justment of their differences by annie able means. The Missouri Pacific affair, which was at first viewed with some apprehension by the bank ing interests, is now looked at as thoroughly satisfactory, inasmuch as it seems assured that the Gould plans for the rehabilitation will be amply financed and the modification of the domination of the transportation facilities over a certain section of the country will tend to lessen the outcry against monopoly.
 The financial community and the railroads view the Canadian reel proeity agreement very favOrably and the passage of the agreement by the House by vote of 265 to S9 is look ed upon as contributing to friendly action on the bill in the Senate. Pub lie sentiment throughout the country is most favorable to the measure, and it is thought that this will exert an additional influence in the higher body toward furthering its passage. It is becoming clearer all the time also that there is very slim chance of tariff legislation at the extra ses- sion of Congress and nothing would do more to help restoration of busi- ness conditions than the certainty that we should not see a disturb ance of existing tariff conditions.
 The reports from the railways are becoming more favorable and here and there an increase in traffic is seen in place of the decreases that have been noted for some time. The reports from the steel industry show that an enormous amount of struc- tural steel is being contracted for, so that there is a more hopeful feeling in that direction. The copper indus try is also coming in for more fav- orable comment and as expressed by one of the leading producers, there has been an altogether unwarranted amount of pessimism regarding the copper situation. The authority re- ferred to said: "There has been a decidedly pessimistie feeling toward copper recently and predictions have been freely made that the metal would decline to an 11-eent basis. The statistics at the same time have shown a large consumption and busi- ness abroad has been reported ex- cellent. The combined stocks on the first of April were smaller than they were a year ago notwithstanding an increase of 36,OOO,OOO pounds during the first three months of this year. The main cause of the extremely pes simistic tone of nearly all comment was in the belief that the recession in business which set in during the last quarter of 1910 would proceed and reduce the demand for the metal. This has proved to be a fairly good forecast so far as this country is con eerned, but consumption abroad has been maintained at high rate and according to the annual report of the General Electric company, there are lines in this country using more copper than ever.
 'The low prices have been made by a policy of holding aloof from the market followed by the large con sumers until they are bare of stock. The Amalgamated interest in the meanwhile has held its copper for higher prices, and according to cur rent belief is now in control of most of the available copper, while some