The copper era and Morenci leader., 1915-08-13
THE METAL MARKET

uSC OH regarding LnS copper SlIu-
alton, writes as follows:
Copper is slightly more active, but
at somewhat lower prices than pre-
vailed week ago. Lake is Is "a to
20 cents and electrolytic is Is IA to
Is IL cents a pound. These quota
lions have been made on transactions
in relatively small lots. Signs of in
creasing activity are making their
appearance and the prospect is that
another substantial buying movement
will soon be under way. There is a
growing number of inquiries and
some of the big manufacturers now
negotiating for war orders have asked
for short time options on large
tonnage of copper.
According to the rather meager in
formation now obtainable, producers
stocks of unsold copper are still
very low While exports of the metal
are about SO per cent below normal,
an immense tonnage is going out in
manufacturers and shapes. All of
he copper and brass works in the
United States are being operated at
full capacity and larger tonnage is
now going into manufactures in this
country than ever before. Notwith-
standing this, it is generally admitted
in the trade that consumers have
been waiting as long as possible be-
IL F,,,- =
ing a considerable decline in the
price Of the metal.
There has been no big buying of
copper since the middle of June, but
the aggregate of small sales made
during the past six weeks is consider
able. There Is nothing unusual
about the relatively long period Of de-
preston that the trade has just
passed through. Only three big buy
ing movements occurred during the
first half of this year. A very large
amount of copper was sold in Febrll-
airy, following which the market was
1 relatively dull until April, when an
1 other big buying movement occurred.
This dullness prevailed nutn early in
June. Then came the immense de-
mand from all quarters mad it is de-
clared on reliable authority that the
largest amount of copper ever sold at
very high prices was turned over in
that month. Most of the producers
Isold their output as far ahead as Aug
ust or September and some contracts
were made calling for deliveries up to
the end of this year
The price of copper in the future
will be determined, of course( by sup
ply and demand. No one can make
an intelligent estimate as to whether
the price will advance or decline I'm
til he has investigated and analysed
the past, present ead prospective fu-
ture relations between the supply and
the demand for the metal.
= 1t is reasonably certain that there
were between 35O.OOO,OO0 and 100000
900 pounds of copper in the world S
stocks Immediately after the Euro
pean war broke out a year ago. The
war practically stopped industrial
progress. 1t checked for the time
being the building of new factories,
railroads, telegraph, telephones
electric lighting and power plants
and thus the Industrial consumption
of copper must have declined approx
mately oneIhalf.
l r fhcyfr1 n linz fcJ cr
in the demand from the usual sources
the enormously increased consum p
ton for ammunition making ap
peras to have absorbed the worlds
great surplus supplies of copper IN
eight or nine months, during which
period the price of the metal advanc
ed eight or nine cents a pound
: While this remarkable change was
taking place in the consumptive de
mand, curtailment of production left
about 4OO,OOO,OOO pounds of copper in
the ground which would have been
produced had there been no Interrupt
lions of mining operations. 1t ap
J pears, therefore, that the consump
ton OF copper during the past veal
/ has just about equalled the normal
production of the worlds mines, cur
tailment of output having been offset
by absorption of previously existing
supplies. This, however, does not
take into consideration Germany and
Austria. These countries, being shut
off from the outside worlds source oil
, supplies, have used the product OF
their own mines, which, normally sup
ply less than IS per cent of their do
nestle requirements, and they have
been converting into war materials
, practically every scrap of copper in
, use that it was possible for them to
reclaim, taking down trolly wires