The Goldfield news and weekly tribune. [volume] (Goldfield, Nev.) 1911-1947, 1915-09-04
The Copper Situation

The copper situation is of great interest to a great
number of people. Hopes for another rally in copper that
were recently entertained were not rallied, and the price
declined further. Trying to look into the future certain
factors seem reasonably clear, says Engineering and Min
ing Journal. The production of Chuquicamata, katanga
and Inspiration is going to increase. If it appears, how
ever, that the weight of their production added to what is
being piled up from other quarters is excessive, the large
producers will probably curtail. They learned in 1914
how easy it is to do that, and there is no longer the
tendency that there used to be to try to hog the market.
On the contrary, there is a better recognition of the wis
dom of operating for the common welfare and therefore
there is now a spirit of friendliness among competitors.
So long as the war lasts there is going to be a very
large quantity of copper used for ammunition, but of
course such a consumption is not going to maintain the
copper industry of the world. The great uncertain factor
at the moment is the consumption for peaceful purposes,
which is still below normal, especially in the United
States. When is it going to revive? This country is
growing rich in money out of the sale of its products and
its labor at high prices, and sooner or later that money
must be invested in increased means for transportation, in
buildings, IN improvements, etc. all OF which will require
copper. The remarkable revival in the iron and steel in
dustry, which can hardly be due wholly to military re-
quirements, is conceived to foreshadow this. Yet we
should not be disappointed if a great expansion in domestic
peaceful industry does not happen right away. Such eX-
pansion must be based upon the financing of bonds and
securities, and although we have the means to do that the
uncertainty of the times breeds caution. Next there are
the questions of men and of plant, both of which are now
occupied to a large extent with military business. The
two things-war and peace-do not economically dovetail
we'll together. Many months ago the view was expressed
in the Journal that it would be better for the prospects for
increase IN domestic business to have copper hold around
L } CcHlo lldH 10 ndVe IL disc u y CcllS DN IlllldIy Duy-
ing. We have seen strikingly how the excessive rise in
spelter far more extravagant than the rise in copper
p%aralyzed ordinary commercial consumption. Thus a
few producers prot1ted hugely, but to a large extent at the
expense of peaceful Americans, not warning Europeans.
The only possible deduction from these forecasts is
that we shall probably see copper at a lower level than it
is now before the end of the year, although there will no
doubt be rallies on sporadic buying movements Yet
there is nothing to be pessimistc about. Seventeen cents.
or sixteen cents, or even fifteen cents is a fine price for
copper. If the market holds around such levels up to the
termination of the war everybody ought to be satisfied.
We find among experts in the trade a unanimous opinion
demand for copper.