Yerington times. [volume] (Yerington, Nev.) 1907-1932, 1919-07-05
THE OUTLOOK FOR COPPER

terminated last Tuesday morning, the
coppers acted relatively better than
any other group OF stocks, selling
only three to six points below the
highest quotations reached this year.
I, was severe test and the coppers
stood under it admirably. AS re-
suit they have come into still greater
favor with the public and professional
traders. The ease with which the
coppers afterward recovered the
greater portion of their loses suggests
strongly that they should be bought
every time the rest OF the market dis
plays weakness.
The whole copper situation is work
ing itself out very favorably. Not
only buying demand but consumption
also is increasing rapidly. 1t is under
stood that a great many orders aFawe
been received in this country already
from several foreign countries for
electrical equipment. copper wire and
manufacturers OF brass. This accounts
in part for the fact that the big buy
ing demand so far has come chiefly
from domestic consumers.
1t is easy to see now that the very
large amounts OF cash and quick as
cts accumulated by the copper pro-
ducing companies during the second
and third year of the European war
have put them in position OF great
advantage. They have been able to
carry their large stocks on copper and
continue operations at approximately
50 per cent OF capacity throughout
the period dG readjustment, and now
they are beginning to sell their accu-
mulated copper al slight profit over
war production costs As their stocks
in hand are reduced their cash posi-
ton will grow stronger and with the
return oi such demand for the metal
as will pemit them TO produce again
at full capacity their dividend rates
will be advanced.
Large accumuations OF cash and
quick assets in their treasures and
big ore resources developed far in ad-
vance make the shares OF the leading
copper producing quite as safe and IN
many ways more attractive than
those oi lmost any othe group OF cor
porations. 4 very large portion OF
the buying during the past year mas
been for investment. Over extended
and weakly r1aEgnicd speculative
holdings oi these stocks are almost
non-eNisfefu. 49,
Even now there remssns come
/. dorht in the public miGd AS 10 the
legitimacy ii ,h~ buying demand foT
copper Many still believe that the
producing Tni.u try cannot be pros
porous again until Germany and
Austria regained their former places
the industrial world The attitude OF
public opiniSn is indicated by / CIR
cular issude by an official OF the de-
pertinent oil mines oi the t,nned
States government some weeks ago
when copper was around IL cents
pound. in winch il was stated thaa the
price seemed unlikely to hold. Since
uhen the price has continued to all
vance and it has been revealed that
domestic consumers are buying and
melting more copper than they ever
-.did prio- to l95 eor 1915.
II seems wlseily possible that cur
manufacturers soon will be absorbing
more than thTee-quarters OF the
cauntry's iull veshfme of production
and imports, the products to be used
partly at home and the remainder ex-
ported. Exports of raw copper may
increase slowly: bsm before the end
OF this year they promise to reach the
high war record Of pre- war times. As
these developments occur the real
the COPPER mining shares will be-
come more and more popular with
investors and will sell higher, not
only on improving confidence, but
also on meri,-George l.. Walker in
Boston Commercial,
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