Douglas daily dispatch., 1927-11-29
Weekly Copper ReUiew
BY CHARLES F. WILLIS
tor. The Mining Journal


Copper has continued to advance
in price, during the past week and
has now been firm at Is ga for sew
eral days. Lead has had no change,
still staying at 6.25, and zinc has
strengthened a little to 5y85 to 590
The market conditions that have
caused the copper increase are still
good and it looks as though that
metal might hit the l4-cent mark be-
fore the end of the year.
Lead is very listless, neither good
or a bad market, a fair business being
done with only about the usual
amount of cut price transactions. The
lead price has remained stationary for
over two months and there is no in
oicati0l Of material change. Present
business being placed is almost all for
immediate delivery with no interest in
futures
The low price of zinc has been at
tracing buyers into the market and
it seems evident that there is some
stocking up going on. The result was
that zinc hit its low, point at $50 and
then the buying that the low price
stimulated forced the price back up
a little, There was practically no
future delivery metal sold at the low
mark.
Practically all branches of copper
fabricat0rS have been into the market
for heavy purchases and it is evident
that the consumers sense this last
advance as a substantial movement.
Copper is reported to be sold only up
to the endxof February at the present
price, but 4moSt of the tonnage sold
has been for December delivery with
a small amount to be delivered in
January
It is interesting to note that the
rise in copper prices has come about
as ! result of increased demand
rather than decreased production
for, in spite of the protestations OF
the producers last summer relative
to curtailment programs, the figures
show that in total 1t was not done
and that the world copper production
during october was the greatest in
history with the exception Of Novem-
Der, 1926, and February, 1927.
The world production of copper dur
ing october totaled 1929 tons, al
most 200 tons a day above the aver
age daily rate for the year and 300
tons daily above the average for 1926.
The world production during Septem-
ber totaIed 133, ,291 tons. The largest
month in copper production history
was November 1926, when 148,321 tons
were produced, or an average of 1914
tons daily.
The increase in the world produc-
ton of copper came from the United
States. Chill, Peru, Europe and Bel
gian Congo, the United States con-
tributing about 5000 of the $4,000
TONS At the present time the United
States is furnishing 81 per cent OF
the worlds copper; Chill and Peru,
18 per cent; Europe, eight per cent,
and Belgian Congo, seven per cent.
s. Foreign copper has advanced to-
14O5 with heavy sales continuing.
thing to be watched in regard to
heavy foreign sales is whether they
are made on a speculative account
and the reports indicate that the
copper is being actually bought for
consumption rather than speculation.
Speculative purchases come back on
to the market at later date and
often greatly disturb the foreign metal
situation.
The surplus stock of copper in
Europe has been decreasing. There
were 43, ,705 tons less copper in British
warehouses at the end Of October
than on February l, 1925, and the
stocks now total 1888 tons. The
stock has gradually decreased until
there is now almost a negligible
amount and not in any way interfer-
ing or controlling sales abroad as was
the case when there was plenty avail
able. European conditions for a con-
tinuance of the present demand are
reported to be good and the European
consumers impressed with the fact
that stocks are diminishing rapidly.
The most significant feature of the
copper situation is the news of the
organization of the copper institute.
This organization, which is composed
exclusively of those engaged in the
mining, smelling and refining busi-
ness, is for the purpose OF gathering
and exchanging statistical data rela-
tive to copper and the figures thus
obtained can be used as a guide in
the regulation of production.
The statistical work of this new
organization will go somewhat far
ther than that of the American Bu |
reau of Metal Statistics in that they
will have available more complete
data as to copper in process and the
approximate time it will take before
it is on the market, the data regard
ing sales made for future delivery |
and other things of a similar nature |
which will make a more accurate |