Douglas daily dispatch., 1927-09-04
EXPORT COPPER
DROPS SLIGHTLY.
In PAST week
BY CHARLES f. WILLIS,
Editor. The Mining Journal

Editor The Mining Journal
The only change in the metal mar
ket during the past week has been the
lowering of the export copper price
from 1855 to 1850 and the dropping
of the lead price from $50 to $50.
Domestic copper remains at 1925 and
zinc at 625. The markets have all
been quiet with comparatively small
selling and nothing 10 make it in-
teresting and it will probably remain
that way until after the holiday.
In spite of the fact all evidence is
showing lead to be consumed at a very
rapid rate, the lead market is dull and
even the price drop has not stimulat-
ed it much. 1t seems that the con-
sumers are anticipating further drop
in lead prices and are not fulfilling
the needs even though their consump-
ton is great The advance orders from
certain manufacturers indicate that
they expect an unusually large fall
business.
Sales in zinc have maintained espe-
cially well, stimulated by the drop in
price of about ten days ago. The
purchasing is specified for delivery over
the next three months and more Of
the business is being booked for fu-
ture delivery than for immediate.
Many countries are advancing in
zinc production and contributing to
the total OF 1,377 257 tons which were
produced in 1926. This total is the
largest in history and both 1925 and
1926 exceeded the war years. Since
1921 the United States production has
advanced from 215,614 tons to 638,533
tons, Canada has advanced from &c.
494 tons to 61,727 tons, Belgium has
increased from 72,917 tons to 2O9,674
tons France from 26,64O tons to 1887
tons, Germany from 29,839 tons to u.s.
278 tons, upper Silesia from 69,368
tons to 117,499 tons and numerous
other countries have advanced SIM
ilarly.
While the present coppes sales are
slow, there is no decline in actual
copper consumption and that which
has been purchased is being rapidly
used up. Decided activity is expected
in the copper market in September
manufacturers will have to come in
to the market to cover requirements
on orders already booked.
Thus the producers are not inclined
to let loose of any of their copper at
the present 1875 cent 1srice and they
are virtually out of the market and
sitting back in confidence. that, by
waiting, they can get a better price.
The offerings that are making the
present price are largely custom smell
ter and second hand copper in small
lots for immediate delivery.
The effect of the lowering of the
export price on copper stimulated for
eign sales and created an interest in
purchasing, Foreign conditions in
general are very favorable to the de-
velopment of larger copper business
abroad than we have had for some
time.
Regarding the European copper sit
uation, Geo. L. Walker writes: "Ther
rema Skable change that has come over
the European copper market in the
pas tfew weeks is given the following
separate explanations here: Cd cur
tailment of production; (2) manipula-
ton by Copper Exporters, Inc; Cd an
improving business outlook; "a such
an extreme exhaustion of working
supplies that general and heavy buy
ing became obligatory. All of these
views are correct, and they should be
consolidated. AS curtailment of pro-
duction has not yet gone far enough
to have any effect whatever ON sup
plies, it has exerted only a sentimental
Influence. Manipulation by Copper
Exporters has consisted only of the act
of undermining the manipulative or
ganization that previousl yhad con-
trolled prices. The improving business
outlook could be attested to by pages
of facts, but it is sufficiently demon
Strated by statistics which show stead
lily increasing copper consumption and
steadily decreasing unemployment in
the several European industrial CEN
ters. That supplies of copper in Eur
ope were reaching dangerous stage
OF exhaustion has been pointed out re-
peatediy of late in these advices and
supported by statistical proof. The
improvement in the copper market
thus has come about purely as nat
ural consequence of existing cOndi-
tionS."
The dividends paid by mining COM
panies during August do not reflect
any depression in the history as the
figures for this month are about the
same total as during May, the end of
the last quarter The total dividends
for August were 16,965,732 as against
$16,564,931 in May and they are now
two million in excess of the dividends
paid during August of last year when
SIS .055, 1853 we're disbursed.
The mining industry is a long ways
from being down in the depths as
every condition, production, consump-
ton both foreign and domestic) divi-
dends, etc., are in excess of last year.
The only out is that the metal prices
are not what they should be for the
industry as a whole and the dividend