Douglas daily dispatch., 1927-03-29
MINING NEWS NOTES
BY CHARLES +. WILLIS
Editor The Mining Journal

tereSt in buying or selling, unusually
small sales and nothing to indicate
any immediate change. Copper re-
mains at 13 3-S, lead at 1855, zinc
at go and silver at 55.
The uncertainty and the weakness
of the silver situation has not been
as the present average monthly pro-
duction of the principal silver pro-
ducing countries is about the same
as it has been for several years. In
| 1925, out of a total world production
of 219,746,000 ounces, Mexico produced
! 9S, ,291 900 ounces, United States 6O,91S
ounces, Peru 22,40O,000 ounces, Canada
| 1855 900 ounces, with Australia,
Bolivia and Burma producing smaller
amounts.
| Silver stocks in the United States
| took very considerable drop during
February, for at the end of the
month there was but 207,000 ounces
of silver in stock as against 100000
ounces at the end of January. The
present stocks of silver in the United
States are lower than they have
been at any time in the past year.
On the other hand, there has been
an increase in the stocks of silver
in China and India.
What lead is being sold is for inn
mediate delivery, which would nor
mally indicate a shortage in the stocks
of the consumers, but on account
of the heavy buying of a few weeks
ago it is known that many of the
consumers had anticipated their April
requirements.
Sales of zinc have been better than
either of the other metals but they
only came when prices were cut to
attract customers. The consumers
did not come into the market but
the producers had to get out and
get them. Delivery dates are for
both March and April.
The effect of curtailing copper pro-
duction has not yet shown up in the
refined copper figures. While the
refined copper surplus increased
II, ,038 tons in the United States during
February, the blister copper figures
decreased 6,895 tons thus making a
net increase in all copper above
ground Ol OHly 4JlfO LUIS
The producers are firm in their
price and are holding out and do
not seem at all anxious to sell the
metal at lower price or to do
anything to stimulate purchasing. The
feeling exists that the production
cuts are sufficient to justify the
price continuing at the 13 98 mark
and that it will not materially
recede Sellers are just not out after
business.
The copper producers are being
criticized for the too quick raising
of prices Immediately after the buyers
show an interest in. the market, the
critics claiming that it has the effect
of slowing up business. In line with
this argument Brandies, Goldschmidt
and company, metal brokers of Lon.
don, state: "We are afraid that on
the continent very little copper will
be bought at the higher level, and
that in consequence American pro-
ducers will again have to lower their
prices and probably fall to below the
level to which it had already fallen.
This, to our minds, might have been
avoided if only consumers had had
an opportunity of trading freely.
There was very good oppor-
tunity of showing that sterilization
was actually being effected, which,
however, at the present moment
seems to be further off than ever.
We still contend that copper in itself
is the cheapest of the non ferrous
metals and that if left to itself,
although it might have to remain
at low price for some time, con-
sumption would ultimately-at not
far distant time, overtake production
again and the price would rise
naturally
This statement can be attributed,
of course, to British propaganda
against the Copper Exporters, Inc, as
England is resisting the work of
this organization as much as possible
and is not in accord with it's objec-
tives, yet there is undoubtedly some
good logic in the above statement
as conditions have actually proven
out this way in most cases of rapid
price increase Copper sales both
abroad and in this country have been
decidedly slow since the 15 90
price has been established
The opposition to the work of the
Copper Exporters, Inc, has been made
possible because of the stocks of
copper existing in England. These
stocks have been reduced now to
29,79S tons with a total reduction
during the past year of about $4,000
tons The British surplus made
possible the breaking of the London
market several times since the ex-
porting organization has been func-
tioning.
One student of the copper situation
lists the following points of strength
in the present copper situation: "The
underlying strength in the copper