Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-10-02
COMMODITY BUYING.
POLICY SUGGESTED.
Price Outlook in Various Raw
! Materials Analysed by
Statistics Firm.
snecial nisnatch to The Star,

lowing suggestions as to a purchasing
policy for various important comnlodi-
ties are contained in a current bulletin
of the Standard Statistics Co. Of New
York:
Barley. Increasing evidence Of a
moderate reversal in the wheat price
trend suggests policy Of contracting
for future barley needs on recessions.
Brick-Forward buying is not ad-
yised at this time.
Burlap.-For those buyers already
we'll protected for future needs, there
is little in the immediate outlook to
justify additional commitments.
Butter.-Those who have not already
built up heavy reserve supply should
now utilize periods of price weakness
for moderate commitments only.
Cement-Improbabi of nearterm
price improvement makes buying be-
yond immediate needs inadvisable.
Cheese.-Moderate purchases for sea-
sonal account are still justified on frac-
tional declines, but overeXtenSion
should be avoided.
Coal. Anthracite.-Little basis for ex-
tending purchases beyond ordinary
needs can be seen.
Coal, Bituminous.-Consum should
cover requirements for three to six
months ahead.
Cocoa.-Those who have not already
protected future needs should now limit
forward buying to expected early future
periods Of price weakness.
Coffee-There is little justification
for accommodating heavy supplies. Mod
crate forward purchases on price set
backs are advised.
Copper. - Early 1882 requirements
should be gradually accumulated dur
ing periods of price dips below Z cents.
Corn.-The prospective large crop
precludes the possibility of sharp and
sustained advance in quotations during
the near future. A hand-to-mouth pur-
chasing policy is advised.
Cotton.-Advantage should be taken
of any further sharp decline to cover
forward requirements at least six
months in advance.
Cottonseed Oil.-Additiona commit
ments should be restricted to moderate
declines.
Buying on Declines Urged.
Eggs.-There is little incentive for
heavy storing at this time, although
moderate commitments for seasonal &C
count are warranted on price recessions.
Flour.-Placing of the greater part of
price declines is advised.
Gasoline.-While fairly stable price
basis in most sections of the country
over the next few months is expected,
the possibility of temporary declines
precludes ACCESSIBILITY of forward con-
tracing at this time.
Hides.-It is now believed that. at
current low prices, forward require
ments may be anticipated with rela-
tive degree of safety.
Hogs-No marked appreciation in
hog values during the remainder Of the
year is expected. A hand-to-mouth
purchasing policy is advised.
Jute-Thcse who did not cover re-
quirementS at lower levels should now
restrict forward purchases to recessions.
Lead-Early 1882 requirements should
be covered on any reaction below pres
ent levels
Linseed Oil.-DeSpite the rather bear
ish Argentine acreage estimate. buyers
are still justified in accommodating known
requirements for six months ahead at
current prices or lower.
Lubricating Oil.-While a relatively
steady market over the next month or
two is looked for. there is no occasion
for extensive forward commitments.
Oats-Forward requirements should
be gradually satisfied on receSsions.
Paper-In view of the trade outlook
extensive forward commitments are adj
Vised against at present.
Parafhn.-A policy of accommodating
reserve supply at or below current
prices is advocated.
Petroleum. In view of recent adj
vances further forward purchases
should be deferred. pending settlement
of East Texas and Oklahoma produc-
ton problems.
Pig Iron.-In view of the weak sta
tiStical position of this market. pur-
chases should be limited to nearby re-
qurements only.
Rayon Cellulose Acetate.-Moderate
forward purchases appear justified at
present reduced prices.
Rayon. Viscose-Price cuts in acetate
now preclude advisability of forward
purchasing.
Rosin-In expectation of moderately
higher levels during the remainder of
the year accumulation of requirements
up to next season is justified during
weak markets
Rubber. Moderate forward purchas-
e ing on any declines below present levels
is advised.
Silver Prospect.
Rye.-The prospective small crop.
combined with a somewhat more bulliSh
leads to reiteration Of previous advice
to satisfy forward needs gradually on
price declines.
Shellac.-Buyers should take advan-
tage of price weakness to increase sup
plies gradually for forward require
ments.
Silk.-In view of favorable statistical
position and satisfactory demand, re-
cuirements for the next few months
should be covered.
Silver.-Days Of market weakness
should be used to accumulate gradually
early 1882 requirements.
Stee!.-Curtailed demand in most
classifcations will operate against early
improvement in the general price
structure. A hand-to-mouth buying pol
Scrap steeiI1ndications pointing to
early improvement in prices are lacking
and only immediate requirements
should be satisfied at this time.
Sugar-Consumer should keep COM
fortably covered on requirements during
the next month or two.
Tin.-Extension of forward purchases
beyond the year end is not yet advised
pentine.-Consumers who have
not already satisfied needs up to next
season on previous recommendations
should take advantage of l-cent de-
clines to complete commitments.
Wheat.-A policy Of gradually sccu-
mulating forward needs on any further
price weakness is advocated.
Wool-Purchasos should be confined
to near term requirements.
zinc.-Price weakness should be re-
garded as an opportunity to cover early
1882 requirements.