TRADE REVIEW.

Ashburton Guardian, Volume 57, Issue 244, 27 July 1937, Page 5

TRADE REVIEW.

BRITISH EXPORTS INCREASE. BUTTER. NOMINALLY HIGHER, (United Press Association—Copyright.) LONDON, July 25. Markets remain more in a state of suspension than of animation. ' Far Eastern bonds fluctuated wildly as prospects of a Sino-Japanese war advanced and receded. Industrials began to show greater firmness toward the close of the week; oils and base metals shares were firmer, rubbers dull. The “Economist’s” review of the state of trade is more optimistic. Business activity has continued to expand despite normal seasonal, trends .''Reports from the principal industrial centres indicate that the volume of new business is well maintained, and __ there should be a further expansion in the next few months. Profits are increasing as rapidly as ever. The capital market has shown signs of revival in recent weeks. A salient feature also of the last few months has been the expansion of exports of manufactures of almost every kind. Iron and steel, two dependent trades, are working to capacity and even building trades continue to expand. World trade is rapidly improving owing to the decreasing ability of individual countries to satisfy domestic needs internally. The long-term trend of primary products appears upward. The “Economist,” however, points out that allowing for a growth in the world’s productive capacity, international trade is still lower than in pre-war days. Even the striking boom in shipping has pushed up the tonnage under construction in Britain to only about half the 1913 levels. Butter is largely nominal at higher prices, though the outlook seems favourable. Cheaper varieties of Continental also are surprisingly dull, although Dutch is offering at 110 s and Siberian of excellent quality, at Ills. Cheese also is firm at advancing prices. The fruit position remains strong, and there should he a steady market for the remainder of the season.