MARKET IN LONDON

Press, Volume CV, Issue 30976, 4 February 1966, Page 16

MARKET IN LONDON

“Squeeze” To Continue

(Special Crspdt. N.Z.P.A.) LONDON Feb. 3.

A directive from Lord Cromer. the Governor of the Bank of England, to clearing banks that overdrafts should not be increased, raised few cheers in the London Stock Exchange. Lord Cromer warned banks that there is likely to be no early let-up in the credit squeeze.

On the market, banks looked extremely dull. Earlier in the week big buying by unit trusts brought an upsurge in share prices. Some oil shares touched new 12-month high levels on satisfaction with dividend forecasts and terms of British Petroleum’s £6om rights issue. According to figures published by the Stock Exchange Council, the year started on a good note. Turn-over in ordinary shares was beaten in only four months since the figures were first issued in September, 1964. Turn-over at £2.412m was surpassed only in September and October of last year.

Motor Holdings.— Motor Holdings, Auckland Volkswagen group, is to pay an interim ordinary dividend of 71 per cent; payable February 28, ex dividend February 15. This is in line with the forecast of a total 17} per cent made at the time of the placement of 900,000 shares late last year.—(P.A.)

General Foods.— lnterim ordinary dividend of General Foods is a steady 5 per, cent; payable February 25. ex dividend February 11. Total dividend last year was 11 per cent.—(P.A.)