London Wool Sales On Strong Note

Chronicle (Levin), 12 July 1949, Page 5

London Wool Sales On Strong Note

Received Mondav, 7 p.m. LONDON, July 11. Undisturbed by recent uncertainties coneerning the "future of sterling, the London wool saies opened on July 7 on a very strong note with Yorkshire and the Continent competing keenly for offerings, states the International Wool Secretariat special news service. Market sentiment is assisted by Sir Stafford Cripps' announcement that sterling is not to be devalued and this may have reassured eertain Continental operators and brought out business lately withheld. It is reliably estimated that Yorkshire 's commercial stocks of wool for bridging the gap which must now elapse before the first of ne'xt season's clips can arrive from the Dominion marlcets, have seldom been smaller at this stage of the season. Yorkshire and France, whose activity is also high, must now buy wool to

augment suppues oougnt m tne iiommions and they are acquiring large quan: tities of 'joint organisatidn wools now offering in London, although substantial proporticin are burry and faulty types. All Merinos and fine crossbreds are firm compared with the last Liverpool saies and often sliow a tendency against buyers. Tliii makes them about 5 per cent. higher than AustraJian closing prices last weelt. A remarkable feature is that faulty wools show relativel.y the largest advancc. New Zealand medium crossbreds are slightly in buyers' favour but New Zealand slipes — of which about 30,000 bales will be oifered in the next few weeks — have not yet been , submitted. London buyers, in addition to Yorkshire an& France, inelude Belgium, Switzerland, Holland, Seandinavia, Poland and Germany. Russia and America are quiet though the possibility exists that part of the Polish buying may be for final products intended for Russia. It is reported here that negotiations are well advanced for a one-year Anglo-Soviet trade agreement under which wool would figure as one Russian requirement.