COMMERCIAL ITEMS.

Dominion, Volume 5, Issue 1551, 21 September 1912, Page 8

COMMERCIAL ITEMS.

INVESTMENT- SHAKES. .." A sale of National Bank shares at £6 2s. was the only transaction recorded yceterday. The . buying and • eelling quotations were as under:— Buyori. Selleri. £ ». d. £ >. d Hank New Zealand — 11 3 0 National Bank 6 16 J 3 0 En.uita.bV Building - 10 0 0 National Mortgage 3 17.6 — Well. Gas (£10) - ,18 2 6 Well. Gas (pref.) - 110 Ghristohurch Meat 15 7 6 — Well. Woollen (pref.) 2 17 0 - Westport Coal — 18 3 Westport-Stockton — 0 4 0 Taringamutu Totara — 2 6 3 Golden Bay Cement ....:.... — 110 N.Z. Portland Cement 17 0 — MONETARY STRINGENCY IN AMERICA. According to a cable message published the other day, a monetary stringency is impending throughout the United States, and the Government has already been obliged to come to the aid of the national banks. After the crisis of 1907, legislation was enacted to enable the Government to meet such a position, and this power on the part of the State will probably orevent the stringency from developing into a panic. That the United States would feel the stress was foreseen early in July. The New York Bank statement of July t> oame as a great surprise to Wall Street. Money rates had been easy so lons, and there had been so little demand for call loans on the Stock Exchange,. that most people expected a perfunctory sort of return. 11 lit the actual statement disclosed, that the banks alone in the Clearing House had a deficit of £1,555,C00 in reserve. As sooi? as this petition was disclcsed. the banks began to call in lo:vis, and the prospects came in for close attention. Besides the heavy demands to be met now in connection with the movement of crops, heavy bond ipMics were nl?o expected to lie made, mid it was believed that the resources of the banks would be taxed to the utmost. In addition to this, mercantile borrowers were wanting more monev. owing to the improvement i;i trade, and all tlii-se factors taken into account, it was anticipated that from September to the ond of t.hs yc.T the rale foT nvmey would range from 4J to fi per mil. for time loans. Judging by the tone of the cable menage, the position i? a. great deal worse than was anticipated, but this would not h«i of O4iy greet lrapo:tAnr«, but, for the uat ttot it 3™ H'ttt os Louden, ead 10.

affect n.ll cou-ntrics. If the New York rate doc- not exceed 6 per cent., no great hnnn will be done, but much will djpend upon the demands that arc mnde on London, Paris, and Berlin.

SEGOND-EATK. INSURANCE. COMPANIES

The past few months, states tho "Invos-t-ors' Review," have witnessed the collapse of a fairly large batch of second-rate insurance ventures. A considerable proportion of Die now companies which have been formed during the lart few years in Groat Britain have disappeared, cither through absorption by other companies or by linuidation. Nearly all wore non-taritf offices, the belief having evidently been held that the insuring public would rally to the support of the non-tarill principle. Most of tho new ventures, it appears, were onablc to obtain sufficient capital, whilo others were in a. hurry to pile up a hie business, much of which had gone past the older office? for some reason or otiicr. The new concerns had to attract clients, and with this object offered ratc3 belowthose quoted by the groat offices. Having accepted risks which did not appeal to ths bigger undertakings, reinsurance facilities wore not easy to obtain. Antagonism .to tariff arrangements in matters ot insurance have liesn shown by recent failures in Great Britain to be by'no-means expedient or profitable in a good ■ many instances. Younp companies which.have not had time to build up large reserves have eeen their, capital eaten away by claims that were unexpectedly heavy ana constantly increasing. In several ra£:s dividends were paid far too soon. and. shareholders eventually suffered for the mistake. There is hi' royal road to success.in the'insurance world, and an assured position can only be attained comparatively slowly. Funds necessarily have to bo accumulated to provide for conflagrations, such as that which, destroyed San Francisco, and.until that stage■ of TcloDmcnt lias been- reached youn? companies can only afford to retain a relative--ly small "portion!of 'the business offered.

■ HOLDERS -OF BANK., SHARES: ', Some interesting facts regarding the disposition of shareholders in British' banks aro disclosed in- an article in the "Hankers' Magazine." The writer, in commentine upon the great increase in the number of shareholders in .banks, .is of opinion that this arises partly from the increase in the general wealth of the community and partly to divide risks which recent events have' brought into some prominence. Taking the principal banks of the United Kincdom which give the number of their shareholders, it is shown that whereas in 1902 institutions with a combined- capital of £46,451,000 had it divided amongst 163.191 proprietors, in 1912 the same banks whose' capital had increased to had it held by 249,764 persons.- The amount of capital posseted by each partner, which wa* £284 in. 1902, has. now been reduced to £224. • Thus, in eleven years, while the capital paid up has increaeed 22 per cent., the partners have increased 53 per cent, in number, and a.s a, result tho nronortion of capital to the partners collectively has diminished 21 per cent. A table coverinz the principal' English banks shows tint Lloyds.and the London.County and Westminster tie for the distinction of harinc the largest number of shareholdc-s, the figure in each ease' bein? 23.CC0. The 'proportion of capital to each partner is £152 in the case o,f the London. County and Westminster, and £183 :■ in the case of Lloyds. The bank which has its shareholdings . distributed moat widely Iβ-tho London - and Provincial, the individual proportion in this case being £127. .

OFFICERS FOR. WHALERS. The whaling industry has come into great prominence of late, arid • with it there is the discovery of a serious shortage of British officers experienced in whale fishery. The fact'is brought home with a good deal of force in a return iust issued by the Board of Trade. The Merchant Shipping Acts , arc strict in requiring that'Britieh ships shall carry duly certificated British officers, but "tho Board 6f Trade-is nevertheless- endowed -with certain dispensing powers. These, it is shown, have had exercised in an unusual degree in the case, of ships fltMd out for whaling voyages.'. In.the year ended May 31 last in no fewer: than fifteen instances, as no British officers were available, Norwegians-lad to takoHhcir placca; thei* employment-being assented to on condition' .that they possessed certificates showing satisfactory qualifications. In six cases thcvespols in question were sailins for the South, Pacific nnd. in . five for South African waters. In (pur other canes in which crews as well-as officers were Norwegian the destination is not stated.

Suih figures suggest that in a prosperous'and continually'expanding industry the Norwegians are puttinpus to the blush so far as the supply of skilled;navigators is concerned. Perhaps there is. some reason, for'this. -MVith the closure of the local whale fishery the Norwegians had to carry their. enterprise further afield. They have taken it, not only to Iceland, the Faroes. Scotland, and. Newfoundland, but to tho Falkland;, South Georgia, South OceaHi-' in the .'natural order of events,' therefore, young Norwegians arc getting experience and qualifying , for appointments as masters ■ and officers ofwhalere. The old system of whaling hae, of course, altogether gone by the-board. Steamers are employed which are fitted with harpoon guns. There are successful whaling stations in Shetland and .the Hebrjde*. and one or two in Ireland and Now Zealand. But in the profitable pursuit of the leviathan of the deep in the more distant portions of the plobc the Scandinavians have got a long lead. ■■'.. . , ■ ..

Customs duties collected at the port of Wellington yesterday amounted to £1548 17s. . GEAIN AND PRODUCE.'(By Telegraph.—Press Association.'. Chrlstchurohi September 20.. There is no movement to record in tho local grain market, which, again is very quiet. Practically nothinp is offering from the country. There is no inquiry for wheat. Mlller3i who bought heavily in the .early part of the season, have since. only. been buying sparingly. ~',. . - - . The only market for oats of any importance is the United Kingdom. The , quantity of shipping spaco available ie 60 small that this outlet cannot be taken advantage of. - ' ' ■ -■ ■. The potato market is easier. Buyers-are now offering only £6, though few growers are willing to sell under £6 10s. Supplies in th« country aro evidently getting short, as lots now offering consist of only a, few tons of .each. The Australian .demand has fn.llen off for the time being, and tho northern market, is etill well supplied. ._ LONDON WOOL SALES. .' : Messrs. Dalgety and Company, Limited, Wellington, have received the fojlowing ca-blegram' from their Adelaide office, under date of yesterday*-At-the wool.sales there was a large attendance of buyers, and competition was animated. The: total offering amounted to' 21,000 bales,' of'which we offered 3400. bales-rpractically all lots were. eoli.. The bulk of the offerings was secured by Continental buyers,,at.an ad* vance of 7$ pbr cent. to. 10' per, cent.,'as compared with the opening, rates' of'last' season's eales. . ' ' . ' LONDON ■ MARKETS. . ■•. Messrs. Dalgety and- Company,' Limited; have received the . following cablegrams from their London office, dated September 19:—Tallow: Sinpe - our last cablegram prices generally are from- par to 3d. per cwt. higher. Sheepskins: The salcs'opened firm. As compared with cloeing rates of last sale, merinos are from par to id. per lh. higher; • coarse crosebreds are Id. to jd. higher; for fine and medium crossbreds. a. change in prices is ■in favour of • sellers. Ftrozen meat: Mutton—The demand for New Zealand mutton has been checked by the increased prices asked. . New Zealand prime crossbred Canterbury mutton, heavy 4jd., light 4Jd.; NM. , mutton, heavy 4 3-Sd.. light 43d.: Australian prime crossbred mutton, heavy 4Jd., light 4Jd. Lamb: The demand for New Zealand hue also been checked by the increased ■ prices. New Zealand ■ prime Cantcrhury crossbred lamb, heavy 5 3-Bd., light 55d.; N.I. crosshred lamb, hea-vy 5Jd., light sjd. . Beef: The demand for • New Zealand beef is limited. Mutton and lamb: Though prices are nominally unchanged,' sales are difficult at rates quoted.

BANK OF ENGLAND RETURN. (Roc September 20, 8.85 p.m.) London, September 20. The Bank of England return issued for the week ended Wednesday, September 18, is as under:— ISSUE DEPAnTMRST . Koto Itsu« £58,705.000 Gov.dobt ... £11,015.000 Other 6ecurltio3 ... ... 7.43J.000 Gold ... . ... 40.256.000 £58.705,000 ..• «8,705,CC0 B4XIIXO DEIMKTME.VT. Proprietors' Covt. eceiiric'apltal £».ri63.000 ties £13,363,000 Fnl>)ic do- Other Eccuriposits ... 15.855.00J ' ■ tics 35,598,00» Other deposits ... 40.355.000 Notes ... 30.157.C00 nest. 7-dny und othor bills 3.707.C03 Com... ... 1,377,000 jCSO.SOO.OW f50.000,000 The leading items of the Eahk of England return afford the following: compariThiswoek Last weak. Lietyear X- £ £ linliion . ... iO.-wS.WW 40.f4D.000 41 .fKIS.OOJ Reserve 51..V31.i.t» ,11 .eMJM!) .".i.Vrt.uttl :;otd-irct'i'lnlio>i -"UIW)) SSJI3i,OOI! 25.!10ii.( 01 Public Deposits IS.SS3AXI is.sn.tHO 11.r01.000 Other Deposits 10.333.tXX1 (7,355,000 i3,55*,<W0 Trorortion of ihbtmVl!! Jo,Bl W.JS SS.TO

GOVEHNMEKT SECDRITIEB. The following aro the latest quotation! far Qovernmout securities, with a comparison of thoao ruliuc last week:—

■ BANK BATES OF DISCO' The Bank of England rate, v cember 1, 1910, lowered from £

lUHT. was, on De--5 to 41 per

cent.; on January 27 it was lowered to 4 per cent., on February 16 to 3J per cent., and on March 9. to 3. per cent. On September . 21 it wae advanced to 4 per cent.. on February 8 it was reduced to 31 per cent., and on May 9 to 3 per cent. Ou August 29 it was raised to 4 per cent. The Bank of France rate, was reduced from 3J to 3 per cent, on January 2.3, 19011. fend continued at the latter figure until September 21, 1911, when it was raised to 3J per cent. On May 17, 1912, it was reduced to 3 per cent. The Imperial Bank of Germany reduced its rate from 5 to <U per cent, on February. 6, and on February 19' the rate was further reduced to 4 per cent. On September 19, the rate was raised to 5 per cent., and on June 11, 1912, it was reduced to 41 per. cent., . MARKET RATES OF DISCOUNT. The following are the market rates for bc6t three months' 'bills :— London Parts Berlin rate. rate.. rate. This week .;..;.... 33 '23 .43.. Last week 3 9-16 ZJ r<l L'aet year 311-16 3 -'4J Short loans are quoted at 2 per cent., as against 2. per cent, last week, and 2} per cent, last year. COLONIAL AND OTHER PRODUCE. Wheat.—The markets are quiet; 40e. 6d. is a«ked for Australian, per sailer, April shipment, 395. 3d. per steamer, December-Janu-ary shipment, 40s. 6d. September-October shipment. Parcels September shipment sold at 395. ljd. Liverpool futures, Octojer, 923; December, 893;. March, 81Jd. Australian, on spot, 425. 9d.; New Zealand, 41s. 6d. Flour is 6teady, but inactive. Australian, ex store, 275. 6d. Oats'are slow of Bale. La, Plata, Septem-ber-October shipment, IBs. 6d. Butter is slightly- firmer. Danish, 130s. to 1325.; colonial, nominally unchanged. ■Sugar.—German beet, 88 per cent., net titre, 4d. lower at 11s. lid. per owt.; first mark granulated, f.o.b. Hamburg, unchanged at 13s. 6d. Bradford Tops.—The market is active, and all counts have advanced a- farthing. v Sheepskin Sales.—At the sales 12,834 bundies were offered, including 2757 from Now Zealand. There was a good attendance and keen competition. Merinos were par to a farthing higher, crossbreds, fine, medium, and coarse, a farthing dearer. THE METAL MARKETS. Copper,, on epot, Bs. 9d. lower at £78 12s. 6d. per ton; three months, 465. 3d. lower at £79 13s. 9d. ' ' ■ ~ ■ Tin, on spot, £3 15s. higher at £226 ss. per ton. Lead, soft foreign, 355. higher at £22 10s. per ton. , Pig-iron, Middlesbrough, cash, Is. 4d. higher at 675. 3d. per ton. Spelter, 7s. 6d. higher at>£27 6s. per ton.

Variation — compared Prlci, with , ; last yeek, .! £ «. d. 2i% Imperial Consols | 74 '2 6 Unchanged i ,.N.S.\V.1933Jan.-Jiils' 10110 0 Unchanged 34 ,,K.S.'W.1018Mu.-Sep.i 07 0 0 Unchanged i , X.S.W.lMSApl.-OctJ 8110 0 Unchanged i ,.Vic. 1923 Jnu.-July [101 0 0| Uiu'lianecd 34 ., Vic. 1B-21-0 Jau.-Jiily Id 10 0 I Unchanged 3 ,.Vic.lMI-19Jan.-July j 83 0 01 Uniiliunijed 31 ..S.A. l016Jan.-IuIy [ 91 la. 0 Unclmnecd 3 , S.A. W16 Jan. July 7'J 0 0 ! Unchanged i ,,Q'rdlD15-2JJan.-JuIs- 101 0 o! Uiichanscd H ..Q'l'dlMl-SOJlan.-Julj- 93 0 0 Unclianecd 3 ,.(J'rdl!tii-<!Jan.-Julj- 82 0 0 Unchanged, 1 ,,N.Z. 1029 May-Nor. 103 10 0 Unchanged 35 ,,N.Z. I'.IJO Jan. July 03 10 0 10s lower 3 ,,N.Z. ]B«. A|iril-Oct. M 10 0 Unchanged 3J „ W.A.lKO-jQ.May-.Vov 94 10 O Unchanged 3 ,,W.A,191.>c5May-Nov 8(i 0 I) Unchanged 3S ..Tas. IWOJan.-July U3 0 0 Unchanged 3,,T as.lMt-WJan.-July fcl 0 0 Unchanged