YORKSHIRE LETTER

Dominion, Volume 12, Issue 253, 21 July 1919, Page 10

YORKSHIRE LETTER

LONDON SALES VALUES ANALYSED i _ 1 (Frtm Our Special Correspondent.) Bradford, May 29. Since writing last tho eecond series of colonial sales havo finished in a very nnmiuendablp way. It would be unfair not to recounise that qno or two soft snots existed, but; during the closing week interest was revived even in faulty wools, and tho writer is glad to bo able to snv that there was a little recovery, ilauy buyers left for Yorkshire at the close of the first week, and did not put in tin appearance during tha second week, returninjr to the fray for the third week, henco increased activity was seen. Considering tho h\g quantity of faulty cai'bonialiw merino? available, these sold verv well when all things are considerRrl. and whatever tho future may have in store, the writer is satisfied that when Deaoo is signed, these wools will be allowed free export to Continental countries, and probably to tho Central Emniree. The fact might as well be ocknowledeed that there are huge stocks nf these faulty merinos in the country already, sufficient to tax the carbonising ivnmcifcv of the West Biding for tho next three vears. Henco free export is nenetsarv to enable the Government to realise satisfactory prices for these wools. When it is remembered that something like eighteen new carbonising , plants havo been. installed during the war, it can easily be seen that scope has been iirovidfid for a tremendously increased outDut. So long as British and Amen* can mills are well supplied with, ran material, by all means allow freo exnort. ' Course of Auctions. It ia not intended to devote much epnee to giving a review of the auctions. The (tnmmittee of London wool brokers have issued 11 circular in which they epitomise Urn course of values. No one can aualvso tho table given below without lealising the sound standing of anything showing good combing properties, whether crossbred or-merinos. That really is tha outstanding feature of the whole spriea. Many tlioußht that in April values had touched the top, but to eeo a further sensible advance shows tho strong nosition occupied by this class nf raw material. Towards the close nf the mictions there was an unmistakable hardening tendency. Tho demand for medttlni and coarse crossbreds was keener, and no one need be surprised if Ibis nln.sn of staple does not sensibly adviinco in the near future. Compared with the closing rates of the April nuclions, the following are the changes seen at tlie May sales:— Australasian.—-Merino, good combing, 10 to 15 Der cent, dearer; merino, avernsre. Jfl to In per cent, dearer; merino, faulty, fair length, par; merino, short flnrnonisine. 10 to 15 per cent, cheaper; crossbred, fine, average to good comb, inc. 1(1 ner cent, dearer; crossbred,fine, faulty and inferior, par; crossbred, fine short faulty, 7h per cent, cheaper; crossbred, medium, average to good comb, inir. 7i uer cent, dearer; crossbred, coarse, average to good combing, par to 5 nor cunt, dearer; crossbred, medium and course, faulty inferior, 5 to 10 per CRiit. dearer. South African.—Greasy combine, 5 per emit, dearer; greasy, clothing, pat to 5 rah , cent, cheaper; greasy clothing, native 111 Der cent, cheaper;.enow white, inferior and'faulty, 10 per cent, cheaper. Clean Scoured Costs. Every class of raw material is usually bought on n clean scoured basis, that undoubtedly being Hie standard of values, to all buyers. Of course a great many spinners have been operating in Coleniaii Street without ii limit, but in ordinary times.there is. a general basis of clean scoured costs, and it is interesting to note upon what basis wool hns been selling at the recent London sales. This is the best test of a strong market, bpsides helping growers to form a fairly correct estimate of the valno of their greasy clip. No one can look at the following table without seeing at once on what a high level wool is moving; in fact, superior greasy merinos selling on a clean scoured basis of 100 d. easily forms a world's record. If one takes tho superior West Victorian wools which sold so readily at from 5Gd. to GOd. per lb., the shrinkage being -10/42 per cent., or tho clean yield of 58-00 per cent., the reader will ho able to calculate for himself what it costs in 'he clean scoured state. Mr. Lewis; Pordham is not far out when he gives the average market prices .ruling at the close of tho series as follows:— Clean Clean scoured scoured basis basis combing Clean Car- '■ for cloth- wools scoured bonised ing and top- basis basis spinners' makers' freo for stylish se- lambs' faulty free wool, lection, wools, wool. Quality. (1. d. d. d. 80'e 100 90 89 70 70's WO- 65 81 68 Wβ 85-90 SO 71) G5 60's 78-80 n 7-t GO 58's < 70 GG G8 53 ' SG's 65 60 53 -15 50'e 55 51 ' 50 41 4G's 42 39 IS 35 ■li's 38-39 35 12 30 id's ....... 35 32 W ■ 28 36's 33 30 37 28 Cape 72 65 — 50 The Outlook, The next series of London sales is due to begin on June IG, when about bales will be available. In the meantime there is to be a one day's sale at Liverpool on Juno 5. Considerable concern is manifest about the present standing of wool values, and what is likely to happen in the near future. The reader can well understand the feelings of the trade when wo point to thjs fact, namely, that whereas tho.issue price of 64's warp tops by the Department is 73d., the free market price is more like Md. to 9Cd., no man being able to say within Gd. per lb. what is an actual selling price. Topmakers can obtain just what they liko if they can guarantee delivery. Many firms are sold forward to the end of October and November. In tho opinion of many, tho London sales have begun three mouths too early, and, judging by the course of values, it looks as if tho entiro wool textile industry would have been better served if the Department had continued to ration the trade as they did up to the. end of March, allowed tig quantities of wool to come into the country, and become available, and then opened the sales and so allow a freo market for everybody, instead of abandoning their topmaking scheme. However it is •useless crying over spilt milk. During the earlier months of this year thero was a regular setback in values, and evorvbody had "cold feet," nobody placing "new business for f«ar of a slump. Dfirectly the Sales opened, up went values in a remarkable way, all due to the entire textile world being keen. to operate and get back to the production of old-time fabrics. The trade is now concerned with the future of prices, and as far as one can sizo up the situation, it looks as if tho demand will continue for a long time for really good combing -fools. Many think that when the big weights afloat come into tho country prices cannot but receive a sharp setback, but that remains to be seen, lnere are factors at work which will check any easier tendency in wool prices, and everything seems to point to a maintenance of values in tops, yarns, and prices. Business Good, There is 110 disguising the fact that business is to-day very good; in wot, 0 colossal weight of new orders has been booked by lopmakeis, spinners, and manufacturers during the past mouth. The riso in London duriiiß the lnt;t Ihreo weeks has given real stimulus to everybody, the result being that a big lorward business has been dono in all branches We are now faced with the important question: What is Hoinß to control prices in the iuturo, will it bo In* weights of raw material, or the limilod output of machinery? iliw? is no doubt that combing and spinning, Wirticularly transit mid combing, will play a leading part in determining iuturo wool values. Upon that there can b? no two opinions. The writer thinks that wool will be cheaper. It must have "struck 12 o'clock , ' in ward to wool values, but all the same we have. to face transport and machinery dilliciiUies. Wool bought in April has not yet ar. rived in Bradford, and wool combers working 48 hours per week instwid 01 551 m-eans a sensible reduction 111 the output of tops. It is well within he range of possibility to see wool distinctly cheaper, and yet for there to bo

no reduction in the price of tops and yarns, in which ense the general public will have to pay big prices for all grades of weariiiß anparcl. Tho Department- are doing their utmost to check tho "upward tendency of wool Tallies, but the factors operating in favour of high prices are-as strong as ever.