COMMERCIAL ITEMS

Dominion, Volume 21, Issue 118, 16 February 1928, Page 12

COMMERCIAL ITEMS

WELLINGTON STOCK EXCHANGE YESTERDAY’S BUSINESS AND PRICES At the morning call yesterday sales were reported of New Zealand 4J per cent. Inscribed Stock (1939 ami 1938) at £97 2s. 6d. At the afternoon call a sale was reported of Auckland Gas at £1 2s. 3d. The latest buying and selling quotations arc us follow: — The following are the atest quota-

SALES IN OTHER CENTRES Bt Telegraph.—Peess association. Auckland, February 15. Sales: War Loan (1933), 51 per ce.pt., £i()l 2s. 6d-; inscribed stock (1933), 5J per cent.. £lOl, £lOl 2s. 6d.; Commercial Bank of Australia (rights). 7s. 2d.: Bank of New South Wales, £47 12s. 6d ; Bank of New Zealand. 58s. 7<1.; South British. 575. 6d.; Auckland Gas. 225. 4d.; Union Steam (pref.), 205.; Staples Brewery, 375. Id.; New Zealand Refrigeigiting (con.), Bs.; Taranaki Oil. 10s. fid., 10s. 9d., 10s. 6d.; Waihi, 9s. 9d. Christchurch, February 15. Sales: Commercial Bank of Australia, 275. 9d.. 275. Bd.: Union Steam (pref.), 20s. id. (odd parcel); New Zealand Refrigerating (£1 paid) 15s. 9d. (lOr. paid) 7s. ICd. (two parcels); Staples Brewery, 375. 5d.; British Tobacco. 395. 10d.; Electrolytic Zinc (pref. cum. div.). 325. lOd. Sales reported: National Bank of Australasia (£lO paid). £18; AVaihi, 10s. (two parcels); National Bank of New Zealand. £7: Christchurch City. 6J ner cent. (1929), £lOO 15s. (two parcels); Taranaki Oilfields, 10s. 3d. THE WOOL MARKET The past year has fallen far short of expectations in the wool textile industry. It was hoped that there would be a steady improvement for some considerable time, in which both those who handle the raw material and those who are engaged in the various processes of manufacture, would be able to restore their financial position after the rude shocks of the two preceding years. But business soon began to decline, while raw material, because of keen foreign demand, increased in value, making it altogether too dear for local consumers (observes the “Financial Times"). Cross* bred top makers and spares suffered most, and it was not till the second half of the year, when the Germans began to place important orders for cross-bred yarns in Bradford, that they were able to avoid loss, so great was the percentage of idle machinery. Since then they have better, but even at the best of nines the margin of profit has been very small. Just before Christmas prices of all qualities of tops fell by about one penny per lb., and this created doubt as to the basis on which ■wool would sell at t«.e ceities of production in the second half o 1 the season. The keen buying and the buum in wool textile business in Germany all through 1927. and the consequent .active, buying of wool and partially manufactured wool materials on her account made German operatives a dominating factor in relation to wool prices right up to about the end of November. Spinners and manufacturers were standing aloof and showed no disposition to speculate freely, even with quotations in their favour. There is evidence that a local stocks of wool and tops were limited and that importers were not very sanguine that there would be. any further easement in wool values in the near future. STERLING EXCHANGE Sterling exchange has shown no great decline since the re-discount rate of the Federal Reserve Bank was raised to 4 per cent. The rate now is 4.87 7-16 dollars to the JE. which shows a small advance on the quotation of last week. The Paris rate shows 124 francs to the £. and this is what M. Poincare desired to fix the rate at. The Bank of I' rance rate was reduced to 4 per cent, a few weeks ago, and the reason given was that there was an excess of foreign money in Paris. Now it is stated that the French cost of living is at the highest point in history, and is seven times more than before the war. GOLD SHIPMENTS FROM UNITED STATES In the last quarter of 1927 more than 200.000.0C0 dollars, equal to more than £40,000,000, left the United States. This has been a factor in maintaining the exchange rate with London. Credit conditions in Europe have shown but little change. The Bank of England failed to increase its reserves materially <and interest rates in that market are being maintained. Although the Federal Reserve Bank rediscount rate has been raised, it has not been followed by any variation in the discount rates of the European Banks. As a matter c« fact, since November last the Bank ot Finland discount rate was reduced from 6* to 6 per cent., the institution being in a" strong position and the country prospeious. The National Bank of Belgium reduced its rate from 5 to 4} per cent., and that of the National Bank of Isorway was increased from 4J to 5 per cent., this being the first chngc that has taken nlace since October. 1926. The exchanges have been running against Norwav recently, and this is evident from the fact that its exchange reserve declined from 113.5 million kroner in September to 78 million kroner at the end of October. The City Bank of New York points out that during October and November gold to the amount of 100,000.000 dollars had been set aside for shipment to foreign countries. These shipments are viewed in some quarters as indicating that at last, perhaps, the long talked of redistribution of gold has begun. It is evident, however, that the heavy lending by the United States in •

1927 was above all the previous records, and has been the main factor in IB» situation. On the whole, the gold stock of the United States has nm increased in the last three years. The United States Treasury estimates ate for 4.. 0 OOO.O'JO dollars on December 1. 1924. aj>d 4.548,000.000 dollars ou November 1. 19L<. There is no present prospect of an export movement large, enough seriously to disturb the credit situation, Particular ly in view of the large reserve of creditmaking power in the Reserve Banks. I’RICE OF GOLD. A.P.A. and “Sun. (Rec. February 15. 5.5 p.m.l London, February 1« The price of gold is £4 4s. IOJd. per ounce. WHEAT QUOTATIONS. (Rec. February 15. 5.5 p.m.) New York, February 11. rvdc-ieo wheat futures: March 1 ooltar Scents per bushel; May. 1 dollar 30J cents; July. 1 dollar 2il cents. CUSTOMS REVENUE. The Customs revenue collected at tne port of Wellington yesterday totalled £17,084.

ticns: — Buyer*. Sellers. N.Z. GOVT. LOANS— £ s. d. £ s. d. 4* p.c. Ins. Stk., 1939 97 0 0 41 p.e. ditto, 1938 ... 97 0 0 —— 5J p.c. ditto, 1933 ... — 101 2 6 5J p.c. ditto, 1936 ... —— 101 5 9 4* p.c. Bonds, 1939 .. 97 0 0 . . 4| p.c. ditto, 1938 ... 97 0 0 —- DEBENTURES— Wellington Gas 99 10 0 —— N.Z. Breweries (stock) 12 7 Ditto (bonds) 12 9 —— Wanganui.City, 51 p.c. 1945 100 0 0 —— BANKS— Australasia 14 13 0 — Commercial o£ Aust. 17 3 ■ ■ — Ditto (rights) 0 7 2 — National o£ Australasia (£5) 8 17 6 8 19 6 2 18 9 — 14 16 0 FINANCIAL— Dalgety and Co 13 15 0 13 17 6 Glodsbrough Mort .. 2 8 0 — Equitable Building .. — 9 0 0 National Mortgage ant 1 Agency (cum. div.) —• 3 18 0 N.Z. Guarantee Corp. 0 8 10 Ditto (pref.) 10 9 N.Z. Loan and Merc. (ord.) 95 0 0 — Well. Invest., T. & A. —— 0 11 0 Well. Trust, Loan .. 0 12 6 6 17 6 GAS— Auckland (paid) .... 12 0 12 6 INSURANCE— ■ 0 16 0 New Zealand — 2 10 South British 2 17 6 — Aust. Provincial Assc. OSO —— r MEAT PRESERVING- - 1 17 6 N.Z. Refrigerat. (10s.) — 0 8 0 Well. Meat Export 0 9 9 11 TRANSPORT— Huddart-Parker (rod.) —- 2 11 6 WOOLLEN— Wellington (ord.) ... —— 6 3 6 COAL— 1 12 3 Westport-Stockton (ord.) Oil Ditto (pref.) 0 3 3 TIMBER— ■F\* *i u 10 9 119 Levland-O’Brien 1 17 6 BREWERIES— New Zealand 2 0 6 — Staples and Co 117 .0 •— Tui 2 0 0 — MISCELLANEOUS— C. M. Banks (ord.) .. 12 0 — British Tobacco (Aust.), 1 19 6 2 0 0 Electrolytic Zinc (ord.) (cum. div.) 1 11 3 —— 3 8 6 .—- N.Z. Farmers’ Fer4 0 0 Dominion Investments 12 6 x — N.Z. Paper Mills .... — 0 17 0 Sharland & Co. (ord.) — 10 9 Well. Queen's Theatre 10 9 —- Wilson’s Cement .... 1 17 6 •— MINING— Mount Lyell 19 3 —