GENERAL ADVANCE

Dominion, Volume 28, Issue 87, 7 January 1935, Page 7

GENERAL ADVANCE

Stock Exchange Prices In Britain BOOM IN GOLD SHARES Possible Chinese Market for Australian Wheat DEPRESSED EGG VALUES Bv Telegraph.—Press Assn.—Copyright (Received January 6, 6.30 p.m.) ■ London, January 5. The Stock Exchange year opened auspiciously with strength developing in all sections, and business expanding with an almost general advance in prices. The gilt-edged department is particularly strong, several British funds reaching new high records. :i position which seems likely to be maintained in view of the prospect of a prolonged period of cheap money. Industrials are also showing much activity, and bank shares are firm following the announcement of satisfactory results by two of the “big five,’' Barclays and Lloyds, both of which maintain their dividends and show substantial increases in the year's protits. There has been a mild boom in gold shares in the lust few days, a# the price of the metal advanced The “Spectator's” financial editor, discussing the New Year prospects, describes the extremely optimistic views held on the Stock Exchange, which anticipates a further rise in nearly all public securities, and regards the prospects of home trade as particularly hopeful. The writer gives a word of caution against too much hopefulness, and concludes by saying he believes that for the first half year, at all events, there is likely to be a consider able increase in activity in both finance and home trade.

Discussing the prospects of tne wheat trade and chartering, Lloyds List says it is generally believed that iu the absence this year of subsidise! American wheat, Australia will find a very much better market for her exportable surplus in China than she did last year, indeed, no surprise would be felt if the bulk of the Commonwealth’s surplus is eventually shipped to the Far East rather than to Europe Whisky manufacturers and barley growers are renewing endeavours to ob tain some remission of the heavy excise duty on spirits. They point out that excise receipts continue to fall, the net Customs excise receipts from spirit duties in the financial year 1933-34 amounting to £33,452.805. compa r..-d with £51,053,60S in 1924-25 it is suggested that with a lower duty consumption would increase, and that a reduction of duty sufficient to permit whisky to be retailed at 10/- a botc.e instead of the present 12/6 would bring considerably larger sales. 'rhe egg trade has gone from bad to worse. Abnormally mild weather prevails all over Europe and Great Britain has not yet seen a sign of frost, consequently production is heavy, larger, indeed, than it usually is at the beginning of March. Supplies from all sources continue on a plentiful scale, and there seems little prospect of any improvement in prices. The only hope is a change to cold weather, which might steady the market, but in any case the recovery will be too late to do much good, and it seems probable that the season’s average prices will be hardly remunerative.