FINANCE & COMMERCE

Dominion, Volume 36, Issue 32, 2 November 1942, Page 3

FINANCE & COMMERCE

RESERVE BANK Decrease In Sterling Funds The sterling exchange* funds of the Reserve Bank on October 26 totalled £La,827,387, n decrease for the week of £l.565.8’23. The note issue at. £27,590,445 has increased 'by £24)6.504. The statement, as at Monday, October 26, is as follows:

Proportion of reserve to notes and other demand liabilities. 48.134 per cent., compared with 40.4)77 per cent on October IJ. The reserve on October 26 amounted to £25,552,330. a decrease of A year ago the reserve was LI4,JIU,4U_. Sterling exchange on October ’-6 amounted to .£25,827,387 compared with £27.31/3,210 on October 111. a decrease of Liabilities In currencies otliei than New Zealand currency were £46,934 (an increase of .£9719), thus making the banks net overseas assets £25,780,453, a decrease lor the week of £l.-575,5+2. A year ago these assets totalled/£ 11,31+,a-8. nr.n-.rt Advances to the State Marketing Depart meat total £2,067,257, an increase of £7693. A year ago they stood at ‘£6,-3-. 858. Advances to the State for poses arc unchanged at £24,300,000, azalnst £16,500,000 a year ago. "The note Issue .on . October 26 totaUed £27.590,445, an increase lor the week el £296,504. A year ago it stood at £—,l+-,-71 Demand liabilities' to the State amonnt to £9,647,1’20, an increase of-£605,1J4 The trading banks’ r( * e, ’l’. c ;J , “LVnS de--056’264. a decrease ot £Lolo,-fob. Other o<maud liabilities _at £1,087,317 have decreased by £355,653. <■> <-o-vol on+ Tho statement balances at £02,0.4,_04, a decrease of £686,397. Government Stocks (Bv Telegraph. —Press Assn. —Copyright.) LONDON, October 29. British Government stocks are fairly active. New Zealand and Australian are meeting a good inquiry » , ad'-a’ie e d wates. The following table gives the mean stock- Exchange quotations for consols and colonial. Inscribed stocks, compared with those ot October 22.:— Price. Variation.

Gold Mining. Tha Snowy River return last week was 1270 z. for 106 lioura from 17,670 yards. Stock And Share Indices (By . Telegraph.—Press Assn.—Copyright.) LONDON, October 31. ■iPFinanelal Tinies” stock and share indices, with previous quotations are (October' I'3, 19’20, equals 100):—

Dow Jones Averages

jHv Telegra’iili —l’’ess Assn.—Copyright.) NEW YORK. October 30. Dow Jones averages (19’26 mt"a> s WO) and turnover on the New York Stock lx

Mount Morgan Profit Not profit of £127,31+ earned by Mount Jlorgan. Ltd., for the year ended June 30, compares with £45,857 for 1940-41. Orclinary dividends, which were passed theprevious year, were resumed with payment of Bd. a share (‘26.6 per cent.), requiring £78,267. • . With the addition of £hi,99S, being part of tlie proceeds of copper -produced I*l the rear “reserve for stimulating copper production” stands at £37,355, which largely offsets the total of £7B,Gul actuallyexpended in Increasing copper output, the report says. The Mt. Chalmers mine, which the company undertook to resuscitate in accord with the Government plans in increase copper output, should, produce a weekly maximum of ore. within 12 months. Harland & Wolff, Ltd. Harland and Wolff. Limited, earned for 19+1 a profit of £967,302, before providing for depreciation. To this has to be added £18,130 in respect of dividends, etc., received. Provision for income tax on profits to date and the interest credited to the trustees of the stnff pension fund absorb £397,716. £400.600 is allocated to depreciation, and it is proposed to pay dividends for tile year of 6 per cent, on the "A” ordinary shares and ’li ordinary stock, both less tax (the same as for the. preceding year), and Hie amount to be carried forward is £74,268. against £98,4,,+ brought in. Dor flic previous year tho profit, after making Provision for contingencies and providing £406,900 tor depreciation. was (£722.825. and £lOO.OOO was transferred to reserve. Australia’s Wool Production Vustralia’s wool production- since the war. plus the current season’s clip. ' i’ohUl be estimated to provide £260,000.000 for the Commonwealth, said .Mr. JL Bell, chairman, Winchcombe, Carson, Ltd., hyune.v. It; was essential in the national interest that the post-war posltioii .of the wool industry should be assured. Ihe extension of the present contract with the British Government would be imperative to provide adequate time for overcoming postwar manufacturing and trading dinicultics.

liabilities. General reserve fund 1,500,000 0 0 Bank notes 27,590,445 ' 0 0 Demand liabilities — (a) State 9,0-17,120 •J (b) Banks , 21.056,264 0 (c) Other 1,087,317 S :11 Liabilities other than in N.Z. currency 46,033 13 4 Other liabilities .... 1.596,123 11 6 £(N.Z. ) 62,524,204 1 8 ASSETS. Reserve — (a) Gold • • • 2,801,877 10* 0 (b) Sterling exchange .. 25,827,387 10 Subsidiary coin oSjOoo 8 7 Advances — (a) To the State (1) Marketing Dept. . 2.667.256 IS 4 (2) For other purposes 24,300,000 0 Investments 4,455,220 18 4 Other assets 2,4o4,397 £(N.Z. ) 62,524,204 1 S

s. d. d. Consols, 21 P- c - • • Fund. ' Loan, 1900-00 82 114 3 0 9 0 6 0 3 3* War Loan, 3J, 1952 - Conv. Loan, 31, 1901 Victory. Bonds, _4 p.e. 104 107 114 10 11 ox 0 3 1 16 0 1 0 1 3* C’wealth, 4, 1945-To 101 — 6 same C’wealth, 4, 1943-59 . C’wealth, St, 1948-u3 C’wealth, 3i, 19i)G-61 99 96 89 11 10 9 0 same . 0 13 »f 0 12 6t C’wealth, 3, 1955-38 . N.S.W., 3i, 1930-5)0 . Victoria, .3, 1929-49 Victoria,’ 5, 1945-75 Q’land, 3, 1924.-47 87 95 92 10 !■ 91 17 7 15 0 15 6 0 0 0 1 5 Of 0 12 Ot 0 5 Of same 1 5 Of b.- Aust, 3. 1910 (opt.) 74 «> 0 V LV V| S. Aust., 5. .1945-57 101. 0 0 same w. Aust., 4, 1942-62 . OS 0 0 same Tasm., 4, 1942-62 — N.Z,, 41, 194S-5o. .... N.Z.. 3, 1945 t Higher. *Lower. 98 101 98 8 17 ex u o a 9 0 3 6 0 13 interest. VI Of Of

Govt. Home Goldsec’s. rails. trials mines. 1011 (high) . 1041 (low) .. Oct. 20 .... 114.0 112.0114.0 54.3 41.5 63.0 105.9 83.0 112.7 183.3 160.4 150.9 Oct. 27 .... Oct... 28 .... Oct. 20 .... Oct. 30 .... 114.0 114.0 114.0 113.9 63.1 62.9 62.6 62.9 113.1 113.0 113.5 114.0 151.4 151.3 152.0 131.0

change compare as follows °0 Rail- 32 Shares sold. Industrials. 1941 (high) .. 30.SS 133.50 — 1941 (low) ... Ont 24 24.45 2S.T2 100.27 115.01 290,000 28.84 115.20 6211,000 Ort *27 28.70 113.86 , 629,000 Oct. 28 28.64 113.11 496,000 Oct. 20 28.57 113.11 455,000