RISE IN AUSTRALIA

Evening Post, Volume CXII, Issue 83, 5 October 1931, Page 10

RISE IN AUSTRALIA

Prfcw for b«st fleece* and skirtings in ' lh« Sydney market last week • immediately ' teflected the change, and an advance of . « per cent was reported. Competition was ,Wy-strong, and there was increased Bup- ; port from France.and Germany, while good bidding was also experienced from Italy '.' and Belgium. Japan, however, was not quite as keen as earlier in the sales. ' The rfarket showed a general hardening tendency. If, as expected, a fillip is given to ' business in Great Britain, Yorkshire appears likely to require continued supplies . of merinos, as all advices indicate that ; there are no heavy stocks of such wool held in Great Britain. ;: The best post-war days in wool-selling ■' were experienced when the majority of : the'Wld'a large -wool-consuming countries ' were off the gold standard, remarks the •'Sydney' Morning Herald." Those; extremely buoyant conditions are not likely to-be repeated, because larger supplies ot j the staple are now available than were ■town at the time mentioned.. Continental countries with depreciated cuiTcn- ' cieKTiaTticularly France,, enjoyed a rush of business, which caused them to buy ■■ wool with .special freedom. To escape the buying disadvantage m which the state; ot their exchanges placed them in purchasing ■ raw material, the French accumulated gold i; hi London, and German companies transferred their head offices to Amsterdam, = rfolland- If. English manufacturers are :; faced with the same difficulty, they will no doubt take suitable action to offset it. A flow-of business to Great-Britain will probably be. seen. That, flow, .however, is likely to be mild compared with France s ■ experience. Extreme permanent variation in the foreign rate of^ exchange with Lon--ddh ;»; ittproba,ble;- ■ In;- uddition, rtartcci are different. France- .had -the advantage of an invasion of tourists, eager to View the battlefields, and among them rich Americans, who spent money like water. Such an influx to the United Kingdom, is not likely.-America is .less■prosperous. At the same time an improvement in Jmjzland's .foreigfl ■'afld- internal looks certain. , ; ■ ■ .