BRITISH TRADE.

Hokitika Guardian, 5 April 1922, Page 1

BRITISH TRADE.

FORTNIGHTLY REVIEW

THE STOCK EXCHANGE.

London; April 1

A buoyancy of gilt-edge investment securities characterises the Stock Exchange. These markets are not booming as they did in the middle of February, but the tone is strong. British Government securities have received valuable assistance . from the Commonwealth’s bold action in leading the way with a- 5 per cent, issue. This has already caused increased activity among colonials and other giltedged securities and county corporation stocks, while industries show a strong undertone though the volume of business is moderate. THE MONEY MARKET.

It is now generally anticipated that the bank rate will shortly be reduced to 4 per cent, as money is likely to become very easy owing to largo Government disbursements next week. Discount quotations on the open market have already fallen substantially in anticipation of a. general easing of ib 0 monetary situation. FOREIGN EXCHANGES.

Interest in the foreign exchange market centres chieily in the mark, which has shown a great appreciation during the last two days, closing at 825. This is probably chiefly due to the Reparation Commission’s acceptance of Bradbury'S, plan for an organising committee of experts to examine the possibility of raising an international loan for Germany. THE WOOL TRADE.

Brokers’ reports on the wool sales emphasise an increased demand from consuming centres, especially Germany, whose spinners continue to purchase despite high values, fine wools, and the low value of the mark. Another good point is the diminution of “8.A.W.R.A.” stocks of merinos, which, although good snp-

pliea l will be available in a few months, do not exceed what is required nt the present rate of consumption, apart from any possible demand from the United States. The only bearish influence on merinos is the fact that values are too high, for the manufacturer, and some Anns report an absence of forward business, suggesting that quieter times are likely in the near future. Horn,. manufacturers are also hampered by old stocks, which often must be realised upon much below the cost of production. The position of cross-breds is much healthier. The huge supplies available preclude any sharp advance, but competition has developed considerably, and cheap values are beginning to create new markets. The H -.Dawson Company says that the immediate future of the United States wool market is still nebulous. When he home-grown clip is cleared here may be some.modification of the opposition to the Permanent Tariff Bill. It must be taken into account tha. only 40 per cent, of the wool consumed in the United States is grown there, so that fairly extensive operations in foreign markets will be necessary when normal conditions obtain. THE BUTT UR MARKET. The position of the butter market is full of interest. Prices continue to advance and the choicest New Zealand is now fetching 195 s and may possibly ' go higher, as there is a shortage on spot and prospective supplies will he moderate until Home and Continental production reaches full swing about a month hence. Retail prices will again

be raised next week to Is lOd to< 2s for the best colonial, and Is 8d per lb for secondary sorts. The questjon arises whether the consumers will pay these prices or revert to margarine, the mnnufncurers of which are pushing it to the utmost, wfth the result that consumption has increased considerably in the last fortnight, particularly in districts where there is much unemployment, hut tho bulk of the middle classes who arc now enjoying plenty of butter after several years of enforced abstineney, will probably pay the increased prices for butter in preference to returning to a substitute which they generally hated and only used because they were compelled to. By the end of the month supplies will Ix 3 more equal to the demand. Already the Home-made butter is increasing. Milk is so plentiful that the retail price has been reduced from 9d to 5d a quart. GENERAL TRADE OUTLOOK.

A report from official sources on gen eral trade says there is a continuance of indications of expansion of business, though the actual volume of trade is moderate. The steadiness of the improvement causes a general belief that if labour troubles are soon settled the tide has turned and the outlook is bright. «- ?■ T" : * nr “Nature has no moods.”— Auerbach. At no season of tbe year are you immune from the risk of colds or coughs. It is, therefore! a wise plan to keep a reliable remedy such as Baxter’s Lung Preserver always handy.

“Baxter’s.” quickly gel s down to husi-nr-vp._lonscns phlegm, relieves sore, inflamed membranes. The tonic properties of Baxter’s Lung Pre senior also ensure robust health and strength. °s 6d large bottle at chemists and stores,