The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, DECEMBER 2nd, 1924.

Hokitika Guardian, 2 December 1924, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, DECEMBER 2nd, 1924.

GOLD VALUES. The Australian Gold Producers’ Association reports that the association sold during October (including local

sales to manufacturing jewellers for the September quarter) 02,102 oz. of standard gold at an estimated average price of O-ls lid per ounce fine (says

the ‘‘Sydney Morning Herald”). The average London price for the month was 92s 3d per ounce fine. Deducting costs of realisation and exchange, the net return to the association will be about 90s 5d per ounce fine. After mentioning the movement in exchange from London to 'Australia fcom 70s per cent to 80s per rent, and back to 80s per cent, the association points out that there has been a steady-up-ward movement in the dc’lar-sterling exchange during the past- fortnight, and according to cable advices received from

the association’s New York agents the rate had advanred to 4.021 cents on the 1 0th, inst. Ihe cm 'responding gold 1 rice is B!>.s 3d per nz. line, or 21s per sovereign. As the costs of realisation exceed l.s Id per sovereign (of which 10-1 is represented bv the hank charge of 80s percent, on remittances from London), it is obvious the association declares that gold cannot he profitably exported under those conditions oxl opt to those special markets where a super-premium exists and to which the association has for some time been consigning the Australian output. Sales vs ill he made as opportunity ofler.s, hut in the i ireiimstanees, it is probable that the export of gold will have to lie discontinued unless 11 ml unlit a reaction takes place in the dollar sterling exchange rate, or the discount on London funds is reduced. In regard to the lot ter, negotiations are now proceeding with the hankers of the association. The ‘’Herald" lommcnts as follows: “The quoted rate in London by the A nglo-Au-t ralian Banks for the telegraphic transfer if funds to Australia i.s 70s per cent. But this rate is still nominal as appears from the latest report of the Gold '.l’mduourx" Association. Thai body has been asked up to 85s per eeut as the price of a tidegiaphie transfer from London, but later this rate was reduced to Sits per cent, at which it still stands. Probably there is some reason, known only to hankers for their publishing a rate so lunch lower than that at which i hey are prepared to do business, toil the ordinary eoinun-reial man who placed an artii le in his window at £3 IDs and charged £4 5s or even £4 for it when a customer entered his shop to huv would ho looked upon askance by buyers. He would not long remain in business."