TRADE REVIEW.

Hokitika Guardian, 24 December 1924, Page 4

TRADE REVIEW.

HEAVY NEW ISSUES. LONDON, December 20. There has been tt glut of new issues on the Stock Exchange this week, the capital inr'.’.ved amounting to about .C12,250,00th These have had an unsettling effect on the gilt-edged market, which further was affected’hy liquidation for what are known as windowdressing operations in connexion with the end-of-tlte-year operations. There lias, however, been no serious decline in values, and there is an underlying feeling of confidence which promises well for an improvement after the holidays. The foreign bonds market luis been enlivened by dealings in the new Greek loan, floated under the auspices of the League of Nations, which was enormously over-subscribed. A large number of applicants received under -I per cent, of the amounts they applied for and there lias been a great rush for it. with a premium maintained at about 7 ner cent. STERLING FIRM. In the foreign exchange market, chief interest lies in sterling, which closed firm at 1.71 dol. The main support comes from America, where sterling is still talked of as likely to he higher, and there seems tt possibility of strength being maintained till the spring, when the rate usually improves. The market for till non-ferrous base metals continues firm, and feeling regarding till of them is optimistic, for there seems no present indication of anything likely to cause a serious setback on either side of the Atlantic. The position of load appears particularly strong, and apparently there is no sign of any relief from the shortage of supplies, barge contracts for pig lead have been placed at high prices tor February and March, shipment. Values in the United States have been advanced to tt very high level, in order to prevent export sales, and to attract Mexican lead. Tints Europe is ((impelled to fall hack largely on Spain and Australia with fair supplies from iliirtna and Africa. WOOL uI'TLOOK. Discussing the wool outlook, in connexion with the sudden decline of prices at the New Zealand sales, Rradford newspapers point out that the underlying factors governing the wool situation have not changed. There is good ground for stating that current supplies are unlikely to exceed the require, incuts of the world's textile industries during the next nine or ten months. It America maintains the present rale of machinery activity she will have to buy ehavilv in the early months of 1025 to enable her nmniifacttirers to tide over the period till the domestic clip comes into the market.

(lermanv has bought enormous weights of yarns at prices not far helium current quotations. Spinners who handle German trade feel quite confident regarding the coming year, though it is possible that it prices went still higher the German market would fie adversely affected. TV purchasing power of Central and Eastern Europe is so low that if the price of wool and clothing gees beyond tt certain level the 'demand will he forced to cheaper fabrics.

The Home trade outlook has (listtolling features the most serious of which is the bugbear of high prices, which are hound to make trade difficult. Mere prices more reasonable, one could more confidently predict a health trade expansion. hut as it. is. the teudenev is in the right direction. 'I here is no rea.,i)ii t'i fear a break' in prices. lilt; FRENCH VINTAGE.

Experts' forecasts, made in September. that the l , 'rcnch vintage would he pour, have proved fallacious, for, to the general surprise, official returns show that in some of the prim-pal districts tile vicld far exceeds that of 102.1.

|o Hu. four departments, lloniult, Ando. Gat'd and I'yrenecs-Onenlales, v, Id' ll provide roughly halt the I* I'ciirh \ mid. rhe total is estimated at neat ly 2V,i:<l.i:in hectolitres, an increase of 2.7n0.tr. 11l over P. 121. The four principal districts of the Champagne region show a yield double that ol 102.1. and too Gironde Department- yiejd is .T.f'dl.T. I (to hectolitres, which is nearly 7(10.(10!) in excess of that of 1021.