BRITISH TRACE.

Hokitika Guardian, 28 April 1925, Page 2

BRITISH TRACE.

— FORTNIGHTLY REVIEW

Ti l F STOCK K.YCriAXG I

BOX DON'. April 2 A

The Stock Exchange closed yesterday in a decidedly cheerful frame of mind, after a neck of steady improvement. Members’ views regarding Tuesday'-.! Budget became increasingly optimistic throughout the week, and anticipation that there will be some relief from taxation is now general. This feeling has been rcllocted by an appreciable hardening of prices in most markets and a good prcfcs.siounl demand has arisen, especially for giit-edgeds, in anticipation of a strong, inquiry from the public next week. The one weak spot has been t! a home railways group, in which prices declined seriously owing ti tears of labour troubles, but the prevailing optimism has spread even to this market and there was some recovery yesterday. IMPROVEMENT OF 1)01.BAB EXCHANGE.

The outstanding feature of the foreign exchange market lias been the steady improvement of .sterling in New York which to-day stands at the highest point recorded since the war. 'flic strength of the market generally is attributed to anticipations that Mr Clnireliill will announce in It is Budget statement that Britain is returning to the gold standard. There are also reports from X'cw York that a group of American hanks is prepared to form a credit of 100,000.00:> dollars to insure the Bank of Kngland’s reserve against any risk which may prove incidental to the free movement of gold on this side. It i.s pointed out that the substantia] interests of American fin mice nil favour a real monetary working alliance with this country and keeping sterling at pari tv when once it reaches there. THE MKTA'B MARKET.

According to the report of a leading metal broking linn there is evidence that the wave of depression which passed over the lion-ferrous metals market following on last December’s exaggerated optimism, i.s losing force, and there is a suggestion that the bottom has been reached. During the Inst few (lavs a great change has come over the temper of the markets, and signs of returning confidence have been evident. In connection with the metal trade, a Berlin correspondent states that German trade papers report that English metal firms are acquiring interests in old-established German enterprises. It will be remembered what an outcry there was when the outbreak of war revealed that the world’s metal trade was in the hands of Germans. Tt appears the tables now are being turned.