WELLINGTON NEWS

Hokitika Guardian, 6 October 1925, Page 4

WELLINGTON NEWS

TMK STRIKE AND MONEY. (Special to “GuardKn”.) WKI.LIN'tITON. Oct. The hold-lip lII' oVwlsrUS shipping lies jiiine I'iir enough now ti> i ii use luinkei's in view the situiitiiui with sumo concent even if the strike were to etc.l :uiv. the dislocation r.iiisod to shipping uill leiiii to delays in the despatch nl [ilO'lllle. mill baldo-ls will l.e miller the necessity of helping their clients iur nrtu-unl periods. m hit'll menus that esiru credits 1110-' lie tiuiiid. In clew ul' this hunkers lire :i<■ litipc with it good ileal of eiiiition mid it is possible that

some sections of the business community lit list ho content to borrow less from the batiks so that the latter may help in the country's export trade

which has been dislocated by the slopping strike. Perhaps the position would not lie so difficult- lor the banks were it not for the fact, that deposits which would naturally How into the banks are being diverted through the attractive rates offered by rompeling concerns, the Ptd be I rust Ollier bring the greatest offender in this repect. In - competition o| this concern lias also forced the building and investment companies to raise their deposit rates and it. is possible to get o per tent, for deposits fixed for one or two years. If tiio demands on the banks are persistent because of (he shipping strike they may be forced to take steps

to attract deposits, which can bo done bv raising tin l rates, hut in that (-ase tiie rate for advances would also ls« raised. Hankers arc also concerned with the drop in sterling exchange which may result- in the Bank of England discount rate being advanced, and money becoming dearer generally. Ihe elect ions, which will he in full blast now. must upset retail trade and cans" other disturbances ot an economic character. A significant I cat it re ni the monetary situation is the dullness mi the stock- exchanges. Investors are not aeutally censing to buy. hut they . ;l n see no investments that have any prospect of appreciating. Furthermore tSiev are tired of the low rate ol interest Hint, is obtainable from the better class of stock exchange investments. Government stocks and bonds have lost their attractiveness for investors. even tho dj per cent, which at one time were strong at up to CIO'-’ anno only worth £lO.l. Hank shares continue firm, the sharebrokers are finding business very quiet, and some ol them believe that the general election to be followed by shows, races and the Big Exhibition there is little chance of the share market showing any activity.

TO Fillin' A .NT) STRIKE. The Prime Minister having let h'-o.'-e some mild thunder about the strike the Wellington Chamber of Commerce Inis contributed its share ol the thunder and offers to support the Government in any action that may be considered necessary. this is all nice stage thunder and does not get auv further forward. The strike lias already done incalculable harm and is destined to do a great deal'-more. One may ask what can the Government <l,l in this matter, and what can any Chamber of Commerce do f Making statements and passing resolutions won't get the ships moving. 'I he seamen will) have refused to work have alreadv been punished, and it they continue contumacious they can be kept in gaol, hut that again 'vou'fmove the ships. The ships can nl course he manned by tree labour, but wlmi is tin- reward of free labour alter t.he strike is broken' One speaker at the Chamber of Commerce meeting remarked that what happened in HM3 with tin- shipping strike K likely to happen again. It I Ite-o- idle seamen are not prepared to take their hilts to sea. men arc coining down lion! the ciuntrv |n c-'-operate with the men ot j lie cite in handling the steamers. This is brave talk, hut there is tin eleclion on just non and i lie candidates won't like to see men leaving tlmii districts and not vm g. I uh-s s Cm seamen voluntarily r. sume work. thr-r'-j„ every chance of the strike continuing for vnu- weeks longer: it it docs so. then it will become the concern ol the whole of tin' people ol New Zealand to roe that the strike is ended and when the whole ol the people move the.\ won’! give stage thunder. F--> lar the strike lias done not perceptible harm t i: has. however, helped the profiteers. A- soon as the people feel the pinch of (lie strike, they will wake up and take in-Goii. Every day the -trike i-mlinues lessens the politieal pro-pec'.s el the Labour Party.