TRADE REVIEW.

Hokitika Guardian, 17 March 1926, Page 3

TRADE REVIEW.

STOCK EXCHANGE. LION DON, March 13. Tho Stock Exchange has been putting tip a brave fight and a winning one against a. combination of adverse influences which might well have caused a serious slump in values. There have been a panicky fall on the New York Exchange', a political crisis in France with a consequent fall in the franc, fears of an engineering lockout in England, uncertainty about the coal report, and a threatened deadlock at Geneva, The cumulative cfleet of ■all those has failed to do more than restrict business, and the general tendency of prices on the Stock Exchange has been firm with the exception of home-made railway stocks and oils. The recovery of the price of raw rubber has had a corresponding effect on shares.

A feature of the Stock Exchange is the success attending the new capital issues of four industrial companies, which have been subscribed this week. Two, new loans Hinder tli.b Trade Facilities Act have been underwritten, 2,000,000 for the Dormaiii Long Company for the development of their coal mines ill Kent, and £2.750,000 for the Blue Star Line, for tho construction of eight new steamers. Both these issues are at 5 per cent, and nt par, and as they are guaranteed by the Government their full subscription is probable. Other issues are talked about, and a, Brazilian loan of £2,500,000 7 per cent, at £95 is coming next week. Meanwhile nothing is heard of tlie New South A\ ales issue. The prevailing opinion in financial circles is that it is being held up because the Premier wants a higher price than tho Stock Exchange is willing to give. AVOOL TRADE.

Wool traders appear well satisfied with the course of the l London wool sides, as -indicating confidence in the present level of values, hut it is pointed out that this month is a critical one as 500,000 hales will he offered in London and Australia in March, which is a huge quantity to lift under the present conditions. The Bradford correspondent of the “Economist” takes a hopeful view and says that unless something quite tinforfteen. happens, there should he a. steady expansion of business. For months past, manufacturers and spinners have hee-ii. working on hand-to-mouth lines in the belief that values would not hold. There is now a disposition to ncd'jpt the current level as a sound basis of legitimate trade and look further ahead. AUSTRALIAN WINE.

According to trade newspapers, Australia’s wine propaganda is already hearing fruit, and since the advertise- , incut first appeared in the “Daily Telegraph,” on March 3rd. there has been a continuous stream of inquiries regarding the various types of wines, hut even liofore this the demand was most satisfactory and the Board of Trade returns for February show that the home consumption of Australia’s wines for the first two months of 1926 amounted to 191,000 gallons, as compared with 9-1,000 gallons in the corresponding, period last year, and 128,000 in 192-1. This increase is particularly gratifying as the total home consumption of all classes of wines for these two months was 33.000 less than in 1925. NEW ZEALAND HONEY. Another dominion product- which is benefitting from publicity is New Zealand honey. Not only is this meeting with a steadily growing demand in Great Britain, hut Germany is now taking considerable quantities, which are being offered in 200 shops throughout the country. . BUTTER PROSPECTS The butter trade appears at- last to show signs of emerging from the depression which existed so long, and quite good trade was done this week. Retailers are apparently getting to the end of their stored boxes, and the approach of Easter has also stimulated sales. Another source of demand has been Canada, which has taken 40,000 Ivoxes of Australian butter off this market. Against this improved demand must he set the fact that there are large stocks stored here, and that the European production of butter is likely to increase steadily.