BRITISH TRADE.

Hokitika Guardian, 26 October 1927, Page 4

BRITISH TRADE.

FORTNIGHTLY REVIEW

THE STOCK EXCIIANGI

IjONDON, ltd M

Although l.he gill-edited • ■■cl ion ol the Slock Exchange nmini niimil llu steadiness, despile n number nl new issues, oilier ■ liqiii i i men I - Inivc been irregular, notably cerlilin ol I hose In . duslrin! shares in w hich I Imre lm« been so lunch iielivllv Tecenlly. ’This, apparently, is largely due In profit Inking liy speculators on I lie eve of sett lemeni. 'The Victorian loan lias Inen favour ably commented on, I Imugli some linnti vial papers express surprise nl ils Ihiliilion, ns they (hough! \ usl 111 I ill’s Imrrnuiiiir programme was finished for the year. The price is regarded as rea• .sellable, and a sill isfiu-lory subscript ion is anticipated, although there is unlikely to be any great rush for stock. Regarding (he question of price, il is interesting to note that the Ciunly and Borough of Birkenhead's loan of £1.0(10,000. 5 per cent, stuck, was lloated this week at {.‘loll. The Stock Exchange thought it too dear and the underwriters were left with 7!) per cent. There is a possibility of an increase in the number of trustee stocks and perhaps less demand for Australian loans, as it is stated that the Canadian Provincial Premiers propose lo approach the British Government with a request In make their loans trustee stocks. Hitherto thov have not ranked as such, and Canadian Premiers are anxious that they should have the same status as Australian State loans on this market . DAIRY PRODUCE. ’The butter trade continues very dull, but prices for Australian and New Zealand show little change, and it is generally thought that the bottom has been reached. The statistical position certainly favours this view. tor. according to figures published by “’The Grocer.” a trade newspaper, the surplus at December 31st. will he only 40.1 ft tons, which is less than one week’s consumption. This figure is arrived at thus: Present stocks in mid stores and | private stores are estimated at 20,000 tons; arrivals from New Zealand. Australia, Argentine, Denmark and other countries to December Alsl. are estimated at 14.500 tons; 11 weeks’ eonsumption at 5500 tons amounts to 00.500 tons. Concessions, which the ship- ' ping companies have offered in At'sV tralinn butter freights are welcomed by the trade, but many importers fear that for this season, at any rate, the I quantity shipped I rum Australia will not reach the 40,000 tons necessary In II secure an allowance of 2J per cent. Tl is pointed out that only in throe rov ( .ent years—lo 22, 19‘>o and 1020- have the imports of Australian butter exJ needed 40.00!) tons, while last season the total was only 30,210 tons. It is ' feared that owing to the belated start. Australia will he unable to reach 40.,l 000 tons this season. WOOL TRADE. L Tn a general review of the wool posi- ’’ tion. H. Dawson and Company write: 0 “The principal factors to he eonsidered for the coming season’s policy are that th(‘ season opens with a clean 11 start as regards supplies, that primary s markets stocks in England are lighter 11 than usual, that France is moderately 0 supplied, and Germany perhaps less so, r " hut the machinery there is well employed with good orders to ensure " maintenance of employment. 'There are " evidences of a world-wide call lor 1 manufactured goods at reasonable values and the trade would derive great encouragement front a season of L stable prices with minimum lluctim-

tion.” Tin? report adds: “While the nutlook for Home trade present many difficulties it- is probable that the more adverse factors are beginning to lose force and British industry gradually is recuperating and developing. Tile cost of living is still declining. The balance of the money available for expenditure perhaps is greater. Foreign competition abroad is loss overwhelming and with the lessening disparity in competitive advantage, the excellence of English goods is creating a greater call. It. seems certain that current clips will lie easily absorbed, and a temporary scarcity in consuming centres may force opening prices to a level at which the whole cannot lie marketed, and some decline may he necessary as increasing supplies exori the usual financial pressure and so induce caution.” GENERAL OUTLOOK.

According to the ‘ -'Econoin ists’s” monthly trade review the situation shows a slow hut persistent upward trend. Signs of the times, however, are more than usually difficult to read and it is not easy to say how far the more hopeful outlook of ninny business men is due to concrete developments. Thus figures remain well above the million mark and roicntly tended to rise very slightly. On the other hand the variety of contemporary evidence suggests that the volume of industrial activity lias been

more than maintained. Heavy trades have gained a little ground. The coal output has slightly increased. The iron and steel output lias been maintained at a moderately high level, and shipbuilding is better than for many months.