BRITISH TRADE.

Hokitika Guardian, 12 September 1928, Page 4

BRITISH TRADE.

FORTNIGHTLY REVIEW. SHORTAGE OP INVESTMENT STOCKS. LONDON, September 8. Although tlio spell of glorious summon weather is tempting many city men to prolong their holidays, the Stock Exchange is beginning to show renewed signs of activity, and September started with a cheerful tone. Brokers and jobbers apparently anticipate active markets during the coming autumii. The gilt-edged market is firm and unaffected by the unsettled money conditions ill New York; indeed, the market is complaining of shortage of investment stocks, and now jssues would bp welcomed, not only British or dominions, but also foreign bonds, especially those giving high rates of interest, for which there is a strong demand. Several of these are expected in the near future. The first appeared tins week in the shape of the Chilean Government’s issue of ;C2,qqo,opo at 0 per cent sterling bonds issued at flujj-. This gives a flat, yield of £C 5s 7d per cent, so it is not surprising that it was over-subscribed immediately lists were opened.

Industrial stocks have also shown considerable activity this week • notably the gramophone group and tobacco.

SHll’-BUILDING. Britain’s ship-building revival is the subject of an article in the “Statist,” which will be pleasant,reading throughout the Empire. The writer points out that, in actual volume of work, British ship-builders are building almost as many vessels for foreign owners as in pro-war times, and, in percentage of total work in hand, the prewar figures on foreign account are exceeded. “ Our bookings on foreign account for July and August indicate that, in the coming winter, wo shall launch a record percentage, if not a record tonnage, of boats for abroad. Within the last eight weeks British ship-builders have secured contracts for Norway, Sweden, France, Spain, America, Canada, Argentine and Chile. Competition' from America, which was our greatest menace between 1916-1920 has ceased to exist. Continental competition is met to an extent that, whereas in German and Dutch builders were constructing ships for British owners and the Dutch were capturing many repair jobs from us, no British owners are now having a big boat "'built abroad, and our ship repairers, like the builders, are beating competition both in time and price. Britain is now building /twenty times ns many ocean-going . steamers as the United States and about 50 per cent mqro than all Continental countries put together. Clyde firms have booked move orders than in any month since 1920. One huge yard at Belfast is working- at capacity. The other there, which has been closed, has got to work again. All this is undoubtedly in consequence of the ship-building industry having revised its labour conditions, drastically cutting down expenses and greatly speeding up work. It reformed itself without ostentation or Government assistance.. DAIRY PRODUCE.

The butter outlook appears satisfactory. Many traders anticipate that prices will further advance before new season’s Australian and New Zealand butter commences to arrive. The consumptive demand throughout the country is being well maintained, although retail prices are high, and it is certain that retailers must have been drawing pretty heavily on stocks which they purchased a few weeks ago. Production in .Europe continues steadily to decline, and there is no great accumulation of stocks in cold store, so there seems ample ground for taking an optimistic view of the position.-