BRITISH TRADE

Hokitika Guardian, 13 August 1929, Page 7

BRITISH TRADE

FORTNIGHTLY REVIEW. ANXIETY REGARDING BANK RATE. (United Press Association—By Eleetn Telegraph—Copyright). LONDON, Aug. 10. The Stock Exchange resumed business after the bank holiday in a cheerful frame of mind, thanks, chiefly to the improved conditions of the money market, following a rise of Paris exchange about the gold export point, and the conesquent cessation of the drain of gold from the Bank of England. With the fear of an advance in the Bank rate thus allayed, there was general improvement in prices, giltedged securities, naturally leading the way, 'but the rise in the New York Federal Reserve bank rate came lijcc a bolt from the blue, and rapjdiy transformed the cheerful position into one of depression and anxiety. There was general apprehension that an early rise in our bank rate must follow, consequently business yesterday was almost at a standstill, with dealers marking down prices as a precauton. Fortunately, there was no pressure. tr sell, and a measure of confidence was restored in the afternoon by the ban.’of England’s statement that the rise in the New York rate did not necessarily connote an advance in London. As a consequence most markets .rallied, and a somewhat better feeling was noticeable at the close. Uncertainty, however, still prevai’s regard ing the future, although it is generally believed that tlie Bank of England wi’l do its utmost to avoid an increase in in the bank rate, as an advance woifld seriously interfere with the country’s trade.

FRUIT TRaDE. Next week will see the finish of tlw Australian and New Zealand apple season, with the marketing of the Liverpool portion of tlie Huntingdon cargo. The market is still good for Xtojnjpiqp apples, as supplies from, other soilTcep are restricted,, only moderate. qgqjHjties having vel arrived from and the Continent. The fact that supl; good prices are being realised so;]ate ir the year is, of course, largely-attribut able to supplies from Australia ‘grid New Zealand this season only totalling 1.443,000 boxes compared with 3.950,000 last year and 1,716,000 in 1927. ■ . j ' , * , ■*’ -v 1 RETAIL MEAT BUSINESS. / According to the report of the Fort! Council retail butchers haye been' doing well lately.. “The results of" our inquiry,” states the report,' “are tha 1 the financial position of retail butchers has not only improved since the war. but has improved out of proportion to the increase in the general cost of Hvr ing. Even the reduced profits of. 192728 represented an estimated -return or capital of nearly 25 per cent.” The report attributes the progressive increase in the incomes of retail butchers for the three years..l92s-27 to the fact that there had been a falling wholeasale market which enabled them to obtain an 'unusual rate of pro-, fit, as they onlv adjusted retail pricer to wholesale after considerable delay.’ARTIFICIAL FIBRES AND WOOL. A writer in the “Yorkshire Post” makes some interesting remarks regarding the increasing competition of artificial fibres with wool. After quoting the statement of Mr Tout, presient of the Australian Graziers’ Association, that he does not think there h any danger of Australia losing th< proud position of having the greates l wool markets of the world, .the writer says: “After reading a technical paper dealing -with the ’ future of artificial fibres, it is felt that Australia’s pride in her superiority in the wool market is in serious danger of being undermined by the rapid advance in tb f manufacture of artificial fibre. It is a disturbing fact for Australia that world production of artificial- silk, alone, is now reputed to be equal to the clean-scoure content of the whole of the Australian clip.’’ Referring to a statement in Dal gety and Co’s review to the effect of the craze for artificial silk, which it was stated would probably last foi; some time, but that sooner or later a revulsion of feeling would come, the “Yorkhsire Post” says: “Those in the artificial silk world do not view the. question from this angle. Scientists have determined to produce an artificial fibre which, in appearance, durability, beat-retaining and other properties, shall rival wool, with the added advantage of greater range of colour, and more fascinating shades than p'ool lias yet vie’ded. It will lie a- pity if, in the contest for superiority in the world’s markets, the importance of the advance of artificial fibres is underestimated by the wool-producers, aqd wool-jisers.”