BRITISH TRADE

Hokitika Guardian, 10 September 1929, Page 1

BRITISH TRADE

FORTNIGHTLY REVIEW. HIGHER BANK RATE FEARED. LONDON, September 7. The monetary position has dominated the Stock Exchange for some time past, the fears regarding an advance of the Bank rate have conterbalaneed the effects of the satisfactory Hague settlement with the result that the gilt-edged market, generally, is dull arid heavy. The only redeeming feature nas been the Victory Bonds, which have benefited from the reinvestment of bonds redeemed at the beginning of tne month. Dominion and Colonials have been very dull, with prices inclining downwards. In the almost complete absence of any public interest in them, there seems little prospect of any improvement this, month, for the risk of an advance of the Bank, rate is likely to continue till the beginning of October. COMMON Yv EALTH BILLS. The successful tenderers for the Commonwealth of Australia Treasury bills have no reason to regret the investment, for there has been quite a good demand for these bills at a shade over 6 per cent, discount. They were allotted at an average of £6 3s, so that sales at 6 per cent ivould mean a good profit. It is believed tliqt the demand, for these bills comes' from thp big in> surance companies, and as about 61 per cent on the actual capital invested is still obtainable on them, the demand for them by such institutions does not cause surprise. \ DAIRY PRODUCE. Although business in butter cannot be described as brisk prices remain firm. The continuance of the hot weather is causing a decline in Continental proauction, and, with prospective arrivals from New Zealand and Australia during the next few weeks on the small side, a further hardening of values seems not unlikely. Not much business has yet been done in New Zealand butter for forward shipment, as importers consider the prices asked by factories are too high. Consequently, it looks as if few early shipments from New Zealand will be consigned. TIN PRODUCTION. , Discussing the formation of the Tin Producers’ Association the “Financial News” says: ■ “The fact that executive committee embraces such a representative membership may be taken to indicate that the association has the support of the British tin industry throughout Malaya, Nigeria and the East, and any action taken will have behind it die undivided backing of over 90 per cent, of the whole British tin production.” The “Daily Telegraph” says: “The movement may have beneficial results, as the association does not seem to be concerned with stabilisation of prices or devices to regulate supply and demand. Its activities, therefore, will be watched with interest. WOOL TRADE. News of the opening ot the new wool season in Australia, on a basis confirming Bradford’s recent prices for tops, has been well received, the Yorkshire idea being generally prevalent that we may expect a termination of trie unsatisfactory conditions which have existed for many months. The “Bradford Observer’s” trade correspondent writes: “It is interesting to learn that growers are fieely meeting iiie marker and readily selling upon a very considerably lower level than that obtaining at the final Adelaide sale of the past season, to say nothing of the price ruling a year ago.” The “Observer” continues: “Unquestionably they are pursuing a wise course. Experience lias proved that, for reasons beyond anyone’s control, wool last season was sold at , prices wiiidi were not warranted by trading possibilities in the consuming centres. It is satisfactory, therefore, to know that growers appear to have abandoned any idea of receiving fictitious prices for the new clip, when, as a matter' of fact, a considerable volume of last year’s production, which certainly was more than was anticipated still remains to be consumed.” ———————