BRITISH TRADE

Hokitika Guardian, 23 October 1929, Page 2

BRITISH TRADE

FORTNIGHTLY REVIEW. , . • - V :., ... • ': ' - DEPRESSING WEEK ON STOCK . ‘ : EXCHANGE. ' LONDON, October 19. The Stock Exchange had a distinctly - depressing' After a fairly cheerful beginning hopes If improvement were sbat'fel'ed by 'a fresh outbreak pf which grew more ijjtense daily. It came from all quarters, the ..result; being that a wave of pessimism swept through the markets. Scarcely any section escaped, investments being as depressed as speculative shares. Gilf-edgeds began the week with a shovy of strength, stimulated by the improving monetary conditions,/ the Bank of England’s acquisition'of gold, and the steadily advancing sterling to dollar exchange rate, but those factors did not cheek the ,‘liquidation which se£ in, and the later downward . movement ; of prices. Australian’ stocks dropped persistently all ; the • week in consequence of thri elections. There were drops in' thirteen issues, ranging from, five shillings to one pound per dent, compared with ThtirsdajVs cabled qudfatiqris. Loans of every State, fis; well'as the Cbmmpnwealfdi,' were effected.; It should be pointed out, hdWeveVr that the /lolls fire licit the remit. of any exteniive selling, but, with the market* depressed, dealers arefnnwi,Uii)g tp take etpek . except at io>ver‘ levels.. ; •'" " TIN, MARKET. ; . '

.•' Drift of the outstanding events of the week hp been the 4rop, : in the jirice pf tip; ■ T’HTs fell on Tuesday to £lB9 16s 3d, the lowest August, 1923. Yesterday it fell further to £lB4 18s 94, a new low record, which makes. *a striking contrast with £226, the highest price last year. One pf , the most authoritative metal fpmmenfators says; the ‘condition of the market Is .anomalous, because the statistical position,, apart from the concentration, of abnormally heavy stockb/in Britain, favours a moderately optimistic' v'lew,: instead of the undiluted pessimism which led to wide liquidation and general distraction this r week. 1 There are rumours that some producers -in the East are withholding their- output from /the Bmeltere;r rather than ficcept the present prices. ; ' ;

<- . • WOOL TRADE

The Bradford ivool trade is still hampered by a prolongation of the wages dispute, but a definite - settlement is expected within a fortnight. Meantime there has been « increased aotiyity in' merino tops, Which have a geheral inorease of. four pence within the. last ten cloys The “YorkBhiro- Post u says: ,“This rapid upward piovenient i* evidence of the extent to which the spinners failed to cover their l requirements for the immediate future, ' The recent advances In tons hate already affected the ? wool sales dh but , a -more , sober feeling is- notieaahle 'in Bradford, which > is' playing , for time to see if a jitesponse comes 'fropi the cloth end fo the -trade;” The withdrawal of so mtfch' wool from the first half of theiliAustraiian selling' season is not having the desired effect, as many manufacturers refused to follow, the rush which sent up prices. If growers do carry forward one third pf the offering to the-second half, of the season it' will prejudice owners in the {few Year. Thjs/week’s, advances .in tops! only;, strengthened the determination to gp cautiously '/rather than buy in fear of higher prices in • the hew year. ; Immediate requirements iiavp been covered, and. the consumers jn Yorkshire are likely to w,ait rather than speculate, and let the growls have the risk of carrying the supplied of raw materials..