BRITISH TRADE

Hokitika Guardian, 20 November 1929, Page 2

BRITISH TRADE

fortnightly REVIEW.

LONDON STOCK EXCHANGE DEPRESSED.

[United Press Association.—By Electric Telegraph.—Copyright.)

LONDON, Nov. 16.

Although no rainouncemont lias yet been made regarding the result of the Government’s new 5 per cent conversion loan, which closed yesterday, it is generally believed that cash subscriptions have been satisfactory during the last few days. Prospects of easier money -rates have stimulated the applicants, and large amounts have been subscribed. The position has been further helped by the reduction of the New York bank rate. This has given rise - to the expectation that our own Bank rate may he lowered next Thursday.

Despite the improved monetary position the Stock Exchange has been depressed chiefly owing to the relieved weakness of the New York am] Continental Stock Exchanges, Glltr edgeds alone have maintained a firm front, industrials having generally suffered from a considerable amount of forced liquidation. This hast even, been the case wit'll many stocks of admittedly high status, which are usually able to withstand tho shocks which affect the more speculative issues.

WOOL TRACE. Tho opening next Thursday of the last series of wool sales for the year is being awaited with more than usual interest. Most traders .expect values to rule at least 10 per cent affiove the lowest point of the last sei ies, and seeing how well wool is selling in overseas centres, this expectation seems likely to be realised. The tone all round is more hopeful and an improvement in the Bradford market for 64’s tops, which have now recovered almost 6d a lb from the lowest figure, leads, to the hope that 1 confidence will he strengthened further.

WHEAT IMPORTS. Huge imports of wheat, continue to arrive and last week shipments to this country amounted to 302,000 quarters, practically all from Argentina. It is estimated that there is now in Britain three times as much wheat as is held normally, or enough to supply the needs of the population for about three months. Altogether in the first ten months of the year Argentina sent us 37,003,000 hundredweights of wheat, which is about 2,03D,0C0 hundredweights liloi*e than Canada and Australia combined. Millers are benefiting from tho position, but there is no indication of any further fall in the price of bread, a four-pound loaif in London costing 8-)d.

DAIRY PRODUCE. The butter position shows no improvement and the downward movement has been accentuated, according to the market report of one of the leading importers by offers made from Australia for prompt shipment at 135 sto 160 s c.i.f. This has made buyers uneasy and they are not at all keen to pay 12s to 14s mol’e for their current supplies. It is apparent that all retailers are now working down their oold-stored stocks to the lowest possible basis, and it is only reasonable to expect an improved demand before long.

SELLING ORGANISATION. An interesting development in the provision trade is the commencement of operations by Empire Dairies, Limited, which is an amalgamation of the Overseas Farmers’ Co-operative Federation and Amalgamated Dairies, Ltd., two of the largest dairy produce interests in Australia and Now Zealand respectively. Empire Dairies Ltd., has just gone into occupation of an imposing eight-storev building in a commanding position at the corner of Tooley Street. The basement and ground floor provide excellentshowrooms for butter, cheese and eggs, the floors above being used as offices. This establishment has :i common selling floor and it, is hoped to oliminata - wasteful marketing com. petition between Australia and New Zealand butter and cheese. Eventually similar floors will be established in the principal marketing centres of Great Britain,