COMMODITY PRICES

Hokitika Guardian, 25 November 1930, Page 2

COMMODITY PRICES

“BUMPING ALONG THE BOTTOM” With, the commodity markets just as narrow as stock markets, comparatively .small offerings have had an exaggerated effect, says the “Kimuicial Times,” Completion of liquidation will no doubt be followed by irregular recoveries, but a definite termination of the downward movement as a whole and is repl c meiit by a sustained rally can only be looked for when manufacturers ' decide they cannot afford to wait longer to replenish supplies or to once more carry reasonable stocks. This feeling will probably wait to some extent on the further fall hi retail prices which is needed to stimulate consumption. What will finally bring about flint change of view or sentiment it is impossible to forecast beforehand. Loudon seems to anticipate that it will he developments of a 'political or semi-political nature, and rumour has boon busy canvassing the possibilities of an early election ; bow whatever party may he in power will dciil with the next Budget, and what, if any, effect the deliberations of the various party committees now considering | and problems as unemployment, the i state of trade, and of monetary policy S Jnav have in the liOar future. I Tlie feeling persists that we are bumping along the bottohl, though it ! may he a very uneven bottom presenting some uinspected and disturbing irregularities, Markets are now in such a technically sound state that they are readier to respond to moderately K°°d ; news' than to unfavourable factors, ' other than what might be termed major factors.