FINANCE AND COMMERCE

Hokitika Guardian, 30 January 1932, Page 6

FINANCE AND COMMERCE

, FORTNICHTLY REVIEW. IMPROVEMENT ON STOCK EXCHANGE. LONDON, Jan. 23. The improved tone on the Stock Exchange, which marked the opening of the year, has been maintained. Prices have hardened in most sections. Several factors have contributed to make investors more confident, the most notable being the Government’s announcement of huge income tax payments received' in the first sixteen days of January. Another satisfactory feature has been the knowledge that Continental countries were buying considerable quantities of stocks here. The general improvement on Wall Street has also had a. good effect and yet another good point is the possibility of a reduction of the Bank rate at a not far distant date. Gilt-edged stocks led the way in the upward movement, Australia being especially strong. New Zealands, which hitherto had been rather out of favour, showed large advances compared with a fornight ago. It is generally thought that the improvement is likely to continue, though it may be that profit-taking will cause occasional setbacks.

One interesting event has been the issue of the first Colonial loan for many months. The Mauritius Government’s £500,000 loan at 5 per cent, 1951-71, issued at 98*, proved so attractive that it was subscribed nearly four times and is quoted at H premium. WOOL TRADE REVIVAL The wool textile revival in Yorkshire is spreading. According to the Bradford correspondent of the “Daily Tele; graph, ’’ there is great activity in the West Riding mills, which’ are engaged in a big effort to supply the home market with dress goods and hosiery, formerly obtained by the advantageously placed Continental competitors. SEARCH. FOR SITES. Such is the revolution that occurred in production for the home market, consequent on our abandoning the gold standard and the imposition of import duties, that some of the displaced foreign competitors are making inquiries, either for mills or sites in the Bradford district. French and German visitors are exploring the possibilities of starting the manufacture of light dress goods. One German firm wishes to set up a clothing factory and a Swiss concern, is anxious to make art silks in the Huddersfield locality. A Dutch undertaking wants a or Dewsbury for the manufacture of carpets and curtains and other things.

EGG MARKET. The Australian egg season lias practically finished, for though a few parcels have still to arrive, they are very small. Unfortunately the market has been most depressed, for production and maintained supplies have been very heavy consequently the best price obtainable for Australians was 10s for fifteens and 10s 6d for sixteens. Although the present values are the lowest of the season, Australian shippers' have not done so badly, thanks to weeks when sixteens realised about 16s- Average results for the season are expected to be about 12s for fourteens, 13s for fifteens and 14s for sixteens. When the exchange premium is added to these prices, that must be regarded as satisfactory.