EXCHANGE

Hokitika Guardian, 4 February 1932, Page 6

EXCHANGE

DUNEDIN RUMOURS. SPECULATORS ACTIVE. DUNEDIN, February 2. Interesting developments in the bank exchange market are anticipated within 'the next few days. 'l'he parchase of English bank notes at banks .in Dunedin to-day wins impossible, although exchange speculators were making strong inquiries. Purchases were made Itvt-o yesterday afternoon by people with "inside information.” A proposal has been made by an Australian bank operating extensively throughout New Zealand and Australia, the feel ling price of which at present is £l4 12s 6d, should be removed, and tha't exchange New Zealand-Londoii should be increased to £25 per cent. The suggestion is strongly opposed, according to reports from other banking quarters, while the New Zealand Government is repotted to be opposed to the removal of Australian exchange and a heavy increase on London rates.

There is every possibility of interesting movements in exchnngejpind speculators are anticipating a rise on London rates. One bank yesterday afternoon refused to sell a draft on London for J 3200 at the current rate. OFFICIAL STATEMENT. \o reason for alteration. WELLINGTON, February 2. The Dunedin message was referred fu Mr J. T. Grose, chairman of 'the Associatted Ranks in New Zealand, who made the following statement : "No siiic.li proposal in regard to alteration in exchange rates as in mentioned 'in the message has been made by any of 'the. Associated Ranks. Ranks doing business in New Zealand are all agreed upon the exchange rates ruling at the present time, and not any one. of them is likely to propose any alteration of 'those rales without notice to the other banks. Present indications are I.bat the ruling rate is approximately correct. It is estimated, as far as can posKj 1)1 y he judged at present, that the efforts from New Zealand this year will provide lor the service ol the country’s debt abroad and will carry tbe- cost of imports also, therefore I here is no reason lor any alterat ion in the present, rales of exchange, New Zealand on London-”