Finance and Mining

Free Lance, Volume V, Issue 260, 24 June 1905, Page 5

Finance and Mining

THE money maiket calh for no special comment, for theie ha*j been no chaige worth meintiO'iimg. Theie is plenty of money a\ a,liable for certain clasw^. of investment, but ti a die is expen ending the usual winter dullness. There is a dispowitiou m some quarters to give tiut, dullness an exaggerated appeal ance. Mo doubt theie are a few more unemployed about than there were a year ago in the city. At the same' time, there is> a belief that many of tho^e out of work would find something to do m the country dfctricts. - ♦ ♦ » New ZeaJand beano u=> meeting with a poor demand iin the terminal market The H.gh Comnussionei reports that the market us lifeless, and stocks ai c accumulating. The present spot quotation is £2b, which is several pounds sterling below the valuer curront a year ago. Still, £26 is not an unprofitable level. At aJI events, the millers who are not handicapped with heavy royalties and bills of sale ought to make money. The hemp industry has had many ups and d'ownis, and there have been several periods of feverish activity. In 1887 and 1888 their© was extreme activity, and' mills were being erected in alll parts of the colony. Then came a slump in prices with numerous failures, and a long period' of quietness followed. For the paist five years or more the industry has been unusually active, with a steadier level of values, but it is doubtful whet.heir any real improvement, has been effected in the method of prodiuction, or m the providing of an adequate supply of green flax. * * * However, it is not h-kely that we are nearing a collapse, because, although the spot quotation is £26, the offer for distant dehvenes is £27. The manufacturers of binder twine in Europe and America are apparently marking-time, and when millers m the colony resume operations after the winter spell it is not unlikely that the market will have leoovered from its present dullness. If hemp is depressed, the position of wool gives cause for considerable satisfaction. All the leports by mail and by cable go to show that there is an undoubted fhmness m the market, and there is good rea&on for believing that at the next London sales, which will be held! early next month, a strong forward tendency, with an appreciable advance in values, will be recorded. A "Chart of Progiess," issued by the A.M. P. Society, shows their funds in comparison with, forty-nine leading British offices m 1871 and 1904. In 1871 the A.M. P. stood thirty-fourth on the list, with funds amounting to £964,825. ■whereas in 1904 it was second onily to the Prudential, and its funds ueie £20,567,135. The A.M. P. has grown remarkably in the past, thirty veaais and now ranks m the first flight of British life offices. « * • The question of ocean freights has come pnominemtly to the front during the past few weeks, and it is pleasing to find' that general reductions have been made which will prove of gieat benefit to the produceis of the colony Tine reduction m the freight rates for wool amounts to 25 per cent., and is now in force. A reduction is to be made on the rates for tallow, pelts, and leather The rates for butter and cheese have also been, reduced, and in this respect the shipping companies must be credited with generous behaviour. * * * The freight contiaot with the dairymen has two full years to run. and the shipping companies need not have disturbed this agreement. However they have entered into fresh arrangements., and forego id per Ib. on the butter freiehts for the next two years and. for three years sub&equemtly the freight® are less by 3-16 d per Ib. Practically it means that the shipping companies have voluntarily surrendered at least £30,000 a-vear for two years, and they get in compensation an exclusive carrying right for five yeans from date. The arrangement seems to 1 be a good one. At least, the producers have nothing to complain about. In addition to the above reduction, the rates on general cargo have been put back to those current twelve months ago. These rates were raised in. November last. Altogether, the ship-owners have' taken up si commendable attitude, and, seeing

that uuually they are as-vaiiled for aJI sortie of enioi'S, actual and ,ma.gm>airy, it is but fair that they should hot be given oiedit for thear action in reducing rates. Taking the number ot sales reported, the shaiemarket appeal s to have been bnskei than usual. Bank at New Zealand, shares, have been very favourably influenced by the chaiiman's speech at the annual meeting. The fact that the great financial gap, wkicdi at one time was estimated at two millions sterling, will be filled up out of the profits of the current year has changed tha whole outlook, and 1 the shait es have changed hands at £6 8s 6d to £6 10s, a fair pr.ee under the circumstances. We orient c oon to have the details of the National Bank bal-ance-sheet. In the meanwhile, there are sellers of National Bank shares at £5 13s, with no declared buyers ■»-*«■ In financial share,, Wellington Trust and Loan had quittance at £7 2s. Otherwise the>re has been qu etuess, although there are buyers for most stocks. There are bids of £9 5s for Equitable Building, £12 for Metrophtan Bucflding, 53s for National Mortgage, and 27s for New Zealand and Rivei Plate shares. • *• * Gas shareis are all in pood demand, but difficult to obtain. There ai c buyers of Ashburton Gas shares at £4 15s, Christchurch Gas at £9 7« fid, a,nd Gisborne Gas at 365. Insurance shares ar Q still quiet, with buyers at 21s for Nationals ' andi £4 18s for New Zealand*. • * # A little more business has been passing in meat shaies Canteibury Frozen Meat shares sold at £5, and tl ere are further buyers at the price. Gears are wanted at £7 10? and £2 2s 6d for the respective issues and Wellington Meat Export, £2 12^ 6d paid, changed hands at £3 ss. • ■* * Woollen shares are dull but Kaiapois are enquired for at £4 17s 6d. Taupiri Coal shares changed hands at 19s, and Westport Coal at £6 14s. Maurlceville Lntne shares' sold at 275, a.'id Sharland's ordinary at 23s Leyland and OBrien Timber shaies aie in request at 41s. and Mtchels'on T mber shares at 8«. The dredging, returns were bettei than usual, although there were no extra large yields. Many old friends figured in the hist last week, including the Hartley and Riley, which, a few years back, was in a laige measure, responsible for the dredging boom. The dividends have been coming in, and this, perhaps, is the best thing to' convince speculators. The dividends declared reicentlv include Bandy Point, Is pei share • Junction Electric, Is per share Electric, 3s. per share, Golden Gate, 3s ncr share , and Golden Treasure 2s per share.