Finance Stock and Mining

Free Lance, Volume VI, Issue 282, 25 November 1905, Page 5

Finance Stock and Mining

THE wool sales held in the colony &o fax show very favourably foi wool-growers. At the sale held in Wellington last week, the prices tooped those obtained at the opening saw of last year, and all descriptions of wool shared in the advance. New Zealand wool-growers must make ;.. good round sum an their clips this season, and it is not surprising to leain that the wood districts show healthier financial condations than do the dairying districts. . • • It is impossible to speak with any assurance as to the future of the wool market. The immediate outlook ..s good', and for the London sales, which begin on Tuesday of next week, growers should find values very firm. The representatives of London, houses and English and Continental manufacturers, have been buying wool freely in the colony, and at full rates. We may expect to see an increased output, with a cleaner and better fleece than in the past two seasons. A good wool season means much, to the colony. • • • Opinions differ as to the prevailing economic conditions, and the discussion on the subject is in part due to tihe elections. Trade may not be quite as active in. some directions as those interested would like. At the same time, it cannot be said that there are any signs that our long-drawn-out prosperity is on the waine. • • • If people would only consider the position, and let recollection come to their aid, they will remember that the last two weeks in November and the first two weeks an December are always more or less dull, because people m all stations of life are curtailing expenditure with a view of saving money for the Christmas holidays. To judge the year by the experience of a particular period is stupid, and to expect tradespeople to speak with cheerfulness when money is not rolling m is useless. There are some people who 6©em *o think that the cause of any trade depression that may exist is due to overspeculation in land, but mo one has seen fit to adduce some evidence in support of the opinion. The earth hunger has Been a marked feature of the colony for some time past, but it seems when this is manifested as regards farm lands it is a good indication, and the reverse when it is manifested in urban and suburban lands, which appears to be a very ridiculous contention. m It will be freely admitted that we, as a community, have been unusually prosperous for the past five years or more. This means that the wealth of the community has increased, and surely it will be conceded that in seeking investment in land the best outlet for tihe wealth, is being sought. There is, perhaps, speculation in land, but it seems to be fully warranted' by the economic conditions of the country. There may be over-speculation on the part of individuals, but to ascribe this to a commuoiity as a whole is nonsensical. At all events, it is pleasurable to note that land values are being well maintainecT, both in city and suburbs. • • * The money markets of Europe are stringent, and! in London the stringency is most pronounced. For four weeks or more the discount rate in the open market has stood at 4 per cent., and the Bank of England is beginning to feel the good effects of the high rate. The metal reserve is expanding, and the gain during the past two weeks has been close upon a million sterling. It is: not likely that there will be any change in the rate until •the new year, but, in saying this, some reservation must be made because of the disturbed) state of Russia. • • • Locally, there isi the usual cry o«money being tight. Some tradlers get bilious over very little. The shortness of cash is purely temporary, and the reason for it is fully explained in the preceding paragraph. As a matter of fact, there is an ample supply of money for all purposes, and if tne weather holds fine during the Christmas holidays the expenditure will be on a liberal scale. The outlook for local trade generally is good, because the export trade is so promising. • • » The firmness displayed by the sharemarket, and the hardening tendiemcy of

values, have not called forth, the pessimistic remarks as to over-speculation, and it may be because -the number of investors in shares is restricted. Share 4 command excellent prices, amd it is doubtful whether those who unvest in shares make as much money as those who buy land for tutra-over. • • • Bank of New Zealand shares have firmed during the week. Buyers bid up to £6 16s, but sellers are holding otut for £7. National Bank shares are in very firm demandl at £5 14s. Insurance shares are good property, and are in better demand than for a long time- past. Investors have got over the soar© occasioned by thei opening of the State Fire Insurance Department. There are buyers of National Insurance shares at 22s 9d ex dividend, New Zealand! Insurance at £6 12s 6d, South British at £5 7s 6d, and Standards at 17s 9d. These prices are a distinct improvement oin the values current say two* months ago. « * • Financial shares are all very firm. Wellington Building shares changed handk at 12s 6d. Equitable Building are wanted' at £9 15s, Metropolitan Building at £11 15s, and Wellington Trust and Loan at £7 7s 6d. Ther« are buyers of National Mortgage at £2 19s, and New Zealand and Rive 1 " Plate at 28s 6d, sellers of the. latter holding out for an additional shilling. • • • Gas shares are in veiry strong demand, but holders' are not to be tempted with the present offers. The bids made are for Christchuroh Gas "t £9 12s 6d, Feilding Gas at 23s 3d, Gisborne Gas at 365, Hokitika Gas at £4, Napier Gas at £25, Palmerston Gas at £5 5s ,and Wellington Gas at £18 10s amd £9 5s for the respective issues. • • • In meat shares, exchanges were made of Christehuroh Meat shares at £10 ?s 6d, and Wellington Meat Exports, £2 12s 6d paid, at £3 6s. New Zealand Shipping shares are firm at £5 19s, and Union Steam at £15. Woollen shares are still very much neglected. Wellington Woollens are offered at £3 15s, but there are no buyers. Taupiri Coal shares are wanted at 18s, while Westport Goal shares are on offer at £6 12s. Leyland and OBrien Timber shares are wanted at 425, "New Zealand 1 Times" ordinary and preference shares at 37s 6d, and Ward 1 and Co. Brewery shares at 90s. Other miscellaneous shares are quiet. The disclosure of some of the returns from the Waihi mines and some of the Southern sluicing claims occasioned a fair amount of business. XJndiaunteds changed hands at £8, and Kurunui at 2s 4d, and! there were bids of 19s 6d for Talismans, £6 18s for Waihi, and £2 10s for Pactote. The dredecine returns continue to make « favourable showing, but there is little or no speculation in the scrip.