COMMERCIAL

Otago Witness, Issue 4033, 30 June 1931, Page 20

COMMERCIAL

LONDON STOCK EXCHANGE. LONDON. June 25. The following are the latest quotations for Government securities compared with the prices ruling last week: —

FOREIGN EXCHANGES. BUGBY. June 28. Par. June 23. June 25. Paris, tr to £1 .. .. 124.21 124.2514 124.27’4 Brussels, oelgas to Cl 35 34.93 Oslo, tr to £1 .. .. 18.150 18.1 C% 18 IG% Stockholm. Hr to £1 .. 18.150 18.14’4 18.14% Copenhagen, kr to £1 18.150 18.16% 18.16% Berlin cnarki to £1 .. 20.43 20.48 20.50% Montreal, do) to £1 .. 4.86 2-3 4.38 7-16 4.80% New York. do) to £1 4.86 2-3 4.86 11-16 4.86 8-l«’’ Yokohama, penes to ten 24.58 24% 24% Honakong. penes to dol 25.15 11% 12%

BANK OF ENGLAND RETURN LONDON, June 25. The following is the Bank of England return: —

ISSUE DEPARTMENT.

Note issue in circulation .. £352,831,656 Banking department .. ~ 70,062,760 £422,894,416 Government debt £11,015,100 Other Government securities 232,211,776 Other securities .. .. .. 12,685,092 Silver coin 4,088,032 Gold coin and bullion .. .. 162,894,416 £422,894,416 BANKING DEPARTMENT. Proprietors’ capital .. .. £14.553,000 Rest 3.377,712 Public deposits 25,249,188 Other deposits (bankers) .. 61,643,786 Other accounts 33,519,992 Seven-day and other bills .. 1,360 £1.38,345.038 Government securities .. .. £30.400,906 Discounts and advances .. 9,633,254 Other securities 27,128,948 Notes in reserve 70,062,760 Gold and silver coin .. .. 1,119,170 £138,345,038 The proportion of reserve to liabilities is 59.10 per cent. Short loans are quoted at 2| per cent.; three months’ bills at 2 1-32 per cent. LONDON STOCK EXCHANGE LONDON, June 23. Bank of Australasia, £8 os; New South Wales, £2 10s; Union of Australia, £6 8s 9d; National of New Zealand, 82s fid; New Zealand, 4 per cent., £94; shares, 50s; Loan, Mercantile, 4 per cent, debentures, £65 10s; ordinary stock, £l6. The Stock Exchange is quieter. British funds eased slightly, but Australian stocks further hardened. There were dealings in Commonwealth fives at £7l 10s; sixes, £B4; Victorian threes, £5l; fives, £6B 10s; four and three-quarters, £62; New South Wales fours, £64; three and ahalves, £4B 10s; six and a-halvcs, £75; Queensland fives, £66 10s. FINE GOLD LONDON, June 27. Fine gold is quoted as £4 4s Hid.

PRICE OF OSMIRIDIUM L'ONDON, June 27. Osmiridinm is hardening in price. Tasmanian, £lO to £l2; South African, £l2. NATIONAL BANK DIVIDEND LONDON, June 24. The National Bank of New Zealand has Sbclared a final dividend of 8 per eent., tax free. WELLINGTON, June 25. The general manager of the National Bank explained that the dividend cabled will be payable in New Zealand at any branch, at the current rate of exchange for demand drafts on London on the date of negotiation. As an interim dividend at the rate of 12 per cent, per annum, tax free, was paid in January, the total dividend for the year is 10 per cent. The payment of the final dividend at the current rate of exchange will give shareholders in New Zealand £lO 6s 9d for the year. THE BRADFORD MARKET LONDON, June 25. The Bradford market is definitely firmer, with fair inquiry. Quotations: Seventies, 25d; sixty-fours, 22d; sixties, 20d; fifty-sixes, 13 Id; fifties, 12d; fortysixes, 91d: forties, 91d. LONDON FRUIT MARKET LONDON, June 24. The Somerset’s and the Port Hobart’s New Zealand apples realised:—Jonathans,

Delicious, Cleopatras, Ils to 14s; Scarlets, Ils to 12s; Stunners, 10s to 11s 6d. New Zealand pears: Bundles—Winter Nelis, 13s to 15s; trays—Comice, 7s to 10s; half-cases—Winter Coles, 6s. The secretary of the Otago Provincial Fruitgrowers’ Council advises that the High Commissioner’s cabled report for the week ended June 20, 1931, on the London fruit market, is as follows:— Market firm. Continued dull* weather has delayed strawberries. Tamaroa cleared. Sturmer, Ils to 13s. Somerset arrived yesterday. Mainly Otago, selling at about last Week’s prices. Cox s Orange, 16s up to 30s; pears, ex Rangitane, Winter Nelis, 12s to 15s. BEET SUGAR LONDON, June 25. Beet sugar: July, 6s 4£d. LONDON MARKETS LONDON, June 27. New Zealand Sheep.—Canterbury and North Island selected crossbred wethers and maiden ewes, 481 b to 561 b, sd; ditto, 651 b to 721 b, 4|d; ditto Nor-th Island, 481 b tq 561 b, 4jd; ditto, 651 b to 721 b, 4£d; ditto, ewes under 481 b, 4|d; ditto, 481 b to 641 b, 3Jd; ditto, 651 b to 721 b, 34d; Argentine sheep, first quality crossbred wethers, 651 b to 721 b, 4d.

New Zealand Lambs.-—Canterbury, 3611/ and under, 73d; ditto, 371 b to 421 b, 7fd; ditto. 431 b to 501 b, 7Jd; other South Island brands, 361 b and under, 7-Jd; ditto. 371 b to 421 b, 7}d; selected North Island brands (including Downs), 361 b and under, 7}d; ditto, 371 b to 421 b, 7Jd, 431 b to 501 b, 7Jd; Patagonian lambs, second quality, average 301 b, 6Jd. Argentine Chilled Beef.—Ox hinds, 1601 b to 2201 b, 6d; others are unchanged. Friday’s closing prices were as follow: — , Cotton: July. 5.39 d per lb. 3i^ U^^er ' ara ’ plantation smoked, Jute: June-July, £l6 2s 6d. Hemp: None offering. Copra: July South Sea, £ll 15s; plantation Rabaul, £ll 17s 6d. Linseed oil, £lB. Turpentine, 475. FROZEN MEAT MARKET Messrs Dalgety and Co., Ltd., have received the following cablegram from their head office, London, dated June 25:— Lamb.—The market' for New Zealand lamb is weaker, and the demand is poor. Quotations: —New Zealand prime Canterbury lamb, 28/361b, 7Jd; New Zealand prime North Island lamb, 28/361b, 7d; New Zealand prime Canterbury lamb, 36/421b, 73d; New Zealand prime North Island lamb, 36/421b, 6Jd; New Zealand prime Canterbury lamb, second quality, 6§d; New Zealand prime North Island lamb, second quality, 6id; New Zealand prime Canterbury lamb, 42/501b, 63d; New Zealand prime North Island lamb 42/501b, 6§d. Mutton.—The market for New Zealand mutton is weaker, and the demand is poor Quotations: —New« Zealand prime Canterbury mutton, 48/561b, sd; New Zealand prime North Island mutton, 48/561b, 4Jd; New Zealand prime Canterbury mutton, 56/641b, 4}d; New Zealand prime North Island mutton, 56/641b, 4jd; New Zealand prime Canterbury mutton, 64/721b, 4}d; New Zealand prime North Island mutton. 64/721b, 4d; New Zealand prime Canterbury ewes, 48/641b, 3}d; New Zealand prime North Island ewes, 48/641b, 3|d. Beef.—-The market for New Zealand beef is nominal, and the demand is nil. Quotations: —New Zealand prime ox beef hinds 2}d, fores 2d; Argentine chilled hinds sfd, fores 2Jd. Pork.—The market for New Zealand pork is unchanged, and the demand is limited. Quotations: —English porkers, 80/1001b, B}d; New Zealand porkers 80/1001b, New Zealand porkers. 100/1201b, 4id. Australian Lamb.—The market for Australian lamb is weaker, and the demand is poor. Quotations: —G.A.Q. Australian lamb, 28/361b, s}d; G.A.Q. Australian lamb, 36/421b, s|d; F.A.Q. Australian lamb, 28/361b. s|d. Australian mutton.—The market for Australian mutton is weaker, and the demand is poor. Quotations: —G.A.Q. Australian mutton, 40/601b, 3}d; F.A.Q. Australian mutton, 30/551b, 3|d. Australian ewes not quoted.

WHEAT, FLOUR, ETC. LONDON, June 22. Wheat cargoes are firm. Futures: London, 19s 10d; September, 20s Id; December, 20s 9d. Liverpool—July, 4s 3d; October, 4s 54d; December, 4s 7fd. 1 LONDON, June 25. Wheat cargoes are steady. There is good business in parcels, which are held for 3d to 6d advance. Futures: London —June, 19s lOd; September, 20s Id; December, 20s 9d. Liverpool—July,-4s 23d; October, 4s_sJd; December, 4s 74d. The spot trade is dull and occasionally lower. Flour is steadily held. Australian (ex store), 18s and 18s 6d. Oats are dull. Peas and beans are unchanged. NEW YORK, June 25. Chicago wheat quotations: June, 651 cents per bushel; July, 573; September, 583; Decembtf? 62}. DAIRY PRODUCE LONDON, June 25. Butter is slow. Danish, 117 s; choicest salted New Zealand, 109 s to 110 s; Australian, 104 s to 105 s; unsalted New Zealand, 110 s to 114 s; Australian, 106 s to 108 s. Cheese is quiet. New Zealand—White 52s to 535, coloured 56s to 575; Australian —white 525, coloured 55s to 565. The New Zealand Loan and Mercantile Agency Company, Ltd., has received the following cablegram from its London house under date June 24: —Butter, New Zealand choicest salted, 108 s to 110 s; market very slow owing to European supplies. Cheese, white, 535; coloured 565. Market slow.

Messrs A. S. Paterson and Co., Ltd., have received the following cablegram from London, dated June 25: —Butter: Market quiet, buyers inactive, Danish surplus, New Zealand 109 s; Australian

104 s to 105 s. Cheese: Market quiet. White, 535; coloured, 565.

Messrs Dalgety and Co., Ltd., have received the following cablegram from London, dated June 25:—The market for butter and cheese is very slow. Quotations:—Danish butter, 116 s to 118 s; New Zealand finest butter, 108 s to UOs; Australian finest unsalted butter, 105 s to 107 s; Australian finest salted butter, 103 s to 105 s; Australian finest G.A.Q. butter, 98s to. 102 s. Australian cheese not quoted. New Zealand finest cheese, white, 52s to 535; coloured, 53s to 545; Canadian cheese, white, 66s to 745; coloured,' 66s to 745. c.if., 555. Amalgamated Dairies, Ltd., have received the following cablegram from London: —Butter unchanged. Anchor, 112 s; Danish, 110 s, f.o.b. Cheese: White, 52s to 535; coloured, 55s to 565; both markets steady, but quiet. The South Island Dairy Association, Ltd., has received the following market report from London:—Butter: Slow and prices have declined; 107 s to 110 s; Danish, 116 s to 117 s; Siberian, 96s to 98s. Cheese: Dull and very little doing. White, 52s to 535; coloured, 55s to 565; Canadian, both colours, 68s to 745. AMERICAN MONEY MARKET NEW YORK. June 25. Call money rate, 1} per cent, all day.

AUSTRALIAN MARKETS „ r , SYDNEY, June 25. Wheat: Ex trucks, Sydney, 2s 31d; country stations, Is BJd. Flour, £lO 10s. Pollard. £3 15s. Bran. £3 15s. Potatoes: Tasmanian, to £6; Victorian, £5. Onions: Victorian £5, £5 10s. Oats: White, 2s 6d; Algerian, 2s 3d. Maize, 3s 9d. MELBOURNE, June 26. Wheat, 2s 6Jd. Flour, £6 15s. Pollard, £4 ss. Bran, £3 15s. Oats, 2s Id to 2s 2d. Barley: English, 2s 7d to 2s Bd. Maize, 4s 3d to 4b 4d.

BRITISH ENGINEERING TRADE Among the British industries which were the first to feel the effect of the post-war difficulties was the engineering industry. Not all sections were so affected, for the electrical branch of the industry has been very active for some year's past and has enjoyed relative prosperity. But the “ heavy industries ’* have had a trying time. Now, at the height of the economic blizzard,” caused by a worldwide slump in trade, the interesting phenomenon is to be witnessed that it is just those industries which suffered earliest in the post-war depression that are now in a more- favourable position. The reason for this seeming paradox is that they were the first to reorganise (says a special report to the Department of Overseas Trade, received by H.M Trade Commissioner, Mr L. A. Paish). In the engineering industries of Great Britain “ rationalisation ” was begun several years ago. Great firms were amalgamated, capital was ruthlessly cut down, and vast economies effected. The result of all this painful but necessary activity is that now these industries are in a better position to cope with present difficulties than are other industries. An indication of how the - industry is faring is given by the recent advance in the value of stocks and shares of British engineering companies. One of the largest of these concerns is the world-renowned Vickers, Ltd. This company has just paid for the fourth year in succession a dividend of 8 per cent. The company some few years ago had to make immense cuts in its capital, but now it enjoys a strong financial position. As its chairman remarked a year ago. this “ would enable it to pass through even a prolonged period of bad trade with comparatively equanimity.” This is true of other firms in the industry—hence the restrained optimism reflected by the enhanced Stock Exchange quotations. In spite of all the difficulties of last year, the total exports of British-made machinery averaged 40.000 tons a month. It is greater than 1922. 1923, 1924, or 1926. The values were £1,100,000 a month, or 40 per cent, above the figures for 1913. a year of special prosperity to the industry. As wholesale commodity prices are now below pre-war level, this is a considerable advance. Agricultural machinerjhas been the hardest hit of the machinery section, and it experienced a decline last year of 10 per cent, on the 1929 figure. The electrical section of the industry has been the most prosperous. 1 Electrical machinery exports have ‘ risen steadily in the last 10 years, and they are now one and a-half times the volume of 1913 British exports of these goods are now 26.6 per cent, of the world’s exports for this class of goods. In the locomotive section of the trade the position is even more encouraging. In 1930 the volume «of trade was higher than in any other year since 1922 (when replacement of war-depreciated rolling stock was at its height), and 10 per cent, higher than in 1913.

As to profits in 1930, 20 general engineering firms, which were typical of the whole industry, showed net profits of £1,289.000, or 4.7 per cent, on issued capital after allowing for debenture interest and depreciation. According to the Economist. 62 representative engineering and allied firms, with a, total share and loan capital of £184,000,000. showed net profits rising from £5,673,000 in 1927 to £7,211.000 in 1930, a return on capital of 5.2 per cent. In addition these same firms reduced their debenture debt by £12,000.000.

Some interesting figures have recently been compiled showing that the output per worker in the British engineering industry has increased. For example, in the motor industry the output per man has advanced from 1.99 private cars in 1924 to 2.81 cars in 1927. The conclusion is forced on one from the perusal of these figures that when the prevailing depression in due course passes away the British engineering firms will Ije as well placed as any to profit by the more congenial circumstances.

Last week. £ 8. d. This week. £ s. d. Imperial Consols. p.c. . 50 17 6 GO 5 0 War Loan. 5 P.O.. 1929-47 . 103 0 0 103 5 0 Conversion Loan. 34J P.O. . 84 2 6 84 10 0 Victory 4 p.c. . 98 0 0 97 2 0 J* weal th 6 p.c.. 1931-41 . 81 10 0 87 0 0 "wealth 546 p.c.. 1922-27 • . 68 12 6 75 0 0 N.Z. 6 p.c.. 193G-51 .102 5 0 103 10 0 N.Z.. 4 p.c.. 1920 .. .. . 89 12 G 92 5 0 N.Z. 3% P.C.. 1940 . 84 0 0 85 15 0 N.Z. 3 P.C.. 1945 .. .. . 74 10 0 75 10 0 .N.S.W 645 P.O.. 1930-40 . 74 0 0 80 2 6 N S.W 6 p.c.. 1930-40 .. . 71 5 0 SO 0 0 N.S.W. 5% p.c.. 1922-32 . 63 0 0 08 0 0 ■N.S.W.. 4 p.c.. 1933 .. . 62 10 0 64 0 0 N.S.W 346 P.c.. 1930-50 . 60 0 0 62 0 0 X' S.W 3 U.C.. 1935 .. . 47 0 0 52 0 0 Vic. 645 P.O.. 1930-40 ... . 58 0 0 62 0 0 Vic. 6 p.c.. 1932-42 . 65 0 0 70 10 0 Via. 4% p.c.. 1940-60 .. . 75’ 0 0 75 0 0 Vic. 345 P.C.. 1929 49 .. . 51 0 0 52 0 0 Vic. 3 p.a. 1929-40 .. . 41 10 0 52 0 0 Q’land 6 p.c.. 1930-40 . 75 0 0 75 0 0 □’land 5 p.c.. 1940-60 . 64 10 0 72 0 0 tj’Iand 3 ao.. 1922-47 . 44 0 0 51 0 0 S.A. 645 P.O.. 1930-40 .. . 75 0 0 S7 10 0 S.A 345 P.C.. 1939 . 57 0 0 58 5 0 S.A 3 p.c.. 1918 or after . 43 0 0 45 0 0 W A 6 p.c.. 1930-40 .. . 70 0 0 75 0 0 W.A 345 P.c. 1920-35 . 65 0 0 72 5 0 W.A 346 P.c. 1915-35 . 64 0 0 66 10 0 "as 646 P.O. 1930 40 .. . 80 0 0 85 0 0 las 345 P-C. 1920 40 .. . 58 0 0 62 0 0 las. 3 p.c.. '1920-40 .. . 55 0 0 55 0 0

Bombat pence to rupee 18 17% 17% Batavia, florins to tl 12.107 12.09% — Milan, lire to £1 92.45 92.96 % 92.94% Amsterdam, guild to £1 12.107 12.09% 12.09 Pragut Ki to £1 24.02 164% 164% Genera kr to £J 25.22% 25.09% 25.1 Vioana. schlllltgs to £.1 24.50% 34.62% 34.02% Helslngfora marks to £1 193.334 193% 193% Madrid, pesetas to £1 25.22% 49.85 51.45 Athens, drachma to £1 25.22% 375 375 Lisbon, escudos to £J 4.50% 110% 110% Bucharest, lei to £1 .. 973 817 817 Rio de Janeiro, pence to mllreb 13-10 Bueno* Airea, pence to peeoe .. 47.82 34 9-1G 3t> 11-1S Shanghai, oence to tael 23% 14% 15% LONDON METAL MARKET. LONDON, June 25. Following are the official quotations tn the metall market:—

Ton. Copper, spot .. £39 0 0 Rise £2 16 S Copper, forward .. .. 39 13 1% Rise 4 6 10%: Electrolytic, spot .. 41 10 0 Rise 3 10 0 Electrolytic, forward .. 42 10 0 Rise 3 10 0 Wire bars .. .. 42 10 0 Rise 3 10 0 Lead. gj>ot ., .. .. 13 2 6 Rise 1 2 6 Lead, forward ,, .. 13 10 0 Rise 1 1 3 Spelter, spot ,, .. 13 0 0 Rise 0 12 a St>elter. forward .. .. 13 5 0 Rise 0 17 a Tin. spot .. .. .. Ill 8 9 Rise 3 2 6 Tin. forward .. .. ..•113 5 0 Rise 3 1 3 Oz. Silver, fine .. .. .. 13 7 16 Fall Silver, standard • • 14% Fall %d