The Stratford Evening Post WITH WHICH IS INCORPORATED THE EGMONT SETTLER WEDNESDAY, FEBRUARY 4, 1914. THE MONEY MARKET.

Stratford Evening Post, Volume XXXVIII, Issue 29, 4 February 1914, Page 4

The Stratford Evening Post WITH WHICH IS INCORPORATED THE EGMONT SETTLER WEDNESDAY, FEBRUARY 4, 1914. THE MONEY MARKET.

A financial authority writing in a Home journal at the end of December states that regarding the future stock markets the feeling was one of qualified optimism and goes on to say :—“Ordinirily the exceptionally healthy state of the speculative account, and the very .ow level to whch most stocks have low fallen, would promise a very coniderable recovery in the New Year, md usually the highest prices are witnessed in the early months. Now, how-

■ver, there are one or two factors vhich make operators anxious in endeavouring to gauge the future. Some ■onsider there is little prospect of a eal revival until the .Mexican imbrodio has disappeared, whilst others hink that the many new loans which ire certain to come with the easy aoney looked for in the New Year will or a considerable period prevent fresh mying by investors and speculators. Apparently the financial requirements if the French Government will be •asily arranged, and probably* little lifficulty will be experienced by Gernany in obtaining what she requires, nit beyond this there are numerous resh borrowings in contemplation for lie Balkan States, and we are likely o have appeals by other foreign Goernmonts, and also bv Colonial bor-

owers. The moot question is whether he release of money which people look or with the issue of big now loans ' m the Continent, and the greater dis--1 jositiou generally to lend, with the emoval of uncertainties such as those iientioned, will he sufficient to meet nth comfort all the new borrowing, t, seems reasonably certain that the ondency of money rates will be downcards, though the movement nmv he etarded by financial operations of an exceptionally important character.” .’he remarkable success of New Zetland's new loan of t’our-and-a-half milion is evidence that for the present, .t any rate, no difficulty is being met rith in meeting new borrowing in Lon-1 lon. The Wellington Post, touching! ,in the matter, surmises that it is not. d all unlikely, now that money has leeonle elieaper and will probably renal n so, that local bodies will soou he n the market for future supplies. As i matter of fact, Auckland City lias ust obtained a fairly substantial: ■ mount, and now it is learned on Tnstwortby authority that several j other local liodies in New Zealand are [ preparing to replenish their coffers by: borrowing for the completion ol under-j takings to which they are already!

committed® or for the carrying oui of new works. Three of the larger municipalities of Now - -Zealand are on the point of offering debenture:, which m the aggregate will amount to some hundreds of thousands of pounds. When the proceeds of those loans become available, a substantial fall in the Xew Zealand rates of interest on nilt-edged securities may be looked for, and no doubt the financial resources of various local industries will be materially strengthened, always profiting that there are no serous labour troubles in the meantime.