With Investors on the ’Change

Sun (Auckland), Volume I, Issue 149, 14 September 1927, Page 2

With Investors on the ’Change

MARKETS REVIEWED ACTIVITY IN MINING WEDNESDAY, 9 That the speculative element &ojqe operators on the ’Chane is not prepared i swallow reports from the fields on tbe face value has been demonstrated on the past fortnight in regard to the emanating from the managers of ti Lucky Shot and Occidental Una Mine Despite most favourable news in regai to both mines, shares in the former a worth, little more than par, while thoa in the latter company have only bej done up to within 6d of par. sales have been registered over the w« for both shares, however. WAI HIS* SUDDEN RISE Chief interest in the mining sectk centres around Waihis, which have is p:*oved steadily over the week to gee side on the ’Change at 23s yesterdi afternoon. Except that there hag N* a strong inquiry from London for the: shares during the past two months, &j several thousand shares have passed Home buyers, there is little to accov for a rise of over 3s in the ast fertnigi The report that the company has acquit a tin field in the Malay is negatived to great extent by a further report to tl effect that a promise was made to slum holders that they would be consulted h fore further move was made in tb direction. N.S.W. BANKS WEAK Banks, insurance and loan and firatii sections have been quiet over the wee though frequent sales of Com. of Au tralias and Australasias continue to l recorded in all centres. N.S.W.’g a weak anc! depressed, with sellers inath week’s buyer’s price and no buvers. Tl Southern ’Changes, Christchurch in pa ticular. are the best markets for this cte of investment. Timbers are quiet, and lack tan brigrl tone registered a few weeks ago on r ceipt of the indications from Welling! that there was a possibility of the duty; imported timbers being increased, and tl housing restrictions on the us* of N« Zealand timbers being, :o a certain e: tent, raised. Kauris still draw buyers i 24s 6d, and Nationals are sought at I 9d, but there is little life in the market. POSITION OF WOOLLENS Woollens is a section that is vlev< with some concer t in many quarters. Tl last month or sc has seen several Xe Zealand companies hold their anna meetings, and, at practically every on the same taLe has been told, trade d< pression has made business difficult, u there is little or nothir g for shareholder This, from ail industry that at the pro ent time is subsidised in the way of pn teetive tariffs by an ; nnual sum cons* erably in excess of tle industry’s tot wage sheet :n the Dcminion. This depression in the woollen trade not peculiar to New Zealand. It is worl wide, though some manufacturers m meeting the position in a better way tfes others ACTIVITIES IN U.S.A In U.S.A. last year the industry very much under the weather, fern mil recording a profit, and, on the bslano manufacturers lost something HI £6,000,000. The explanation is that th« is a consider able falling off in tie it mand for woollen goods. Men ai j » buying so freely, which women wit! the shorter garments require less ms sria and are also diverting their creasingly toward silken goods. What has teen done to meet this ]A*i of tire industry? In Nev Zealand ;*rai tically nothing Admittedly it s cob' small factor operating against local mast facturers—'overhead costs and less cient administration are the prana* causes—but the attitude generally iu been a negative one that can only * further protection, which, in addition t being a burden on the general taxpayc only bolsters the industry on filse V* COMBINED ACTION In U.S.A. the manufacturers have lie* the situation in an infinitely irore prc gressive manner. Recognising that, o the basis of current consumption, proaw tion is one q tarter per cent, too high, meeting of representative member* « the trade decided that production Aura be brought down to meet ihe den and, * 9 that the spring open with prices c« a «”< that would ensure a profit. Every was made to cut down manufaettn* costs, particularly in regard to a method of figuring costs on key ® 9 rics. In distribution, age its are to as** not to cut rates even for the fske fl business at a sacrifice. . It is recognised by leaders of the dustry that it is chiefly a question <» ganisatiori and combined action, and ~ century old law of unrestricted supply** demand has beer, superceded by production, and regulated distrinop® The most arduous part, even in L-lM-however, is yet to come, that of the rank and file of the : ndustry «**• the common bend and so achieve tire & sired result.