PAUSE IN SPECULATION

Sun (Auckland), Volume I, Issue 195, 7 November 1927, Page 12

PAUSE IN SPECULATION

BRITISH TRADE REVIEW CHEERFULNESS ON ’CHANGE By Cable.—Press Association. — Copyright. LONDON Saturday. Last week saw a pause in speculative activity on the Stock Exchange, and there was a certain amount of forced selling of some industrial shares which have recently been in so much demand. The prices of a number of these have fallen in some instances by a considerable amount, but in the last two days a rally set in, and the markets closed with a degree of cheerfulness which has been lacking for some time. Many industrials showed improvement, and a notable feature was the advance in Armstrong-Whitworths in consequence of the announcement of a fusion with Vickers. The markets other than the industrial have been steady, and gilt-edged securities were very firm. The position was helped by the easiness of the money market and the firmer tendency on the New York Stock Exchange. issues continue to come on the market, and it is reported that several colonial loans will be issued shortly. One* of them is for Kenya Colony, of £8,500,000. At least two Australian States are said td be also wanting loans in the near future, but at present it is not known when they will face the market. ESTIMATES OF WORLD CROPS According to the latest return of the International Institute of Agriculture in Rome, the wheat output in the Northern Hemisphere this season exceeds last year’s by 6 per cent., and the average of the five years 1921-25 by 8* per cent. Rye, barley, oats, and potatoes all show increases, but maize has decreased. Although the Australian wheat crop will be well below last year’s, the prospects are favourable for another heavy Argentine harvest. Commenting on these figures, the "Economist” says: “Taking the world as a whole, this season’s results are eminently favourable, and may be said to have made a considerable contri.bution to the prospects of a world trade revival.” Regarding the prospects for the apple season in 1928, F. W. Moore and Company write: “It is fairly safe to say that there,is not so great a supply this year as in previous years. It is just as safe to say that the supply is quite likely to be sufficient to meet all demands. The English crop, we believe, will be decidedly better than last year, although as there has been so much wet weather throughout the summer the keeping quality may be low. LARGER FOREIGN APPLE CROPS “Some European countries have better crops than last year, especially Germany, Hungary, Czecho- Slovakia, and the Austrian Tyrol, all of which market their surplus principally in Hamburg. France will also have many to export to this country, the crops there having been reported to be better than in 1926.” The latest official reports from the United States show a shrinkage on the earlier estimate of the crop, which now is expected to be about half last year’s. Another estimate made by a reliable organisation gives the decrease as nearly 50 per cent, in barrel apples, but places the crop of box apples—which provides greater competition for Australia and New Zealand —as not far below last year. Nova Scotia reports show considerable increase. Ontario has a better crop, although British Columbia is not so good, and Canada as a whole shows an increase. The Australian dried fruit trade continues to be satisfactory. Currants are practically cleared, the stocks at October 3L being only 75 tons, compared with 2,862 tons last year. Sultanas have met with an excellent demand, and large sales were effected at prices ranging from 50s for common to 75s for fine quality. At the moment the demand eased somewhat, but prices remain firm. Arrivals of Smyrna sultanas, mostly low grade, as rain damaged a percentage of the fine fruit, are very small, so the prospects for the maintenance of the Australian prices seem good.