REFLECTIONS ON CHANGE

Sun (Auckland), Volume III, Issue 634, 10 April 1929, Page 10

REFLECTIONS ON CHANGE

GILT-EDGE MARKET STEADY INSURANCES FIRMLY HELD By “Noon Call.’’ Business on 'Change has been somewhat retarded by the Easter vacation, although, when the market opened after the holidays, all tested securities showed a very firm tone. The gilt-edge market at the moment is quiet. Several small issues of local body debentures are at present on offer over the counter throughout the Dominion at the now generally recognised rate of per cent. The downward trend of the interest rate is definitely* checked for the moment. Reports from across the Tasman indicate that the Commonwealth Government is only* meeting with a slow response to its issue of £7,000,000 at 5J per cent, offered on the local market. Prior to the holidays only' £4,232,960 had been applied for. The announcement of the closing date was expected shortly after the holiday's. New Zealand local authorities’ happy position in regard to interest rates on loans raised is again indicated by a oemparison with results across the Tasman. Compared with the New Zealand rate of 54 per cent., the City of Adelaide recently' raised £11.500 jut 52 per cent., while the City of Newcastle was called upon to pay slightly more than those rates. Movements On the 'Change The market on 'Change for all the better class securities is very firm. In the banking group one of the most noteworthy features over the past 4S hours has been the increasing strength of New Zealands. The scrip is meeting with a decidedly better demand and changing hands at 9d to Is above the market prior to the holidays. Commercials hold their popularity with the investing public and steady business is reported around 29s 9d. In the insurance group most shares are very firmly held, and the actual turnover, as a result, is small. Nationals, according to sales made in the South yesterday, are slightly easier. South British, New Zealands and Queenslands are very firm. Coals have lost some of the favour shown a month or so ago and the section, generally, is quiet. Hikurangi’s are giving concern in certain quarters where the scrip was bought merely for speculative purposes. Reports from the mine indicate that steady progress is being made with the draining of the water, but the rate is not sufficient for those looking to an early appreciation in the market. Renowns are neglected at the moment, and even the preference scrip is not meeting -with the demand of a month ago. Timber shares are attracting greater attention, the market showing the greatest buying strength for several months. At the moment, the interest is purely speculative, however, and buyers offers are mostly well below sellers’ ideas of value. The miscellaneous group is quiet. Taranaki Oils have received a certain amount of attention over the past 4S hours, but the market eased again slightly at the close yesterday afternoon. More attention is being paid to Sanfords, Ltd., Even at present prices, this scrip appears worth watching, as it is hard to see why the shares should not be worth at least par. This is especially the case in regard to the preference issue where a net profit of only £1,400 is required to meet dividend requirements, and the issue is secured by assets practically five times the par value of the shares. Return on Investment Below is a summary of sales made on 'Change during the week ended April 9, giving the approximate return on investment, based on the latest dividend. In the case of Government and other redeemable debentures, the return includes redemption. The first column gives the price at which the latest sale was made.

SUN COMMERCIAL SERVICE A special section for readers seeking information or financial and commercial Questions is included in these columns every Saturday. Names and addresses must be given in every instance, although not for publication, and inquirers are requested to send in questions early in the week, addressed to the Commercial Editor THE SUN.

Latest. Approx. Pric R eturn. BANKS— £ s. d. 4d. Australasia 14 14 0 4 15 3 Coni, of Australia . 1 Aust. of Commerce . Nat. of Australasia 1 16 (ord.) 19 11 0 Ditto (con.) .. . - 9 0 New South "W ales .. 51 0 1 18 0 New Zealand . . 4 12 1 Eng., Scot., & Aus. S 16 0 4 5 Union of Australia . INSURANCE — 15 10 0 1 16 9 National 0 16 8 4 10 1 New Zealand .. . . 7 0 3 IS ft South British .. .. COAL— ° 6 0 ° 13 Taupiri (ord.) .. .. W estport-Stockton 1 6 R 7 10 11 Cord.) 0 3 6 — LOAN AND AGENCY — Goldsbrough, Mort . 13 9 5 11 8 Dalgety and Co. .. GAS— la 13 0 * 11 9 Auckland (ord.) BREWERIES— 1 4 4 6 11 6 New Zealand .. 1 0 5 7 Staples MISCELLANEOUS— 2 5 0 5 11 1 Aust. Iron and Steel 1 1 « 7 2 Dunlop Rubber .. .. Electrolytic Zinc 1 S 5 3 7 (pref. ) 1 16 6 11 Farmers’ Trading* . Milne and Choyce 0 8 6 9 8 3 (deb. stock) .. .. 1 6 5 19 7 N.Z. Farmers' Fert. 1 1 6 N.Z. Paper Mills . . 18 6 6 Sanford, Ltd. (ord.) 0 17 9 Taranaki Oil t MINING— 0 5 1 Waihi .. .. 0 13 7 Mount Lyell 3 — DEBENTURES— N.Z. War Loan, 4£ • 4A p.c., 1938 . . . . 100 0 ft 4 Ditto, oj p.c., 1936 N.Z. Inscribed Stock, 101 10 0 3 4 0 4} p.c., 19038 . . . . 100 0 0 Ditto, 5i p.c., 1933 101 ■'Based on promised dividend cent. , of 10 per fNo attempt is made to voi leturn on mining stocks are merely included in these for record purposes. .... -- -