FINANCE & MARKETS

Sun (Auckland), Volume III, Issue 699, 26 June 1929, Page 12

FINANCE & MARKETS

N.Z. Insurance in Demand

Brewery Debentures Selling A LARGE volume of business is being recorded on ’Change and prices are well maintained. New Zealand Insurance have firmed to buyers 48s 3d, sellers asking 48s 9d, while many New Zealand Brewery debentures are changing hands freely, last sale being 26s 9d.

Yesterday afternoon’s business: On •Change—X.Z. Breweries (deb.), £1 6s !lOd. Reported—Bank of Xew Zealand, C 3 Is 9d; X.Z. Farmer?’ Fertiliser. £1 fs 8d; Wilsons (X.Z.) Cement, £2 2s od. Business at today’s mid-day call: Reported—Electrolytic Zinnc (pref.), U 1 16s 6d; X.Z. Breweries (deb.), £1 6s 2d. * * * Wailii shares have again improved, to buyers 11s 7d, sellers 11s 9d, several sales having been recorded. ». % * All local body debentures are keenly matched by investors, and keen bidding is being registered. Bank scrip is in demand, and frequent sales are being transacted in this section. New South Wales and Union of Australia both remain* firm. The coal section is firm. Pukemiros lire asked for at 655, sellers holding for 68s 6d. Renown ordinary are also in

demand. Taupiri and Waipa are both attracting keen buyers. The woollen section is firm. Kaiapoi, alt three issues, have many buyers, sellers quoting 14s 6d for the ordinary issue. "Wellington ordinary have buyers at £7 2s 6d. sellers quoting £7 6s 6d. The preference arc also in demand, with buyers £7 6s, no shares offering. Dividends expected in the near future include: Mt Lyell—ls 3d a share (int.) June 24 A. -J. Entrican and Co.—6 p.c. p.a., ord., and 6 p.c. p.a., pref June 27 British Tobacco—2:l p.c. on ord. (int.) June 29 ♦Loan and Merc. —2£ p.c. on pi-ef. (int.); 31 p.c. on 2nd pref. (int.); 3 p jc. on ord. (int.) . . . June 29 fXew Zealand & River Plate —4i- p.c. (int.) .. .. .. .. July 1 National Mortgage (int.) July 2 ♦Less 2s in £1 English income tax. jLess 4s in £1 income tax.

TO-DAY’S QUOTATIONS

Closing quotatolns at to-day’s mid-day call were;-r*

MORE CAPITAL AUSTRALIAN STEEL By the. issue of 600,000 ordinary shares of £1 each, Australian Iron and Steel, Ltd., has increased its issued capital from £3,100,007 (£2,100,007 ordinary shares and £1,000,000 preference) to £3,700,007. The new issue was offered to ordinary shareholders, who subscribed the whole amount. Increasing the scope of the company’s activities is the reason for providing new* capital. Australian Iron and Steel, Ltd., was formed in May and registered in June, 1928. It is an amalgamation of Hoskins Iron and Steel Company, Ltd., with interests of I)orman, Long and Company, Ltd., Howard. Smith and Company, Ltd., and Baldwins, Ltd. TAURANGA’S INTERESTS ROAD AND RAIL PROBLEMS (Special to THE SUX) TAURANGA, Today. From the Prime Minister, Sir Joseph Ward, the Tauranga Chamber* of Commerce has learned that the Question of constructing the East Coast railway from Taneatua was being considered. This report was made at the chamber's annual meeting. Construction had been urged in a resolution. A resolution was made against a Do-minion-wide Saturday half-holiday. Concerning the proposed deviation of the Tauranga-Te Puke road, the chamber found that it had no data that the work would be a paying proposition to county ratepayers. The chamber gave as a further opinion that the metalling of the Tauranga-Ty Puke main highway was overdue.

AMERICAN WOOL TARIFF FARMERS SEEK INCREASE IN RATE EVIDENCE TO COMMITTEE (Australian and X.Z. Press Association) NEW YORK, Tuesday. The Washington correspondent of the “New York Times” says it is apparent that the wool schedule in the proposed tariff revision will become the outstanding feature of the hearings before the sub-committee of the Finance Committee of the Senate, which began to take evidence today. Witnesses from four agricultural associations—the American Farm Bureau, the National Federation, the Wyoming and the Ohio Woolgrowers’ Associations- —asked for a basic rate of 36 cents, on clean content, compared with 31 cents, the present rate, and 34 cents, as proposed in the Bill. They claimed that the rise was justified, because importations of wool displaced a considerable amount of the domestic product. One witness insisted in his view that an additional two cents a lb would increase the cost jof a suit of clothing by only 14 cents. BRITISH METAL MARKET (Australian anil N.Z. Press Association) LONDON, Tuesday. The following- are today's quotations for_metals, compared with those on June Copper.—Spot, £73 ISs ltd (£72 15s n ld MA hree months, £73 11s lO'.d t£73 Us lid). , Copper. Spot, £S3 15s (£&„ las); three months, £S4 15s (£B4 Wire Bars.—Spot, £S4 15s (£B4 15s). Lead—Spot, £23 16s lOid (£23 ISs lid); three months, £23 12s 6d (£23 15s 71d). Spelter.—Spot, £26 2s 6d (£26 2s 6d): three months, £25 15s 7id (£25 18s ltd). Tin.—Spot, £2Ol 12s 6d (£202 2s 6d); three months, £205 3s 9d (£205 Us 3d). Silver.—Standard, 24id (24 7-16 d) an oz; fine, 26 3-16 d (26 3-8 d). CHICAGO WHEAT MARKET (Australian aiid X.Z. Press Association) Reed. 9.5 a m. CHICAGO, Tuesday. —July, l dollar 332 cents a bushel; September, 1 dollar 18 5-8 cents a bushel; December, 1 dollar 23 5-S cents.

WOOL PRODUCTION COSTS MUST BE REDUCED, SAYS BRADFORD PAPER WRITING DOWN LAND VALUES (Australian and X.Z. Press Association) Reed. 1.45 p.m. LONDON. Tuesday. Discussing the ' Australian proposal for the “Use More Wool” publicity campaign, and the forthcoming conference, the “Yorkshire Observer” says that if the proposed conferences are to be productive of real good, woolgrowers all over the world must reduce the costs of production by writing down their estates from the inflated prices which some paid for them, and on which others have been calculating what' they regard as profitable prices for wool. That must be the first step. “Then come problems of distribution and finance. It has been the ambition of Australian brokers to have the whole of the wool produced in the Commonwealth bought under the hammer at the selling centres in Australia before it is exported. To a great extent they have succeeded m this, at the expense of London, and they are now paying the penalty. They can gain relief by sending more of their wool to London for sale. If they are not prepared to do this, and they would rather spread the selling season over a longer period, they must be prepared to finance selling on a more liberal basis than hitherto. They cannot hope to be maintained in the preferential position they have occupied for the last four or five seasons, largely at the expense of the importers and consumers in this country. ? “Bradford still counts for more in relation to Merino wool values than some Australian wool authorities have cared to give her credit for recently, and in view of the heavy losses sustained in this district since 1923, importers are not prepared to go on financing the clip as they have been doing, even this season. ' Although prices, according to Mr. Tout, president of the Australian Graziers’ Association, a.i*e 25 per cent, lower, our importers today are holding Australian wool which they cannot liquidate at a profit. Once again, therefore, the woolgrowers have received more for their wool than its present economic value.”

N.Z’S DAIRY PRODUCE BUTTER SALES IMPROVE CHEESE MARKET QUIET According to reports to New Zealand firms on the dairy produce markets in England, butter is in greater demand, but cheese sales are still quiet. Reports are:— Dalgety and Company, Ltd., from Samuel Page and Son (June 24): Butter, New Zealand finest, 168 sto WOs; Australian finest, salted, 162 s to 1665. Joseph Nathan, Ltd., from Trengrousc and Nathan (June 24): Butter, to 170 s: cheese, white 925, coloured 945. AT LATE RATES FRANKTON STOCK SALES Prices showed little change from those ruling last week, when the Frank ton stock sale was held yesterday. Dalgety and Company’s report includes these rates:— Cattle.—Fat cows and heifers, £7 10s to £9 iOs; inferior beef cows, to £6 ss; light fat cows and heifers, £5 to £5 17s 6d; heavy runners, to £6 13s; vealers, 30s to £3 15s; Polled Angus three-year-old steers, £9 17s a head; weaner Jersey heifers, to £5 10s. Sheep.—Light fat wethers, 36s 7d; fat ewes, -26 s to 2Ss; woolly wether hoggets and mixed-sex woolly hoggets, 235; aged ewes (in lamb), 19s 3d; failing-mouth ewes (in lamb to ’ Border Leicester and Southdown rams), 30s; mixed-age ewes (in lamb to Romney rams), 255; 2nd. 4th, 6th and Sth ewes (in lamb to Romney rams), 245; mixed-age ewes (in lamb to b.f. rams), 34s 9d. Pigs.—Sales of ‘fats and stores were at late rates. On account of Mr. H. Windsor, an excellent quality Friesian cow was sold at £l4 12s 6d—one of the best sales in the yards for some time. RAIN AFFECTS YARDING TAUMARUNUI PENNINGS (From Our Own Correspondent) TAUMARUNUI, Tuesday. Heavy rain had the effect of cutting down the yarding of the fortnightly sale today, but late rates were maintained. Mr. I. Jefferson, of Taringamotu, realised £l2 for a small line of fat biillocks, but numbers of excellent animals were passed in. Values;— Sheep.—Two-tooth ewes r.w. Romney rams, -8s 3d; good ewes r.w. Romney rams, 24s to 28s; m.a. ewes r.w. Roninev rams, 33s 9d; two-tooth wethers, 27s Sd*’ - wether hoggets, 23s 4d; m.s. hoggets, 16s 10d to 22s Sd. Cattle.—Fat bullocks, £l2; fat cows + 10 £.}a» ,£ at and forward steers, £9 15s to £lO 10s; store steers, £7 to £7 15sforward cows, £6 15s to £7 15s; dairv COW zf’ 10s: dairy heifers, £8 10.*? fal°>?es, he £3 r calves * £5; Jersey heifer ASSURANCE PREMIUMS PHOENIX COMPANY’S YEAR , n J h l c Q ,r e h? rt of the Phoenix Assurance lot 19-8 shows that the total fire premiums amounted to £3,362,031, as compared with £3,287,577 for 1927 After providing for all claims, charges, etc., the underwriting profit amounts to £204,494, against £302,049; the ratio of profit to income being 6 OS per cent., against 9.2 per cent. The accident premiums totalled £3,559,752 against £3,903.100, and the profit amounted to £116,325, against £92,166. The premium income in the marine dewas £734,413, r against £7d0,210, and there was no resultant profit. Although the underwriting profit was some £95,000 less than in 1927, m 1926. For some years now the- premium income of the accident department has exceeded that of the fire department. Since the majority of this premium income is obtained from the United States, ft is only in accordance with the experience of all other offices to find that the ratio of profits to premium income is low—a good deal lower than that shown by companies whose accident and general business is mainly derived in the United Kingdom. TARANAKI OIL, LTD. Press Association GISBORNE, Today. Taranaki Oil (N.Z.), Ltd., reports: Gisborne No. 2 well: Test shows a high gas pressure, comaparable to Gisborne No. I well; pulling 64 in diameter casing: drilling suspended pending installation of rotary equipment.

WOOL COMPETITION NEW SYNTHETIC PRODUCT A company registered in London last month is to acquire from Textiles (New Process) the chemical and the mechanical processes used by M. Joseph Viallet, of Paris, for making an artificial wool known as “N.T.” from vegetable fibre. The company is N.T. Artificial Wool, Ltd., and it has a capital of £250,000. Wool will now have to face competition from another synthetic product. In England, dealers are predicting a vigorous publicity campaign by wool growers.

In the “Economist” last month, the Bradford correspondent said that wool traders had been expecting a new factor in the market. “Lack of confidence in current Values, especially in the finer qualities of wol, tops and yarns is as pronounced as ever,” he said, “but' no doubt the real cause of the stagnation is the lack of activity in She consuming centres. Anything that gave an impetus to consumption would very soon bring about the remedy, for it is common, knowledge that neither spinners nor manufacturers are carrying large stocks.” N.Z. FRUIT EXPORTS MARKET IN ENGLAND Apples which reached England from New Zealand by the Rangitiki were in good condition, states a cablegram lo the New Zealand Fruitgrower s’ Federation Ltd. Nelis pears on the same vessel were, however, forward and wasty. The Raranga's shipment landed at Avonmouth revealed considerable waste among Delicious apples. The London market is firm, and all varieties of sound apples and pears are worth 17s to 20s. All the Rangitiki's apples are on the market.

Buyers. Sellei BANKS— £ s. d. £ s. d. Aust. of Commerce 1 3 G 1 16 9 Australasia 14 17 ' om. of Australia . 10 1 30 Ditto (pref.) .. .. 7 s 0 ' om. of Sydney .. 27 7 G Eng., Scot. & Aus. s G 8 1 1 0 National of N.Z. . . G Nat. of Australasia 19 9 0 Ditto (con.) .. . . 9 11 0 9 12 0 New South Wales . 51 0 51 10 0 New Zealand . . 3 1 1 Lnion of Australia • 15 14 0 1 o 1/ 0 INSURANCE— 0 10 National .. *. 0 16 4 New Zealand .. 3 8 9 Queensland 0 South British .. .. G G United 10 7 o — LOAN AND AGENCY — Abraham & Williams (pret.) •1 s 0 Dalgety and Co. .. 15 4 0 Farmers’ Co-op. Auctioneering .. . 3 0 3 10 0 Ditto (A pref.) .. 0 17 Ditto (B pref.) . 0 IB 9 0 18 0 < loldsbrough, Mort • 7 G 8 Nat. Mortgage .. .. 4 10 0 Newton King (pref.) 0 10 0 N.Z. and River Plate 1 1C 9 1 12 0 N.Z. Guar. Cor. 0 9 G 0 10 u N. Auck. Farmers’ Co-op. (ord.) .. .. 0 9 0 11. 0 13 0 W right, Stephenson 1 4 6 — CO Air— Hikurangi (pref.) .. 0 3 B 0 G G Ditto, A (pref.) Renown 0 14 B 0 1G 0 Ditto (pref.) .. .. Taupiri 1 G 0 Ditto (pref.) .. .. 1 3 —- AVaipa .. •. .. • • 0 11 —. GAS— 1 4 r> 1 4 7 Ditto <con.) ... .. 0 IS 2 18 4 Gisborne 0 11 0 0 13 0 SHIPPING^ Devonport >team — 1 3 0 Howard Smith .. 11uddart-Parker 5 9 Ditto (pref.) .. .. 1 0 (1 1 t Ditto (con.) . . . . 0 v G 0 7 0 i.njon Steam (pref. >, ex div 1 o 3 9 TIMBER— o IS 0 1 1 0 Kauri Timber . . «• 0 18 6 0 19 JLeyland-O’Brien . . 1 13 0 National 0 0 G Parker-Lamb — 0 17 9 WOOLLEN— Kaiapoi (con.) .. 0 4 — Ditto (pref.) .. .. VVellington .. .. 7 7 G Ditto (pref.) .. .. 7 G 0 — BREWERIES— v*. L Innes (pref.) 1 0 0 ’— N.Z. Breweries .. 3 14 9 15 J. Staples 2 10 o — MISCELLANEOUS— Adair Bros. . . . . 1 1 o Auck. Amuse. Park c 0 G 0 2 0 Ditto (pref.) .. 0 12 0 Aust. Iron & Steel (pref.) 1 1 K 1 0 Australian Glass .. - 9 B 2 10 9

Buyers Sellers Booth, Macdonald (ord.) 0 1 1 Ditto (pref.) .. .. 0 9 British Tobacco 8 9 6 Burns, Philp . . 0 0 Bycroft, Ltd. . . 1 12 0 1 16 0 Colonial Sugar 5S 10 0 1 0 Ditto (pref.) 1 0 6 Donaghy’s Hop© 1 13 0 Electrolytic Zinc (ord.) 1 15 3 1 16 0 Ditto (pref.) .. 1 17 0 Farmers’ Trading .. n 8 0 0 8 Gear Meat 6 Grey and Menzies . 0 10 9 Hayward’s Pictures 1 0 6 Henry Jones Co-op. 1 13 6 H.M. Arcade (pref.) i 1 0 N.Z. Drug 3 lo 0 3 16 0 Lewis Eady (ord.) . 1 1 0 Ditto (pref.) .. .. 1 0 Milne and Choyce . 1 6 Ditto (pref.) .. .. l 6 Ditto B (pref.) .. 1 6 Ditto (deb. stk.) . 1 6 7 1 6 9 N.Z. Farmers' Fert. 1 1 6 1 2 6 N.Z. Paper Mills .; 0 19 9 N.Z. Refrigerating 0 15 9 1 >itto (con.) . . . . 0 Robinson Ice Cream 1 1 6 Sanford, Ltd 0 Ditto (pref.) .. .. 1 0 0 Sharia nd and Co. . 1 0 0 Ditto (pref.) .. .. .1 0 6 S. R. Maxwell & Co. 0 4 6 Taranaki Oilfields . 0 3 8 0 4 0 Thames Theatre .. 0 10 0 Tonson, Garlick 0 3 0 0 7 6 Union Oil 2 1 W hittome. Stevensons 2 6 6 8 0 Wilsons Cement .. 2 1 9 — MINING— Alburnia (2s Sd pd) 0 1 0 ft 1 9 Moanataiari (pd.) . 0 0 6 0 1 1 Ditto (con.) . . . . 0 0 6 Lucky Shot (4s pd) 0 1 0 ft 1 6 Ditto (con.) .. .. 0 1 0 Occidental-Una (2s paid) 0 0 0 0 S Ohinemuri (ord.) .. 0 9 0 8 Waihi 0 11 7 0 11 9 Wuihi Grand June. 0 0 10 0 Broken. Hill South Mount Lyell .. 2 1 6 2 0 DEBENTURES — Auckland Gas, 1932* 5 p.c. 95 0 0 Ditto, 1935, 6£ p.c. 103 0 0 Auckland Har, Bd. t El p.c. 99 0 0 Ditto, 51 p.c 100 10 0 102 10 0 Ditto, 6 p.c 102 10 0 City of Auckland, 1940 51 p.c 99 0 0 Ditto, 1936, 51 p.c. 99 0 0 Ditto, 1943, 5J p.c. 101 0 0 Bor. of Devonport, 1963, 6 p.c. 102 10 0 Bor. of Mount Eden, 6 p.c. 104 0 u N.Z. Breweries 1 6 10 1 6 11 Gisborne Sheepfarmers — 90 0 0 GOVERNMENT BONDS— War Loan, 193S, 4i 99 15 0 100 0 0 Ditto, 1939, 41 .. 99 1b 0 Ditto. 1941, 4.'. .. 99 12 6 Ditto, 1936, 5i 101 0 0 — INSCRIBED STOCK. War Loan, 19'iS, 4} . 99 15 0 100 0 0 Ditto, 1939, 4.t 99 15 0 Ditto, 1933, 5i p.c. 99 0 Ditto, 1933, 5i p.c. -— 101 *10 0 Ditto, 1936, 5b .. 101 0 0 —