FINANCE & MARKETS

Sun (Auckland), Volume III, Issue 774, 21 September 1929, Page 12

FINANCE & MARKETS

An Interesting Market

Keen Demand for Gilt-Edged Stocks

By

“Noon Call.”

THE bright feature of the market at the moment is the very firm tone of the gilt-edge sections. Sales of the per cent. Government bonds were made yesterday afternoon at a price which, when brokerage charges and redemption are taken into consideration, allows a return of slightly under 5 per cent. This is the firmest market touched by this class of investment for many years.

FLUCTUATIONS Price movements, shown by a comparison of sales over the past 24 hours with the price at the time of the previous recorded sale include: Mount Lyell, rise of Id. New Zealand Breweries (deb.), rise of 1 d. Bank of New Zealand, fall of 2d. see Business on the Auckland Market Transactions on th€; Auckland market over the past 24 hours have included:*— Yesterday afternoon: N.Z. Inscribed Stock, 1933, 51 per cent., £99 15s; N.Z. War Loan, 1933, 6* per cent., £lOl 15s; IV.Z. Breweries (deb.), 30s lOd; Mt. Lyell, 45s Id. The fact that the gilt-edge market is so firm, however, cannot always be taken as a good sign, as it often indicates a lack of faith in the near future as it concerns industrials and other sections, and a disinclination of the investing public to place money in these outside gilt-edge stocks. The Stock Exchange market at the moment is passing through a most interesting phase. Business this morning.—National Bank of New Zealand, £6 17s; Bank of New Zealand, 62s 8d; Auckland Gas, 24s Bd. • • • Banking Group Remains Quiet The banking group continues weak with the downward trend unchecked. New Zealand's eased a further 2d on the Auckland market this morning. In Christchurch yesterday. Unions dropped to see sales at £ls, the lowest figures for some considerable time. It is interesting to remember in connection with this scrip that sales were made at £ls 16s. cum div., in June last; the year opened with the first sale in January at £ls 16s 6d; at this time last year the market was quiet in the vicinity of £ls 7s. Nationals of Australasia are also about 2s down on last week’s market. • • • Market this Morning The usual Saturday morning quiet was ’"'‘gistered in the business recorded on ’liiange this morning. Little outstanding change in the market for any shares was noted. Insurances are not attracting much

attention and sellers predominate. Coals continue to meet with a strong inquiry. Renowns are holding the improvement of last week. Pukemiros are firmly held with sellers asking 68s. The market for Auckland Gas is a little below the price current at the beginning of the week. Scrip in most of the smaller mining development companies is not meeting with much demand. Ohinemuris were sought at Id above the market earlier in the week. Mount Lyells are also a little firmer. Drilling for Oil in New Zealand Reports to hand from the East Coast (Gisborne) district are to the effect that everything is working to schedule in connection with the new drilling plant to be installed at Morere by Taranaki Oils (N.Z.), Ltd. The company should be in a position to commence drilling in November. The drilling plant imported* from the United States by the Coal Oil (N.Z.). Ltd., has been delivered on the company’s Omata area, near New Plymouth, which has ben geophysically surveyed by the Elboi organisation, who selected the drilling sites. The steel derrick, 120 feet high, has been erected, and it is expected that boring will be commenced within a few weeks, under the personal supervision of Dr. Leon Bossard, the company’s chief geologist. M.r. D. J. Tynan is the drilling superintendent, and will be assisted by two other expert drillers, so that work can be carried on continuously. The geophysical survey of the company’s Mount Arthur Dome, on the east coast of the North Island, is now proceeding. This dome was selected after detailed geological survey by Dr. L. Bossard. • • • Dividends Payable Due. Kemptliorne Prosser—p.c. (int.) Sept. 24 Pukemiro Collieries—ss a share (final) Sept. 26. Auckland Farmers’ Freezing Co.—6 p.c. p.a Sept. 27. Hume Pipe—B p.c. p.a. (final) Sept. 30. British Tobacco—22 p.c. ord. (int.) Sept. 30 Whit tome Stevenson, 2s a share (final) Sept. 30 C. L. Innes and Co.—B p.c. p.a. ord. and pref. (final) Oct. 1. Bank of Australasia—7s a share Unt.) Oct. 4. Milne and Choyce—B p.c. p.a., shares and deb stk Oct. 10. Waihi. Is a share (int.) .. Nov. 1

TODAY’S QUOTATIONS

Closing quotations at today's mid-day call were:—

CHICAGO WHEAT MARKET j

(Australian and N.Z. Press Associations Kecd. 9.3 a.m. CHICAGO. Friday. Wheat.—September, 1 dollar 29J cents a bushel; December, 1 dollar 37$ cents; March, 1 dollar 43£ cents; May, 1 dollar 471 cents.

LONDON WOOL SALES

OPENING PRICES MAINTAINED Australian and N.Z Press Association J ( United Service) Reed. 10 a.m. LONDON, Friday. At the wool sales, 9,802 bales were offered, of which 4,103 were New Zealand. There was a medium offering of greasy Merinos, principally goodstyle spinners’ wools, and there was a good supply of greasy crossbreds, which were keenly competed for. Opening prices were maintained. New Zealand greasy lialfbred, Teviotdale, 3 6?=d top price. 15£d average.

BUTTER AND CHEESE

Merchants report receipt of overseas cables as follows: Leonard and Son, from A. C. Rowson, London, under date September 19: — Butter, 17Ss to 184 s; market firm, with upward tendency. Newton King, Ltd., from R. and W. Davidson, Ltd., under date September 20: “Butter: Market firm; salted. 176 sto 182 s: exceptional quality, 184 s; unsalted. 176 s to ISOs; wheys, firsts. 1665; seconds. 1635. Cheese: Market steady: coloured. 93s to 945; white, 935.” Dalgety and Company, Limited, from London: —“Butter: Prices are 2s higher; now 17Ss to 182s.’’

FISHY IN PORK

N.Z. TRADE MENACED WHAT INVESTIGATIONS SHOW Further information relative to the “fishy" taint reported to be giving trouble in the New Zealand bacon sent to the English market this season is given in a report received by the New Zealand Meat Board from Dr. Callow, of the Cambridge Research Institute. The report emphasises the immediate need of checking an influence which would quickly ruin the Dominion’s pork export trade. Bacon examined by Dr. Cameron had soft fat, some parts of which smelt like tallow but. when fried, had a flavour which resembled that of fried fish. The adjacent lean had a similar flavour. One big firm of bacon curers claimed that they could frequently distinguish the pork which would produce “fishy” bacon by its soft fat. The present outbreak of “fishy" taint in New Zealand frozen pork is said to be of surprisingly large dimensions. “It is well known that the quality of the pork fat depends to a great extent on the type of foodstuff given to the pig,” continues the report. “Since much more ‘soft fat’ pork appears lo have been sent to Great Britain this year, it is important to find out whether any great alteration has been made in the diet of New Zealand pigs. If some oily foodstuff has recently been much more extensively used than before, it might be responsible for the present difficulty. “If the foodstuffs responsible for ‘soft fat’ in New Zealand pigs can be discovered, it might be possible to replace them by some more suitable food. If this cannot be done an attempt might be made to eliminate 'soft fat’ carcases during grading, so that none are exported. “British bacon curers buy New Zealand frozen carcases c.i.f., a practice well known in the American trade; in this case the goods are examined within ten days from the time of arrival in Great Britain. The practice is unsatisfactory in the case of .frozen pork, because it is often kept in the frozen state for some months after arrival, and faults such as ‘soft fat’ cannot be detected until the carcase is thawed. Moreover, even in the thawed condition some carcases capable of producing ‘fishy’ bacon may escape detection and thus ‘fishy’ bacon may reach the retail market. This has already occurred and is, of course, a serious matter for the New Zealand pork trade." Inquiries in New Zealand have given rise to the assumption that the trouble is caused by the use of whale oil and fish meals in the feeding and fattening of the pigs.

PUBLIC TRUST RETURNS

£427,000 IN LOANS IN AUGUST ESTATES AND WILLS Loans completed in transactions in the Public Trust Office during August amounted to £427,251. According to the statement issued by the Prime Minister, Sir Joseph Ward, the loans completed since April 1 total £ 2,034,C90. Further new loans, amounting to £287.125, were granted, making the total loans granted, but not yet paid, £581,030. Offers of loans less than the full sums applied for amount to £77,344, a total of £588,374. Renewals of 38 loans amounting to £177,458 were also authorised. Applications for additional new loans amounting to £442,939 are now under consideration. Estates of a value of £622,081 were reported and accepted for administration during the month. On March 31 last the total value of the new estates under administration was £48,334.790, and the new business for the five months ended August 31 was £3,771,951. This was £797,448 higher than the figure for the previous year. Grants of administration made in court in favour of the Public Trustee were 197 for the month. New wills appointing the Public Trustee executor and deposited for safe custody by living testators, numbered 631. The total number now held by the office is 65,191. representing an estimated present value of over £260,000,000.

DAIRY PRODUCE SHIPMENTS

AUCKLAND’S BIG PERCENTAGE Out of a total of 523,550 boxes of butter and 150,100 crates of cheese scheduled to leave New Zealand between next week and the end of November, 60 per cent, of the butter and 20 per cent, of the cheese will come from Auckland grade stores. The fo’lowing table gives the Dairy Produce Board’s allotments of shipping space at September IS, the figures for butter and cheese being given in the upper and lower line respectively in each instance:-

The Karamea and Remuera will take dairy produce for West of England ports, and the Horarata and Raranga for Halifax and Montreal. Further allotments to the Corinthic and Piako have yet to be made. AUCTION NOTICES Alfred Buckland and Sons, Ltd., advertise elsewhere in this issue details Oi their annual bull sale, which wifi be held at the Pukekohe saleyards on Monday, September 30. More than 300 bulls, Shorthorns, Friesians, Jerseys and Ayrshires, will be sold on account of various clients Messrs. Mclndoe and Son, instructed by the trustees in deceased estate, will sell on the premises, 3 Woodside Road, Mount Eden, on Thursday, September 26. at 10.30 a.m.. a large bungalow and furnishings. The premises will be open all day Wednesday, September 25, for inspection. Samuel Vaile and Sons, Ltd., instructed by the mortgagee, wi’.l sell by public auction at their rooms, Queen Street, on Fridav, October 4, at 2 p.m., house of four rooms situated in Tennyson Avenue, Takapuna, also dwelling of five rooms, situated in Puhinui Road, Papatoetoe. LAMB FOR ENGLAND The New Zealand Meat Producers’ Board draws attention in the advertising columns that it is now time to order presents of prime New Zealand lamb for delivery at Home during the Christmas season. Under this wellknown scheme anyone can have a single carcase of lamb delivered to any address in the United Kingdom for the sum of 31s.

COAL CARBONISATION

WORKS AT ROTOWARO STAFF OF 40 REQUIRED The Taupiri colliery property at Rotowaro is to be the site of the new plant for the carbonisation of slack coal to be established by Waikato Carbonisation, Ltd. Operations are expected to be started within 12 months. The workup at Rotowaro are expected to handle efficiently ail slack from the Taupiri mine. To keep the carbonisation plant fully employed, an aerial tramway is to be used for transporting slack for treatment from the Pukemiro and Renown collieries. Quotations for the overhead tramway plant are now being obtained in Great Britain. The buildings to accommodate the plant will be started after the arrival of a consulting engineer of Fuel Industries, Ltd., London, the contractors for the plant, by the Aorangi on November 5. He is bringing with him specifications of the plant and the the buildings required. The foundations will then be started under the supervision of the visiting engineer, who is also to superintend the installation of the Lurgi distillation plant. Early in the new year the first section of the plant will arrive from Germany, and with it a representative of the German Metal Bank Company, who is to supervise the installation. One shift a day vcTH be worked by the plant until a good market has been created for the new product. This will involve the employment of a staff of 40. including a manager, engineers and a chemist. In the event of a further shift being worked, the staff will have to be increased.

Buyers. Sellers. € s d. E s d. BANKS— Aust. of Commerce . 1 14 1 15 3 Australasia 14 10 0 — Com. of Australia 1 10 0 1 10 I>itto (pref ) . . . . 7 7 C 7 10 0 Eng., Scot, and Aus. 8 10 0 National of N.Z. .. 6 17 0 Nat. of Australasia . 19 14 0 Ditto (con.) . 9 13 6 New South Wales 51 10 52 0 0 New Zealand . . . 3 2 6 3 3 0 Ditto, D Mort 1 X 3 j 9 3 Union of Australia 14 18 0 1* 2 0 INSURANCE— A.P.A 0 14 0 National —- 0 16 10 New Zealand .. 2 7 6 2 8 0 South British .. .. — 3 7 0 LOAN AND AGENCYAbraham A William* 4 8 0 4 13 0 Dalgety and Co 15 0 Farmers’ Co-op Auo 4 0 0 0 Ditto (B Dref.) .. 0 17 0 Ooldsbrough. Mort . 4 9 5 9 Newton King . . . . 0 2 0 0 b 0 Ditto (pref.) .. .. 0 12 6 0 15 0 N.Z. and River Plate 1 10 0 N.Z. Ciuar. Corp .. 0 9 6 0 9 10 N.Z. Loan & Merc. 124 0 0 128 0 0 Ditto (pref.) .. .. 83 0 0 — N Auric Farmers’ Co-op (ord.) . . . . 0 2 6 0 3 6 Ditto B (pref) . . 0 14 6 Wright, Stephenson 1 6 6 COAL— Grey Y’alley .. .. 1 9 4 1 10 0 Hikurangi 0 1 9 Ditto (pret.) .. .. 6 Ditto, A (pref.) .. 0 3 6 0 5 6 Pukemiro 3 16 0 3 IS Re.nown 0 lb 9 0 16 6 Ditto (prof.) .. .. 0 3 0 0 3 2 Ditto (pref.). new issue 0 2 6 0 Taupiri 1 8 9 Ditto (pref ) .. .. 1 Westport Stockton . 0 3 3 0 4 0 Ditto (pref.) .. .. 0 4 3 — GAS— Auckland 1 4 7 1 4 8 Ditto (con.) .. .. 0 18 0 0 18 6 SHIPPING— Devonport Steam . 1 1 0 — Huddart-Parker 4 0 2 5 0 Northern Steam 0 14 9 0 15 0 Ditto (con.) .. .. 0 6 6 0 7 3 Union Steam (pref.) 1 0 9 — TIMBER— Kauri Timber .. .. — 0 18 6 National .. .. .. .. 0 7 6 0 8 9 WOOLLEN— Kaiapoi .. . • •• •• 0 13 0 0 14 0 BREWERIES — C L. Innes .. .. 1 1 0 Ditto (pref.) .. .. 1 1 6 — N.Z. Breweries — 4 11 0

Buyers. Sellers £ d £ d MISCELLANEOUS— A'tick Amuse Park 0 3 0 British Tobacco 2 9 3 Burns, Philp .. 8 3 Dominion Pictures 1 0 6 Ditto (pref.) 1 0 6 Electrolytic Zinc (ord.) 1 16 C 1 17 6 Ditto (pref.) .. . . 1 16 6 1 17 9 Farmers’ Trading . 0 9 0 0 9 5 Ditto B (pref.) .. 0 13 9 0 15 0 Gear Meat 3 6 2 b 0 Grey and Menzies . . 0 10 0 Hayward’s Pictures 0 19 3 II.M. Arcade (pref.) 1 0 Hume Pipe 1 1 0 Lewis EJfcdy (pref.) 1 0 0 Milne and Choyce (pref.) 1 6 9 Ditto (B pref.) .. 1 6 9 Ditto (deb stock) 1 6 9 Morris Hedstrom , . 1 4 6 Ditto (pref ) ... 0 19 0 N.Z. Farmers' Fert. 1 2 3 1 2 9 N.Z. Paper Mills .. 1 0 9 N Z Refrigerating (con.) 0 6 7 Robinson Ice Cream 1 4 0 Sanford. Ltd. . . 0 18 5 Ditto (pref.) .. ,. 1 1 0 Taranaki Oilfields .. 0 4 10 0 5 6 Tham'es Theatre 0 12 6 Whittome-Stevensons 4 9 6 Wilsons Cement ... '& 4 0 MINING— Alburnia 0 0 6 0 1 1 Moanataiarl (paid) . 0 1 1 Ditto (con.) .. .. 0 0 4 Lucky Shot (4s pd.) 0 0 9 0 1 6 Ditto (con.) .. .. 0 0 3 0 1 0 Ohinernuri (ord.) .. 0 9 7 0 9 10 Waihi 0 13 3 0 13 8 VVaihi Grand June. 0 1 3 0 1 6 Mount Lyell 4 6 5 6 Kuala Kampar Tin. — 0 13 6 DEBENTURES— Auckland Gas. 1932, 5 per cent 96 0 0 Auckland. Har. Bd., 100 10 0 Ditto, 54 p.c. . 101 10 0 101 15 0 Auck. Hos. Bd. 5$ 100 0 0 Bor Mount Eden. 6 104 10 0 N.Z. Breweries .. .. 1 11 2 Oisborn• Sheep96 0 0 99 0 0 Hikurangi Coal. 10 p.c. — 105 0 0 GOVERNMENT BONDS— War Loan. 1930. 4J 99 2 6 — Ditto, 1938. 4-i p.c. 100 0 0 — Ditto. 1939 4} pc 100 0 0 Ditto 1941 4* p.c 100 0 0 Ditto. 1933. 54 p.c. 99 10 0 Ditto, 1933, 54 p.c. 101 0 0 — Ditto, 1936. 5J p.c. 101 10 0 — INSCRIBED STOCK War Loan, 1938, 44 100 0 0 Ditto. 1939. 44 p.c. 100 0 0 Ditto, 1927-41, 54 99 10 0 Ditto, 1933. 54 99 10 0 Ditto. 1933 54 P.c. 101 0 0 Ditto, 1936. 54 p.c. 101 0 Ditto., 1946, 5 p.c. — 99 0 0

Departs. Due. From. Dom. Steamer. NorthumN.Z. U.K. Auck. Total. berland Sept. 24 Nov. 1 64,000 4.103 66,000 7,200 Karamea Oct. 5 Nov.' 7 18,000 7,000 42,000 21,500 Rotorua Port MelOct. 19 Nov. 24 32,000 5.000 51,350 17,800 bourne Oct. 19 Nov. 27 18,300 50,000 17,300 Raranga . Oct. 29 Dec. 12 117,000 3,000 138,000 14,500 Tamaroa Oct. 30 Dec. 3 30,000 6,000 70,000 31,800 Re mu era Nov. 9 Dec. 15 35,000 5,000 60,000 24,000 Corinthic Nov. 20 Dec. 27 n 6,000 Piako Nov. 23 Jan; 6 10,000 40,200 16,000