CHECK ON CREDIT DRAIN

Sun (Auckland), Volume IV, Issue 930, 25 March 1930, Page 10

CHECK ON CREDIT DRAIN

EXCHANGE RATES FIXED IN AUSTRALIA SYDNEY, Monday. * From tomorrow, new rates of I exchange with London will operate. The j quotation for telegraphic remittances I will be raised to 0A per cent., and the | corresponding buying rate will be G 1-8 per cent. The increases are made in ( continuance of the movement to check 1 the drain on London credits. ; Following are details of the new J tariff: AUSTRALIA OX LONDON ! , , Buying. Selling. .On demand .. .. £3 05 7 G £IOO 1 3 3«j days .. .. 104 15 0 105 12 G | GO days .. .. 104 3 9 105 3 9 ; 90 days .... 103 12 6 ; 120 days .. . . 103 1 3 i Telegraphic j transfers .. . . 106 2 G 106 10 0 The last alteration was made on -U;< *ch 10 when all quotations were advanced 1 per cent. Buying quotations have now been raised 2 5-8 per cent., and selling quotations 2 3-S percent. Alterations of such magnitude have orobably never previously been made; the new rates are almost certainly unprecedented. The premium on cable remittances is equivalent to over 15Jd on £1; in other words, £1 Australian will buy only 18s 9d in London. The movement of the exchanges against Australia began on July 22 last year. From October 4. 1928. until that date, the selling rate for telegraphic transfers was 1 per cent, and the buying rate l per cent.