THE MONEY MARKET.

Taihape Daily Times, 31 October 1917, Page 2

THE MONEY MARKET.

The New Zealand Trade Review (Wellington) says: The banking returns for the September quarter reveal the fact that the bank s still have tei’ge supply of funds in hand, though the amount shows a reduction on both the previous quarter and a year ago. The surplus of deposits shows a moderate reduction 0f'£629,156 in the year, but a somewhat heavy decline of £J 627,692 in the last quarter. ibis is the usual movement at thi s time of the year, as in the June quaiter funds are generally at their highest level; but the decline is £655478 more than in the same period last year, which is probably chiefly due to the shortage of frieght delaying the realisation of a large amount of our produce. As these returns are the averages '■■r the quarter, they do not show

much effect from the raising of the war loan, which would only affect the last month of the quarter. However, though the loan will cause a large transference of funds from priTate to Government accounts, the money will filter back again, and the buTK - ,of it remains in the Dominion The general supply of funds snohild therefore remain ample for ordinary requirements. The trouble of securing sufficient tonnage to move our produce is still prevalent and our prosperity is dependent on this great factor.