PRICES FALL.

Taranaki Daily News, 21 May 1920, Page 5

PRICES FALL.

BETTER DAYS IN AMERICA. RELEASE OP STORED FOOD. By Telegraph.—Press Awn.—Copyright. Received. May 20, 5.5 p.m. New York, May 19. In connection with the reduction in prices, the newspapers are filled with advertisements of special sales. The reasons given are a slow spring season, the public doing little purchasing, leaving merchants stocked up, and the tight condition of the money market.

Whether lower prices have arrived permanently is a question. A leading Chicago merchant states the reduction is intended to satisfy the hysterical public demand for loweV prices. There has been a general decline in stocks in Wall Street, and further extensive selling of Liberty Bonds at low levels. Sales before noon approximated £4,000,000 at par. Washington May 19. Governor Harding, of the Federal Reserve Bank Board, recommends all banks to liquify all credit extensions which ate permitting large stocks of merchandise to be held for speculative purposes. Congressional action is expected with a view to driving foodstuffs from storage.—Aus.N.Z. Cable Assn.

PRICE CUTTING EVERYWHERE. WEARING APPAREL CHEAPER. Received May 20, 11.30 p.m. New York, May 20. A wave of price slashing is sweeping the country. The reductions are chiefly in men's and women's wearing apparel, and many other manufacturers will follow suitThe banks notify that makers of non- ! essential articles will receive only limited financial. accommodation. Stocks, bonds, and commodity markets are highly nervous and sagged. There is heavy Victory Bond liquidation. Wholesale merchants assert the move cannot be maintained.—Aus.-N.Z. Cable Assn. A DARKER PICTURE. PRICES IN BRITAIN HIGHER. BACK TO "WAR BREAD." Received May 20, 7.40 p.m. London, May 1!). The Pood Controller, speaking at London, said that before the abolition of food control could be secured difficult periods must be passed. At the present moment the average prices of foodstuffs in Britain were at their highest point since the outbreak of war, in consequence of the national wage bill having increased in two years £500,000.000. The world's prospective wheat crops were causing every Government in the world the greatest anxiety. Substantial decreases were reported from North America, Australia, and the Argentine, and the latter country was considering the necessity of prohibiting the export of wheat. Only the Indian crop showed a surplus, but it was insufficient to balance the output from other sources. It was quite possible the people in Britain would have to eat bread of a qnality only procurable during the most difficult period of the war. He urged the people to eat New Zealand mutton, and save flour and bread.—Aus.-N.Z. Cable Assn.