BRITISH TRIBE.

Taranaki Daily News, 11 July 1922, Page 5

BRITISH TRIBE.

FINANCE MOVEMENTS. THE GERMAN FACTOR. CHECK TO ACTIVITY. By TalrgrepS.—Fraas I Copyright. London. July 8, The slump in the German mark, which caused a smaller decline in French and Belgian francs, coupled with create in Ireland, checked general activity on the Stock Exchange, but high dass investment securities have been wonderfully maintained. The chief explanation is the idea that chaotic conditions may prolong the stagnation of trade and the cheapness of money. The money market is already freely discussing the prospects of a' further reduction in the bank rate, but it is suggested that such a reduction is likely to have a less pronounced effect upon securities than the previous declines. The present state of the Berlin exchange has virtually brought about a standstill of any attempts by Germany to meet cash payments of accounts and the reparations are affecting her similarlv regarding the external payments which most be made for raw materials. An encouraging feature in the exchange position lies in the fact that New York values have strengthened during the week, probably owing to the renewed expectation of developments regarding a British loan in America.

BRITISH BUOYANCY. In this regard the eity evinced the greatest interest in the withdrawal of half a million in gold from the Bank of England. A similar decline occurred m the holding of gold by the currency department against the issue of currency notes. Thus a million has been withdrawn and the money market concludes that this has been done for shipment to the United States as payment of interest on the loan, the finst instalment of which is due in October. • The Spectator points out that among the influences which produced the recent improvement in gilt-edged securities insufficient attention was .paid to the national accounts, which are regarded as encouraging owing to the unexpectedly large revenue and the shrinkage in expenditure. WOOL FAVORABLE. Yorkshire papers strongly protested against BAWRA'i last minute decision to withdraw all New Zealand wool from the Liverpool sales, describing the action as an expedient to prevent a fall in prices. On the contrary, it is recognised that without the withdrawal tb.p July programme in London and Liverpool would have totalled a quarter of a million bales. A block has been caused by the impossibility of Yorkshire combs handling increased quantities of wool. This is still a vital factor because it leaves a heavy accumulation. making it difficult to finance further vrrpnlie*. The be«t features of the situation are the well maintained consumption of tops and yarns and the gradual imurovement in the manufarturinp- branches, though buying has not reached anything like the pre-war volume. AUSTRALIAN APPLES. The Australian apple season is nearing a dose. The high prices experienced in 1921 were never anticipated, but better figures would have obtained if several of the earlier consignments had not arrived in bad condition, making buyer? fight shy of Australian apples. The «aleable portions of the damaged shipments were deceptive. They looked well, but were bad inside. Tt was only the fact that the English strawberry season was short and unsatisfactory. owing to the summer drought followed by heavy rains, that the market for later shipments held flrm.