THE MONEY MARKET.

Wairarapa Age, Volume XXXII, Issue 9703, 28 January 1910, Page 4

THE MONEY MARKET.

In the course of an article on the money market, the "New Zealand Trade Review" says"The particulars of exports and imports io the

December quarter bear out the anticipations expressed in our last issue. On that occasion we said that, contrary to the experience of, at all events, the last ten years, we looked to see an increase in exports and a decrease in imports sufficient to bring ] the two aides to an equaiity, and pos- I sibly even to show a slight excess of exports over imports. The actual figures apart from specie compare as follows:—Exports 1909, £4,080,992; 1908, £3,143,710; increase, £937,282. Imports 1909, £3,932,246; 1908, £4,037,167; [decrease, £104,921. Excess of exports, £148,746 in 1909; excess of imports, £893,457 in 1908. The resulting difference in

he position amounts to £1,042,203. rhe totaJ values for the last three fears, apart from specie, compare as follows:—Exports 1909, £19,635,936; 1908, £16,075,252; 1907, £20,064,293. Imports 1909. £14,813,644; 1908, £17,247,162; 1907, £l6 539,642. Excess of exports, £4,822,292 in 1909, and £3,524,651 in 1907. Excess of imports, £1,171,910 in 1908. The improvement in the twelvemonth is equal, practically, to six millions. The effect of this recovery is shown in the bank returns, which disclose a decrease of advances to the amount of £2,644,000, with an increase of £1,339,000 in deposits, in spite of withdrawals during the last quarter of some £B27,ooo—in advances and deposits—for the purposes of the season's produce movements. There is every indication that as the 1909-10 season progresses the present improvement will be con- | tinued. Of the excess of exports for 1909 the major portion will be re* quired to meet obligations, and it is to be remembered that the surplus beyond these liabilities will go only a small way towards recouping the heavy advances made Jby the banks to help the community over the difficulties of 1907-8. The supply of money in the open market is so good that the building companies have reduced their deposit rates by J per cent., that is to say from 4J to 4 per cent, for deposits for a twelvemonth."