TRADE REVIEW.

Ashburton Guardian, Volume 56, Issue 237, 20 July 1936, Page 6

TRADE REVIEW.

PRICES AT LONDON WOOL SALES.

RUSSIAN AND GERMAN INFLUENCE.

(United Press Association —Copyright) LONDON, July 18. H. Dawson and Company, commenting on the wool sales* says that tlie market was dominated by Russian and German operators. The Home trade was startled at the prices paid for crossbreds, though the statistical position is exceptionally sound. The future level of prices is not bound up in Japan’s action in the autumn. AATiile her total takings from world clips may be less, offerings should ultimately be absorbed in view of the real need for raw material by Russia, Germany, and Italy. Nevertheless, the marketing of the new clip in view of the financial hindrances should be carried out cautiously. It was noticeable that towards the end of the sales advances brought out orders from many quarters which otherwise had shown little interest. This indicates the real demand and proves that manufacturers have orders on their books which they hitherto preferred to leave uncovered in the hope of lower values. No doubt a healthier atmosphere exists as a result of the improved market and good clearances. The usually difficult holiday period should be faced confidently, without fear of severe shock or fluctuations.

The “Yorkshire Observer” points out that an unusual feature of the sale has been Continental bidding for the lino of merinos. Australian and New Zealand apples totalled only 74,000 boxes. No pears were offered. The bulk of the offering was rather mature, the market being disappointing. It was further prejudiced by Jervis Bay Stunners, most of which landed in a suffocated condition, causing buyers to lose confidence and adversely affecting Stunners on other vessels. Heavy quantities of New Zeealand from cold store are offering. Moreover, Italian fruits are already appearing on the market. Tlie Sturmers offered at Liverpool from the Thcmistocles, Westmoreland, and Qtaio also showed signs of suffocation.

The upward tendency of butter continued, certain holders not hesitatiing to take substantial profits. The activity extended to Continental butters, as sellers were not anxious to come on tlie market except for higher prices, as Germany and America are useful buyers. Cheese also improved, though the demand is largely speculative. Other commodities were uninteresting.