LONDON TRADE REVIEW

Auckland Star, Volume LV, Issue 171, 21 July 1924, Page 5

LONDON TRADE REVIEW

THE BRAZILIAN REVOLT. AN OPTIMISTIC OUTLOOK. NEW NEW ZEALAND LOAN. (By Cable.—Press Association.—Ccpyrisht.) LCttTDON, July 20. The apprehension of an early rise in the bank rate having apparently passed away, a better tone has shown itself on | the Stock Exchange, and the gilt-edged , market is ■ recovering from the recent j depression. The unexpected revolutionary outbreak in Brazil had a somewhat disturbing effect, but this has been counter-balanced by the removal of the fears of dearer money, improvement in the sterling exchange with America and the prospect that the London conference of Premiers will improve the international political situation. These factors have brought about some revival of confidence, and the tone of the giltedged market is distinctly firmer, although there is no great activity. An improvement is noticeable in war loans, the conversion loan, and also in the scrips of several recent Colonial issues. While gilt-edged stocks are firm, other securities have not been well supported, however. Several recent capital issues of industrial companies have not been fully subscribed. The foreign exchange market has been somewhat unsettled, with considerable fluctuations in the dollar exchange, but a strong rally has set in. The rate today is firm (just under 4.35). One cause of this is the large American demand for sterling in connection with the big flow of American visitors to Europe. Colonial butter prices have been well maintained, although Danish is rather weaker, owing to the absence of demand from Germany. British supplies of best butter are beginning to decline, as is usual at this time of the year, so it is expected the prices for these will not go lower. Increasing quantities are coming from Siberia, however. The imports recently have been from 15,000 to 20,000 casks a week, and 100,000 casks are due next week. The quality of this Siberian butter has greatly improved, and it is affecting the prices of lower grade : butters. Some buyers are taking it ! instead of Irish and Colonial. The apple market continues very firm, especially for hard keeping varieties. The prices paid are surprisingly high, considering that Covent Garden and other markets are heavily supplied with Continental small fruits. One reason for the firmness is undoubtedly the demand caused by the hosts of visitors now in London. Another is that the English apple crop is expected to be small, owing to disease. Many fruiterers are purchasing Stunners to store for autumn requirements. Yet another factor is that the appleeating habit is steadily growing. In the opinion of many people this is due to the advertising propaganda now being carried on. not by the Dominions alone, but by other exporting countries. The most remarkable feature of the j apple trade is the high prices realised j for • blemished Tasmanian Stunners. ] Many of these are most unsightly in I appearance. They are almost covered ] with black spot, yet they are realising lup to Hi/6 per case. Opinions may j differ as to whether apples of this sort are a good advertisement for Australia, but the fact that they are selling so well disarms criticism regarding the wisdom of shipping them. It must, however, be rememhered that this is an abnormal year, for the reasons already mentioned, and that the prices now being realised - probably constitute a record for the third week in July.— (A. and N.Z. Cable.)