BRITISH TRADE REVIEW

Auckland Star, Volume LV, Issue 219, 15 September 1924, Page 5

BRITISH TRADE REVIEW

BRISK FOREIGN MARKET. BIG REVIVAL EXPECTED. WOOI. OUTLOOK HOPEFUL. (By Cable.— Press Association.—Copyright.) LONDON, September 14. With the close of the holiday season there is a slight expansion in business on the Stock Exchange, although no appreciable revival is noticeable in the leading markets. The only briskness has been in the foreign market, where the gamble in German bonds continues on a considerable scale. The general position on the Stock Exchange is well described by the financial editor of the "Spectator." He writes: Big professional operators are doing little or nothing. The public are not selling, but are quietly absorbing either investments or gcmi-specula-tive stocks according to individual fancy. The effect of such purchases on prices is emphasised by the sound, technical position of the markets and the complete lull for six weeks in any important capital flotations of an investment description. With regard to the future the "Spectator" adds: "Those whose opinions usually count for much in banking, finance and commerce are not only finding the outlook obscure, but arc inclined to discern a good many difficulties ahead. With the end of September there is little doubt there will be a speedy, perhaps an important, revival in capital flotations." THE RUSSIAN LOAN. While it is recognised that investment resources are considerable, the big German loan and the Russian treaty undertaking to give a British guarantee to a large loan may have a depressing effect on the markets. The writer anticipates that the House of Commons will reject the Russian treaty. This view is endorsed by other financial writers and experts, notably Mr. E. Hilton Young, formerly Financial Secretary to the Treasury. He says! "The loan has little likelihood of materialising, but the mere holding out of the hope of it has done much harm." The "Economist" says: "We do not believe there is any chance of the House of Commons sanctioning a British guarantee for a Russian loan. Quite apart from all questions of Russia's present position and policies, the objections are very strong. We even doubt whether the Government could obtain Parliamentary sanction for guaranteeing the German loan, which is an indispensable step in the plan for European recovery, if such a proposal were afoot." THE FRENCH VINTAGE. Reports from French wine-growing districts are far from optimistic regarding the vintage, which commences about the end of September. Complaints as to the weather come from all districts. The absence of sun and abnormally cold nights and heavy rains have seriously affected the vines. The vignerons pinr ned their hopes on a fine, sunny September, but so far they have been disappointed. The weather has not improved, and the wine harvest is likely to be deficient, both in quantity and in quality. -, In anticipation of poor results holders of stocks in 1023 vintages are raising the prices for them. In the meantime the trade in Empire wines continues to be moat satisfactory, and the wine trade newspapers are urging Empire importing firms to "dig themselves in" more firmly with British retailing and distributing merchants. GOOD CHANCE FOR WOOL. Revised figures for the wool sales opening on Tuesday give' the total available as 182,500 bales. Of these Australian and New Zealand offerings amount to 148,780 bales. Expectations are running high regarding the probable course of values. Most people in the trade, taking into consideration the sensational advance in tops which has' occurred since July, anticipate a rise of 10 per cent both for Merinos and cro3sbreds. In the meantime cloth-makers are complaining that they cannot get for their cloth anything like the prices warranted by the current rates for Tarns" Tailors, however, have taken time by the forelock, and many have already put two guineas on to the price of suits.— (A. and >i.Z Cable.)