BRITISH TRADE.

Auckland Star, Volume LVII, Issue 26, 1 February 1926, Page 4

BRITISH TRADE.

FINANCE AND COMMERCE, \ AX OPTIMISTIC NOTE. LOS DOS, January 30. i An optimistic uute regarding liie ouilook lor iiriti.-li mule was riruck in a : speech made this wi.t!jc uy -Mr. Kegiuaid • .Ylelvuiina, chairman of the LuiiUon Joint. ,' i_i'L\- and. \iidiaiid Ban.-; who was Chun- .- cellor of tlie i-xiheciuer Irum i'Jlo to lulu. This ha= hi-en echoed, in the ad- . dresses of the chairmen at meetings oi live other important banks. The c speakers included such well-known finan- j cial authorities as Mr. Walter Leaf, of ; tlie Westminster Bank, and Sir Felix l Schuster of the National Provincial Bank. 1 ■ All these experts took a distinctly ; hopeful view. Their speeches have had [ a reassuring effect in the city, and have given rise to a general feeling of quiet ; optimism regarding the financial and ( commercial outlook. 1 '■ So far the London Stock Exchange , has hardly reflected this optimism, and « business in speculative stocks has been ' very lack, This is mainly due to a , I sei-back in rubber, which has caused a i considerable number of forced sales. The weakness in this section lias spread , to other industrial share?. Gilt-edged ; stocks have been conspicuously linn, ; however, and although business has only J been done on a small scale prices have ( hardened all round. IJ Colonial stocks have been notably ■ strong, and several recent issues which i were lately quoted at a discount have J eiher reached par or are very close to it. I] This firmness of gilt-edged stocks has given rise to rumours to the elfect tnat ; the Government is likely to bring for- 1 ; ward another large conversion loan . scheme soon. Opinions regarding this I are very conflicting, however. It is . pointed out that there is no immediate ] need for a new conversion loan, as there J is nothing falling due until February, 1927. " i ' One cause of the firmnesv :,1 gilt-edged j stocks is -undoubtedly the advance in j the rate of American exchange in Lor.- ! don, which is to-day 4 dollars 86 3-S 1 cents to the pound, the highest point re- \ corded since December, 1914. Another interesting exchange movement is the ] advance in the Dutch rate to 12.123 1 to the pound. This brings the florin to a ; discount as compared with sterling for the first time in a long period. —A. and i N.Z. Cable.) ] — i