BRITISH TRADE REVIEW.

Auckland Star, Volume LVII, Issue 205, 30 August 1926, Page 4

BRITISH TRADE REVIEW.

QUIET OPTIMISM. DESPITE THE COAL STRIKE. "GILT-EDGES" EASIER. ('Received H a.m.) LONDON, August 28. Although the holiday season is now at its height and no settlement of the coalmining dispute has been reached, the London Stock Exchange remains steady. Business on many of the markets is rather better than is usual at this time of the year, although gilt-edged stocks have shown a somewhat easier tendency. This is partly owing to monetary stringency and the weakness of sterling exchange on New York. How strong the general position is may be gathered from the fact that on the monthly valuation li=-t of 3d.") representative securities issued by the "Bankers" Magazine" there was an appreciation in capital values for the month ended August 19 of about i.">2.U00.000. or 0.7 per cent. Therefore it is not surprising that quiet optimism is the prevailing note on the Stock Exchange. The general viewis that when the coalmining dispute ends there will be a burst of activity. Already there is talk of numerous new capital issues when the holidays are over. New South Wales is mentioned as a likely early borrower. Australian Dried Fruits. The trade in dried fruits, both Australian and Continental, is very dull, largely owing to the decreased spending power of the community. Traders anticipate a better inquiry next month, however, when grocers ought to com- • nienco laying in supplies for the Christmas trade. The advertising campaign for Australian fruits ig now in progress and is already bringing inquiries. An interesting advertisement in the grocery newspapers is that of a large firm of cake manufacturers in Nottingham: "A newline. Australian fruit cake." The firm offers grocers cakes in the manufacture of which all the fruit used is Australian, the other ingredients being mainly of Empire origin. Frozen Beef Not Wanted. The chairman of the Union Cold Storage Company does not hold optimistic views regarding the Australian frozen beef trade. In an address at the annual meeting of the company he said there had been considerable talk in Australia in regard to trying to develop the sale of frozen beef in England. There was just as much hope of developing the use of borse-drawn four-wheeled cabs in Sydney. There was a limited outlet in Britain for frozen beef for the army and for public institutions, also for the Continent, but the British working man had been educated to want chilled, not frozen, beef. There was something wrong when South American growers could make fortunes out of cattle grown on land which sold for ten times as much as Australian cattle lands. On the cattle ranches in the Northern Territory of Australia it was more profitable to let the cattle die than to attempt to operate at the Port Darwin ■works. What was wanted to end this state of affairs was the quickest possible completion of the railwaj through to Port Darwin. Wool Market Active. The business in wool at Bradford has been surprisingly active, with a considerable turnover at prices distinctly favouring sellers. London selling brokers have, also experienced a good demand for lots withdrawn from recent eales, and in many eases have realised reserve prices. There have also been some sales to Prance. The opening of the Australian season is therefore awaited with more than the usual interest. According to a Bradford correspondent the big buying movement, which has lately been in progress there, indicates Bradford's impression ns to the outlook. The concensus of opinion appears to be that brisk competition is likely, especially for all fine wools. Coal Imports Increase. The "Economist," in its survey of trade, says: "Although the coalmining dispute has reached its 17th week, the Industrial situation does not show signs of further deterioration. In fact, numerous indications point to a slight amelioration of the position. The number of registered unemployed persons has decreased by 60,000 in the last six weeks, but the total is still 000,000 greater than in the week preceding the strike. Increasing coal imports have been an important factor in the partial improvement, but the weekly consumption of coal in Britain is probably about 1,500,000 tons, compared with 3,500,000 in normal times. The shutting down of the heavy iron and steel trades and the use of oil fuel on the, railways may account for most of this deficiency, but it is clear that other industries cannot obtain all the fuel they would normally consume. The gross railway receipts have shown a noteworthy recovery as a result of the resumption of the* normal passenger services and of the increased holiday traffic, but they are still much below last year's level. Outdoor relief payments are still more than CO per cent above the level of July, 1925. Against these disquieting phenomena may be set the facts that Stock Exchange values are. on the whole, well maintained and respond quickly to any hopeful development in the coalmining situation, and bank deposits and advances are well above last year's 'evel. BUSINESS IN SYDNEY. PLENTY OF MONEY. That there is plenty of money to burn 4n Sydney is a fart well in evidence (note the "Daily Telegraph"). Dealers in property know how city buildings have ■hot up the last year or two. and flats in certain localities, at anything from six to twelve guineas a week, are let without difficulty. Last month' Rome of the biggest Sydney firms advertised bargain sales. Most "of them report record takings. One of them admitted that on the opening <lav of the sale the tak ings were £38,000—tinrl the sale has, boon going for nearly four week-. This particular house found that the c.ish receipts alone were £2000 more than on the first day of tlio corresponding aah last year, "and this despite the fact ** at two most powerful rivals were not A * he n in the bargain field.