THE WEEK REVIEWED.

Auckland Star, Volume LX, Issue 134, 8 June 1929, Page 4

THE WEEK REVIEWED.

A QUIET TIME.

THANKS TO RACES

BANKS STILL BEST SELLERS. If anyone doubted the disturbing effect of a big racing carnival upon ordinary butanes it is only necessary to' compare the recorded sales on the local Stock Exchange for-the week just ending with those of the previous week. There is a drop of 33 1-3 per cent in the number. Banks again hold pride of place with the largest turnover. There has been little change in market values, though Union Bank advanced another shilling, with- a sale at £15 16/. In •_ • these shares, could be bought at, hlo J,. At-current rates the investor has to U. Satisfied with a return of 4% per «ent Despite the general trend of bank shares and the possibilities referred to in last week's review, it must not be assumed that they invariably appreciate. Isational Bank shares, for instance, are selling just now at £7 2/6 for the £5 share A year ago the market valued them at £7 b/. The last accounts issued, namely., tor showed lower profits and higher expenses, facts that have probably been noted by the market. At the same time no one doubts the ability of the bank to continue paying its usual 14 per cent dividend. At £7 6/, however, the return to the investor was only a fraction over 4* per cent, and he probably considers the return oA current rates, £4 18/6 per cent per annum, little enough until greater disclosed profits indicate the probable approach of some special increment. Insurance Lines. Insurances have again been active, with the market favouring sellers. N.Z. Insurance reached its highest point since the last dividend was paid with a sale at t--7/3 Buyers are still asking for more at same price. Queensland Insurance on thh other-hand, has slipped back steadilv in recent weeks.. In March the shares were sold locally at £3 8/6, whereas they have been offered during the present week at £3 5/ with no response from buyers. Ine only discernible reason for the decline is that investors consider that the former basis, which returned only about £3 13/ per cent per annum on outlay, was too high a price to pay even for gilt-edged insurance stock with all the possibilities of those lines. The profits of the Queensland for the year ending September 30 last were £95,869 and the amount necessary to pay its dividends and bonus was £62,500. Paid-up capital was £500,000 and reserves £620,000. Assets in cash and gilt-edged eecuritiee exceed over a million sterling. .; Breweries Shares. Interest in N.Z. Breweries shares continues extremely keen and further advances show clearly that the market expects to hear or something handsome when the directors next call shareholder.* together. A new high mark has been reached with sales at £3 13/. The company's debentures, on the other hand, have not shared what may be described as- an exuberant optimism and holders hayfe'dropped their limits to £1 6/6, with no 1 response from buyers: Even the lower figure can never be justified as a market investment unless the company makes Eome special concession to holders of the scrip.

Pastoral And Others. There has been a firm demand for shares in , the big pastoral concerns which do so much to finance the farmer, and several sales in this section have been recorded. Coal shares are in steady request, but it is noticeable here that investors are calling for lower values. Even Pukemiro, which leads all the. others as a profitmaking venture, is priced several shillings below the ruling rate at this time last year... Taupiris and Waina are both from 1/3 to 1/6 lower. Auckland Gas, after a quiet week, firmed up with a sale at £1 4/1, the same as on May 30. In the miscellaneous, section there have been no outstanding features. Probably the greatest attention has been given to Electrolytic Zinc, the shares of which have been in constant request. Several Bales have been completed, with former values firmly maintained. This is a line which shows-a marked advance, amounting to 5/ per share on the rates ruling a year. ago.

The cable received from Brussels to-day to the effect that an understanding has been arrived at in Europe stabilising the price of zinc, may benefit the .big Australian company, although it is still working under an excellent - guarantee from the British Government.

Very little business was done this w°k in Government and municipal stocks. The main' lines were quoted daily in the buyers' column, but offerings were exceedingly scarce.

The mining flutter, referred to a fortnight back, appears to have subsided, and holders are again reducing their limits to meet buyers. A fortnight afro buyers werr> offering 1/11 for Alburnia (2/8 paid) and 1/4 for Lucky Shot (4/ paid). To-day the correspondingfigures are 9d and 1/3. Even Waihis have slipped back a few pence.