BRITISH TRADE REVIEW.

Auckland Star, Volume LXIII, Issue 138, 13 June 1932, Page 4

BRITISH TRADE REVIEW.

STOCK EXCHANGE UNSETTLED

AIR OF STAGNATION. MOKE FAITH IN AUSTRALIA. LONDON, June 11. General conditions on the London Stock Exchange remain unsettled and several disturbing events prevented any improvement. The revolution in Chile, the failure of an important firm in the metal market, widespread liquidation in Wall Street, political uncertainties in Germany and the weakness of sterling exchange all contributed to make operators cautious. Consequently, there was a general air of stagnation in the markets and the movements of prices have 'been mostly downward.

A pleasant exception is Australian Government stocks, which maintain their firmness and in some cases they have improved. Discussing Australia's economic position the financial editor of the "Morning Post" describes the change as a most remarkable and praiseworthy achievement. Many thought that as Australia had lived on borrowed money for so many yciire. its effort to turn the import balance into an export surplus would be a task quite beyond its powers. Sometimes the bickerings of politicians, which are often accorded greater prominence in the cabled news than any evidences of solid progress, may have obscured the fact that the task is being tackled wholeheartedly by the Australian people, once they have been shown the way.

The faith of those investors who have held their Australian securities right through the period of difficulties is now seen to be justified and in view of falling returns from high-class domestic securities, there would seem to be room, if the New South Wales election goes in the direction generally anticipated, for a further improvement in Australian stocks as providing one of the few channels where the investor can look for integrity on the part of the borrower. There arc still difficulties to be surmounted, but a great beginning has been made. Over Supplies of Apples. During the first half of June no fewer than ],233,000 boxes of Australian and 142,000 boxes of New Zealand apples arrived on the London market. In lace of these enormous arrivals prices declined about 2/ a box. It is fortunate that soft fruits, such as cherries, strawberries and gooseberries, arc fully a fortnight later than usual, owing to the cool weather so far experienced, otherwise prices must have declined further. It is also fortunate that the duties on foreign cherries and apricots have minimised these supplies, but the. country is now having a spell of bright and hot weather, and heavy supplies of homegrown strawberries arc expected next week. This makes the outlook for apples during the next fortnight rather serious. Australian Wines. With the exception of the United Kingdom, Australia was the largest contributor to the Canadian wine cellar for the year ended April, 1032, sending 31.377 gallons, an increase of more than 7000 gallons on the total for the previous year. In addition, sparkling wines were also sent. Australian and South African wines are displacing to some extent the wines of Portugal. Spain and France.