THE WEEK REVIEWED.

Auckland Star, Volume LXIV, Issue 99, 29 April 1933, Page 4

THE WEEK REVIEWED.

SHAREBROKERS ARE BUSY.

MARKET'S HEALTHY TONE

GOVERNMENT STOCKS NEAR PAR,

Resuming after the Easter vacation, members of the Auckland Stock Exchange found a good list of buying orders waiting, and it was not long before a steady stream of sales commenced to flow through the various agencies. Principal attention was directed towards Government issues, but these had no monopoly of buyers' interest. There was keen bidding in quite a number ot sections, and the general tone ot the market was distinctly healthy. v,a r especially noticeable towards tile elose ot the week and may be taken as a reflection 1 of the improved international outlook. ! A strong demand set in for Government stocks and at every call there were buyers for all the listed lines. Holders,, however, were slow to declare their limits, some tried the market at par for_ the 4 per cents, but this proved too big a hurdle and later offerings were couched in easier terms. Sales were then effected at £99 15/. On Thursday several parcels changed hands at £99 19/, but yesterday the higher figures were again realised. Banks. The banking section was steady, and sales of New Zcalands, Commercials, NewSouth Wales, and English and Scottish reflected a market that was virtually unchanged. Trend of Market. The trend of the market since Christmas Eve is shown in the following table:— BANKS. Dpc. Mar. April April 22, 24, 13, 27, 3 032. 103,' J. 1935. 1033. Australasia ISO/ 195/ -08/6 208/6 Commercial 3 3/6 14/3 14/8 14/0 rj and A ... 82/t> ,SG/ SG/.-i Sl>/9 National (N.Z.) 05/ 66/ 66/(5 66/6 Nat. (A'sia) con. 10, i/ 112/6 11S/6 118/b N. South Wales 520/ 580/ 580/ 580/ New Zealand .. 40/6 43/10 4a/9 40/3 Union 135/ 146/ 147/0 100/ MISCELLANEOUS. Dec. Mar. April April 22, 24, 13, 27, 1932. 1933. 1933. 1933. N.Z. Insurance . 41/ 48/ 49/0 49/6 South British . 54/ 62/0 65/ 64/ Goldsbrough, M. 21/0 23/ 23/ _-/9 Colonial Sugar. 920/ 10S5/ 1100/ 1110/ Auckland Gas . 21/ 21/1 22/ L-/1 It will be noted that the bank shares are rated well above the valuations ruling at the elose of last year, whilst insurances have all made substantial advances. Insurances. The insistent demand for insurance scrip shows no signs of slackening, and fresh business was done in New Zcalands at £2 9/0, while South British changed hands ex div. at £3 3/8 and £3 4/. These figures show a return to present purchasers, based on latest dividends, of from 4 to 4 1-0 per cent per annum. Nationals were asked for at 16/4, and Standards at £2 10/, but sellers kept y.'ell in the background. v Mining. Notable in the mining division were some fairly sharp fluctuations in Waihis. The scrip sold before Easter at £1 3/3, but on resumption of business it became apparent that investors feared repercussions from America's policy in departing from the gold standard. Early in the week sales were made at £1 2/, but later there was a steady recovery with a final transaction at £1 2/9. It has been repeatedly emphasised in these columns that any investment based upon the present abnormal price of gold is highly speculative, and latest developments tend to confirm that view. The future of international currency is in the melting pot, and not till some finality lias been reached from the discussions commenced at Washington will it be possible to estimate the position that gold will occupy in the new order of economic affairs. Meanwhile, it should be emphasised that Waihi shares have proved an excellent investment for all who have bought them during the past few years, even at the comparatively high rates tlr have ruled over the last 12 months. Another 1/ dividend is to be distributed on May 5, and as this is the second for the year it represents a 40 per cent return on the 5/ shares. The payment, it should be noted, is in English currency, so that New Zealand shareholders get the further benefit of the exchange between London and New Zealand. Grand Junctions improved slightly with a sale at 3/9, after which holders asked 4/ " > ... Miscellaneous mining scrip was not so popular, but Blackwaters had fresh business at £1 1/9 and _ £1.1/11, with Consolidated Goldfields in request at 8/6. The marked improvement in the world's metal markets brought frdsh inquiries for tlie scrip of Malayan tin companies. Kuala Kampur and ltawangs were Pfked for regularly. There was also biiuiing for Broken Hill Proprietary, North Broken Hill, and Bulolo. Australian. The more popular Commonwealth issues were bid for at each call, but the market across the Tasman is very firm just now and sellers have marked their limits accordingly. The only sales in this class were of Mount Lyells at £1 0/7%, Huddart Parkers at £1 9/3, and Colonial Sugars at £55 10/ and £55 12/6. These all represent advances, and in the case of Sugars the prices are the highest realised for several years. Dominion Securities. A feature of the week's trading was the strength of the more popular New Zealand securities, including several industrials, and this may be taken as a healthy sign. Investors evidently realise that, with approximately 4 per cent as a standard income from gilt-edged stocks, they must return to the industrial, sections if they expect anything approaching the rates that were formei-ly available. This movement is distinctly noticeable in the case of Auckland Gas shares, which have advanced a shilling in the month. The rise is only moderate, but it has a definite significance in that there have been no other special factors likely to have caused an appreciation in values. New Zealand Breweries have firmed up 2/ with a final sale at £1 9/4, but in this case it is likely that investors are influenced by the expectation of a satisfactory dividend announcement at the end of the current year. Sales of Wilsons Cement from £1 12/ to £1 12/3, ICempthorne, Prossers at £3 3/6. Woolwotths prefs. at £1 11/9, and Union Oils at £1 5/ all testify to the general firmness in this section. It is understood that the directors of Woolworths, Ltd., have decided that, subject to the annroval of ordinary shareho'devs, the holders of preferential s-ri-will rcceive a bonus sufficient to compensate for the amount that is deducted by legislation from the 9 per cent dividend. Latest Sales. Sales completed since last review have been as follow:— Banks. —New Zealand, £2 5/1. £2 5/, £2 5/3 (2); Commercial, 14/6, 14/5; New South Wales, £29, £28 17/0; E.S. and A., £4 6/9. Insurance. —New Zealand, £2 9/6 (3); South British, £3 3/8, £3 4/ (2). Breweries. —New Zealand, £1 9/, £1 9/3, £1 9/4. Government Stocks. —4 (1940), £99 15/ (3), £09 10/ (2): £09 15/, £99 10/ (2). £99 15/: (1949) £09 15/, £09 10/ (2), £09 15/; (1955) £09 15/, £99 10/ (2), £99 15/. City of Auckland, 514 (September 1, 193G), £99. Mining.—Waihi, £1 2/ (21. £1 2/3, £1 2/6, £1 2/5, £1 2/6, £1 2/7 Vi, £1 2/9; Grand Junction. 3/9; Crown, 1/; Golconda, 7V&d, Sd (2); Blackwater, £1 I 1/9, £1 1/li.

Australian.—Colonial Sugar, £55 10/, £55 12/6; Mount Lyell, £1 0/7%; Huddart-Parker, £1 9/3. Dominion.—Auckland Gas, £1 2/ (2), £1 2/1 (4); Wilsons Cement, £1 12/ (4), £1 12/1, £1 12/3; Kempthorne, Prosser, £3 3/6 (2); Union Oil, £1 5/ (2); New Zealand Newspapers, £1 3/; Woolworths (pref.), £1 11/9. Unlisted.—Bell Hooper, lOVsd. 'BUSINESS IN THE SOUTH. (By Telegraph.—Special to "Star.") CHRISTCHURCH, this day. The "Christchureli Times" reports as follows:— Stock Exchange trading days during the past week have been restricted to four, Anzac Day having imposed another holiday oh top of the Easter vacation. In these circumstances the period can scarcely offer any sound basis of comparison with the last lull trading week. That the markets are active has been evidenced not only by the volume of business put through each day, but by the decided firmness shown. A total of 20,340 shares changed hands in'four days, having been distributed as follows: —Banks, 2090; loan and agency, 400; meat, 750; gas, 300; brewery, 1200; miscellaneous, 550; and mining, 15,050. Government issues were dealt in to a total of £5700, while £100 worth of company debentures changed hands. Interest in the Government section has been confined almost wholly to newly-converted stock, the sole exception being a sale here of 5% per cent bonds, 1037 (September) at £100 15/. Early trading here in 1910 Inscribed 4 per cent was at £00 15/, but later £100 and £100 5/ were paid, while £100 -was paid also for the 1046 issue.