IMPROVED TONE.

Auckland Star, Volume LXIV, Issue 150, 28 June 1933, Page 17

IMPROVED TONE.

PRODUCE MARKETS. STRIKING RISES IN PRICES. RECOVERY OF SHARES. (By Telegraph.—rross Association.) HAWERA, Tuesday. Each aiid all of tlioso present here, ■while awaiting results from the London Conference, can, by sane thinking, cooperation and trust in ourselves and the future, help to tide our country over the days that remain—and I for one do not think they are many—until prosperity in a reasonable measure has been restored," said the acting-Prime Minister, the Rt. Hon. J. G. Coatee, in opening the South Taranaki Winter Show .this afternoon. "While the thoughts and hopes of people the "world over : are ; to-day centred upon the World Economic Conference," said Mr. Coatee, "it ; is of course too early to venture upon anything in the nature of an accurate fore,cast, but this we do know, no effort will be spared by Great Britain and other great Powers to avail themselves to the full of this unique opportunity of reaching an agreement upon the vexed problems of to-day and devising ways and means of solving them." "Ottawa Now Being Felt." Referring to the Ottawa Conference of last July, Mr. Coates said it was recognised that the object should be to raise prices and secure our position in the British markets. As far as New Zealand was ;affectcd, the Dominion was able to secure- free entry of her main commodities into the United Kingdom. Probably the . most important decision arrived .at was that regulating the supply of meat into the United Kingdom market, the object being to maintain or raise prices and certainly to prevent a complete collapse of prices. "The result is now being felt in all parts of the Empire, and as far as New Zealand is concerned, I think we can look for very beneficial results," continued Mr. Coatcs. "Restrictions 'were placed on foreign meats and the Dominions were asked to give reliable estimates and control their exports within the limits of the estimates given. Foreign exports of meat to the United Kingdom were restricted for the quarter ending .March 31, 1933, by 10 per cent, as compared with the total for the twelve months ended June 30, 1932, and by, an additional 5 per cent for each succeeding quarter until it reaches 35 "per cent for the quarter eridincr June 30, 1934.

"New Zealand will keep within her estimate this year, and it seems elcar that the restriction of imports into Great Britain of meat will have the result sought at tliat conference. The prices of meat have moved up appreciably within recent weeks. Improvements in Ten Weeks. "Another important matter dealt with was that of our dairy produce. We were able to secure free entry for dairy products into the* United Kingdom, which means an advantage of 15/ a cwt specific to isew Zealand. The advantage of the method of applying the "15/ wilf'be when butter Js below 70/j. the duty amounts to 22J per cent." As revealing the upward trend of world prices, Mr. Coates quoted figures for a period of 10 weeks, as follows: Butter, Finest Salted.—The wholesale price on June 15 showed an increase of 23 per cent compared with that on April 7. Cheese. —The price for white rose 30 per cent, and for coloured 19 per cent. Mutton. —For crossbred wethers, selected, 481b to 501b, the price rose 10 per cent. Lambs: 301b and under, the price rose 15 to 17 per cent; 371b to 421b, 33 to 30 per cent. Wool. —Comparing the March and May sales in London, the increases over a variety of lines ranged from 10 to 19 per cent. "There is every evidence of an improved tone in market conditions," said .Mr. Coates. "Perhaps the best evidence of all is afforded by tho_ fact that for many commodities quotations for future deliverv are in advance of the improved prices to which I have referred. Stock Exchange Indicator. "Tho sliaremarket is a very sensitive indicator of economic conditions, and the substantial continued advance in share prices can be taken as a prelude to recovery in business generally. I\cccnt caljlo advices report marked recovery in share prices at leading stock exchanges. Ordinary share prices on the New Zealand stock exchanges have shown a steady advance during recent months. The official index of maiket prices of shares in 49 important compa.nies is as follows, taking 1000 as the 1920 base: —The index for January was 722; Februarv, 730; March, 753; April, 7731 May, 795. The index, based on quotations on the last trading day in each month, thus shows an increase of 10 per cent since January, and 19.4 per cent for May. compared with the lowest level recorded, 600 in April, 1932. "One other reliable indicator of the trend of economic affairs is afforded by tho state of the markets for base metals. These have picked up in recent weeks, and quotations on June 13 show the. fVhiwing increases, compared with quotations two months ago:—Copper, 29 per cent; lead, 27 per cent; spelter, 17 per cent; tin, 48 per cent."