THE WEEK REVIEWED.

Auckland Star, Volume LXIV, Issue 201, 26 August 1933, Page 4

THE WEEK REVIEWED.

! BUSY TIME FOR BROKERS. HIGH PRICES FOR MINING SHARES. BLACKWATERS AND WAIHIS. BANK SHARES ARE EASIER. Auckland brokers have had another busy week. The comparatively quiet spell noted in last review was followed by a period of marked activity. Practically every call saw a good list of sales put through, and although a big proportion was of mining scrip, some of which represents only small value, the total turnover must have been very considerable. In noting the list of sales placed at the foot of this article readers should bear in mind that the transactions officially recorded do not represent the total trading carried on by members of the Exchange. Quite a number take place which, following the rules of the Exchange, do not find a place on the official records. Bank Shares Go Lower. Values generally were well maintained throughout the week with the exception of Australian banks, which showed an easier tendency. As in the case of the Bank of New Zealand, noted last week, this shyness on the part of investors may be due to political reactions. It is reported in Sydney that Mr. Lyons is meditating action which, if taken, will seriously check the recovery in banking profits. The rumour is that he purposes lifting the special property tax of 10 per cent in full or in part, but that before doing so he proposes to bargain for a further reduction in bank interest rates. Whatever the reason, the fact is undeniable that bidding for Australian banks on the local Exchanges has been less keen and business transacted has represented concessions by holders. There was a good demand for New Zealands at the lower level established last week. There were only slight variations in the price, while substantial business was put through, but what changes took place were downwards, namely, from £2 8/6 to £2 8/3. Nationals of New Zealand also eased a fraction with final sales at £4. Trend of Market. The trend of the market since last Christmas Eve is shown in the following table:— BANKS. j j ! j ! I

Readers will note the mai'ked general advance which has taken place in recent months, but which has been halted within the last few weeks. Insurances Still Popular. There was no sign of slackening in the keen demand which has existed in recent months for insurance scrip. South British, Standard, and Queensland all had business at the high levels recently established, while New Zealands gradually firmed up to a sale at £2 12/6, the peak price which ruled immediately prior to the payment of a shilling dividend on August 15. Buyers for Nationals advanced their offers* to 17/3 without securing requirements, and A.P.A.'s were in regular demand at 11/ for the 10/ scrip. Fixed Term Securities. Government stocks maintained the position which they should occupy as a stable standard of security values. A fair number of sales were put through, but in every caffe buyers had to pay right up to recognised valuations. In this connection it may be noted that there lias been little variation in quotations since the Government's conversion scheme was brought into operation. After allowing for adjustment of accrued interest payj ments, the 4 per cent scrip has been selling virtually at par, and the 3% per cent relatively a little dearer on account of its special position in regard to taxation. The demand for local body securities was more restricted in scope than in recent weeks, the only sales recorded being one each of Auckland City and Franklin County. Interest Rates. The following table shows the return on Government stock to the present purchaser, based on redemption at maturity:—

Mining. Easily the liveliest section on the list was that devoted to mining. At every call close on 30 different issues were quoted, and for a fair proportion the demand was keen. With gold still holding its price in the Old World, members of the select circle of proved gold producers were well in the limelight each' day. Waihis, naturally, occupied premier position, and a considerable turnover took place in that line. Starting at £1 5/, the price eased in the middle of the week to £1 4/9, • but recovered again at the close. Grand Junctions moved in a similar manner. After reaching 4/I,' the scrip eased to 3/10, and finally changed hands at 4/. Blaekwaters continued in high favour, but holders had exalted ideas of the value of their shares, and every forward move on the part of buyers was met by a corresponding uplift in sellers' reserves. Finally a sale took place at the record figure of £1 14/9, and at time of writing lowest sellers stand firm at £1 15/3. It is interesting to recall that a year ago this scrip could be bought at 12/6. For Consolidated Gold buyers offered up to 15/ but without tempting holders. Okaritos, which have been making good returns from the dredge for a fairly lengthy period and have now made a number of distributions to shareholders, were also popular, and sales were made from 12/ to 12/2. In miscellaneous mining scrip Gillespie's Beach attracted a deal of attention with transactions from 2/2 to 2/3. Malayan tinfields were represented in sales of Kuala Kampar and Kawang. Australian Issues. More business was done in Australian securities. Colonial Sugars eased from £58 7/6 to £58, while Goldsbrough, Morts —probably in anticipation of a good opening for the Sydney wool sales next week —improved with sales from £1 7/6 to £1 7/9. Comparative stability in the metal markets was reflected in sales of Mount Lyells and Broken Hill Proprietary. Huddart-Parkers, which carry an unaltered dividend rate for the current year, had business at £1 10/6, while P. and O. deferred stock, which had received little attention for some time, accounted for three sales.

Dominion Securities. j Considerably more business was done in 1 New Zealand securities, but the range of investment was restricted to a comparatively few popular lines. Auckland Gas, Wilsons Cement and New Zealand Newspapers between them accounted for 50 per cent of the sales, with no marked diver- !

gence from recent valuations. Farming interests were directly represented in sales of Farmers' Auctioneering (B pref.), Farmers' Fertiliser and New Zealand Refrigerating shares. The coal section produced sales of Grey Valley, Renown and Westport. Consolidated Brick had fresh business at 6/3, but made a sharp drop of 6d, with, a final sale at the last call yesterday. Among industrials, which were in demand, but which failed to find a place on the sales sheet, were Donaghy's Rope asked for at £2, Bycrofts at £1 17/, New Zealand Paper Mills at £1 7/3, New Zealand Drug at £3 6/, Union Oil at £1 4/6 and Gear Meat at £1 10/. Among unlisted securities Claude Neon Lights had sales of the £1 scrip from £1 12/ to £1 13/. These shares paid an interim dividend of 4 per cent for the first half of the current year. Latest Sales. Sales completed since last review have been as follow:—-Banks.-—New Zealand, £2 8/6 (4), £2 8/3 (4), £2 8/4 (4), £2 8/3; ditto, D Mortgage, £1 12/; Commercial, 10/ (2), 15/11; ditto, pref., £8 17/: New Wales, £33 5/, £33, £32 12/6; National of New Zealand, £4 1/, £4 (3); E.S. and A., £5 6/6. Insurances.—New Zealand, £2 12/6; Queensland, £2 16/6; Standard, £2 19/3; South British, £3 10/. Breweries. — New Zealand, £1 14/9; Staples, £1 5/6. Government Stock. —4 (1940), £101 (3); (1955) £100 10/ (2); (1946) £100 5/ (2); (1949) £101 5/; 3 J / 2 (1938-43), £101 (2). Local Bodies. — Auckland City, bV* (1965), £100; Franklin County, 5% (December 1, 1949), £98; Gisborne Sheepfarmers, £85. Mining.—Waihi, £1 5/ (3), £1 4/9 (8), £1 4/10, £1 4/11, £15/; Grand Junction, 4/, 4/1 (2), 4/, 3/11, 3/10 (3), 3/11, 4/; Blackwater, £1 14/9; Okarito, 12/, 12/2, 12/1, 12/; Gillespie's Beach, 2/2 (2), 2/3, 2/4, 2/3 (3); Bell, Hooper, Od, OVSd, 9d (2), 9%d; Nokomai, 3/6, 3/2, 3/2 Yz; Bell, Kilgour, 1/4; Kuala Kampar, 7/; Kawarau, 6%d, 6%d; Rawang, 4/7%. Australian.—Colonial Sugar, £58 7/6 (3), £58 (2); Mount Lyell, £1 1/8, £1 1/9, £1 1/8; P. and O. deferred stock, £1 2/5, £1 2/9 (2); Kauri Timber, 12/9; Goldsbrough, Mort, £1 7/6, £1 7/9 (2); Broken Hill Pty., £1 16/9; IluddartParker, £1 10/6. Dominion.—Auckland Gas, £1 3/4 (2), £1 3/3 (4); ditto, eon., 17/ (2); Wilsons Cement, £1 14/3, £1 14/ (2); New Zealand Newspapers, £1 6/2, £1 6/3 (4); Grey Valley Collieries, 14/; Westport Coal, 13/1, 12/9; Renown Collieries, 2/3; Consolidated Brick, 6/3 (3), 5/9; Robinson Ice Cream, 16/ (2); Farmers' Auctioneering (B pref.), 15/; Farmers' Fertiliser, 16/1%; New Zealand Refrigerating, 16/; ditto, con., 7/0% (2). , Unlisted. —Claude Neon, £1 12/, £1 12/0, £1 13/; "Sun" Newspapers, 3/6 (2); Timberlands Wood I'ula Bonds, £25.

BUSINESS IN THE SOUTH

(By Telegraph.—Special to "Star.")

CHRISTCHURCH, this day,

The "Christchurch Times" reports as follows: —Turnover this week on 'Change, excluding mining shares, was below that of the preceding period, and dealings have not covered such a wide range. In the banking section prices are easier, but insurance, loan and agency and brewery shares are firm. Totals compare as follows:—This week, 34,415; last week, 30,827. An analysis of business is as follows, the figures for last week being in parentheses:— Banks, 2340 (2500); loan and agency, 400 (525); shipping, nil (200); meat, 1500 (3474); coal, 200 (200); Breweries, 2625 (2275); miscellaneous, 1100 (900); mining, 26,250 (20,750). Sales _of Government issues totalled £3955 (£3350), and company stock, £350 (£500).

Dec. Mar. Aug. Aug. 22, 24, IS, 25, 1932. 1033. 1033. 1033. Australasia .... 180/ 195/ 240/ 240/ Commercial .... 13/0 14/3 16/3 15/11 E.S. and A. ... S2/6 86/ 108/0 106/6 National (N.Z.) 65/ 66/ 83/ 80/ Nat. (A'sia).con. 105/ 112/6 126/ 126/ N. South Wales. 520/ 580/ 665/ 652/6 New Zealand . . 40/6 43/10 48/6 48/3 Union 135/ 146/ 1S3/ 183/ MISCELLANEOUS. Dec. Mar. Aug. Aug. 22, 24, 18, 25, 1032. 1933. 1933. 1933. N.Z. Insurance . 41/ 48/ *51/6 52/6 South British . 54/ 62/9 70/ 70/ Goldsbrough, M. 21/6 23/ 27/9 27/0 Colonial Sugar . 920/ 1085/ 1172/ 1160/ Auckland Gas . 21/ 21/1 23/6 23/3 •Ex dividend.

Sale Accrued Return price. interest. p.c. p.a. Stock. £ s. cl. £ s. d. £ s. d. 4 (1040) 101 0 0 0 0 0 3 18 6 31 (1938-43) . 101 0 0 1 8 2 '3 12 6 *Free of income tax up to 1938.