THE TREND OF TRADE.

Auckland Star, Volume LXIV, Issue 249, 21 October 1933, Page 4

THE TREND OF TRADE.

Summarising business conditions in the Dominion, the Auckland Chamber of Commerce journal for October states: — The volume of exports lias attained new high levels during recent months, offsetting the rather disquieting disparity between the prices of exported goods and the prices of imported commodities that has developed during the past three years, and that in the early months of this year showed signs of increasing. The immediate (though not necessarily the permanent) effect of the New ZealandLondon exchanges being raised from 10 per cent, to 25 per cent adverse to NewZealand on January 20, has been a curtailment of the volume of imports. Another at least temporary effect of the raising of the exchange has been an increase in the ratio of bank deposits to advances. That, in present circumstances, must be regarded as not a favourable sign, symptomatic, as it is, of an embarrassing building up of the London balances of the New Zealand banks. The most favourable element in the present economic outlook is the hardening tendency of export prices, which has been followed by an improvement in mortgages discharged, share pricos and some other economic barometers.