WOOL PROSPECTS.

Auckland Star, Volume LXV, Issue 11, 13 January 1934, Page 6

WOOL PROSPECTS.

SALE ON MONDAY. SELLERS EXPECT RISE. BUOYANT TONE OF MARKET. All Auckland is looking forward with buoyant optimism to the second wool sale of the season, which is to commence in the Town Hall at 8 o'clock on Monday morning. The cause of this welcome cnange in the mental outlook of business folk is found in the altered fortunes of the wool producer. A year ago the old term "golden fleece" would bring forth scorn and indignant sarcasm from the struggling "cocky" who was being asked to accept 3£d to 4d a lb for. wool that had cost twice that amount to produce from a bench of buyers whose attitude was plainly one of "Take it or leave it." To-day these same buyers are almost tumbling over each other in their endeavour to secure for their principals at the other end of the world a fair share of the lines that are offering. Wool has again resumed its place as the king of the textile staples, with no serious challenger. Woollen Mills Busy. The looms of Bradford as well as those of Continental countries, Japan and U.S.A., are all working to capacity, and the only fear of manufacturers is that they may fall short of raw material. Ordere are coming to hand freely, and show every signs of continuance. They know that the world's stocks of wool are light; they know that the clips of the southern hemisphere have been seriously reduced this season, and they are shaping their buying plans accordingly. At the producing end the sheep market in the Dominion is displaying unwonted buoyancy. At Waingaro sale on Thursday store sheep brought double the ■ price which ruled at the same fixture a year ago. At Feilding yesterday store lambs brought higher prices than the same class realised in the fat pens only the day before. Shares in farmer financing companies and in woollen manufacturing concerns are again attracting favourable attention from investors. At this mornings call of the Auckland Stock Exchange buyers offered £9 7/6 for the £5 shares (paid to £4) of Mosgiel Woollen Manufacturing Company without interesting holders, and the scrip of the Bank of New Zealand, which may be-expected to benefit from the bigger wool cheques sold at £2 10/, a riee of 2/ since Christmas. Big Clearance Likely. It will be seen, therefore, that the stage is well set for a first-class clearance at Monday's sale. Auckland had the privilege at its first sale of the season in leading the way for Dominion sheep farmers out of the doldrums in which they had struggled for close on three years. On that occasion prices were much better than had been expected being nearly three times those obtainable during the previous season The T f a £o price P er bale ballsed was t\S fe/2, compared with £5 12/3 in December, 1932. The movement then ' commenced has continued and accelerated week by week. Sales in this Dominion, sales in Australia,. have all told the one tale, of buyers hungry for wool, fierce competition and rising prices. It is not a question now of whether the rates realised . here in Aovembcr will be exceeded; it is simply one of the extent of the rise.

Wellington's Great Sale. What -may he expected can be suggested by the experience at Wellington, where the sale on Wednesday and 1 lhursday was regarded by brokers as the most sensational auction ever held in the capital. The fierce bidding in the desire to secure wool at all costs; and the remarkable advance in values, on those of a month ago, were maintained to the close of the sale, which was strenuous to a degree. It is estimated that the average price was approximately £20 a bale, giving a total gross realisation of about £000,000, compared with £415,596 a month ago, when the average was £14 4/1 a bale. The quantities which will be offered by the various brokers and the order of eale are as follows:— Dalgety and Co., Ltd %<& Abraham and Williams, Ltd. " 5634 Alfred Buckland and Skins, Ltd. "" l 94? Farmers' Co-op. Auctioneering Co ' x Ltd., and- the North Auckland K-u-mers' Co.-op., Ltd........... 5)50 4 l\.&. Loan and Mercantile Agency Co -> Ltd 6,130 Tota l "25^ It is generally considered that the wool to be offered on Monday will be well up to the best standard offered in this province, though some or the clips will be showing slightly more condition than was the case at the November sale. Anticipating a keen interest in the progress of the eale, the Auckland Woolbrokers , Association has made arrangements to utilise the Town Hall on this occasion instead of the concert chamber as "Tor previous fixtures, This will permit the provision of extra gallery accommodation for the public, who. must, however, be provided with admission tickets available from the various firms conducting the sale. The following table gives details of the prices at the January sales since 1927:

Average Average per bale. per lb. Total. -too- S * "• d. £ nos H ? 2 JS-22 9 34S.OOO 10-~0 ?s i? 2 Jo- 09 518,750 "* ift - i 1 :- S37 -Jos.sso 10X1 "* ? 4 1 7 " 123 14M94 193, « J? ? I" 00 74.898 lJd2 ..... b 11 1 4.734 121,254