MONEY MARKET.

Auckland Star, Volume LXIX, Issue 207, 2 September 1938, Page 4

MONEY MARKET.

! RESERVE BANK RETURN. EXCHANGE £811.000 LOWER. ADVANCES RISE BY £124,000. (By Telegraph.—Tress Association.) ELLINGTON, Thursday. The Reserve Bank return for the week ended .Monday, August 2!>. was gazetted to-night. ilie statement is balanced at £•-(>. !6(5.0."2, „r £711.403 loss than at the close ot the previous ivcol;. Both classes of deposit* are lower than the week before. Those of the State have laileii l>y .t311.2»"52 and tlie holdings of the tiaduiK banks by :C392.4*W. The note issue shows a reduction of A'UO./iTS in value. ' lc sterling exchange reserve is <4-SI 1,491 below the level ol the previous \r° i A(lvan( '°« to the Primary Prodmts -Marketing Department are £124,078 • other assets have fallen by

'• Jhe statement with variations coinparei l ' with the week before is as follows: — | s ' LIABILITIES. Variation £ JC 1. On. reserve .. 1..~00,n00 Same 2. Mank notes ... 13.091.210 —<in..V7S o. Demand liabilities — r] <■') state .... K,:»rii.si7 --311,2."".: (h) Hanks ... (MS7.7BU ■—392.43: 1 _ (<•) oilier ... 370.102 + 59,08o. Liabilities In currencies other than X.Z. ... 7.7.17 3.71 i j 6. Other liabilities 112.294 —L\r>'.i" Total 1ie,.l nc.i>3L» —711,49; ASSETS. _ r . £ £ J. Reserve— (a) Gold 2,50 1.701 Same (I>) Sterling ix. 13.094.H19 —811.401 8. Subsidiary coin 228.818 2.';; 10. Advances— 1. Market i n g Dt'pt 3,733.992 +124,07!: 2. For other purposes . 2.000,0(10 Same ■ 11. Investment ... 2,732.0<>.-> Same 13. Other assets .. 7 1.747 —23.847 Total 20,100,032 —711,40: Proportion of reserve to notes and othci demand liabilities, 07.174 per cent (,GS.4L>7 last week). Threo Years Compared. The following table shows the position of the bank's funds at this date for tinpast three years (in thousands of pounds): LIABILITIES. 1030. 1037. 1938. £ £ £ General reserve l.tion l .."ion 1.50 C Bank notes ... 11, US 12.704 13.000 Dema lid liabilities — Stale 0.430 0.273 3.002 Bank 5.097 0.00."i t> 4SS Other 28'J 655 'y7(j Liabiiit ies in currencies other than N.. — 7,7."i7 Other liabilities 01 03 112 Total .... 25.101 31,220 20,100 ASSETS. £ £ £ Reserve— Gold 2.802 2.502 2,802 Sterling .... 10,700 20.555 13[094 Subsidiary coin 184 101 229 Advances to State—■ Marketing Dept. 05 4.487 3.733 Other purposes — 300 2.00ti Investments . . . 2,038 2,007 2,732 Other assets . . 273 08 ' 74 Total .... 25,161 31,220 20,166 Proportion reserve to notes and other de- * ma ltd liabilities U>-C.) 95.59 75.54 67.174 Principal Changes. Compared with a year ago note issue is nearly £1,000,000 higher, while State and bank deposits combined are over £5,600.000 lower. Oil the assets side the chief movement is in sterling, which is lower by nearly £7,000,000. Compared with two years ago sterling funds have decreased by over £0,000.000. but as a partial set-off is the item • Advances to the Marketing Department." at £3.733.000. This item, it will be noted, is over £700,000 less than at this time last year. No detailed information is available in regard to the item advances for other purposes which has risen sharply in recent weeks and now stands at £2,900,000. The proportion of reserves to notes and other demand liabilities is over 28 per cent less than it was two years ago.

CONSOLS AND STOCKS.

ALL-ROUND EASING. LONDON. September 1. The following table gives quotations for consols and colonial inscribed stocks, compared with those of August 24 :— VarlaPrlce. tion. £ a. d. s. d Consols, 2} per cent ... 74 O OJ 30 0» Funding l,oan, 4, 1900-90 113 10 O 10 0* War l.onn, 3J, 1952 .. 102 2 0 15 o* Conversion Ln., 3J, 1961 I<>l 5 Ot 20 0* Victory Bomls, 4 110 0 Ot 15 0« Co.*n'wenlth, 5. 19-15-75 . 105 1 5 n 2 G* Com'wealth. 4, 1943-48 . 101 in n 12 Of Com'weal til, 3J. 1948-5."! . 99 17 6 3 Com'wealth, 3J, 1956-C1 '.hi 17 t; Same Com'wealth, 3. 1955-58 . S8 7 li 7 0* N.S.W., 31. 1930-50 .... {Hi lo 0 10 «>• Victoria, 3. 19-9-49 .... 9:: 7 0 y» Victoria. 4i, 1940-00 .... 101 1G 3 5 n* Victoria, 5, 1945-75 I<C> 12 li 5 (»• Queensland, 3, 1922-47 . 91 15 11 10 o» Queensland, 5, IC4O-G0 . 101 12 (it j(t 0* S. Australia, 3, 1910, opt. 7G 2 ti 2 Of S. Australia, 5, 1H45-75 105 10 <1 G 3* W. Australia, 4, 1942-G2 100 5 0 2 G* Tasmania, 3A, 1920-40 . 101 2 <i :: si* Tasmania, 4, 1940 50 ... inn ~ 6 1 :■;* j New Zealand, 41, 1945-58 100 2 (J 1(1 o» New Zealand, 3J. 1940 .. 99 2 ' G 7 G* New Zealand. 3. 1945 . 93 0 Ot -12 G» tlligher. 'Lower. JE.v interest.