THE WEEK REVIEWED.

Auckland Star, Volume LXIX, Issue 226, 24 September 1938, Page 4

THE WEEK REVIEWED.

EUROPEAN ALARMS.

INVESTORS FEAR WAR. j STOCK VALUES FALL. j LOCAL POLITICAL KFFKCTS. ar clouds and political activities ha>"-' ci.nibaied to oiipple Stock Exchange bn-i----nc.-s in the past week, and turnover ha* been -of comparatively small dimensions. Tile general market tone !i:ik bo.'ii ..Icei'leillv weak, ami a substantial portion o! the sale- : eii.l .le.l « put tliloiigli nti a t i ! liiig nia. ket. ' 'n' '-Ch-aliniial lU'Hs ; li.it Bl itaitlI iliii.' Aliiiisti t . Mr ( ii.inibel lain. li.nl .11 - - ti- Berlin to moot Hon 11 it I. i a . lepi c.-sot 1 liiiiikct a detiniu- ti ii; •>. but ii wt- bi i. ■ itin-atioii. .aid hue;ci 111 j11;, ,it int: — Kuinpe brought atii.t'i 'r 'T'-'l—- est.-: i!.i«-'s cables showed th.it the London |-:.\. lli.lt J, w.i„ ilepie —I'd Tor Bi:ti»li < iiivt'i uiiiciu tun.lt! l ogi.-tcu d :u:l lie: lie. lilies. f|,.. metal matkets. Inc. " hich prnvido a taiily accurato b.trmiict':r genii.il Hading condition*, stoadi > cased in tli.. last tow days, this ca.-iiiu being promptly t elici ted in the vahki- ot' Aust "alian in.'.usti ialr-. Tlieso latter have a>- i been iiu.lci' the int'ucnco ot t■ ic coal ,-tiik'. which i- stiil unsettled. In addition this foi nii.liible atrav of uuf.iviiui able cNtcitial ilitliien. cs. New Zo.iliiiiil investm -• have had to face what may justly bo dor-ignuted as tl politiciil bombaidui. iit. Iho (ii.vct niiient I'n'iMcy. a*, weil i« thi.t ot the Nation.!l pill l.i'. have both been published d'lting tli" week, and eatididatOs ai o oil tiie hustings nightly 'at I'Vcrv elocto'.iite in the Dominion, while t'i" stii\-at-ho:i.es are rog iled n ith pnlit v! speecht's s- :,t over the yir. An invci-toi | ii'ith <ui nais funds ui.i\ I*l.ll be excused i:' I', i'.ci idis to await the h*uo of the g*'-ti-i-i a I eli-, t; - -ii iic.nt.. pla.-ing it in mhuo !ivi! cntci pi iso that he s may lie detrinieulaliv iilt'ected !■> futuro legislation. At the same time this policy of ("iut;e.\ may be car. ic 1 to -aii'l.'siraliie cxtieilies. It i-i eoiisid'.red a sound axiom to hue when everyone els,. i- wanting to sell, and that being the ea-o there ale doubtless man'. | excellent opportunities available to-day. j Though the • iove; ii'.ncnt.'s pi-'ici . a- p- o- J pounded by the I'ritn.. Minister, contains l much that -maids alarming tiom the point j of view of tlu«.e who posis".--- lapital it'll either lioitid or iiou-li:|uid sh ipe. it must j be remembered that heretofore the Ministe;• of l'imiuce has not departed fiom ottliodox methods. Moieovoi- th-ie is a definite pledge, oft-times lepeated. to foster to the full the maintenance of .secondary indtistties. Gilt Edges Weaken. Tn the business put through a i unus ially latge proportion compi ised (iovernin out, securities. which were offered more freely on a comparatively weak inaikct. Almost all issues shared in the tnrnoicr. Some sold at file recent reduc -.i levels, otheis at fnither reductions. Locai bo<ly ilchcntinwctre again in identiful supply, and with holdeis ledu.-- ; i'lg their limits a fair turnover was ;e----j corded with present purchasers receiving I a yield based upon redemption at matinj iti .of about 4 1 * per c,pnt !>ci annum. Banks Not Wanted. Not for > ears has a week pa-sod with -o few recorded sales in the banking section. There was little interest in Australian ■ issues, atid the only business put through

was in Bank of New Zealand shares. These weakened early in the week to sell at 4'll. lint finished up with transactions at 42 3 and 42'2. Nationals were'steady, with but eiw at 52 . Insurances Dull. There was moderate inquiry in the insurance section, but buyers were able to secure concessions. South British selling fM cheaper at 44 '3 anil New Zealand* ! lower at 54 (j. Standards had uiisupportc 1 sellers at 56/ and buyers of Nationals stopped at 16 . Mining. In the mining section inquiry was virtually restricted to outside enterprises. Mount Morgans were fairly steady at 10 O'/i and North Broken Hill improved from 44 9 to 46/, with more available at the l itter price. Loloiuas at 23'5*4 an.! Waihi Investments at 8 '3 both registered declines. Australian Issues. The demand for Australian securit'os fluctuates daily, apparently in sympathy with changes in the international situation, and values altered at almost every call. As is usually the ease, Broken HiM Proprietary acted as a leader for the othfv chief industrials, and a big quantity of the stock changed hands. Values started at .u/li. dropped to 54/6, rose again to 55 10. and finished up at .34,3. In the weaker market that lias developed lately it is noticeable that the margin of values between Electrolytic Zinc ordinal W and the preference shares has widened. The former sold from 39 !> to 39 3 and the latter from 43'' to 45/. Chain stores were fairly steady ,it the recently reduced leva's. Dominion Securities. As in recent weeks there was pronounced weakness in miscellaneous New Zealand securities, (las shares dropped back to sales at par. with more available at that figure. Wilsons Cements sold at 16/7 and 16/6. while Farmers' Trading eased with buyers at 10'3 and sellers Id higher. Peters Ice sold 2' cheaper at 22 '. Re'd Rubbers at 22 '6 were 3 '6 down, and Pnkemiro Coals were 9d lower at 17 6. Wooi- | worths l New Zealand I also lost ground, Vi parcel changing hands at 18 6. a drop of 10. Dominion Breweries at 3D' were 9.1 lower. 1 Company Returns. [ Notable amongst company happenings I during the week was the announcement of | the annual accounts of Farmers' A<tioneering Company. These showed nut Ipi otits only slightly below the reeon:' j figures of last year and the usual dividends I are to be paid. The position of the accounts amply justified the recommendation of the company's shares as published in these columns on July 16. The accounts of Pnkemiro Collieries show a slight reduction in net profits, but the directors are maintaining the dividend rate at 7 per cent. Although the earnings are only slightly above the amount necessary for dividends, the company's .reserves are so substantial that the directors liad no necessity to suggest any reduction in the rate. A chief feature of the annual meeting of shareholders in Milne and Cboyce. Limited, held on Wednesday, was the statement of the chairman, who. in reviewing successful operations for the past 12 months. -• -I that !hr current yeir had ctv'i-meiK-cd with excellent business.