THE WEEK REVIEWED.

Auckland Star, Volume LXX, Issue 141, 17 June 1939, Page 4

THE WEEK REVIEWED.

AVERAGE BUSINESS.

BUT VALUES IRREGULAR

MARKET UNDERTONE WEAK

I.VYKSTOTtS' |.'KAR nV WAK

I •■-],;:,. niark.-d irregularities in the ti.iiKct an uveiage turnover was recorded ";' t!... A'irk1.,,,,1 su,.-k Kxrhauge during !•" " O, ' L "•>"-•'' >'"s",l 1,- ls t night, with nusiness spiead „ V( ... a ,-.,;, | y wi(ll . ~,I IIL, C r " From the point of view "' v ; llur - : ' 10-uevei, tlie week was dis.i|.|"..i,t::ig. A few !,„,|| mdustiials gained mangos wei en, favour of buyers. I iisalisiaelory int.i national conditions •''".' : '-."i' lue r.ius,. ~i an all-round ' s, ' k l! ,''" slured i„ London and w.,s pmniptiy rellect.-.l first in Australia ' ,: '", l -"",' '" this 1),,,,, „,„.„. The centre ;" " l '-"V "■"'•'•' has ~„• ii,,. ~,,„,ient shifted ;";'.'. '■ ;"•• i-.ii'f i-'ar i:.,s, ~.„! ti,,, 'V";'. 1 v """'"'> "mt iu.i.i be the outcome ■•'«;'- l'"Y'"t s-raius dispute between ! ! 'V' : " ;iml „•'•■' • <-»., the 1.„n,1.,n , x ' ,'■"'-" ,'" . cisses ot (iovernment "''"'•'"' l! ," '"'ln'-' Australian and New '•.''''''"' '.'• Il ' u '' >!i|-|.iil Lark and business ,h " ! " ls •-•'•'1 in l>e almost, negligible l ''"'"'' th.*o rirrnmstances it' is not '"iprisii.g that the Australian London •'•in. uiili'l. was. lor the greater part. '' ' u ; ltl ' ,!l " "iiderwriteis and opened ,l a .list-nun! ~i 27, . lost further -round '"" v "'7 'inotrd at :?,V discount. With -><<> ■< I'arl.giouiid the task ~i Mr. Xa.s|, :" '•'i'l-av..mmg to arran-.v ~ New Z.a--'■';':l ! "" : ' "■ I.mi.loi, is made ,|o„l,N i'.!.' 1 """- -'""1 lim City l-.ditnr of "T1,,. ' '"■■•- ' '"iis.l,:, .1,.,, ~ ,1.,,,,., i;|] H| :'V '" '•" "'•"'«■ «•• 'I- H-.tis!, 1 .." i-i linn-lit. . T] >\: •V", 11 -' 1 "'" <;0ve,.,„„.,,t apparentlv J"' ' , '' '"'tt.'l sl. es.s u, j(s elioftS to " : '. :! •"' V"" 1 ','' : '■.' '" •'■■' il Nv ''> consider-

is -"ig'.'rstcd that their have 'been too O'' 1 ";- -ini-1.-nverninental issues on the [':■' ' . :l ,"; 1 , 1:! -" «,l»*- ''.''v.- mopped up "" aval.able su, plus ~,,,,15. This is „ >'•"■"" Il'i't 'nay well be heeded ill this ll "" 1 "' I'"'.'! J'.ans romiiig „i, to the ',"•" ;'",■': '•'" ''•'.' .' '••'«-• '" --eh even, ■ !,..,,,,;,';', i'= " |, :"'~ ! ' u ' lr< -""I a "n'lit maik.'t w,,a1,1 be' a'' n'atural '.'"n.--cqueiire. I, would be a wise move "•'• loci! bodies u1,., a,., contemplating .'l'l 1 nations lor public funds to arrange •' -niisultatioi, so that the approach to tl.e loan maiket w.„,id be made in a !• ■'-~:,.,],', and o:de,!y wav. Ibi-ln. ~s ,1, ,!„. -i!|.,.,L,.,| ,5,., lion din in" '"■; " ,, ' l <- tliough n.-t biisk. was faiilv ' v ''i' man,;.ilnrd. with ,„,ly slight change's '" '■ "-'■ I'"' m-l'l 4 per rents anpcaied '" '"" esprciallv f.M,,:,,,,!. win, h |s -. li.i'lv to be won.leied at !■- the ..turn '", "'" Pi-sent pu.rhaser ba.-.d on '"on.pt:,,n in 10-13 is ~vrr Pi per cent I" -1 ' .'"H'lll". Tim (loveinmenfs latest i"sue i,.r Pie 44.18 teini was again in ""-' '■'•■'- icpiest ~t L ',.|,i. 1,„, tbeie wee "" sel.'ei.s. Th,. !,,.,', |~au issues made '''■ tlie Auckland Harbour Hoard, the liatisooM and the Power Hoards, though they totalled well mi to .-, million pound•l" ""t appear to h.-ne prejud 1.-.-.I older issues, for parrels ~, (j lv ~f Auckland .' :l ' l M,,,,nt Kden Tlnrough ( oiimil wei c |o,""d on a similar ba-ts as had been lllollg in li, cut weeks. Bank of New Zealand. ,An outstanding .-v.-i.t of ,! ; ,. week was annual meeting of shai eholders of the Hank of New Zealand, held in Wellington >esteiday. Ainoiig I 1 anv interesting sluteniriits iu.-i.le by the (hail man. Mr. A. I . Do,in.-by. was that the Hading banks had takm up substantial portions ~; the t .-rent f1..1i in. ii mi 10.,,,. .\s the New Zealand p.selt accounted for a suliscriptiou

■>: £.luii,oll.'i. it would appear that the le-ponse m the general public was not ■'is satis!',,,-,o:\ ~s ),.i'\ been thought and ' lint the piivafe Hading banks were laig.'ly res, sd.le for the fa, t that the I'ii Minister ...iild aniiouiice a full subset iptioli. ''""'Hi the point of view ~f investots rn <>ljiil>l\- ti i,,.st int..resting portion of Mr. Donnelly •> lemaiks weir those in "lil'll the lelatioliship of Hi,. bank mtiliageinrnt with the ( bivrrrimmt was i.'leired to. In these rolumns it has l,f, en i.-pe.itedlx stair,l for the benefit ~; tiuml persons that their was lu> evidence that the Labour < b.\ eri.iuent had int.iH'l'i'il or intruded f, interfei" with the siiicessiul conduct of the country's (hie:' financial institution. The matter was ih-ai ly dealt with in the chahniaii's statement, when he said :■ - "In all respects the present fi.ivern10'nt has kept the high sian,laid o! plop, iety w Ir. li has alwavs maikr.l the l.'lationship betwen the bank and tin<;.,vei iiiuent of the .lav tsiii.-c lsiu. and the business ~i the bank is now' rendu, te.l as it alw ays has been in the past " And again: - "lis capital, and your , npit.il as s h ... - as safe as tbev have ever been in the lii-N'i V ot Hi., bank." i'"-t t'i.. maiket prices the shares at ''"<l-r £g n.-tu.ilH- they 51ip;,,.,! dm ing the week to L' 1 10'7. at'which theyretu.n over .1 per cent pei annum to the piemen! purchaser.

The "National." The cabled advice ~f tli,. profits earned by tlic National li.mk of Nov Zealand "'II not have surprised keen judges of tlin market. Tlip accounts a-_nm ,-how .1 slight incieaso in the m-t carnin-s and. as aheady announced, there has been ii'i increase in tlip dividend late from *'a 1" ■> I"'i- rent f.■:• tin- \p.u-. ,\ stu.lv of tlm balance-sheets ii'i |.'a.-t years ha« shown ,'i remarkable tiimilarily in Hie main figures afVectm- Iho profit and loss account, from which it seems clear ■ that the. directors have rPnularl.v made Verv fnll provision from surpluses l'or a further stiPiisth.-niiifj or tlip hank's position. ITc-i -e airnm invpslms demand liberal terms when hi.|din_< for shares of a hank tradiiiL r in tlipir own couiitiy. At tin; c-iiwi-nt price of £2 fi/li thpy arp :Vf, under virtual par ami leturn to tlip prpscnt purchaser over ."."2 per ppnt tut annum in N'eu Zealand inn encv aftrr Kn-rlMi taN Las been pai.l. Australian Banks Lower. Amonz Australian hanks. Now- South Wales wrtr- fairly steadv with business -it C3l. hut with this exception the market was easier. Australasias sold ." cheaper at £'.) hi', and Commercials dropped lruk to la 11. Yesterday there uas a dearth of bnyei s in this class and it seemed likely that sellers mav have to make fir. ther con, prions. The'failure of the internal loan -itself an evidence of unsatisfar toiy investment Conditions - mav he expected to influence the market unfavourably. National Insurances Popular. There was a regular demand for insurances, hut in the main issues sellers Pi-pdoiuinatPd and hnyers were able to force concession?. Xew Zealand* droppin • hack to ,V 2' and South I.Jrit i.-h to 43. Meanwhile. N'ationals. which until ' recently had h. en seliins at un.lulv low | rates, continued to make headwav ami! f'l'l up to Hi '11. a i i.-en:' Ili in the la.-t \ icw weeks. ;

The veiy prosperous Queensland Insurance Company has denial ed an interim dividend at the higher rate of ." per cent. from which it may be assumed that the year's distl ibution will be no lower than 10 per cent, compared with <)% hist year. Australian Issues. There was a steady demand for leading Commonwealth industrials, but the market followed closely the fluctuations in Sydney and Melbourne, which in turn reflected London and Xew York conditions. On the whole. values moved steadily down, the decline being more pronounced in the last few days. Broken Hill Proprietary again provided an .urinate india'o: of tin- 2ener.ll trend. !'- -ha! .- -e"i ■[■_ :: 0111 li 7 n t.i I'lfi '?,. ,-..111p lied » .u. U--. l'..- p;, viu , s we k. h'i.c-

trolytic Zincs at 50/9 were 1/0 lower. The annual accounts of Goldsbrough Mort were expected to show a decline in earnings, for Australian farmers have had a comparatively poor year, but the drop from £191.000 to £120,000 is bigger than most anticipated and fully justifies the action of the directors in recommending a lowering ot the dividend rate from 7 to 4'i per rent. Dominion Securities. Weakening of the market was not so noticeable in the rase of miscellaneous Xc.v Zealand issues as it was in other classes, yet it was manifest in u lessor decree with some exceptions. Anion? these were Auckland Gas, which gained a penny, with business at IT -7. and Wilsons Cement, which, at IS.', were 2d dearer. Consolidated Bricks had a partinilarly active market. with sales between 9/0 and 97. The easier trend refel red to was shown in Farmers' Trading, which dropped to 19 7. and Byerofts lights which sold from H> 3 to l."i/U. Brewery Profits. There was little change in values of brewery shares, although the announcement of iticreaMcd profits by Xew Zealand Brewei ies might have been expected to lend sonic /est to the demand for this ,-lass nf shari'. Incidentally, the accounts throw an interesting light upon the eomp.n lively mi)all margin that comes to shareholders from a huge turnover in the brewing industry, (iross profits are shown at close on one and a half million pounds but. by the time excise duty, ordinary and special taxation as well as other expenses are provided for. the net return recedes to £ 14l.f«»0. of which the shareholders receiv •, at the rate of S'i per cent. L' loli.OOO. LATEST SALES. Sales since last review have been aISanks.—New Zealand. £ 1 19 10. £ 1 1!> li. CI l'» S ,'J,. L'l 111 7 lii : National. L"J ii.'.) r_'i. £2 ti ii: Australasia. L' 9 In.: I'nmtlielci.-i!. ]li/. 17, II fl'.; Xew Sniltlt Wales. ,l::i l.'ii.

Insurances. - National. Hi II: New Zealand. f2 12 0 14). £2 12 li. £2 12/ |2): South liiitisii. £2.3/3 (2'. 112.3'. Covernment. etc.—Stock. 1.7 1 ...3-57. 3'i ;,rr rent. l'!» 0 17, ,2,; la '2. 4.3-4(5. 4 per rent, flis .",' ,4i: 1.l 3 '40-43. 4 per cent. £08 In-' |2i; 17,/,-, 4D-.V2. 4 per cent. £00. L'o.7 1.1 : September. .30-4.3. .3'i per cent. £08 7 ii: 1.1 li ,12-7.7. 4 per cent. £0.1 10/: Conituonwralth bonds. 1.3 '11 .11. 3% per rent. L'lo.l Hi/; Citv of Auckland. 11/44.1.8, Vi per rent. L'lnl. 1 1 44-li2. 4U per .-rut. L'HH: Mount Fden Borough Council. 1/10.18-0.3. 4U per rent, £100: Amalgamated Brick I Auckland I, 1 3 44. li per cent, t'o9 Hi.'.

.Miniiig.— Kinperor. ]D,' 4 (2 1: North Broken Hill, £2 8,0. Australian, etc.- Jlritis'i Tobacco. £'2 11. ti: lirokcn Hill Proprietary, £.'? 7ii 121. C.l 7/3. £.S T/. f.'i fi/3; liurns Philp. £'2 Hi li: Coiisobdated Industries, £1 ISO, £1 ISO; Colonial Sugar. £40. £48 la'. U4S 17 li: Klectrolytir Zinc £2 10 0. pre!'.. £2 l",/;i: C. .1. Coles. £3 18 li. rights. £2 12'' r_',, i_"- > 11 0, £2 11 (i. £2 11 ; If, in v Jon.-s. £2 l.'i/; T.C.1., pin'.. L'l •"",' i.'ii: Mount Lv.il. •_• 1 S': Taian.'ki (liltields. 7 1. ii in, c ii. o 10. fi 0. li ii: Taiauaki Oil Develmuuent. 27. 121. 2 7. 2 li I2i; Inion Steam, piel'., £1 ."..': Wnoiworths iS\,lne\'l. £1 il'lo, £] 3.11. l'l 4/. fl 4 1. L'l 3 11: Woohvorths Propeities. lights, 22. 2 ; Woolworths Holdings. 14 11. Dominion.- Auckland Has. 17'.7 f2'i; Hv.ioft liight~l. Hi 3. 1.7 (i: Claudo Neon iN'.Z.i. 17 3: Consolidated J'.rick. 0/7 (7,1, 0 S i2i. 0/0. 0 8; Dominion Breweries, fl 13 ti Cl.i; F.inn.'i's' Auctioneering. B prof.. 10,(i: Farmeis' Tiadimr, 10/7 ('.,)■ Motmoa Oil. 4 ii: New Zealand New spapeis. CI 12 3 i.'ii: New Zealand Paper Mills. £1 4 3 13: New Zealand Kofrkreraling. 1.-./ ii 12); Itri.l liubber H7>' paidl. '-'1 3 : Taupiri Coal. 17' ii; West port, £1 0 4: Wilsons Cement, IS- '21.

TREND OF MARKET. Lite follow-ing fable indicates the fluctuations in the values of various. se. Nl-ities: ■- ■lan. 27. .Tun,. 9. June 10. 1038. 1030. 1030. £ «. .1. E <--. ii. £ s. d. A asla . . !, ]-, o ;, rJ ~ ; , 7 n Commrt'eiai ii ]i; n ii jr. i o i.-, n K.. S. \ A. 7, -J C, M j;, ~ J J,, ~ Nat.. N.X. 2 li .". J r, !) •> i; c, Nil 1.. A list. li ir, (i ij 17 r, »i; 17 ,; N.S.W. . . rill 12 fi 31 (I II 01 I) (I X. Zealand 1 18 li 2 0 1) 110 7 I'llloil . . 812 li s 0 U *S 0 0 MISCKI.I.ANKorS. t s. .1. £ s. ,1. f s. ,!. N.Z. liifiiiT- 2 1 I !i 2 Tg !• •• 1- u S- HrlHsh - :i r, 2 ;i ,; •". ;! ~ Col,ls. M. 1 0 u 1 n n i s ii r.ril. Toll. 2 .8 li 2 110 211 li lirokcn 11. 2 Hi O.", s n •• .; •• Kl.'o. Zi,„- 2 .1 li 2 12 li 2 Hi n Ipref.) 2 0 li 2 1.1 li 2 1.1 3 Aust. Con. 7, pi n linn T]s ~ Ml- Cyril 1 li (I i s li 1 s n CI. Sugar 47 r. ii Mil n u a s 17 ii Au.-k. Has. I) p., i, ~, T 4 „, 7 - \\l|.o,,s .-. ~ ~; „ ~ 1T j„ 0 ]s ~ N.Z. I l-.w. -Jin 1 is ii i is i; Horn. Hrrw. 1 12 n i ];; , ; j ~. ~ rami" rs' l'.l uis 4 ll in ;» (_, ]~ - CJOVEItXMKNT STOCK. Hi.V" .ir, "V, no ~ -' ''■ ~ - °' } c'.'ii To :: ;!;! ~! I! *!!? ii-! !! '" „ 10"'o07 . . 01 111 l, ;„, 1 j. "lis iliviiH-n.l or intn-rst.