FINANCE AND COMMERCE.

Press, Volume LXVIII, Issue 20562, 2 June 1932, Page 12

FINANCE AND COMMERCE.

EXCHANGE. REGULATING THE RATE. SECURING PRICE STABILITY. The Mav circular of the Ba:ik 01 New =.,uth Wales deals at length with the- . ontrol of the exchange rate, the article ;:-swering the question, "Should . xchangc rate be u.,cd to support eco- • ■■ini activity 7" The argument of the article is that u ~ the duty of the Commonwealth Bank •<> maintain the exchange rate at :; \ .. e! which will enable Australian pro-.i-j.-ers to obtain a payable rate in Au.-•-a'ian currency for their exports, and t!at rif': to the Com.-i.ouwealth Bank v.'oJi oalv aris-- : n certain cir'-um-.-•ances. Australia as a whole would be \r-rv prosperous before its exporters touid pile up London money by the sale of their products or a tuz' 1 to invest h«rc couid fill the London balances tu overflowing. Thus, it is declared, the Commonwealth Government way with i-vident advantage to the community as'ume that risk as a charge—or even as a precaution —against a future boom. Tho article combats the declaration of *ome people who regard the exchange rate as a price inevitably imposed )ii the commercial world by the supply of and demand for London money. Th: trticle contends that the rate between Australia and London has never been left unregulated and unmanaged. ' Thj factors of supply and demand affect that price as they affect any other, but the Australian trading banks are, in a sens'% monetary reservoirs regulating the flow of both supply and demand and the Governments and the Commonwealth Bank of Australia have a very big say in determining the volume of both these flows. The Commonwealth authorities, it is declared, have the means +o ward off a threatened catastrophe by adopting, in the management of the exchange rate, a policy of somewhat wider scope than that which answered during post decades of prosperity based upon relatively stable money.

Central Bank's Office. "It is hard to imagine circumstances ] in whieh either the Commonwealth Gov- i ernment or the Commonwealth Bank," the article continues, "would be a loser, r'.ll things considered, by a policy that j achieved stability in the Australian j price-level. And such a policy is practicable. The divorce of our currency j from gold, though it robbed us of the ! customary stability in the exchange ' with gold-faithful moneys, gave the custodians of our currency a novel freedom of action. For many years ahead the Australian Governments must seek the means of making very large payments in London, but the Commonwealth Bank, as keeper of the national currency and the national banking reserve, is in a position to support the supply of London money by working towards the price-level which, in its judgment, the sound activity of Australian industry requires. That activity depends on a balance between Australian costs and prices affording a livelihood to all but the duffers in the exporting industries. Pnch a balance has not been in evidence of late. The Australian prices of our staple exports, though to some extent sustained by a rise in'the rate of exchange, have fallen very heavily, dragged down by the collapse of gold prices since 1929. Stability in the ex-ehange-rate with gold, and latterly, even with sterling, has thus proved inconsistent with stability in our internal price leveL Employment cannot continue under the blows that falling prices administer to every hope of reward for enterprise. Nor can debts be paid if the units in which they are stated continue, month after month, to grow in real value.

"What then? In such a crazy world, it is the duty of the central reserve Lank, alike to its' own people and to their creditors overseas, to restore some element of stability by maintaining the local price-level. This is the one stability possible in a world-wide collapse of international prices. It involves, if managed through the exchange-rate, no meddling with or manipulation of any particular market or price, but merely a watchful eye to the general average of all prices.

An Independent Enquiry. "The problem of management required, first, an enquiry by a disinterested authority whether Australian prices cover costs at present, and, if not, what increase in prices or adjustment of costs would bring them into a sound relation. Last November, after Britain went off gold and the sterling value of our exports rose, tfcfsre was a general revival of confidence in Australia. Let us assume that prices and costs were then in equilibrium, or, at the worst, within reach of it. Unhappily the fall in sterling prices has, since then, began again. They are now lower than when Britain parted company with the gold standard and the fall still continues. In Australian prices the fall has been greater than in sterling, owing to the appreciation of the Australian pound in terms of sterling by I per cent. early in December. The fall in Australian prices has brought an increase in real wages, .lessening employment because it has undermined the ability of employers to pay any set wage. "Given such a rate, the second phase in the problem of management would be the further use of the exchange-rate to defend the balance between Australian prices and costs from fresh confusion by reason of irrational monetary slumps oversea. In figuring out such a defence a distinction is needed between (a) the market ups and downs that affect prices of particular commodities whether the general price-level is stable or not, and (b) the collapses and booms of a general nature that push the whole average of prices hither *nd thither in a way that endangers all business enterprise. Changes of the former kind are essential to keep production and consumption in trim with one another. Their influence is healthy and stimulating. A Plan Proposed. "A small change either way in the value of money may do little harm; it may even do good. A rise in prices may stimulate confidence after a slump, a fall may weed out weaklings and keep enterprise up to the collar of efficiency. It may be well, too, that every country should share the mood of the wider world. Can we manage to do this while avoiding its disasters? If by >.onscious management the rate of exchange can be made to transmit but to minimise within tolerable limits the trend of the world's prices, the country succeeding in this stands to win a sorelyneeded degree of stability without loss of touch with the conditions in the markets for its foods. As things are, the first effect of a fall or a rise in prices overseas goes in full to v he exporter. By passing on his good or bad fortune, however, he in the long run retains only a fraction of it for himself, say, a quarter. Thus three-quarters of a fall in tho wheat-grower's return, let us say, is finally passed on to tho rest of the community by his effort to cut costs and by the fall in hia demands for other*' goods

and services. Similarly when his return j h eieases his freer spending, both on and j off the farm, transfers to others three- j fourths of his first gain. When the fail j or rise is extreme this result is achieved onlv at a high cost in social friction. Tk»* f:im of conscious management of I iC- general price-level by means of the i exchange rate would be to achieve it quicklv"aud without such friction. This would'be done by (i) accepting 135 as the datum level, and (ii) thereafter raising tie rate by three-quarters of any percentage fall in the weighted average oversea price of Australian exportable goods, and dropping the rate by threeuuarters of any percentage rise. The farmer, dairyman, woolgrower, or mine would thus lose only a quarter of any fall, gain only a quarter of any rise. The- r.-st would be borne by or would i benefit the rest of the community, llul whichever way the movement went all would benefit" by the greater stability given to production and to business, and by the firmer foundation laid for a re- j covery of employment and of the spirit j of solidarity. i '•Such a line of action would enable Australia to save herself from the worst j phases of catastrophe elsewhere, and j thereby to maintain her credit over- j seas. It offers a means of putting an ' vmi to deflation, and. at the same lim<\ < of automatically checking any tendem-y j of a rise in prices to develop into ;>:>. inflationary boom.'' CORNER TURNED. A VICTORIAN BANKER'S VIEW. In the course of a speech at the , annua] meeting of shareholders of the National Bank of Australasia, Ltd., in Melbourne last week, the chairman, Sir | John Grice, said that Australia had made a substantial beginning in the direction of economic restoration. Aus- | tralia might be said to have turned an | important corner, aud had commenced j to tread what we might expect to be \ a rough and stony path of reformation. "We may as well recognise,'' .Sir John Grice continued, "that we shall assuredly not accomplish our salvation by the use of artifice in any form, or by resort to any financial nostrums proposing an easy way out of our difficulties. We may, however, achieve a great deal by hard work, trade enterprise, intelligent husbandry, and by lessened costs of production and living, especially if supplemented by a sound general national policy. No such national policy will be sound which does not recognise the international character of trade, for, if we want to sell we must be willing to buy. After provision for the reasonable development of home industries on a basis of low costs of trade, barriers should not bo kept so high as to prevent the incoming at fair prices of goods from other and friendly nations, to whom we look to buy our own products. Self-determination carried too far is a bad policy for anycountry, and if events of recent years point to anything at all they most certaintly indicate an outstanding necessity for as much co-operation as is possible, political and commercial, between the nations of the earth, so as to avoid the troubles which beset and threaten us all."

Eeferring to the exports of gold, Sir John Grice said that while England, the United States, and France and other nations, continued to regard, and to hold gold, as the main feature of the bases of their financial systems, one must be pardoned for expressing a hope that Australia would eventually be able to refrain from denuding herself of her holdings of the precious, metal, despite the advantages to be gained by eonversion into sterling. "England is off the gold standard for the time being," added Sir John, "but it must be remembered that she is rather sedulously guarding her remaining stocks of gold, which, to some, may seem to be idle, but to the Old Country means a part of the solid foundation upon which her active financial system rests." Sir John said he hoped that the Governments, in effecting their economies, would resolutely aim not merely at a percentage reduction of their controllable outgoings, but at the absolute avoidance of all unnecessary expenditure.

FERTILISER SUBSIDY. MINISTER'S EXPLANATION. In consideration of the continuance of the Government subsidy of £IOO,OOO for. superphosphate, there was a condition imposed upon the manufacturers that they hand on to the farmers the maximum benefit possible, according to a statement made by the Hon. C. E. Macmillan, Minister for Agriculture, to a representative of The Pkkss last night. Mr Macmillan said that it was not to be considered a bonus to manufacturers, and added that he would hold a conference in Wellington on Friday with the superphosphate manufacturers' representatives, at which he would make a full explanation of the necessity for handing on to the farmer tho greatest benefit possible. AMERICAN WHEAT. CHICAGO AND NEW YORK QUOTATIONS. (UHITIB FBZSS i.3SOCIATTOH—BI EUCTBIC TXIZOBAPH—COPTBIOHT.) NEW YORK, May 31. Chicago wheat futures are quoted as follows: May 19th. May 31st. per bushel, per bushel, cents. cents. May .. '.. 55i 56 September .. 59 58f December .. 61} 61$ New York, cash, 70f cents per busheL PRAIRIE WHEAT. NEED OF FREQUENT RAIN. OTTAWA, May 31. The present crop conditions range from good in Manitoba and Saskatchewan to excellent in Alberta, but there is an increasing realisation that frequent rains are necessary. ROBINSON'S ICE CREAM COMPANY. DIVIDEND OF 8 PER CENT. . [THE PEESS Special Service.] AUCKLAND, June 1. The annual report of .Robinson's Ice Cream Compnnv shows a net profit of £3042. The dividend of 8 per cent, is unchanged The profit last year was £3247.

NEW ZEALAND ONIONS, | LARGE SHIPMENT TO SYDNEY. AGENTS RECEIVE £lB PER TON. (UMTED rr.ESS ASSOCIATION— EY ELECT3IC j TELEG3XPH— UOryRIGHT ) I (Received June Ist, 9.30 p.m.) SYDNEY, June 1. The steamer Waikouaiti has unloaded 14.000 cental bags of New Zealand onions. The agents are getting £IS per ton as the spot stocks of Victorian J onions arc light. FARMERS' TRADING COMPANY. ORDINARY DIVIDEND PASSED. [THE PRESS Special Service] AUCKLAND, June 1. Preference in the Farmers' Trading Company will receive their full dividends of 7 per cent, lor , the current' year, buc for holders of ordinary shares there will be uo distribution. Die net profits last year totalled £-2-3.145. which compares with £SU : *J7B in and for tho previous twelve months .£60.422. The ordinary dividend la&t year was 8 per cent*., to which it wu.s reduced from .10 per cent., the amount paid out for the two previous terms. The preference dividend at 7 per cent, has been unaltered since 1929.

The paid-up capital of tin: company is comprised of £134.910 "A" preference, £109.940 "U" preference, and £237,230 ordinary shares. The reserves at last balance were approximately £6-1,455. TRUSTEES ESTATE AND AGENCY COMPANY. ANNUAL REPORT. [THE PRESS Special Service.] DUNEDIX, June 1. The report of the past year's operations of the Perpetual Trustees Estate and Agency Co. of New Zealand, Ltd., says that the amount brought forward from the previous year was £4726 Ss 3d, from which has since been paid income tax for that year, the interim dividend of £1250 for the half-year ended on October 31st, 1931, and the company's contribution to the staff benefit fund, leaving a balance >of £.1789 18s lOd. The profit for the year just ended amounts to £6515 12s lid, and the available balance is therefore £8305 lis 9d, which the directors recommend be dealt with as follows: —

The net profit of the company in 1931 was £5892 (subject to taxation), and the dividend 15 per cent., 7$ per cent, in December, and 7\ per cent, in June, the sum of £3375 being distributed. This rate of distribution had been maintained for a number of years. The reserves at last annual balance were £27,226 (subject to taxation). The paid-up capital of the company was £22,500.

COLONIAL MUTUAL LIFE. VARIABLE BONUS CONTINUED. Many policy-holders of the Colonial Mutual Life Assurance Society, Ltd., met in Melbourne last week for the annual meeting. The chairman of directors, Mr A. B. Were, in tho course of a speech, said: "At the last annual meeting 1 pointed out clearly what the underlying reasons were for making a variation in the amount of bonus. In South Africa, where the Government income tax had practically disappeared; in Great Britain, where the tax was somewhat substantial; in New Zealand, where the taxation has been gradually becoming heavier; and in the Commonwealth of Australia, where the tax was drastic and oppressive, it seems only reasonable from every standpoint that the policy-holders residing in those regions where the taxes were negligible or low should not be called upon to bear the full share applicable to members who live in countries where this class of tax is heavy. The method initiated last year is being followed this year, and a deduction from the bonus proportionate to the' amount of taxation in the respective countries is being made. The full scale, set out in the annual report, will apply only to such policies as are on the book of the South African branch of the Society. The policies in Great Britain and Ireland will have the same bonus, but diminished to the extent of Is in the £1 of bonus; in New Zealand to the extent of 2s in £1; and in the Commonwealth to the extent of 7s in £l. Deduction in each case represents taxation. The Commonwealth has now legislated regarding various matters connected with life assurance business, thus over-riding State laws and preventing' a contemplated raid on insurance moneys. For this we have good reason to thank the present Commonwealth Government." MUTUAL LIFE AND CITIZENS' COMPANY. BONUS CERTIFICATES. The with-profit ordinary "branch policy-holders of tho Mutual Life and Citizens' Assurance Company, Ltd.. have now received their bonus certificates for the year 1931. The company has allotted for the year reversionary bonuses for £821,006.

Concerns merchandising products ot good quality can develop the unparalleled sales opportunities in Canterbury most effectively and most economically through the advertising columns of The Pbess. ■ —6

EMPIRE COTTON. DECLINE IN PRODUCTION. UNFAVOURABLE CONDITIONS. (BEITISH OrriCIAZ. WIRELESS.) ~ (deceived June Ist, 5.5 p.m.) HUGEY, May 31. The production of cotton in all Empire fields except Uganda fell off considerably during 1931. The British Cotton Growing Association, in its annual report, attributes this decline in some instances to unfavourable climatic conditions, and in others to disinclination to grow cotton at the unremunerativc prices prevailing. Uganda's yield totalled 200.200 bales ! from 739,090 acres under cotton, which .maintains the Protectorate's outstanding position among cotton-producing countries of the Empire. The gain, as regards output and quality of the total estimated production of cotton grown in new fields in the British Empire in 1931, in bales of 4001b, was -195,200 bales.

MINING. BULOLO COMPANY'S BIG RETURN. Mr Fred. G. Dunn, Xew Zealand attorney for the Clutha Development Co., is to-day in receipt of the following advices from Sydney.— The yield of the Bulolo Company's dredge for the 28-day period ended May 23rd amounted to 4SS7oz of bullion from 248,300 cubic yards, of an approximate value of 00,000 gold dollars. [The value of the yield is £13,080 on a gold basis, or 13.12 d per cubic yard, and £22,449 in Australian currency, or 21.09 d per cubic yard. These figures compare with the previous 2° days' return of £11,728 on a gold basis or 11.55 d per cubic yard, and £19,055 in Australian currency, or 19.35 d per cubic yard. In that period the dredge treated 243,700 cubic yards for a yield of 57,000 gold dollars.]

NEW GUINEA GOLDFIELDS, LTD. New Guinea Goldfields, Ltd., reports that the operating profit to the company from alluvial production for April was £11,234, Australian currency. LONDON WOOL SALES. The National Mortgage and Agency Co. of N.Z., Ltd., have received the following message from their London office in connexion with the wool sales: The. auctions are proceeding at the level of the opening day. Good competition at the lower prices, especially medium and coarse crossbreds. The following prices are current. —

STABILISING WOOL. YORKSHIRE OPINION. LONDON, May 26. The "Yorkshire Observer" has interviewed leaders in the wool industry, following tho statement of Mr James Clark, of Queensland, that a wartime system of stabilisation will alone save the wool industry. Mr Henry Ayrton, head ,of Henry Aryton and Co., Ltd., holds that the suggestion is impracticable. "It is a backdoor method of reducing costs," ho said, "very nico if someone else is to shoulder our difficulties. "It is impossible to compare war time with existing conditions, when Australia was supplying the whole world with wool." Mr William Hunter, ex-president of the British Wool Federation, said that, considering the world depression, Australian wool liquidated better than that of any other country. Any improvement in. wool manufacturing would be reflected in in-, creases in the prices of wool. Australia should leave prices alone.

FOREIGN EXCHANGES. . (BRITISH OFFICIAL WIBELESS.)

CHRISTCHURCH STOCK J EXCHANGE. YESTERDAY'S TRANSACTIONS, j i There was a good volume of business on call yesterday, and markets generally were firm at recent levels. The outstanding features were the sharp rise in Tooths Brewery shares and British Tobaccos. Transactions, exclusive of vestibule business, were:

£SOO X.Z. Govt., 4; per cent. Inscr., IP3S. • £IOOO X.Z. Govt., ~>i per cent. Bond*, 1937. 300 Comm. Bank of Australia. 250 Bank of New Zealand (cum div.). 20 Union Bank of Australia. 300 X.Z. Refrig. (£1 paid). 100 X.Z. Refrig. (10s paid). 300 Xew Zealand Breweries (cum div.). J.OO Tooths Brewery. 250 British Tobacco. 100 Mt. Lyeil. 300 Cornish Point, 300 King Solomon. New Zealand Government 4; per cent. Stock, due 1935, realised £92 2s Od, sellers staying in at that price, buyers at £9l 17s'Od. Five and one-eighth per cent. Bonds, due 1937, were, placed at £9O 10s. Commercial Bank of Australia shares were firm with dealings at 13s, 13s Id, and 13s 2d, and further buyers at 13s, sellers at 13s Id. Sellers of National Bank of Xew Zealand shares reduced their limits to £3 2s, buyers at £3 Is. Bank of Xew Zealand, cum dividend, had dealings at 435, and more w»re offered at 42s lid, buyers at 42s lOd. Union Bank of Australia shares moved up to £6 14s, buyers staying in at that price, sellers at £0 15s.

Miscellaneous. New Zealand Insurance- were firmer on buyers' offers 365, sellers at 36s 6d. Dalgetv "s appeared weaker, with sellers at*£7, buyers at £G 15s. N.Z. Kefrigerating, fully paid, changed hands at lis Oil and lis 7id, market closing lis 3d buyers, lis 7d sellers—the 10s paid were fractionally weaker at 4s Id, closing quotations 4s Id buyers, 4s 2d sellers. New Zealand Breweries, cum dividend, were easier at 24s Id and 24s 2d, closing quotations 24s buyers, 24s 3d sellers. Tooths Brew-cry shares jumped to dealings at 265, 25s 9d, 25s Sd, and 25s 7d, market closing 25s 8d buyers, 25s lOd sellers. Australian Glass, cum dividend, were stronger with buyers at 355, sellers at 3'Js British Tobaccos scored a rise of Is with dealings at 28s 6<l and there were further buyers at 2Ss sd, sellers at 295. Buyers of Dunlop Rubbers moved up to lis without attracting sellers. Herald and Weekly Times had improved demand at 425, but sellers wanted 455. Mt. Lyells recovered to 16s sd, buyers staying in at that figure, sellers at 10s 6d. Cornish Points remained at 3d, closing quotations Jd on cither side. King Solomons realised Is 2d, market closing Id either way. Okaritos were easier with sellers at 9s Id, buyers at 9s. Blackwater buyers raised their bids to 8s 3d, sellers at 8s Gd. LATEST QUOTATIONS. Buyers. Sellers. £ s. d. £ s. d.

YESTERDAY'S SALES. j CHRISTCHURCH. |

SYDNEY STOCK EXCHANGE. Sharp gains in investment values were recorded on the Sydney Stock Exchange vesterday. The Privy Council's decision "on Mr Lang's appeal and bright election prospects have given a fillip to business. Bonds, bank shares in the front rank, and industrial shares were all much firmer. Colonial Sugar shares also showed improvement, reports a Press Association cable. Morning Sales—

MELBOURNE.

NEW YORK STOCK EXCHANGE. SHARP REACTION. ! NEW YORK, May 31. The Stock Exchange suffered one of the sharpest reactions of the year on Tuesday, while the Senate struggled to find additional taxes to throw into the Budget Bill hopper. The net losses ranged from one to four dollars in the principal issues. DEBENTURES AND SHARES. PRICES IN LONDON. (UNITED PBE9S ASBOCIATIOK—BT ELBCTRIC TKLEGXAPH—COFXBCOKT.) (Keeeived June Ist, 5.5 p.m.) LONDON, May 31. P. and O. Deferred Stock is quoted at 12s BJd. Dalgety and Company -'g shares £5 15s. Four per cent. Debenture Stock, £69 10s, ex dividend. Goldsbrough, Mort and Company, 5 per cent. B. debentures, £62 10s. METALS MARKET. (UNITED I'L'ESS ASSOCIATION—BI ELECTHIC TELEGEAI-H—COPSSIGBT.)

COMPANY NEWS. OVERSEAS OPERATIONS. Details, of the operations of a number of overseas companies came to hand by yesterday's mail: Tooth and Co. i Tooth and Co., Ltd., brewers, of Sydney, have declared a dividend on j ordinary shares at the rate of 8 per cent, per annum for the half-year ended March 31st. Bryant and May, Limited. The British match company, Bryant and May, Limited, announced recently a final dividend of 4 per cent, tax-free on ordinary shares. The interim dividend was 6 cent., and a special distribution of 15 per cent, is made, bringing the total payment to 25 per cent, tax-free for the year. Dividends at a similar rate were paid last year on ordinary capital, all of which is held by the British Match Corporation. Checker Cabs Co. Liquidates. An extraordinary general meeting of Checker Cabs (Australasia), Ltd., was held in Melbourne last week, when a resolution was passed that the company should go into voluntary liquidation. Morris Hedstrom Dividend. "With the interim dividend of 2 per cent., the final dividend of 2 per cent, now declared by Morris Hedstrom, Ltd., brings the total for the year ended March 31st to 4 per cent. This compares with 6 per cent, for the previous year. Swan Brewery Co., Ltd. An improvement in net profits is shown in the accounts of the Swan Brewery Co., Ltd., which conducts business in Perth (W.A.), for the halfyear ended March 31st. In comparison with the corresponding half-year of 1931 the gross profit is less by £19,342, but owing to a reduction in salaries, trade expenses, etc., of £7341, and of £15,590 in- the amount reserved for Federal and States taxes, the net result is better by £5395. Dividend of 2s a share is declared on ordinary shares, equal to a rate of 16 per cent, per annum, and £35,623 is to be carried forward, compared with £24,716 brought into the accounts from the previous half-year. The accounts show ample liquid assets to cover outside liabilities, which are limited Fo £ir6,So2. Reserves and undivided profits exceed capital Tiy £659,388, and are represented by fixed assets, which appear to be valued on a conservative j basis. PRICE OF GOLD. (CIOTED PRES9 ASSOCIATIOX—BT ILTCTJUC TEUSGEAPH—COPTBIGHT.) (Received June Ist, 5.5 p.m.) LONDON, May 31. Gold (per fine ounce) is quoted as follows: £ s. d. Mav 31st .. 5 12 5 May 30th . 5 12 6 PRICE OF SILVER. (BRITISH OMMCIAL VTIBILISS.) (Received June Ist, 5.5 p.m.) RUGBY, May 31. Silver (pence per ounce) is quoted as follows: ' May 30th. Mav 31st. d. d. Spot .. 1613-16 1615-16 Forward « 16* 1615-16

£ s. d. To payment of dividend of Is per share for halfyear ended April 30th, 1932 1250 0 0 Investments fluctuation account 2000 0 0 Staff benefit fund contribution 450 0 0 Writing off Dunedin premises 231 0 3 Writing off offico furniture and fittings 120 17 3 Carry forward to next year (subject to income tax for year just ended) 3753 14 3

Per 11 d. d. Merino— Super .. 10 to 11 Average .. 7J to 8 Fine Half bred— 56/58 .. -;-\ .. 10 to 11 Average ,. SI to n Medium Halfbred— Super 50/50 .. 7* to 8 Average .. 6 to 6i Coarse Halfbred— Super 48/50 .. 5 to r>i Average .. 4J to 5 rine Crossbred — Super 40/48 .. 4jJ to 51 Average .. 4J to 4| Medium Crossbred — Super 46/48 .. 4i to 5 Average . . 4 to 4 J Coarse Crossbred — Super 40/44 .. 4J to 4* Average .. 3$ to 4* Low Crossbred— Super 36-40 .. 4 to 4i Average .. 3J to 4 Pieces .. 3 to 31 Bellies .. 3 to 3i Locks .. 1} to o

(Received June 1st, 5.o p.m., 1 RUGBY, May SI. The following are the current rates of exchange, compared with those o i May SOtlr and par: — Par. May 30. May 31. Paris, fr. to ±1 124.21 93} 93 7-16 New York, dol. to £1 4.866 3.69} 3.63 Montreal, dol. to £1 4.866 4.19 4.18* Brussels, belgas to £ 1 35 26.38 26| Geneva, fr. to £1 .. 25.2215 16 27-32 18 27-32 Amsterdam, fl. to £1 12.107 9.10J . 9.11 Milan, lire to £i 93.43 715 71| Berlin, reichmarken to £1 .. 20.43 15 19-32 15.65 Stockholm, kr. to £1 18.159 19.40 19| Copenhagen, kr. to £1 18.139 18.30 18.30 Oslo, kr. to £1 18.159 20.5 20 1-16 Vienna, schgs. to £1 34.585 36} 36J Prague, kr. to £1 164.25 124i 123} Warsaw, par zlotys to £1 .. 43.38 — — Helsingfors, marks to £1 193.25 215 213 Madrid, pesetas to £1 25.2215 44* 412 Lisbon, escudos to £1 110 110 110 Athens, drach to £1 375 565 565 Bucharest, lei to £1 818.G C20 6?2£ Bio de Janeiro, pence to milreis 4.988 15 il Buenos Aires, pence to dol. .. 4T.577 3tJ 31J Montevideo, pence to dol 51 30 30 (noin. ) (nom.) Batavia (guilder*! .. 12.107 9.15 — Bombay, pence to rupee 18 17 15-16 17 15-16 SLan«hai, pence to tael • 19 15-16 20 Hrme Kong, pence to dol * 151 15 Yokohama, pence to yen 21.5S 20! 21 * DetermiiMid by prioa of eilver.

N.Z. Government Debentures— 4J per cent. Inscribed, VJSS 91 17 6 J-2 2 6 4| per cent. Bonds, .-■■ '! 3938 91 17 6 92 5 0 •"•4i • per cent. Bonds, 1933 91 17 6 92 10 0 5J per cent. Inscribed, 1931 .. .. as 10 o — 5j per cent. Inscribed, 1933 1/7 13 0 — Si per cent. Inscribed, 19:J7 9G 5 0 96 15 0 5i per cent. Bonds-, 1937 96 0 0 — 5j per cent. Inscribed, 1933, and Bonds, .1933 99 15 0 — Si per cent. Inscribed, 193G 93 15 0 — oh per cent. Bonds, 1936 99 0 0 — 5$ per cent. Inscribed, Jt'cb., 1937 98 17 6 99 15 0 51 per cent. Bonds, r fcb., 1937 9S 17 6 — 5j per cent. Inscribed, * Sept., 1937 93 17 6 99 15 0 $}" her cent. Bond?, • Sept., 1937 99 2 6 99 15 0 Other Debentures— Lyttelton Harbour, 3J per cent., 1933 — 1 00 0 0 North Canty. Hospital, Si per cent.. 1910 .. — 9S 0 0 Christchnrch City, 5J per cent., June 1st, 195S 9f> 0 0 100 0* 0 1 Banks — Coram, of Aust. 0 13 0 0 13 1 Couiru. of Aust. (pref.) 6 3 6 — E., S., and A. 3 17 6 4 1 0 National of Australasia (£5 paid) 4 12 0 4 16 0 National of N.Z. 3 10 3 9 0 New South Wales 24 0 0 24 17 6 New Zealand (cum div.) 2 2 10 2 2 11 Union of Aust. fi 14 0 6 15 0 Insurance — National 0 110 0 11 1 New Zealand .. 1 16 0 1 16 6 South British 2 9 0 2 12 0 Standard 1 18 6 — Loan and Agency— Dalgety and Co. 6 15 0 7 0 0 Goldsbrough, Mort 1 1 3 1 1 5 N.Z. Guarantee Corpn. 0 4 0 0 4 2 United Building Society — 0 14 3 Permanent Investment — 9 0 0 Shipping— P. and 0. Defence! Stock — 0 16 3 Frozen Meat— Canterbury (pref.- — 4 10 0 N.Z. Refrig. (£1 paid; 0 11 5 0 11 7 N.Z. Refrig. (10s paid) 0 4 1 0 4 2 Coal — Stockton (ord.) 0 0 5 0 0 s Stockton (prei.) 0 0 6 — Gas — Auckland ion ' — Cbristehurcli 15 0 — Breweries — Carlton 1 G 9 - New Zealand (cum div.) 14 0 1 4 3 Staples " 13 3 — Tooths 15 8 1 5 10 Miscellaneous — Amalgamated Wireless (contr.) 0 13 0 0 18 0 Australian Glass (cum div.) 1 15 0 1 19 0 Beatta and Co 0 18 0 110 British Tobacco 18 5 19 0 Burns, Philp .. 1 15 0 — Colonial Sugar 38 12 6 39 10 0 Dunlop Perdriau Paibber 0 11 0 — Electro. Zinc (ord.) •• 0 10 6 0 11 6 Klectrc. Zinc (pref.) .. 0 IS 9 0 19 8 Henrv Jones Co-op. (o.\ div.) I 5 3 — Herald and WeekU Times 2 2 0 2 5 0 Howard Smith — 0 7 6 Mot uroa Oil 0 2 3 0 4 9 Sit. Lyell 0 16 5 0 16 6 N.Z. Farmers' Co-op (6J per cent. Stock 1940 and WS5) 36 10 0 — N.Z. Paper Mills 0 16 0 — Victoria Xvanza Supa; — 0 ).> 9 Woolworth? (N.Z.). prcT 1 3 1 — Zealandia Snap n l c 0 4 0 Mining0 12 6 U 0 2 Alexander (i-onlr.) Cornish Point i 0 0 34 Golden Dawn .. 0 5 11 0 6 2 Cornish Point (pref.) . 0 0 2 0 0 3J Golden Point .. 0 0 4* 0 0 6 King Solomon 0 11 0 13 Mahakipawa 0 0 5 0 0 5J Mahakipawa (pref.) 0 0 6 i 0 0 7 Okarito (cum div.) 0 9 0 0 9 1 Waihi Grand Junctioi t (cum div.) 0 3 3 0 3 9 Blackwater w* w 0 6 8 0 8 6

Sales on 'Changez, e. u. New Zealand Government 4$ per cent. Inscribed, 193S 92 2 6 Comm. Bank of Aust. 0 13 0 0 13 1 0 13 2 T'nion Bank 6 14 0 N.Z. Refrig. (£L paid) .. 0 11 6 N,Z. Eefrig. (10s paid) .. 0 4 1 New Zealand Breweries .. 1 4 1 (2) 1 4 2 Tooth's Brewery 1 6 1 5 1 5 0 9 s British Tobacco (2) 1 5 1 8 7 6 Mr. Lyell 0 16 5 King Solomon 0 1 2 Sales Reported— N.Z. Government 5£ per cent. Bonds, 1937 96 10 0 Bank of New Zealand (2) 2 3 0 N.Z. Bet'rig. (£1 paid) .. 0 11 71 AUCKLAND. £ s. d. Sales on 'Change — War Bonds, 1938, 4i per cent. 92 7 6 Stock, 1937, 5J per cent. 96 10 0 Stock, 1933, 5} per cent. .. 98 10 0 0 Commercial Bank 0 13 Okarito 0 9 o WELLINGTON. £ s. d. Sales Reported— o\ per cent. Stock, 1933 .. 9S 10 0 Bank of New Zealand, cum cliv. 2 3 0 Union Bank of Australia 6 13 6 National Insurance Co. 0 11 3 4 J per cent, Stock, 1938 (2) 92 2 C 9 Woolworths (pref) (2) 1 3 54 per cent. 1937 Bonds . . 96 10 0 0 Gear Meat Co. 1 8 DUNEDIN. Sale Reported — £ 8 d. National Insurance 0 11 o

£ s. d. Commonwealth Bonds — 4 per cent., 1938 95 0 0 4 per cent., 1941 91 12 6 Goldsbrougli, Mort. 1 3 9 Toohey's Breweries 0 19 0 Tooth 'a Breweries 1 9 3 Closing Sales — Bank of New South Wales 28 5 0 Commercial Bank of Sydney 16 17 6 Bank of Adelaide 5 7 6 Queensland National Bank 5 0 0 Commercial Bank of Australia 14 10 0 Colonial Sugar 44 15 0 Millaquin Sugar .. 15 0 Fairymead Sugar 1 3 0 Howard Smith 0 7 6 United Insurance 7 10 D Australian Gas (A) 5 18 0 Winchcombe, Carson 0 19 6 Dunlop-Perdriau 0 12 6 Tooth's Breweries 1 9 0 Toohey's Breweries 0 19 0 Carlton Brewery .. 1 11 0 Goldsbrough, Mort. 1 4 0 British Tobacco 1 12 0 North Broken Hill \ 2 19 0 South Broken Hill 2 0 0 Mount Lyell 0 18 6 Commonwealth Bonds — 4 per cent., 1938 95 0 0 4 per cent., 1941 94 5 0 4 per cent., 1944 90 12 6 4 per cent.," 1953 89 10 0 4 per cent., 1955 89 15 0 4 per cent., 1957 88 10 0 4 per cent., 1961 88 15 0

£ s. d. Metropolitan Gas 10 0 0 British Tobacco .. 1 11 0 Dunlop-Perdriau 0 12 6 Gordon and Gotch 1 6 0 "Herald and Weekly Times" 2 8 0 Bank of New South Wales 27 5 0 Tooth's Breweries 1 9 6

(Received June Ibt, 9.30 p.m.) LONDON Ma7 31. Quotations: — May JO. May 31. per lo n. per ton. Copper— £ B. d. £ 8. d. Standard, spot ■26 10 7i ■25 15 7a Forward .. 26 9 lj 25 15 7i Electrolytic 31 10 0 31 0 0 to 32 0 0 31 10 0 Wire bars 31 0 0 31 10 0 Lead— Spot 9 15 0 9 15 0 Forward -. 10 5 0 10 5 0 Spelter— Spot 11 16 3 11 8 9 Forward 12 0 0 11 12 6 TinSpot .. 117 7 6 118 18 » Forward .*. 119 12 6 121 2 6 SilverStandard, per oz. 16 13-16d 16 15-16d Fine, per oz, ... 16*1 18id