WOOL MARKET BUOYANCY.

Press, Volume LXVIII, Issue 20612, 30 July 1932, Page 7

WOOL MARKET BUOYANCY.

CONTINENTAL INFLUENCE. Winchcombe, Carson, Ltd., the Sydney wool brokers, report: The further hardening in wool values, both locally, in London, and in Continental consuming centres, is decidedly gratifying. In Bradford, prices for average 64's merino tops have advanced 2d per lb, being recently

quoted at 22£ d. The rise of 25 per cent, to 30 per cent., quoted in coarse crossbred? at the English auctions, is apt to create a misleading impression of the improvement in the market. Towards the close of the Sydney season greasy 40's coarse crossbred fleece was selling at 4jd per lb. In English currency that figure represents 3Jd, and on a gold basis approximately 2»d. An advance of the percentage quoted, therefore, does not mean that values have beed placed on a decidedly high level when the staple has been selling at such extremely low rates. The keener enquiry for raw material from the Continent is one of the most welcome features of the recent development. Lack of normal enquiry for the staple from that quarter was one of the most missed influences «at the past year's sales. Germany offers a particular example of that want ot volume. The esport-s of wool to that country from New South Wales were only 140,046 bales, being 31,074 bales less than twelve months before. German internal and foreign trade has been very depressed. From January to April, 1932, her exports of tops were 44 per cent, less than during the same period of 1931, and exports of fabrics showed a decrease of 43 per cent. The settlement of the reparation question, denlt with at the recent Lausanne Conference, is likelv to have good results on Germany's commercial and industrial position once her political house is put in "order. In anticipation of a revival business in semi-manufac-tures has alreadv increased, and her buyers have purchasing.wool suppile's in Australia. , The Continental countries combined have in more normal times taken over £0 per cent, of the wool sold in the Commonwealth. Absence of orders

from the European centres was largely responsible for the relatively low level of prices secured for the finer merino wools particularly if inclined to be short in length and showing vegetable fault. Japan and Yorkshire were fortunately almost continuously large pur chasers, but wools showing a good depth of staple are necessary for their requirements. We hope tnat in the twelve months ahead all classes of the staple will realise better prices, but to bring the finer lines into their correct relative position- it will be necessary for them to show a greater rise than average quality lots. For some months only a difference of Id per lb existed, between the price of average 70's, and average 64's merino fleece wools. Such a small margin is abnormal, and will probabb? be corrected largely ns a result of more activity among Continental consumers.

The '"double," or national, fat stock market will be held at Addington next Wednesday. As usual drafts of show cattle will be forward from the North Island and southern provinces.