FINANCE AND COMMERCE

Press, Volume LXXV, Issue 22823, 23 September 1939, Page 11

FINANCE AND COMMERCE

NERVOUS SHARE MARKET

Dealings in the different sections were:— Value, £ Government ~ - 2,000 1,969 Shares No. Banks .. .. 320 863 Loan and agency 100 148 Gas .. ~ 200 235 Breweries .. .. 750 1,398 Miscellaneous .. 4,162 9,768 Mining ... .. 450 345 Turnover day by day was;— This Last Week. Week. „ £ £ Saturday .. .. Monday 5,006 605 Tuesday .. .. 3,544 6,320 Wednesday .. 1,726 4,037 1 Thursday .. .. 1,833 2,085 Friday .. .. 2,617 ‘ 2,571 14,726 15,618 Among the Government loans, the 4 per cent, stock. 1946, was firm at £97 10s and £9B. Outside Christchurdh, the 3J per cent, stock, 193841, eased 25s to £9B 15s,- while the 4 per cent. 1940-43 (ex interest) at £9B ss, £9B 2s 6d, and £9B 15s; the 4 per cent.; 1946 v at £97 10s, £9B, and £97 17s 6d, and the 4 per cent., 1948, at £99 7s 6d and £99 5s were all ■- fractionally weaker. The 4 per cent., 1949, was unaltered, at £9B 5& and. £9B, and the 1955 at £95 10s. An easing of 5s was recorded in the 4 per cent, bonds, 1946, at £9B, while the ISSS'were weaker by 2s" 6d at £9B 10s. The • market for banking shares . .weakened -on small turnover. Only , three stocks were dealt. in. E„ S., and A., at £4 '6s 6d and .£4 ss, Were > down 12s on the last sale a monthago, - arid New Zealand lost 3d at'37s 6d. ; National of New Zealand, at 435, showed a \drop of 4s 8d since their last sale toward the erid of August. In other; centres. Commercial oft Australia were firmer by 4d at 14s 6d A to 14s 9d to 14s 6d. and New Zealand v eased 6d to 37s 64, 38s, 37s 9d, and 38s. ■ In the insurance group. New Zea- , land moved up 6d to 53s 6d, and South British 6d to 42s 6d. Pastoral shares were quiet, with Goldsbrough; Mort 3d easier at 29s 6d. Business in the frozen meat section was confined to New Zealand Refrigerating, 10s paid, at 8s 2d.' Christchurch Gas, at 23s 6d. lost 2s on last business in the middle of July. Local dealings in brewery shares were Confined to New Zealand at S3s ■» and 31s, the latter being, the Jowesfc - point reached since 1933,- '' r : Miscellaneous In the miscellaneous section. Broken Hill Proprietary, which .fluctuated from 71s 9d to 69s 9d to 72s 3d, accounted for the greater part of the ” turnover, both in Christchurch and. elsewhere. Most of the other stocks in this section were weaker. Australian Consolidated Industries eased to 32s fid and the rights, lost fid at v, 4s. British Tobacco dropped 2s 6d at prices ranging from 48s 6d to 45s 9d, and Electrolytic Zinc (preference), which gained several shillings last week, dropped back 5s to 59s fid, 575; 65s 3d. and 555, closing with buyers at 575. Dunlop Rubber at 18s 3d showed a fall of Is 3d on the last sale, cum dividend of 3£ per cent. G J. Coles at 68s were down 9s on * their last sale on September 1, but closed stronger, and Hume Pipe (Aust.> cum dividend at 18s 6d lost 2s '9d on the last local scale at the beginning of July. Woolworths, Ltd. (cum divi*dend) were also weaker, losmg Is at 22s and recovering to 22s 5d at tne close. The New Zealand company was fractionally weaker at 16s 9d. Outside Christchurch the following transactions were recorded (price movements in parenthesis):— • Up —Bartholomew Timber 15s (Is); G J. Coles 70s, 71s 3d (Is 3d); Macduffs (pref.) 7s (9d); Morris Hedstrom -16 s fid (6d); N.Z. Drug Company 67s Sd. 68s (3d); Woolworths (N.Z.) 17s —Australian Consolidated Industries (rights) 4s sd, 4s, 4s 2d (4d); Bertel (N.Z.) 60s (2s); Broken Hill Proprietary 71s tj, 69s to 72s 6d (3d): •Electrolytic Zinc* (pref.) 59s 6d, 565, 55s (4s 3d); Hume Pipe (Aust.) 18s fld (Is fid); Taranaki Oilfields 5s (7d); Woolworths Properties 235, 22s fid (2s ; 6d); Woolworths, Ltd. 235, 22s 3d. 22s 3d, 23s (3d); British Tobacco 48s fid. to '44s fld tq 46s 3d (2s). . Steady—Australian Alloy Steel 4s 3d; Colonial Sugar £4B; Fanners Trading 17s; Wilson’s Cement 16s 6d. ’ Among the mining share?, Austral • (IT Z.) Emperor, Lyell, and Rawang > Tn were all easier. Golden Dawn had J|eir first business this year at 2s and 'maihi were' firm at- 6s 9d. . Prices in 1914-1915. A survey of the prices of shares in leading companies during the six months to March, 1915, and of the dividends paid by these companies during the war Jrears makes interesting reading. Here are the tables:—

These figures indicate actual sales on the Sydney Stock Exchange or the approximate market and refer to the middle period of the month.

WAR FINANCE MEASURES AWAITED The share markets this week have suffered to some extent by nervousness concerning the Government’s war finance measures, now promised, after two delays, for next Tuesday. Turnover, which was £ 14,726 against £15,618 last week, included dealings in Government issues, banks, pastoral, gas, and brewery shares, but the heaviest trading was in Australian industrials. Generally, there was little solid support for any section, and throughout the week there were more sellers than buyers. Coal shares stood out from the general weakness of the mai ket. Little interest was shown in shipping and woollen companies, and metals shares, which rose spectacularly last week, received less attention than usual and loss most of their gains.

At the close of the week several stocks showed recovery from the lowest points reached.

kets during the disturbed period of 1914, as well as any comparisons which are made with present conditions, or deductions which may be drawn from the figures, must take into account the altered circumstances. The whole economic and financial structure of Australia, where all of these companies except one are domiciled, has been altered in the meantime, and whereas the last war came almost without warning, so that the market had to bear, a sudden impact, the present position has been developing for more than a year. The market had already absorbed a - substantial proportion of the shock and adjusted itself in the process. Following the declaration of war In 1914 the Stock Exchanges of Australia were closed until September 21; this time business was adjourned only over the week-end, without any evidence of panic. In New Zealand, two of the exchanges did not close at all. Liquidation of Holdings - The general' decline in the level of share prices between July and September. 1914. was due very largely to the liquidation of holdings by nervous holders. Strengthening influences, however, began to have their effect by the end of the year. The British market for Australian staple commodities reflected a rapidly increasing demand. Money and credit were available in ample supply. New industries appeared in the offing, and although it was recognised that taxation would be sharply increased, a feeling of confidence in the strength and stability of both Great Britain and Australia developed, with beneficial effects on the investment markets. In spite of all the adverse forces at work, the demand for sound stocks steadily improved*, and before the end of the year the recovery movement had set in. A steady rise in share prices had taken place during the first six months of 1914, the July average having been about 10 per cent, above that for the previous January, but it is significant that by January, 1915, share prices on the average were on a level with those ruling a year previously. . If due allowance is made for the 10 per cent, rise before July, 1914, the soundness of the position ,is revealed in the table of prices above. The profit-earning capacity of the companies dealt with, as indicated by the dividends paid, is striking and significant. An extraordinarily forge proportion of companies substantially improved their dividends during the war years, or remained steady at a high level, with obvious benefit to masses of shareholders as well as to the community as a whole. "■'■'>7, C* MARKETS AGAIN DULL YESTERDAY SALES CONFINED TO FEW *; Stocks - Markets were dull bn call yesterday. Bidding lor most issues was spiritless and the turnover, was restricted to. a few stocks. Price movements were irrc&ul&L New" Zealand Government 4 per cent, stock, due 1946. changed hands at £9B, and late offers, of £97 10s failed to attract sellers. „ National Bank of New Zealand dropped to 435, and more were wanted at that price, but sellers were reticent. Bank of New Zealand were firmer, with buyers at 38s 3d. Goldsbrough, Mort were fractionally weaker at 29s 6d, market, closing 3d either way. New Zealand Breweries were firm, with buyers and. business at ßuyers of Australian Consolidated industries moved up to 33s lit*,- no sellers offering. Bri , tis h J obac fP w | d e stronger on buyers offers .46s 3«. Broken Hill Proprietaryadvanced. to dealings at prices ranging feom 72s 3d to 71s 6d, and there were further sellers at the lowest price. at 71s sd. Dunlop Rubber changed hands at 18s 3d, buyers staying m at that price, Se ßuy S er a s* offem.’ f or Electrolytic Zinc ordinary and preference, and G. J. Coles revealed firmer markets. Wool - worths. Ltd., recovered to 22s sd, sellers staying in at that price, buyers at of Mount Morgans reduced their limits to 9s sd. with buyers at Oc 2d LISTED STOCKS Sales on ’Change £ g d 100 Goldsbrough. Mort .. 19 6 300 Broken • Hill Vropty. g Q , (2) 311 7 - 3 11 6

BRADFORD UNCHANGED njinrsD pAisi - issooivnp*—corratoHr.' LONDON, September 21. The Bradford market is unchanged. There is no new business, sellers refusing orders until they know the cost of new wooL The maximum prices fixed for tops are under cost production and a new schedule is being issued. PROPERTY SALES Messrs Baker Bros (Estate Agents), Ltd., 166 Manchester street, report having sold, on behalf of the trustees of the late J. J. Collins, the undermentioned properties:— (1) Valuable factory site, together ; with buildings thereon, situate ' Fitzgerald avenue, to Mr Denton. (2) Superior residential property, together with over 1-acre of land, in Bristol street. St. Albans, to Mrs Frew, ' . , Messrs Ford and Hadfleld. Ltd., were associated in the.above sales. 4580

Share Prices Sent.. Dec March, 1914 1914 ‘ 1915 £ S. d. £ S. d. £ s. d. Com. Bank 24 0 0 25 0 0 25 0 0 B® d ' of 40 15 0 41 5 0 41 0 0 Tdoneys 1 2 0 1 4 0 1 3 6 Tooths 2 2 6 2 1 6 2 -1 6 N.Z. Insur. ' S 10 0 6 2 6 6 ■ 2 6 BiH.P. 1 8 0 " 1 13 9, . 1 19 9 Burns. Philp .1 4 6 1 5 9 1 7 0 Col. Sugar Dunlop Per. 45 5 0 45 15 0 51 10 0 _ 1 7 9 1 9 6 Dalgety's .. 6 17 6 « 0 0 6 10 0 Gold. Mort 1 15 6 1 12 6 .1 16 6 Henry Jones 1 4 3 1 4 0 1 6 0 Morts Dock 0 17 6 0 17 9 0 18 0 Mt. Lyell .. Nth. Broken 0 1 17 16 6 0 . 1 1 2 19 0 0 1 2 4 7 6 6 Sth. Broken 5 15 0 6 2 6 7 10 0

Dividends ; (per cent.) 191$. 1914. 1915. , 1918. 1917. Comm. Bank 17 17 17 . of Syd. 17 ■ 17 Bank of N.S.W. 10. .10 10 10 10 Tooheys 10 10 9 8 8 Tooths 10 10 7 9 9 N.Z. Insur’ce.' 10 10 11.7 10 12i B.H.P. 35 so 50 374 10 : Burns. Philp 61 61 74 74 '74 Col. -. Sugar . 121 (a)64 • 64 Bunion Perd. Balgety’s 10 - 8 10: 8 10 10 10 13 10... 13 Golds. Mort 20 10 124 15 15 ' Henry •Johea . 74 1 12 J ■ U 10 •Wi Morts Bock • • 6 6 . 6 . 6 6 Mt. ■ Lyell. * Nth. : - Broken 111 45 V 161 40 124 40^ 61 40 Sth. ' Broken 140 15 105 120 120 (*;;(a) Capital previously reconsti*ucted. . • Any aniailysis of the conditions which existed in the/ stock and* share. mar-

100 Wool worths, Ltd. 1 0 5 (cum div.) X z Sales Reported £800 N.Z. Govt. 4 p.c. Ins,, 1946 , - rf 70 National Bank of N.Z. 98 2 0 3 11 0 0 Q 100 N.Z. Breweries • • X 50 Broken Hill Propty. 3 12 18 3 Q 200 Dunlop Rubber 0 O