COMMERCIAL

Press, Volume LXXXIX, Issue 27150, 21 September 1953, Page 14

COMMERCIAL

STOCK EXCHANGES WEEK’S TRANSACTIONS REVIEWED (By Our Commercial Editor.) The notable event of the week on the Christchurch Stock Exchange was the marked drop in Australian share prices, which barely steadied towards the close. The scarcity of sellers of sound New Zealand stocks was again in evidence. The marked decline on the New York Exchange does not appear to have been responsible for the drop in the Australian markets, because, when the former rallied, the latter failed to recover m sympathy. It may, therefore, be reasonable to suppose that the fixation of wages in Australia is the determining factor m the market’s loss of strength. However, when more Commonwealth balance-sheets are available, showing results after the substantially reduced taxation, a greater degree of confidence may return to the sharemarkets m Sydney and Melbourne. Turnover for the week, with the previous week's business in parenthesis, was as follows:—Government Stock, £llOO £386); banks, 251 (916); breweries, nil (650); frozen meat. 100 (nil); gas, 700 (nil); insurance. 325 (100); loan and agency, 1420 ( 860); woollens, 400 ( 750), miscellaneous, 6744 ( 5065); unlisted, 544 (850). Total, 10,484 (9191).

Trading in Government securities was very light, and very little interest was taken in the section.

Bank of New South Wales sold unchanged at £35 10s. A large parcel of Commercial Bank of Australia, preferences, was traded at the firm price of £7 ss, and the ordinary shares were fractionally weaker in business at 17s 4d.

There were no sales of brewery shares, but New Zealands were quoted easier. Southland Frozen Meat, preferences, had light business at 645, with buyers unsatisfied. Slightly firmer quotations were recorded . for New Zealand Refrigerating, paids and contributings. Christchurch Gas improved to dealings at 17s. Better buyers were also on hand for the company’s contributing shares. Wellington Gas, preferences, advanced to sales at 21s 9d.

South British Insurance advanced sharply to cum dividend sales at 56s 9d. Buyers improved their offers for New Zealands.

Goldsbrough. Morts, new paids, had their first local business for some time when a parcel changed hands at 30s. Dalgety’s B shares improved to dealings at 9s 6d, with more on offer at the same price. A parcel of New Zealand Farmers’ secured deposit, 4 1 / 2 per cent., 1960 stock, sold at the firm price of £9B 10s. Lane, Walker and Rudkin, ordinary shares, continued to sell at the unchanged price of 55s 6d. Kaiapoi. ordinaries, were also unaltered in business at 23s 6d. Among the miscellaneous stocks. Hay’s, Ltd., eased again in business at 70s 6d. Wilson’s Cement, new issue, had first local business at 14s, but sales were recorded in Auckland at 14s 4d. McKenzies, after selling unchanged at 15s 3d, improved to dealings at 15s 4d, with buyers prepared to pay more at the close. Frozen Products advanced to sales at 6s 9d. Booth, Macdonald, ordinaries, eased sharply in a sale at 4s. Aulsebrooks, preferences, improved in a sale at 23s od. Matheson Minster, preferences, sold unchanged at 18s 9d. Dental and Medical were also unaltered in trading at 355. Kempthorne, Prosser’s, N.Z. Drugs, eased 6d to a sale at £5 12s.

G. J. Coles were weaker in business at 15s 6d and 15s 4d, with slightly better buyers at the close. Broken Hill Proprietary eased to business at 37s 3d, and later "recovered to 37s 6d. Woolworths, Ltd., fell sharply to dealings at 14s 6d and 14s 7d. A.C.I. were fractionally better in sales at 38s 3d. In the unlisted section, Canterbury Seed new issue sold unaltered at 27s 6d. McIntosh, Caley, Phoenix had first local business for some time in sales at 18s 3d. Wattie Canneries firmed in trading at 40s.

LONDON WOOL SALESDEMAND STEADY ON RESUMPTION (N.Z. Press Association—Copyright) LONDON, September 18, The demand was steady when the London wool sales resumed today, says the jefint report of the London Agency of the New Zealand Wool Commission and the Committee of London Woolbrokers. As at Wednesday’s opening of the series, the home trade w’as by far the principal buyer, but competition from the Continent showed a little improvement. A total of 7724 bales was catalogued including 4355 bales from New Zealand, among which slipes predominated. Only a few hundreds of bales in the grease and scoured were available and almost all the greasy wools comprised small consignments of prematurely shorn crossbreds. Although not exactly ideal for combing, these wools were bought freely by Bradford topmakers at prices on the same high level as Wednesday. Scoureds also sold freely without any change in prices, and there was a good clearance on slipes. At the same time it was noticeable that on occasions prices for some of the halfbred lambs tended to move in the buyer’s favour. Australian greasy Merinos sold steadily, and scoured Merinos attracted more attention. Prices for South African clips were firm, although 12 months .wool was generally a shade easier. The tone of the market indicates that many firms need to obtain supplies for immediate use, until the arrival at the mills of their early purchases in Australia.

The Bradford market for tops is quiet, but there are orders outstanding that need to be covered in the raw material, added to which there is a reasonable volume of export inquiry. Most of these inquiries are for tops that can be delivered quickly, and the buyers are prepared to pay a premium which is being reflected in spot raw wool prices.

BRITISH WOOL BOARD NEW SELLING PLAN SUGGESTED (N.Z. Press Association—Copyright) LONDON, September 18. Mr Ivor R. Morris, chairman of the British Wool Marketing Board, said at the board’s annual general meeting at Edinburgh today that if current negotiations between the board and its present brokers could not reach an agreement by December 31, the board would begin to operate its own selling programme. The meeting was discussing a recommendation advocating that in the interests of greater economy the British clip should be auctioned by the board itself, and not by brokers. Mr Morris said the board had decided that the present rate of remuneration was too high. “The stage has been set to allow the present brokers to negotiate an arrangement which must be acceptable to the board if it is to be operated.” he said. The meeting did not vote on the proposal, and left the matter in the hands of the board. N.Z. AND AUSTRALIAN LAND COMPANY (N.Z. Press Association—Copyright) (Rec. 7 p.m.) LONDON, Sept. 19. The New Zealand and Australian Land Company recorded a net profit, after taxation and depreciation, for the year ended March 31, 1953, of £298,552, compared with £259,179 in the previous financial year. Unappropriated profits brought forward from the previous year amounted to £425,682 (£391,002), made a total of £724,234 (£650,200). ' After allowing for transfers to reserves :and the contingency fund, totalling '£118,607, and dividend of 5 per cent, interim already paid, and 15 per cent, final, totalling £165,000, consisting of a special interim divdend, an ordinary interim dividend of 5 per cent., and a final dividend of 15 per cent., the balance carried forward to next year totalled £440,627.

LONDON METAL MARKETS (N.Z. Press Association— Copyright) LONDON, September 17.

Latest London metal prices are:— Buyar Tin— £ s. d. £ s. d. Spot .. 605 0 0 607 10 0 Forward .. 595 0 0 597 10 0 Lead— Spot .. 89 10 0 90 0 0 Forward .. 86 7 6 86 12 6 Zinc— Spot .. w 68 10 0 68 15 0 Forward .. 67 13 0 68 0 0 Copper— Spot .. 232 10 0 235 0 0 Forward .. 218 0 0 218 10 0