STERLING WEAKER

Press, Volume XCIII, Issue 27912, 8 March 1956, Page 19

STERLING WEAKER

TENSION IN MIDDLE EAST BLAMED Sterling has lost ground to the American and Canadian dollars in the last two days. The £ sterling will now buy .4 cents less in United States currency than on Monday, and .7 cents less in Canadian currency. On February 13, three days before the announcement of the increase in the Bank of England bank rate, the telegraphic transfer buying rates quoted by the Bank of New South Wales were 2.8007 United States dollars to the £N.Z. and 2.7982 Canadian dollars to the £N.Z. By February 20 the rates had firmed to 2.8026 dollars and 2.8013 respectively. On Monday they were quoted at 2.8020 dollars and 2.7995 respectively. The £ sterling fell .31 cents to 2.7989 United States dollars on Tuesday and a further .13 cents to 2.7976 yesterday. In terms of the Canadian currency it fell .38 cents to 2.7957 dollars on Tuesday and a further .31 cents to 2.7926 on Wednesday. Copper Prices Rise in London Copper prices soared on the London Metal Market on Tuesday for the second day in succession, says a cable message received last evening, and they reached £437 a ton—more than £lO higher than Monday’s prices. Traders noted that the jump coincided with a weakness in sterling. They blamed both movements on nervousness over Middle East developments.