COMMERCIAL Review Of Week’s Stock Exchange Transactions

Press, Volume XCVII, Issue 28513, 17 February 1958, Page 12

COMMERCIAL Review Of Week’s Stock Exchange Transactions

[By Our Commercial Editor I

Last week was the busiest of the five weeks since New Zealand stock exchanges opened after the New Year. Aided, perhaps, by the improved tone of the wool market, share prices were again buoyant. Leading Australian industrial and retail issues were keenly sought. There was a good demand for New Zealand textile manufacturers’ shares, and most New Zealand industrials were firm. •

Broken Hill Proprietary rights were again freely traded, at prices close to the previous week’s. The financial editor of the “Sydney Morning Herald,” commenting on the firm market for 8.H.P., points out that the extra £l7m of capital to be raised by this issue is as much as the total capital of each of the Australian companies which rank next in size to B.H.P. At their peak price (in Sydney) of 22s 9d the rights show a return of 3.9 per cent., he says. Yield of 3.7 Per Cent. The Australian price is equivalent to 18s 2d in New Zealand currency—about Is below last week’s New Zealand price for the rights. New Zealand investors are currently accepting a return of 3.7 per cent., until the yield is. raised by an increase in dividend above the anticipated 8 I*3 per cent, rate, or until the capital structure is again changed. There is, also, the prospect of market appreciation in the shares, says the “Sydney Morning Herald.” “This prospect is based partly on a convention—the conventional agreement by which B.H.P. has nearly always been considered a sound buy if it is returning more than 4 per cent.” Details of transactions on the Christchurch Stock Exchange last week, with figures fro the previous week, with figures for the previous Government'stock, £9450 (£5260): local body and como?nv debentures and stock, £5OOO (£1266): banks, 564 (1266); breweries, 1366 (400): frozen meat, (825): gas, 100 (niD; insurance, 350 (900); loan and agency, 1512 ( 3628): ship-ine, 300 (420): timber, nil (200); woollens, 1215 (2300); miscellaneous, 24,422 (16.380); Australian mining, 300 (nil); unlisted. 2850 (300): total, 33,529 ( 26,719). Gilt-Edged Yields Yields to maturity on Government stock traded during the week were as follows:—3 per cent., 1975-60, £4 18s 3d per cent.; 3 per cent., 195961, £5 Is 8d per cent.; and £5 Is lOd per cent.; 33 per cent., 1962, £5 Os 2d per cent.; 43 per cent., 1962-63, £4 19s 7d per cent. Union Steam Ship preference were fractionallv firmer in business at 23s Id. Aulsebrooks preference (19s Fd) and Fletchers B preference (19s) were steady. Fletchers C preference (18s 6d), Havs preference (20s 6d) and Nelson Fisheries preference (20s) were steady. Commercial Bank of Australia (15s lid) were firmer and National Bank of N.Z. (275) were slightly easier. Bank of N.S.W. lost slightly more than the dividend in first ex dividend business at £33 10s. Dominion Breweries rights were active. Opening fractionally weaker at 25s 6d, they advanced strongly during the week to close at 32s and 32s 6d. Sales were made in Auckland at un to 335. Westland Breweries (46s 6d) were steady. N.Z. Refrigerating (46s 6d) were steady. Christchurch Gas. in first business for a month, lost Is to sell at 19s. National Insurance (295) were easier. In business elsewhere, and New Zealand Insurance also eased. South British (86s) were steady. National Mortgage A (8s) were steady but the B shares (8s 2d) declined. N.Z. Farmers’ Co-opera-tive B preference shares (16s) were fractionally easier. Wright' Stephenson (41s 6d) made a good gain. Bonds Hosiery Prospects

Bonds Hosiery, in first local business this year, sold at 17s 9d, the price established elsewhere. The company has announced its first dividend since the bonus issue last year. By maintaining the final dividend at last year’s level it encourages the market in the view that the old rate of dividend will be paid on the higher capital. Felt and Textiles, N.Z. (395) and Tlmaru Woollens (255) were steady. Tekau (29s 6d) were easier. Australian industrials and retailers were generally firmer. Gains were made by Ampol (12s 8d), Amalgamated Wireless (10s, after 9s lid, unchanged), Australian Consolidated Industries (50s 6d, cum div.), B.H.P. shares (38s 6d and 38s 9d) Email (6s 4d), Coles (16s to 16s 3d, ex div), Wool worths (15s 8d to 16s), Colonial Sugar, Sydney register (£36 ss). B.H.P. rights lost 3d to sell at 19s Id. Waltons eased in business at 16s lid and 16s lOd. Mt. Isa (24s 6d) reappeared on the sales list. The company announced last

week that in spite of reduced production by the four Broken Hill mines, Mt. Isa’s output would be maintained. Morts Dock (Ils) also returned to the sales list. E.Z. Industries sold at 16s, unchanged, with later business 6d lower.

N.Z. Industries Several good gains were made by New Zealand industrials, among them Donaghys Rope (545), United Box rights (7s 3d and 7s 6d), Whakatane Board Mills ordinary (265) and preference (22s 6d), and the unlisted Booth Macdonald (Is 6d). Forest Products (16s lOd), N.Z. Newspapers (40s 9d), Tip Top (15s) and Woolworths, N.Z. (19s and 18s lid) were also firmer. Ross and Glendining (295) were easier, as were the unlisted Matea Forests (Is 8d). Steady prices were paid for Dunlop, N.Z. (245), Whitcombe and Tombs (295), and Hays (25s 6d). Shares which reappeared on the sales list were N.Z. Packing (24s 6d), J. J. Niven (48s), Frozen Products (6s 4d), Giant Industries (12s 4d) and the unlisted Carbonic Ice (555). Sanford, new (19s) had first local busi-

LONDON WOOL FUTURES

(N.Z. Press Association—Copyright > LONDON, February 13. London wool terminal market crossbred quotations today, were:— Buyers Sellers

Bradford tops (average corded crossbreds): 56’s, 91d per lb; 59’s, 79d; 46’s, 76d.

LONDON METALS MARKET

(N.Z. Press Association—Copy rig ht > LONDON, Feb. 13. All metals were steady today. Settlement price for copper was £ 160 10s a ton and for tin £730 10s.

per lb per lb d. d. March .. .; 75 80 July .. .. 74»/ a 77 October .. .. 74 7 6’/a January .. 74 75

£ s. d. £ *s. d. CopperSpot 160 10 0 160 10 0 Forward Tin161 10 0 161 15 0 Spot 730 0 0 730 10 0 Forward Lead— 729 10 0 730 0 0 Spot 73 10 0 73 15 0 Forward Zinc73 10 0 73 15 0 Spot 63 15 0 64 5 0 Forward 63 5 0 63 10 0 Silver, 6s 4gd per oz. spot, 6s 4 »d forward Gold, £12 8s 10«/ 2 d per oz. Platinum, 535s per unit.