EXCHANGE MARKET

Press, Volume C, Issue 29702, 21 December 1961, Page 19

EXCHANGE MARKET

Decrease In Activity (N.Z Press Association) AUCKLAND, Dec. 20. The period of reduced activity associated with the end of each calendar year has become apparent on the foreign exchange market since the last review, states the National Bank of New Zealand in its review of the exchange market. This is evidenced by a falling off of the rate of inflow of ‘‘hot money” into London during the last two weeks. Although sterling gained some further ground against the Canadian dollar during the fortnight, the United States dollar last week reached its dearest level in terms of sterling for three months. For the information of New Zealand traders, the Canadian dollar rate has fluctuated by approximately Is 9d per £lOO New Zealand in favour of importers, while the movement in United States dollars has favoured exporters to the extent of approximately 3s 6d per £lOO New Zealand. Premium The forward selling premium for the Canadian dollar is unchanged at 7/8 cent but the premium on the United States dollar is now 3/4 cent. All Continental and Scandinavian currency rates have hardened slightly against sterling with the one exception of the Dutch florin rate which has softened. Of the Eastern currencies, the rate for the Japanese yen has hardened, while the Malayan dollar rate has softened against sterling.