LONDON STOCK MARKET

Press, Volume CI, Issue 29849, 15 June 1962, Page 12

LONDON STOCK MARKET

Wall Street News Saps Confidence (N.Z. Press Assn.—Copyright) LONDON, June 14 The loss of confidence following the latest fall on Wall Street and the discouraging character of recent company news upset shares on the London Stock Exchange. All week the market ha; been quiet and generally uncertain and though selling was light, dealers were taking no chances and marked prices lower all round. Some industrials reached their lowest level for three years.

The only bright spots were gilt-edged and gold mining Once again, however, dealers emphasised that the falls were a reflection of the reluctance of buyers and the consequent thinness of the markets rather than of any real increase in the volume of selling. Convalescence The “Daily Telegraph’s” financial editor, commenting on the quietness of the market. suggests that as far as equities are concerned a period of convalescence is now needed after the recent shocks to allow investors to recover their nerve and reassess their outlook.

“A full programme in the new issue market will make heavy calls on available funds and any sustained recovery in prices thus looks unlikely in the near future.

“Whenever equity prospects are clouded, investment and speculative interest is often diverted to gilt-edged stocks and gold-mining shares and already there are indications this is beginning to happen in London. "Gilt-edged, especially at the medium-short end of the market, are attracting good buying.” I Manawatu Interim. Manawatu Knitting Mills interim dividend is 5 per cent, payable July 2. ex dividend June 22 Last year's 5 per cent, interim was followed by a final 5 per cent, making 10 per cent, for the year.—(P.A.)