Review Of Week’s Stock Exchange Transactions

Press, Volume CIII, Issue 30367, 17 February 1964, Page 16

Review Of Week’s Stock Exchange Transactions

Last week’s trading on New Zealand stock exchanges made a hesitant start, but as the week got under way a firmer tone developed and by the close on Friday the market was buoyant and active. Sharper interest in newspaper shares, against the background of the battle for the control of the “Dominion,” was a feature of the week’s trading. Several good gains were made in this section and new peaks were reached. • . • •

The Wellington Publishing rights gained 90s on the week, after going to £l3 10s in a late sale on Thursday, to close at £l3. New Zealand Newspapers reached a new high level of 61s 9d with the B shares close behind.

“Otago Daily Times” gained 9harply with the old shares selling 8s up art 51s 6d and the B shares 4s 6d up at 50s 6d. Mid-week the company announced a record net profit of £50,364 and the week before it announced a one-for-three bonus share issue.

Christchurch Press, quoted in the unlisted section, also made a strong advance with a 7s 6d rise to 60s on Wednesday then held that level in sales on Thursday and Friday. Truth N.Z. gained 2s to 53s after being more keenly sought in the first six weeks of this year than in the last six months of last year, Wilson and Horton eased on Wednesday, after advancing steadily since the start of the year's trading, to sell Is down at 295. There were also sales on Thursday and Friday at the lower price. Industrials Worthwhile gains among New Zealand industrials were made by Crystal Ice, Fletcher, National Electrical, New Zealand Refining, Williamson Jeffrey and the unlisted Macalpine. Crystal Ice gained Is 6d to close the week at 18s 6d—its end-of-1963 losing ground ait the start of the year, and gradually .slipping back to 15s 9d two weeks ago. New Zealand Refining ended the week strongly, 2s ahead at 375, the highest point, reached yet by this share. Two weeks ago moderate profit-taking eased its price back from 35s to 34s 6d. Breweries showed a slightly better tone with two gains end no losses on the week. New - Zealand Breweries closed 3d up at 13s 4d. while Tui added Id to 8s Ud. Dominion eased 2d early in the week but recovered to close again at 17s. Frozen Meat Among frozen meats Meat Packers firmed 3d to Bs, while NZ. Refrigerating sold 9d up at 43s 6d ex dividend. Insurances were variable with NZ. Insurance old, B and C shares showing an advance and South British old and B shares losing ground. Loan and agency were steady, timber firm, woollens and textiles easier, and re-, toilers barely in balance over the week’s trading.

Business became more active as the week progressed and over the five trading days 182 issues changed hands. This is only four less -than the second trading week of the year—the busiest so far in 1964. Turn-over on the Christchurch Stock Exchange was 81,433, making a daily average of 16,287 against 13.669 the week before. Peak turnover this year is 21,179. Day-By-Day Trading started the week hesitantly with New Zealand shares again following an easier trend and overseas shares just barely holding their own on a much quieter market New peaks wefe reached by D.I.C. at 16s and Early Brothers ait 14s. Fletcher Industries sold art 39s 3d, up 9d, while Meat Packers notes added Is to 6s. Dominion Breweries lost 2d to 16s lOd.

In spite of increasing public interest in newspaper ownership add affairs there had not been a great deal of reaction from investors, apart from slightly brisker business in Wilson and Horton. . However, on Tuesday New Zealand Newspapers, in first sales for more than a week, rose Is to a new peak of 61s 6d. Twenty Wellington Publishing rights sold 70s up ait £l2. Interest in newspapers was sustained on Wednesday with a further rise to £l2 10s by Wellington Publishing, and New Zealand Newspapers B coming into line with the old shares in sales at 61s 6d.

Wilson and Horton fell back from the peak 30s reached at the end of the week before to sell at 295. Christchurch Press, infrequently traded, gained 7s 6d to 60s in first sales since November last year, after recent sharp firming on quotation. Brighter Turn Trading took a brighter turn on Thursday with firmness by second-rank issues giving strength to the New Zealand section of the market. Leaders were in balance, but overseas issues eased. Wellington Publishing rights made another lOS gain to £l3 before news of the Adelaide News group £2.2m offer was released. Friday was the brightest day of the week and trading

came to a close on a buoyant note. There was a resurgence by leading issues and some made sharp gains. New Zealand Newspapers rose to a new peak, Otago Daily Times advanced, while New Zealand Refrigerating and New Zealand Refining made worthwhile gains. B.H.P. reached a new peak for the year. Timaru flourmillers, Evans’ Atlas announced latest results on Monday showing profit 1.4 per cent up at £10,036 after more for depreciation and less for tax.

Earning rate on capital was 13.4 per cent, against 13.2 per cent the. year before, but earning rate on shareholders’ funds slipped from 7.5 per cent to 7.3 per cent. Melbourne Week Higher profits, dividends and turn-overs disclosed by half-yearly company reports issued last week set the pace for buoyant trading conditions on the Melbourne Stock Exchange, according to a Melbourne cable. Buyers operated over a wide range of issues and some strong gains were recorded, particularly by market leaders. Turn-over jumped to its highest level for the year and there were many more falls than rises. Henry Jones and B H.P. were traded at their best prices for two years. Some of the largest moves included Henry Jones up 4s 9d, B.H.P. up 2s 3d, Commonwealth Industrial Gases up 5s 6d, A.C.I. up Is 6d, 1.C.1.A.N.Z. up Is 3d and Herald up 2s. National Consolidated lifted profit 14 per cent for the halfyear, while Repco reported a record profit for the halfyear. Stock Yields Yields to maturity on Government stock traded in Christchurch last week: 4| per cent 15/6/65, £4 Is 6d per cent; 4J per cent 15/6/65, £4 2s Id per cent; 3J per cent 15/9/65, £4 Os 6d per cent; 5 per cent 15/8/66-68, £4 16s per cent; 4} per cent 15/5/67, £4 14s 5d per cent. Details of transactions on the Christchurch Stock Exchange last ’ week: Government stock, £4700 (£4lOO the week before); local body and company debentures, £3770 (£300); preference, 1000 (2900); banks, 3683 (433); breweries, 3120 (2271); frozen meat, 2500 (2740); gas, nil (100); insurance, 1200 (3580); loan and agency, 21,824 (6910); timber, 500 (nil); woollens .and textiles, 8511 (3584); miscellaneous Australian, 12,746 (13,622);. miscellaneous New Zealand, 24,978 (30,479); mining, 300 (1650); unlisted, 1071 (75); total, 81,433 (68,344).