London Week Unsettled

Press, Volume CV, Issue 31060, 16 May 1966, Page 18

London Week Unsettled

(N.Z.P.A. Reuter—Copyright) LONDON, May 14. It was an unsettled week on London stock markets with the serious threat of a British shipping strike and wild movements on Wall street causing investors to adopt a cautious attitude.

The Government’s payroll tax was still a big talking point and any buying has been in equities of the manufacturing companies—likely to prove net beneficiaries under the new tax Engineering shares were well favoured at times, particularly machine tool shares, while the news that the ShellEsso gas strike in the North Sea was far greater than at first believed, brought in buyers for gas appliance shares. Rolls Royce had a good market helped by favourable investment comment and International Computers moved ahead sharply for no apparent reason. Unilevers, which had been firm in advance of the firstquarter figures, eased after the announcement. Gold shares have been supported at times and ended the week on a firm note. Coppers drifted lower. Elsewhere in mines. Rio Tinto found support and moved ahead. Oils fluctuated and made a mixed showing on balance. Rubbers were a good market and teas gained ground. Insurance shares came into demand at one time after re-

cent more favourable announcements regarding underwriting earnings. Gilt-edged had a very quiet week and were inclined to drift lower in the absence of support. Dollar stocks have been a very erratic market and even when Wall street suffered its 16-point fall, London prices were sustained by a sharp rise in the dollar premium which has been up to more than 27 per cent. But prices are well down on the week.

Australian Government stocks inclined higher while English. Scottish and Australian were firm in an otherwise little-changed banks section. Western Mining continued to feature in golds in further response to the nickel discovery. R.T.Z. moved further ahead but other base metals eased A reaction in Interstate was the main feature of mixed oils. Elsewhere prices moved irregularly.