Australian market recovery seen

Press, Volume CXI, Issue 32562, 23 March 1971, Page 16

Australian market recovery seen

(N.Z.P.A -Reuter—Copyright) LONDON, March 22. The Australian sharemarket would recover in the next 12 months, British financial experts forecast today.

Private investors may fight shy of the shares after the recent recession, but few City experts consider that this will have damaging long-term effects on potential Australian investment. These points emerge from a survey by 79 leading stockbrokers, merchant bankers, investment and unit trust managers and accountants in London and regional financial centres. The survey says that most experts blame the Australian decline on a mixture of overspeculation, inadequate standardisation of company reporting and lack of longterm financing and management confidence in the mining sector. Any fall in British and Australian investments, it says, would be replaced by Japan and the United States.

More than half those taking part in the survey blamed Australia for the recent chaotic situation in the Australian markets—s2 per cent wanted a stock exchange commission to standardise financial and share information and 48 per cent favoured similar moves under federal control. Spargo’s inquiry ; The Perth Stock Exchange reports that it has questioned Spargo’s about the sudden rise in the price of its shares. EZI revenue lower EZI Ltd, reports that revenue for the 28 weeks to January 15 was 10.6 per cent lower than for the corresponding period of last year.