BRITISH TRADE REVIEW

Dominion, Volume 16, Issue 226, 12 June 1923, Page 7

BRITISH TRADE REVIEW

STOCK EXCHANGE SLACK' i 1 ‘ l GREAT INTEREST TAKEN IN AUSTRIAN LOAN — 3 EFFORT TO REPAIR RAVAGES OF WAR \ > Derby Week caused a slackness on the London Stock Exchange. Gilt-edged securities have hardly maintained their strength, but great interest has been taken in the Austrian loan, which Is expected to be well subscribed. ■ - i ' 1 : BY TILEG3APH.—PMIS ASSOCIATION —COPYRIGHT. London, June 9. , l J The Stock Exchange had its usual Derby Week slackness, and business has been on a small iicale. The strength j of gilt-edged securities has hardly been maintained. There has been some selling which is attributed partly to the desire to provide funds for the new j Austrian loan, but the ready subscription of the Western. Australian loan and the firmness of other new issues ; show that the gilt-edged position is j unlikely to have any serious set-back. Great interest is taken in the Aus- ‘ trian loan, which is expected to be well subscribed, as, allowing for redemption within thirteen years, it will ; yield interest at the rate of £8 12s. , 3d. per cent.; and it is not only a prior charge on the Austrian Customs and tobacco monopoly, but is guaranteed in sterling with respect to both ■ principal and interest hv European States in the following proportions:— Britain, France, and Czecho-Slovakia, 24J per cent, each; Italy, 20J per cent.; Belgium and Sweden, 2 per cent, each; Denmark and Holland, 1 per cent. The loan ia a novel operation. Nothing quite of its kind has been attempted before, and., as the “Investors’ Chronicle” points out, it makes • history as the first constructive effort to repair the ravages of the Great War. It is the first tangible outcome of the co-operation of nations in the economic work for which the League of Nations stands. The German mark continues its downward course, and the issue of the last Noto has had no good, effect. Today’s quotation is 385,000 to 393,000 to the £l. Thia further decline is, apparently not due to the Nbte itself, j which is regarded as improvement > on its predecessors, but to its hostile reception in France.

Th# Wool Market, The Bradford wool tops trade is in a depressed state. There is much pessimism among the holders of tops, some of whom are endeavouring to I liquidate their holdings at considerably below cost. These people were predicting that the Hull sales, which opened on Thursday, would show a de- < cline of sto 7J per cent, as compared | with the rates at the last London sales. This, probably, would have been the case if Yorkshire buyers alone had been operating; but the French bid freely, with the result that the whole of the offerings of 25,000 bales were sold, the Frenchmen taking 80 per cent, of all the fine wools, which realised London prices. Only the coarse sorts showed a slight tendency j in buyers’ favour. /

Severe Competition in Cloth Manufacturing.

Yorkshire cloth manufacturers are > meeting with severe competition from ti^ v *Continent. Owing to depreciated exchanges, French manufacturers are able to cut below the British price by at least one shilling a yard on certain cloths. Consequently, our experts of cloth to France have shrunk to almost negligible quantities. In this conuec- ■ tion it is interesting to note that Sir Henry Whitehead, president of tho Bradford Chamber /of Commerce, suggests that the Imperial Economic Conference should be asked to consider the advisableness of ths Dominions and colonies placing an export tax on monopolies like rubber and merino wool shipped from the Empire in order to help British manufacturers to meet the competition of foreign markets. An' interesting reminder of the Government’s vain endeavour to solve our clothing difficulties after the war is i furnished by the publication of an offer of standard suits of clothes at 14s lid each, wholesale. These suits were made by the Government Clothing Department for, demobilised soldiers and others, but they proved very unattractive. In 1920 they hawked about at 51s. Bd. without finding manv buyers. In 1921 they were again offered at half that figure. Now a quarter of a million are offering at a giving-away price v

Good Demand for Apples. ] The demand, for apples continues surprisingly good, although arrivals are heavy. Apparently advertising propaganda has had<a good, effect, but the strength of the markets is undoubtedly mainly due to the backwardness of sot?; fruits. Usually June 1 sees our markets flooded with cheap strawberries. Thiij year they are conspicuous by their absence, and. sup- j plies of French cherries have been checked by a cold spell. The British Ministry of Agriculture reports that all classes of small fruits are damaged, by frost. Strawberries are likely to bo. an average crop, though very backward. Cherries are only 80 per cent, of the average. . Importers, therefore, are hopeful that the > season, which started so badly, will finish well, although there are ten cargoes of fruit .] still to arrive.—Aus.-N.Z. Cable Assn.