THE MONEY MARKET

Dominion, Volume 23, Issue 51, 23 November 1929, Page 14

THE MONEY MARKET

BANK OF ENGLAND RETURN MARKET RATE DOWN (Rec. November 22, 5.5 p.m.) London, November 21. The Bank of England return for the week ended November 20 is as follows:

BANKING DEPARTMENT. Capital £14,553,000 Govt. Rest. 3,209,901 securities 02,498,618 •Public Other deposits 15,340,173 securities: Other Discount deposits: and Bankers 58,544,923 Advances 8,108,161 Other Securities 21,843,957 accts. 38,544,908 Notes 37,016,595 Seven-day Gold and and other Silver bills 1,629 Coin # 727,203 £130,194,534 £130,194,534 ♦lncludidng Exchequer, Savings Banks, Commissioners of National Debt and dividend accounts. Proportion of reserve to liabilities 33.50 per cent., compared with 30.80 per cent, on November 13, 30.80 per cent, on November 6, and 42.80 per cent, on November 21, 1928. The principal items of the above return compare as follows with those for the week ending November 13: —

•Reserve on November 21, 1928, was £49.032,214. t Nove mb er 21, 1928, £162.084,589. 1929: Maximum, June 12, £164,211,400; minimum, October 2, £130,343,588. SHORT LOANS AND BILLS. The Bank of England rate of discount has been reduced to 5} per cent, from 6 per cent., to which it was lowered from 6J per cent, on October 31. Short loans are quoted at 5$ per cent., as against 5 per cent, last week. The market rate for best three-months bills is now 5 per cent., as against 5 21-32 per cent. last w’eek. NEW YORK CALL MONEY. New York, November 21. To-day’s rates for call loans were as follow:— Renewal High Low Close 5 p.c. 5 p.c. 4$ p.c. 4} p.c. . BANK RATE DOWN (British Official Wireless.) Rugby, November 21. The Bank of England to-day lowered its discount rate from 6 per cent, to 5} per cent. This is the level at which it stood before the rate was advanced to 6} per cent, on September 26. It was reduced to 6 per cent, on October 31. FOREIGN EXCHANGES (British Official Wireless,) • Rugby, November 21. The following rates on foreign exchanges are current to-day, as compared with the cabled quotations on November 19 and

GOLD AND SILVER. The price of gold is 84/10} per ounce. Silver —Spot, 22}d. per oz.; forward, 22 15-10 d. per oz.

GRAIN AND PRODUCE CHRISTCHURCH VALUES By Telegraph —l’r<-s>> i >i. Christchurch, November 22. The potato market apparently is "gone" for the season. The Waipahi is leaving for Napier to-morrow and may likely take a small consignment and the ferry steamers may take small stocks to Wellington for a few days. After that it appears that the market will be confined to local orders. Nominally the price is £.i per ton, f.0.b., s.i. A few small lots have been bought from farmers at £3/10/-. The prospects are that most classes ot seeds will be short this season. Lhe carcity of pasture feed will have caused paddocks to be closed up for seed much more restrictedly than usual, lhe prospects are that the province s yield ot cocksfoot, and perennial and Italian ryegrass will be much less than usual, and as stocks of old season's seed are scarce and held at high prices, this would seem to point to a bare supply for next season s necessities. Information from the south is to the effect that a good perennial ryegrass crop is expected, so that, in this branch of seed, the local scarcity may be Ot Tbe dry weather, it is considered, is likely to affect the oats yield very markedly.' but so far this opinion is not being reflected in any hardening of values. As a matter of fact there is nobody “ to sell oats forward. Values tor stocks on hand arc from 3/7 to 3/8 per bushel, f.0.b., s.i. _ DUNEDIN MARKET Dunedin, November 22. Business in the milling wheal market continues quiet so far as the local demand is concerned, and prices remain unchanged at 5/9 per bushel, sacks extra, cuuuuj sidings, for Tuscan; (i/- for Hunters, ami 6/G for Velvet. There docs not now appear much prospect of any change in the market till the new season's crop comes in. Good fowl wheat is selling slowly, and the market appears to be slightly firmer. The general quotation is 5/111, f.0.b., sacks extra, Lyttelton, for prompt shipment, and 5/11, Tiinaru. The local quotation is b/per bushel, ex rail. Business in oats continues quiet, with the local demand confined principally to lines for feed requirements. There is no change in values, A grade being worth 3/8, f.0.b., s.i., and B’s 3/7. Oats are still on offer for April-September delivery at 3/74, f.0.b., s.i., for A’s and 3/4 for B s. Supplies of Dunns are also on the short side. The local chaff market continues firm. Holders of good quality are asking .£6/10/per ton. ex store, sacks extra, and £O/5/cx truck. A fair quantity of old potatoes is still held by merchants, and some growers also have small lots. New potatoes have been arriving by every ship from Auckland,

and as a consequence old tubers have become a drug on the market lhere is a wide range of prices tor old potatoes, from £4 to £0 per ton, sacks in, ex stoic A steady demand continues lot all tje grasses and also for cocksfoot, and stocks of these seeds are now in small compass. The wholesale value of good quality ryegrass is 7/- per bushel, f.0.b., with Italian and Western Wolths at 0/3. A little more interest is being shown in the dogstail market, which is now improving. Fruit and Vegetables. American-grown apples are now on the market. A few lines of locally-grown Stunners are also available. A shipment of Fiji bananas is expected some time next week, and a Samoan shipment is expected on December 5. These are all sold to arrive, but the price has not yet been fixed. The Waikouaili arrived during the week and brought, supplies of oranges and pines. The local market is now well supplied witli both these lines, and with the high prices ruling in Australia, it will be impossible for shippers to come out on Hie right side with this fruit. The .Manuka, which is due here on Tuesday from Melbourne, is bringing a small line of oranges. These will lie the last of the Australian Valencias for the season, and the market will then be dependent on Californian-grown. Lemons are in short supply, and prices are high. Further supplies of Californian grapes are due next week. Christchurch-grown tomatoes are now niueli more plentiful and prices have eased. Local-grown are also becoming more plentiful. Strawberries are arriving in small lots from the Roxburgh district, and choice quality have a ready sale. Otago-grown cherries are becoming more plentiful.

ISSUE department. Notes issued:— In circulation 11355,086.839 In Banking Dept. 37,016,595 Govt. debt £11,015,100 Other Govt. securities 235,370,475 Other securities 8,791,121 Silver coin 4,823,304 ♦£260,000,000 Gold coin and bullion 132,103,434 £392,103,434 * £302,103,434 •Amount of fiduciary issue.

Rest: Nov 13. £3.182,257 Nov. 20. £3,209,901 Deposits:— Government £15,784,557 £15,340,173 Bankers 54.705,309 .58,544,923 Other accounts 41,755,117 38,544,903 £112,244,983 £112,430,004 Securities: — Government £06,834,792 £62,498,018 Advances and discts. 9,210.078 8,108,101 Other securities 19,275,175 21,843.957 •Reserve 34.602.695 37,743.798 Note circulation 358,108,337 355.080,839 tCoin and bullion 132,771,032 132,830,637

par:— Nov. 21. Nov. 19. Par. N. York, dol. to £ 4.87 PJ-32 4.875 4.866 Montreal, dol. to £ 4.93$ 4.96 4.866 Paris, fr to £ 123.875 123.86 124.21 Brussels, bel. to £ 34.86 34.865 35.00 Geneva, fr. to £ Am st’dam, to £ 25.13 25.135 — 12.08} 12.08} 12.10 Milan, lire to £ 1)3.155 93.14 92.46 Berlin, inks, to £ 20.39 20.39 20.43 Stockholm, knr. to £ 18.145 18.145 18.159 C'hagen, knr. to £ 18.20 18.205 18.159 Oslo, knr. to £ 18.20 18.205 18.159 Vienna achgs to £ 34.655 34.67 35.«>84 Prague, knr. to £ 1(14 J 164} 21.02 Itel’fors inks to £ 194 1931 102.23 Madrid, pes. to £ 35.075 34.80 25.22| Lisbon, esc., to £ 108.25 108.25 — Athens, drac. to £ 375 375 Bucharest, lei to £ 818 S16 813.6 Rio de Janeiro, pence to mllreis 5 2o-32 —- B. Aires, p. to dol. 46 3-16 4G 7-32 *14.0* Calcutta, p. to rup. 175 17J IS Shanghai, p. to tael 26J 26 A — H.-Kong, p. to dol. 204 20 1 — Y’hama, -ps to yen 24 5-32 24110 24.58 Batavia,fl. to £ 12.12} 12.12} 12.10