FINANCE AND COMMERCE

Dominion, Volume 25, Issue 91, 12 January 1932, Page 10

FINANCE AND COMMERCE

STOCKS AND SHARES Exchanges Reopen < QUIET TONE IN MARKET •' ■ . i The Wellington Stock Exchange opened wither quietly yesterday. The New Year has begun with further reductions in bank dividends. The Commercial ■Bank of Australia has passed the interim - ordinary dividend and while on Decembar 23, sellers asked 16/7 for the ordin’ary shares, yesterday they were willing to accept 14/6, but there were no buyers. "For the year ended June 30 last the Commercial Bank paid in dividends HI per cent. The Union Bank of Australia has declared a dividend of 2 per cent, for the half-year, equal to 4 per cent, for the year, whereas for the previous year the dividend was 7 per cent: There were sellers of the shares yesterday at £7/19/-, but there were no buyers. On '' December 22 there were buyers of Union Bank shares at £7/15/-. There ;was no demand for bank shares yesterday. . ... Government securities were m moderate demand. The 5i per cent, stocks, 1937, changed hands at £99/15/-, or 5/Below the last sale last month. The 5 1-8 per cent, stocks, 1937, were wanted at £95; and the 4i per cent bonds at £96 last sales being at £96/12/6. Local body debentures have eased. Dunedin City 5i per cent,. 1944, were down 5/:at £97/15/-. „ - - There was little business offering in other shares; South .British Insurance were in demand at 52/-, the previous sale being at 53/9. Union Steam were a shade firmer at 19/7. British Tobacco were wanted at 25/-- and Colonial Sugar at £39, the last sale of the latter being at £4O. Electrolytic Zinc preference were in demand at 19/9 and N.Z. / Paper Mills at 17/6. Mining shares • ’are likely to receive some attention. Yes- / terday there were bids of 7/4 for Golden • Dawn,' and 10/3 for Okarito. ? Yesterday’s Quotations Buying and selling quotations at yesterday’s final call on the Wellington Stock Exchange were as follow:— . Buyers. Sellers.

' DEALINGS ON ’CHANGE Yesterday's Business The following sales were recorded on the Stock Exchanges of the Dominion yesterday:— , ■

TRUSTEES AND EXECUTORS Interim Dividend, 3 Per Cent. The Trustees, Executors and Agency Co, Melbourne, has advised ■ the Stock Exchange Association of ( New Zealand by cable that the company will pay an interim dividend, at the rate of 6 per cent, per annum, on February 4. SUGAR PRODUCTION Victoria Nyanza Co. The Victoria Nyauza Sugar Co; has received a cable message from the plantation, Kenya, and this has been forwarded to the Stock Exchange Association of New Zealand. The cable reads: “Mill closed down to take advantage of the weather, on December 12, and recommenced on December 28. Sugar manufactured 1504 tons.”

' THE WOOL MARKET Forecast of London Prices DECLINE IN CROSSBREDS London, January 10. Mr. W. P. Devereux, European representative of Australian woolgrowers, reports that movement in the wool market is more largely governed by international finance and political factors than the usual trade factors. The movement for the reduction of tariff barriers is growing on the Continent, and Belgian and French manufacturers discussed definite proposals to be placed before another meeting a fortnight hence. The firmer tendency of the Australian markets. combined with the growing feeling that something definite will result from the Lausanne Conference has stiffened the attitude of topmakers and spinners. Merino tops are slightly firmer, and crossbred tops are unchanged. Very little new business is being done, except in dress goods. The coating and hosiery sections are flat. Wool: Crossbreds, medium and coarse —brokers anticipate a decline of about 5 per cent. The cable message, dated January 8, received by the Bank of New South Wales from its London office, confirms one received last week by the Bank of New Zealand regarding the prospects for the London wool sales, which open in Coleman Street to-night. A cable message received last week from Dalgety and Co., Ltd., from their i head office, stated that the quantity available for the sales was as follows: — Bales. Australian 70,000 New Zealand \ 28,000 Cape 1,500 South American .... 2,500 Carry forward 77,000 Total 179,000 Brokers expect to offer 152,500 bales, including:— Bales. Australian L . 80,000 New Zealand 65,000 Cape . 2,200 South American .... 2,500 English 2,000 Wool, of all grades, is admittedly exceedingly cheap just now, but confidence seems lacking. The stringent economic conditions in Europe are depressing all markets, and no relief can be expected until after the Lausanne Conference on German reparations is closed. Germany is bound to restrict her purchases .if she does not altogether abstain from buying. Wool was slow throughout the past year, but notwithstanding the repeated shrinkages, the prices realised at the December London sales were better than at the January sales, and this is shown by the quotations cabled to Murray, Roberts and Co. by their London representatives. and which are given below: —

Thus it will be seen that wool did not lose ground last year. The market exhibited great animation at the March sales. There was an advance of 15 per cent, on the January prices. Finest qualities of crossbreds were 25 per cent, higher, and medium• crossbreds 20 per cent. up. At the sales in May crossbreds sold irregularly throughout the series, and were 5 to 74 per cent, below. March rates. There were subsequent declines at the July and September series. ' It was during the latter series that Britain abandoned the gold standard. Notwithstanding the intensified economic conditions experienced jn the second half of last year, wool values closed higher than at the beginning of the. year. If there is a favourable ending to the Lausanne Conference, which is now fixed for January 25. wool will react promptly, for wool is wanted by European nations. SYDNEY STOCK EXCHANGE Much Brighter Tone (Rec. January 11, 9.20 p.m.). Sydney, January 11. On the Stock Exchange to-day there was a welcome improvement in the volume of business and a much brighter tone, the inquiry embracing a much . wider range of stocks. Australian Consolidated Bonds and stocks continued their upward run. 4 per cent. 1938 Bonds selling at £95/10/-,. showing a 10/- rise, and finishing.at £95 7/6. . The 1941 Bonds found buyers at £94/17/6; 1947's sold 20/- higher at £94/10/-, and the 1051-59 Bonds had sales at £94/12/6. There was a little more activity in banks, and Bank of New South Wales recovered 5/- at £3O/15/-. Commercial Bank of Australia were at 16/3, and Commercial Banking Co. of Sydney £l7 7/6. Queensland National Bank found a buyer at £6/1/-. New Zealand Government stocks, 54 per cent., 1937, had a sale at £ll2. Other sales were:-—Goldsbrough, Mort. 27/9; Colonial Sugar,, £45; Broken Hill Proprietory. 17/1$ I ’Broken Hill South, 46/3;, Dnnlop-Perdriau, 14/3; British Tobacco. 30/6; Zinc Corporation, 30/44. MOTUROA OIL FIELDS Report on Production The following report has been received by Mr. F. H. Bass, secretary of the Moturoa Oil Fields, Ltd., from the managing director, at New Plymouth:— Moturoa Oil Fields, Limited, No. 2 well: For week ending January 11 Moturoa No. 2 well flowed 200 barrels (each 35 Imperial gallons) of clean oil. Last week's pumping tests proved unsatisfactory, so 2-incli tubing with wallpacker attached was set at 250 feet from the bottom of the well. Since this method has been adopted, the well has flowed over 1000 Imperial gallons daily, and is continuing to flow at the same rate MEAT AND DAIRY PRODUCE London Markets The Bank of New South Wales has received the following cable message, dated January 8. from its London office: —Mutton, wethers, 3 l-8d to 4 l-Bd, firmer heavyweights; ewes. 2Jd to 3d, dull. Lamb, 5Jd to 7d. market oversupplied. Beef, 3}d to 3(d, heavy supplies Argentine. Pork, 4Jd to 6d, slow. Butter, 100/-. quiet. Cheese, white. 58/-; coloured, 57/-; quiet. Okarito Gold Return By Telegraph—Press Association. Dunedin, January 11. The Okarito wash-up for 79 hours’ dredging yielded 61ox 4dwL of gold.

TALLOW AND HEMP London Markets Quiet The Department of Agriculture has received the’ following cablegram, dated January 9, from the High Commissioner for New Zealand, London:— Tallow: Fair demand at auction; 831 casks offered, o.f which 454 sold. Mutton

Hemp: Manila market quiet. After advancing 10/-, prices easier owing to the absence of buyers. Closing values for “K” grade, January/March shipment, £lB/15/-; February/April shipment, £lO. Sisal: Market easier, and trade demand full. Closing values, Deeenrber/Februar.v shipment, No. 1 fair average quality, £l5/10/-; No. 2, £l4/10/-. New Zealand : Market dull and without interest. Nominal values, January/February shipment on the basis of fair, £l7/15/-. No first-hand sales reported. Peas: Maples, trade very quiet, but little more interest shown at close. Nominal values for new crop; Tasmanian, for Fcbruary/March shipment, about 57/-; New Zealand, for March/ April shipment, 54A,

y ■ NX. GOVT. ROANS— 4| p.c. Bonds, 1038 ... 5+ p.c. ditto and Insc. • ■ Stk.1937 pm. ditto, 1037 ... 4} p.e. Insc. Stk., 1938 £ s d £ 8 ICO’ 5 96 10 d 0 0 96 0 0 — 95 0 0 —- DEBENTURES— Wgton. Racing Club . — 101 0 0 Auck. and Chch. City, 5$ p.c., 1944 Dunedin City, 5} p.c., 97 10 0 ■ — 1944 97 15 0 — Wgton. City and Harb Bd., p.c., 1940 .. Makerua Dm. Bd., 6 p.c 97 10 0 1951 Otago Harb Bd., 5} ; . — 99 0 0 p.c., 1938 .r. ;. BANKS— — J102 5 0 Commercial Aust., ord. — . 0 14 0 New South Wales ... —_ 28 15 0 New Zealand ......... FINANCIAIz— ' — 2 5 6 N.Z. Guar. COrpn., ord. N.Z. Invest., Mortg. and . — 0 5 8 Deposit, . —— 0 9 0 Wgton. Invest, T. & A. 0 10 0 Wgton. Dep. & Mortg. INSURANCE— ■. — 0 9 6 South British TRANSPORT— 2 12 0 2 13 6 .Union Steam, pref. ... 0 19 7 P. and 0. stock . 1 7 6 COAL— BREWERIES— 1 5 0 New Zealand 1 9 0 Staples and Co. .......4/ MISCELL ANEOUS— — /fl 9 0 British Tobacco, ord. 1 5 0 1 7 0 Colonial Sugar 39 0 0 Dental and Medical . 0 4 6 0 6 6 Electro. Zinc, pref. .. 0 19 9 National Electric ... 0 10 0 N.Z., Paper Mills .... Wilson’s Cement .... 0 17 6 —— 1 15 0 MINING— “V .z - Mount Eyell 1 1 3 Waihi Grand Junction —— 0 3 .1 Golden Dawn 0 7 4 Okarito 0 .10 3 — tintcrest and principal payable in London.

WELLINGTON. . ■ £ s. d. N.Z. Govt. Stock, 5J p.c., 1937 99 15 0 AUCKLAND. £ s. d. Govt. Bonds, 5j p.c., 1937 .. ..100 0 0 Inset. Stock, 5} p.c., 1937 .. ..100 0 0 Walid .. 0 16 CHRISTCHURCH Bank of New Zealand £ 8. d. 0 Union Bank of Aust,, cum. div .. 7 16 0 Goldsbrough, Mort (2) ... 1 3 9 N.Z. Refrigerating. 10/- pd. (2) 0 4 9 Golden Point ... 0 0 81 King Solomon ' (2) ... 0, 2 o' Okarito ... 0 10 Sales reported— Commercial Bank of Aust. .. ... 0 14 8 Bank of New Zealand (2) ... 2 4 9 DUNEDIN. £ s. d. Okarito ... 0 10 Gi Sale.reported— Okarito ... 0 10 G

1931, Jan. Dec d. d. Tlalfbr.eds, 56’s, yielding 60 p.c. 7 102 Superfine crossbreds. yielding 65 p.c. ... 6J 72 Med. crossbreds, 14/46. preparing, yielding 74 p.c 5} 62 Med. crossbred. 44/46, carding, yielding 72 p.c 5J 62 Coarse crossbred, 40/44, yielding' 73 p.c. ... 52 52

not wanted. Present spot quotations:— Mutton — Fine 25/Fair to good 23/to 24/Dark to dull 19/6 20/6 Beef— Sweet, and/or mixed . 25/to 26/Fair to good 21/6 to 24/6 Dark to dull 18/6 19/6 Mixed — Fair to good 21/6 to 24/6 Dark to dull 18/6 to 19/6 20/Gut, etc 18/to