COMMERCIAL & FINANCIAL.

Evening Post, Volume LIII, Issue 3, 5 January 1897, Page 4

COMMERCIAL & FINANCIAL.

Evening Post Office, Tuesday. GILT-EDGED SECUEITIES. Bearing in mind the higher price ruling for money now in London as compared with the close of tho year 1895, tho prices of Colonial Government stocks exhibit a romarkablo feature. The returning confidence of British investors in the solvency and stability of these securities is undoubted, and a comparison of the prices for the respective periods will illustrate the point. On tho 29th December, 1895, the open market rate for three months' paper was £1 2s Gd percent., while for the corresponding period of 1890 the rate was .£3 11s 3d per cent. The Bonk of England discount rate in 1895 -was 2" per cent.; it is now 4 per cent., and notwithstanding dear money the comparison of the prices of colonial stocks show as under : — 4 PER CENTS.

EXPORTS AND IMPORTS. The trade statistics of Australasia with the United Kingdom for the first nine months of the year compare unfavourably in some respects with the figures for the corresponding periods of previous years. Tho exports, including precious metals, from Australasia for the first three quarters of the years enumerated are as under :—: —

The excess of exports over imports has dropped from £20,166,808 in the first nine months of 1895 down to £11,898,427 in 1890. This diminution is a serious matter for the colonies, which have to remit annually between £12,000,000 and £13,000,000 by way of interest on the borrowed millions. The shipments of gold to America on London account would ease the position slightly, but the discrepancy is sufficiently pronounced even then. Taking the figures for New Zealand, and omitting the exports and imports of precious metals, we get the following figures : —

The 'excess of exports over imports hag fallen from to w£4.296.251-a decrease in the nine months of .£716,259. Tha imports from the United Kingdom advanced by .£675,130 for 1890 as comparod with the previous, and this is in a great measure due to the mining boom. The drought in Australia is no doubt to a large extent answerable for the retrograde movement. The Board of Trade statistics show that during the ten months ended 31st October. 1896, the quantity of butter shipped from New South Wales, New Zealand, and Victoria was 101,41 2cwt less than in the corresponding period of 1895, while the exports of colonial cheese decreased during the same period by S3,l3ocwt. The supply of money available on the other side for cover has caused a stringency in exchange on London, and this is being seriously felt in Sydney and Melbourne, where bills on London are reported scarce. "WHEAT. The New South Wales Government Statist estimates that in all the colonies there will be a deficiency in the wheat supply to the extent of 6,993,808 bushels, of which 2,323,610 bushels have already been received or ordered, leaving 4,670.198 bushels to be made good. This will be further reduced by the surplus, if any, available for export in our colony. Partly owing to the drought, and partly to the exhaustion of their land, Victoria, with 1,493,500 acres sown, and South Australia, with 1,600,000 acres, have given smaller results than in New South Wales, with 956,609 acres, the figures being— New South Wales, 7,435,000 bushels ; Victoria, 6,904,000 bushels; and South Australia, 3,150,000 bushels. For the wheat-growers of New Zealand the year will be'a particularly good one, as a ready market, at top prices is awaiting them. British writers are urging on colonial farmers the desirability of increasing their areas under wheat. According to statements made by recognised authorities, notwithstanding the improved price, the area under wheat in the United Kingdom for tho next crop will not be greater than it is at present, whilst the probabilities are that it will be less. Further, experts are pretty well agreed that Europe will in the immediate futnre experience many seasons of cereal scarcity, because the tendency is decidedly towards a more even balancing of supply and demand, and consequently any serious harvest deficiency or failure in any pait of the world growing export wheat must at once send up prices. The figures of the European "visible" supply for the Ist November in the past six years compare as follows : —

CEEDIT ASSURANCE. A Credit Assurance and Guarantee Corporation, with a capital of .£1,000,000, has been projected in Birmingham. The object of the scheme is not simply to guarantee creditors against loss for bad debts, but4lso to insnre credit. The corporation will undertake to guarantee the transactions of the men in business, provided they submit to the examination of an accredited accountant and furnish personal references. The rates and premium will be fixed by tbreo factors. The first -will be that of character, the next the class of business in which the applicant is engaged, and the third the amount of money he has in the business. The fact that a man holds a policy will enable him to go to a wholesale house where ha k not known and produce his polioy to hliow that all risk is removed in dealing with him. The scheme, it is said, will protect the wholesale dealer against bad debts and save tho trouble of making enquiries. It is claimed for the scheme that, apart from its soundness, as a commercial undortaking, credit insurance is worthy of all support, as it will do vary much to clear the business atmosphere.

and south of Timaiii and Queenstown, {and between north-east and north and west at all other places Bakomcter — Fall at all places Sea — Heavy on western const south of New Plymouth, and on east coast south of Napier Tides— Generally good AVniTiings for northerly gales have been sent to all places south of Napier and New Plymouth SYNOPSIS OF LAST 2-t HOURS Pine weather everywhere, and moderate to fresh ■westerly winds. Tho barometer has made very little movement north of Napier and New Plymouth, hut has risen a little from thence southward to Hokitika and Lyttelton, but has fallen slowly elsewhere E. A. EDWIN

Dec. 29, Dec. 31 1895. 189 G. New South Waloa 116 117 i Viotorian ... 108J 111J South Australia 110* 112£ Queensland ... 109 111J New Zealand ... 109* 112 3£ PEE CENTS. New South Wales 105 i 107 i Victorian ... 102 104+ South Australia 106 110 Queensland ... 103J 105 New Zealand ... 103 105* Tasmania ... 104 105$ ' Variation. 25/- higher 60/- higher 45/- higher , 55/- higher 55/- higher 40/- higher 45/- higher 80/- higher 25/- higlier 45/- higher 35/- higher

189-1, .£30.781,831 1895 33,019,77-1 1896 28,115,863 The imports, including 1 precious metals, for to same period are as follows :—: — 1894 £12,112,025 1895 12,852,966 1896 16,220,436

Exports. 1894 ... £7,431,894 1895 ... 7,319,9-45 1896 ... 7,278,816 Imports. £2,287,669 2,307.435 2,932,565

fovemb » » ber ". 1, 189G 1895 1894 1893 1892 1891 7,797,000 qnarters 10,704,000 „ 9,236,000 „ 12,244,000 10,000,000 ' 11,500,000