COMMERCIAL & FINANCIAL.

Evening Post, Volume LXIV, Issue 44, 20 August 1902, Page 4

COMMERCIAL & FINANCIAL.

Evoning Post Oflico, Wednesday. THE MONEY MARKET. Tho tone of the London monoy market at tho presont timo is of somo importance to tho colonies of, no doubt, several loaiiß will be issued bol'oro tho autumn demands are oxporionced and money rates harden. Uomparod with a year ago tho position is satisfactory ; tho Bunk of England discount rate is at 3 por cent., tlte same rate as last year. Tho reserve, note circulation, total deposits and proportion of rosorvo to liabilities approximate to the fjguros of last year. Stock Exohange values are also on a par with last year's .quotations'. Imperial _ consols are unchanged, and colonial Boouritios with few exceptions aro about tho eanio, tho oxooptious being Victoria and New Zealand, whose stocks aro somowhat lower, 'lhe monetary conditions aro satisfactory enough, but this does not imply that the colonial Government* will havo no diflioulty in plaoing their loans on the Loudon markot; on the contrary, from what has already takon plnco, thoro is reason to anticipato much difficulty. In Hoptember of last yonr Now South Wales borrowed £4,000,000 at tho rixod nrico of 94; West Australia obtained £1,500,000 at 91; Quooivsland borrowod £1,374,000 at 91i, and was covered twico over ; Tasmania followed with an issue of £450,000 at 92. Thus within a poriod of about four wocki thrqo per cent, loans to the amount of £7,324,000 woro issued by four of tho Australian States, and all tho omissions were successful. In each caso the loans wcro underwritten. The Tasmonian loan '~ns issued on tho 11th October, and on tho 31st idem tho Bank of England rato was raised from 3 to 4 per cent. If tho colonies propose taking advantage of tho prevailing easy conditions of tho money markot, and from the circumstances revealed in tho sovoral Budgets, nearly all tho States and Now Zealand also must borrow promptly, several loans will havo to bo placed on tho London market within the noxt six weeks. An advanco in tho Bank of England discount rato may be expected oarlier this year bocauso of tho fact that tho harvests m Europo and North America ore bountiful, and the movements of tho cereals from the centros of production to ultimato markets will cause a strong demand for temporary loans. Upon tho London money markot mainly falls the tnsk of financing the harvests, and the demand must bo experienced earlier than was tho oaso last year. Perhaps, noxt weok, when tho Coronation festivities are over the first announcement of a pending issuo will bo mado. It would not be surprising if Mr. Beddon supervised the issue of a Now Zoaland loan, in whioh case the emission will be made before tho end of tho current month. TRADE PROSPECTS. In acknowledging tho presentation of an address from the Imperial Trade Defence Lenguo Mr. Seddon expressed tho opinion that there, would shortly be trado depression, and then the advantages of preference would be emphasised. - How Mr. Soddon arrives at this opinion it Is difficult to say, but after his peculiar explanation for the difference between the export and import returns of British trado his opinions- on eoonomic questions are not likely to be appraised vory highly. The conditions of British trado at tho moment loave no room for supposing that a depression is pending, and the boat guide is the market values of tho industrial metals. Taking the three important metals— popper, tin, and pig iron — compared with a year ago values show a satisfactory improvement thus— 1902. 1001. A h. d. £ n. d. Copper ... 51 12 6 65 10 0 Tin 125 5 0 120 10 0 Pig-iron ... 216 3 213 10i Except for the fall in copper there is nothing in tho position of tho metal markets to indicate a prospective depression. EXPORT MARKETS. This is tho dull period of tho year when there is little or nothing doing in exports, with the result that labour on tho quay sides is and ships are laid up waiting for cargoes. At tho moment a littlo Box and frozen meat is all that is coming forward, and it is reported that the stoamor Gothic left with a considerable shortage in cargo. It will probably bo the first weok in Ootobor before there is anything like activity. Butter. — The season is about opening, and tome of the factories have alroady commenced operations. There is every iromise of a largely inoreased output of Hitter, but tho factories show a disposition to overreach in price. This season New Zealand will in all probability bo j ablo to export butter as early as tho Viotorians, because tho Bongon in tho sister colony is late. Tho Melbourno Ago of a recent date says that from presont indications it is impossible to approximately fix tho date at which .the butter export sea•on will open. Grass is scaroo nearly everywhere north of the Dividing Range, while th« growth in the western district has not been groat. In Gippsland feed is said to be plentiful. Farmers this year havo taken considerably more onre with thoir stock, and it is stated on reliable authority that rugging, is becoming prevalent in the western districts, tho advantages being now widely reoognisod. Dairy farmers also are everywhere intent on providing themselves with • feed for tne dry autumn months. Hemp.— Tho market has exhibited some wide fluctuations during tho past threo or four weeki. but values are again on a very profitable basis, tho spot quotation being £27 f.o.b Wellington. Most of the mills m the Foxton district havo resumed operations, and a steady output may be ontioipated. f If hemp prices nro maintained, an extenwon of the industry may be looked Jor, in whioh case there should be a satisfactory absorption of the surplus unskilled labour of the colony. > Tho South African market is not proving attractive enough to our producers to warrant any expansion in shipments. \ ?, 9 . Perhaps not fair to jutlgo of the posaibihties of the South African markot by the conditions now prevailing. It must tako a oonsidorablo time to get tho Boors back to their farms, repatriate tho British troops, and to regulato immigration to tho t new territories. It is thereforo a period of uncertainty, when great caution in' trado matters is necestmry. In tlio meanwhile, beyond a limited quantity of frozen ( meat, whioh is going forward in execution of previously arrangod contracts, there is very little ISew Zealand produce offering for South Africa. There havo Deon many enquirios respecting the export of live stock, but ai yet no definite arrangemonts have been made. A matter that might woll ho referred to horo is tho fact that a Soiuh African British land Colonial Industrial Exhibition is to bo held in Capetown in November, December, January, and February noxt. Tho necessary fund* have beon guaranteed, and a central site secufed for the buildings. Tho affair is said to be a purely pnvato venture, but that should not prevent Now Zealand being represented. It may bo worm while obtaining all tho information proourablo through Major Piloher, or «omo other reliable person in Capetown bo fore New Zealand exhibitors incur any expense. Wool. — Writing early in July, a wool authority at Bradford sends the following to an Australian exohange: — 'The competition between oolonial, Rivor Plato, and English wool is very keen, and priors aro doprossed by the huge quantity available, so that in spite of tho largo buninceß doing nt whnt one may call fairly satisfactory rates for the manufactured goods, it is to be feared that the prices for orossbrods may soften a little at the sales (fourth lerieg), and every movement in this direotion has an advorse effoct upon the position of merinos. The wider the breach the greater the fear lest the one on top should foel the lack of underpinning support. While tho ordinary run of Knglish wool is selling vory slowly, ami «t poor rates, ns shown by tho results of tho Lpjceslor fair, it is ealiufnctory to noto that prices for tho finest quality Southdowns and similar grndos— tiro a littlo hotter than Inst year ; also, tlmt a good demand oxntß for tho light, vory long Lincoin clip^of a lußlrous nature at current rates. Knglinh wool-jjrouora havo trot tirod oMjo'clirif, mil mimiHrs ore rli\u\ii;» out- their old c'ips (in som? ciifq five ww't suvon ycinV ffiov.tli) at tbo tow&t point •ver knowi?, '

[rUKSS ASSOCIATION.] (Received August 20, 11.35 a.m.) LONDON, 19th Aiißiist. Th» tolnl quantity of wliont ancl flour afloat for tho United Kingdom 18 2,170,000 quarters, and for tho Continent 930,000 t tjxmrtors. Shams nro unrhnngod. [ Copper, ou tho npot, £51 12a 6d per , ton : throo inonllii, £51 17« 6xl. i I , , TH