"WAIT AND SEE"

Evening Post, Volume CXV, Issue 148, 26 June 1933, Page 12

"WAIT AND SEE"

STOCK EXCHANGE ATTITUDE

INVESTMENTS APPRECIATE

LONDON, June 24.

Stock markets have shown no decided tendency this week, but prices are fairly well maintained in all sections despite the noticeable • falling-off' in the volume of dealings.. . . ' The- course of developments in the United States is being closely followed, though with some bewilderment. Consequently there is a general disposition to wait and see. Gilt:edged securities, though inactive, remain ' steady, assisted 'by sterling's strength in terms of the dollar. Dominion stocks are well maintained. The upward tendency of several groups of Stock Exchange securities is shown in the "Bankers' Magazine's"'list of 305 representative .stocks. For the month ended June 17 these show a total'appreciation of £100,000,000. The general impression is that this upward move, especially in Home- industrials, is that,- though the speculative initiative may come from Wall Street, where it is based on commodityprice increases, due to inflation, there are also sjgns of a genuine stirring of .trade activity with the result that, stocks in any way affected all shared in the advance. A HOPEFUL REVIEW. The1 "Economist's" monthly trade, review is again hopeful. Reports, both Home and abroad, show that the general improvement in trade which began at the end of March has continued. .The general position is much better than at the end of the winter. : In -Great Britain there is considerable improvement in employment, with the exception of a further deterioration in' coal mining; The improvement is widespread, and embraces,' building, public works, contracting, many sections of the iron and steel trades, engineering, shipbuilding, textile, clothing, boot and shoe trades, distributive industries, and dock and'harbour services ..,.' ■■ ' ". Other indicators confirm the improvement. , Wholesale prices continue to improve,. the cost of living '■ remains unchanged. Reports of.the retail trade at the end of May are very encouraging, and point to a marked improvement since a year ago. BUILDING AND OTHER ACTIVITIES. The London and south of, England total of new • building plans pa-ssed by local authorities in May is 40 pcl1 cent._ over May, 1932.' The .most encouraging sign is that long-continued decline' in bank advances, has been reversed. May .recorded an improvement. of £11,000,000 over the previous month. This is not a seasonal movement, and there are good grounds for'believing that it arises ffotri a greater need f.br funds by certain industries. British industrial 'reports, are" mostly very encouraging. ■ The export coal trade is-better;-and steel production" is'increasing, especially the semi-finished steel. There.is a general revival of. the engineering, and the export; trade for electrical apparatus is improving, particularly with China 'and South Africa,' where" important works'are in hand. : .- '....■ ' ■ ' The Home demand for motor-vehicles is good, and the. British industry,iß rapidly capturing many leading Empire markets. The cotton'industry, reports-better business from several markets, .and hopes.to benefit from the new Indian Customs duties upon non-British goo.ds.