IMPROVED BUSINESS

Evening Post, Volume CXVI, Issue 79, 30 September 1933, Page 5

IMPROVED BUSINESS

STATISTICIAN'S REVIEW

The Government Statistician, viewing business statistics, for August, reports a seasonal diminution in genenral activity, indicated by the volume of bank debits placed to individual customers' accounts during August. Even so, he continues, the level recorded is appreciably above that for the corresponding month of last year. Improving trends are also apparent from other business indexes. That business investment is still tardy, however, is suggested by the fall in the ratio of free to fixed deposits, which now stands at 47.25 per cent., as against 48.32 per. cent, in tho previous month and 77.10 per cent, in August, 1029. A substantial rise in fixed deposits all through the year has accelerated this position, as well as a steady fall in the volume of free deposits during the last three months.- The percentage of advances to deposits also continues to decline, and now stands at 73.70 per cent. A considerable fall in the volume of exports, accompanied by a rise in imports during August as compared with July, has reduced the favourable trade balance for the month to some £500.000 in New Zealand currency,, or £400,000 sterling. However, the cumulative total during the eight mouths of the year 1933 has steadily mounted, and now stands at £13,000,000 New Zealand currency, or £10,000.000 sterling. This is 30.4 per cent, higher than the figure for the corresponding portion of 1932 (on a New Zealand currency basis). AA rhilc a considerable falling-off in exports of wool was noticeable this month compared with last, the shipment was still fairly heavy, and the wool stocks of the Dominion have been reduced to some 53,000,0001b (greasy basis) at the end of August. • The market reports from overseas have been distinctly favourable of late. Bradford has been exceptionally active, with the result that the London wool sales were expected to maintain the substantial improvement recorded iv Australia. Latest advices indicate that, while no abnormal increase occurred, values were maintained'on a firm basis sufficient to engender a spirit of optimism and confidence. Butter has shown the greatest improvement, and finest New Zealand butter has recently touched 110s, while cheese is steady. In the frozen meat trade, mutton and lamb prices are well maintained, but there appears to have been an oversupply of beef on the market. Locally, .the dairying industry continues unabated in the increased production prevalent during last season, the new season having opened with unusually large outputs of both butter and cheese. Financial circles were distinctly brighter during the month under review. Land transfers, especially town and suburban properties, increased in number, reflecting, perhaps, the improvement in the building industry, which, in turn, has been substantially influenced by the Unemployment Board's building subsidy scheme. The transport statistics contain two as-' pects of interest—first, the improvement in railways passenger traffic, and, second, the greater activity in the coastal shipping trade. Overseas shipping, of course, reflects the slack period of the export reason and the continued relative restriction of imports. . . ...