THE SHARE MARKET

Evening Post, Volume CXXIV, Issue 57, 4 September 1937, Page 12

THE SHARE MARKET

GILT-EDGED FIRM

Sensitive investors

"Evening Post," September 4. The international political suuauou is no better today tnan it was last ween, Its5 influence over the investment markets ot London, hew "ioi-K, and the Continent is to increase tne sensitiveness of investors in some sections oi the markets. The horizon remains clouded by conflicts in tspain and China. iears of the pos&iDiiity oi Ureat Britain and other of the great Powers being involved persist, especially as British interests in tne Mediterranean and the i'ar East are aliected by the destruction of property of British subjects in Shanghai and the losses and risks incurred ay shipping traversing the Mediterranean. So , far. as production m Australia and New Zealand are concerned the prospects are exceedingly good. The ldrmer has enjoyed rains over a large area, sufficient to remove fears of a set-back by drought, and the markets oi! wool, wheat, and other primary products of the Commonweal in are quite good, at the moment. A well-known Melbourne financial house in a letter to its clients refers to some apprehension felt in Australia, and, in some measure in New Zealand, by holders of Australian investments as to how the Commonwealth elections will go. "We have heard predictions from friends of both parties," the letter states, "and all couched in optimistic terms, but so far the indications are in favour of the present Government being returned. In any case, a Labour Government is not a calamity for Australia." In New Zealand- the prospects of the beginning of the Australian woolselling season are regarded with satisfaction. Prices paid for the fine wools offered at the Sydney sales opening this week augur well for the coarser wools produced in New Zealand, and lor which the demand was greater than for fine wools at the last sales in London, and at the winter sales held in New Zealand, when, apart from crutchings, any fleece wools were brought under the hammer. Much may happen between now and the opening of the New Zealand wool sales at the end of November next, but next Tuesday ■week the fifth series of London sales will begin, and so before the New Zealand sales open the market will be tested by tile final London series for this year, beginning on November 16. The New Zealand dairy farmer may not be satisfied with the prices guaranteed by the Government for his butter and cheese, but at least he is protected against any serious falls in the market, and he has the assurance that if there is any profit from the transaction it will be devoted to his industry. Proceeds from the dairy industry of the Dominion as a whole have been satisfactory. The outlook for the frozen meat trade continues bright. The primary production season for both Australia and New Zealand then, has opened auspiciously. An essential factor in the investment market is peace, iat home and abroad, the smooth running of domestic affairs in Australia and New Zealand, and reduction of the international political temperature. In the Dominion, and the Commonwealth there are more signs of business prosperity than of Confidence on the part of the investor with, it is believed, considerable sums seeking employment at moderate rates of interest in approved non-speculative propositions. ; The Stock Exchange official, record for September 1 reports that during August "there was a moderate turnover, in most sections of the market, and although some stocks showed an casing, the prices ruling at the beginning of the month were well maintained, and several stocks closed at higher levels..: The announcement pt better trading . results and increased dividends, in spite of heavier taxation, renewed confidence in many; New Zealand issues." . BUSINESS IN WELLINGTON. Sales on the Wellington Stock, Exchange this week to forenoon yesterday amounted in value to £40,800 against £35,000, in round : figures, last week. Sales of Government loans this •week amounted to £8590, compared with £6835 last week. Business.was reported as' follows:— ' ' Value. ■ _ ~,. ; / .NO. ;: £ Government loans .......... —- ' S'^(! Bank shares "0 740 Finance l.Oi>J ilt r, as ■ .....700 .w £3*«i;r::...\- ...- ■;« I'reezing companies *»i %*\ Shipping „?«« . u p\ Sries;":::x::::::'::::;- %>- ;-^ Miscellaneous • ■ t. Ji) j-i?° Mining and oil .....JUSOO 2- 81)1 : 13,051 £10,833 GOVERNMENT LOANS. Government Stocks and Bonds continue in strong demand and prices have hardened over the week. The course of the market is^ shown in approximate prices realised as at July 30, last week, and highest prices reported for this week' in the table herewith. :,.•■■ ■ ■ • Last This' p.c. Tear. July 30. week. week. £ £ £ 3 ■ 1941 "98 »08 *08. 3&. ...... 1943 102% 103 103 / 3% 1952 103 103%; 104 3 £ < 1957 9814 *»8% ■' ■*88% 3% ."..... W4I 101% *101% *10Hi ■4 ." 1946 104% .103 V- 103V 4 4 1949 104% 105% 105% 4' 1955 ' 1047s : 105 M 105 •Buyers. Interest on tho 3% per cent. Stock, 1943 ami 1952, is freo of incorap tax. Halfyearly interest on 3/3 per cent. Stock, 1943, is due on September 15, and on the 4 per. cent. Stock, 1949, on.October 15. Sales this week were as follows: —, .34 per cent. Stock (1939-43), £103; ■3J per cent, stock (1938-52),.£104; 3J per 'cent.: slock (1939-52), £104; 4 per cent Stock. (1946), £103 2s 6d, £103, £M:isi?£m, £103 10s, and Bonds, £iO3:2s6d': 4 per cent.-Stock (1949), £105, £104 17s 6d; £105 2s 6d; 4 per cent. Stock. (1955),' £105 ss, and Bonds, £105 ss. ' / / ' Local body and company debentures ■were on a quiet market. Rural 5 per cent. Bonds (1947) were wanted at £102 5s to £102'10s. / Sales of debentures were reported as follows:—-' 4i per. cent. Auckland City (1944- ---' 59), £104 ss; 4J per, cent. Auckland Harbour Board (I960), £108 10s; 4|

per cent. Mount Eden Borough (1947----i)2), £105 ss; 4J per cent. Wanganui Harbour U9S4), £105 10s. t> per cent. Amalgamated Brick, Auckland (1944), ex div., £96. BANKS, INSURANCE, FINANCE. The bank share section of the market attracted but little attention, and weakness was disclosed in the demand for Commercial of Australia, but. these shares were firmly held at 17s 9d. Bank of Australasia shares had good inquiry at £11 5s (cum dividend), sellers asking £12. to £12 Is 6d. Sellers of Bank of Adelaide quoted £6 10s, but no business was reported. National of Australasia, £5 paid, had buyers at £7, sellers' ideas of values ranging from £7 6s to £7 7s. National of New Zealand were in demand at 57s 6d, holders quoting 59s 6d to 60s 3d, and sales made at 58s. Bank of New Zealand ordinary shares were in demand at 455, and sales were effected at 45s 3d. Commercial Banking Co. of Sydney shares were to be bought for £21 10s, but this price failed to interest investors. Sales of bank shares as reported were as follows:— Bank of New Zealand, 44s lOd, 455, 45s 3d, and D long term, 295; Bank of New South Wales, £34; National Bank of New Zealand, 58s; Commercial Bank of Australia, 17s 7d, 17s 9d, 17s Bd, and (pref.),, £9 15s; National Bank of Australasia (fciu paid), £14 9s; English, Scottish, and Australia Bank, £5 15s; Union Bank of Australia, £9 16s 6d, £9 18s, £9

The inquiry for insurance company shares was slack and business was reported as follows: — National, 18s 4d, 18s 3d, ... 18s 4d; New Zealand Insurance 64s 3d, South British, 99s 6d, £5, 99s 6d.

Pastoral companies' shares were an fair demand with buyers .^ Abraham and Williams ordinaries at 57s 6d and preference at 90s. Dalgety «»d c °g| shares were in request at £a Ids oa to £10 0s 6d, sellers' ideas of values being £10 2s. New Zeaiand Loan and Mercantile (ord.) had sellers quoting from £38 to £39, and saxes were made at £34. Wairarapa Farmers' (pref.) were wanted at 3s 3d- , „„*:„„ In the financial companies' section oJ the list-there were orders _ to buy Wellington, Trust Loan at £5 7s 6d. Sales were reported as follows•- ---, Dalgety and Co. £10 Is 3d. GoMsbrough Mort, 35s 6d, 35s sd, 35s 4d SS S 8d; N.Z. Farmers' Auctioneering (£5 paid), 92s 6d, and (A. pref.) 23,5, Wilcox Mofflin, 14s lid; N.Z. Loan and Mercantile (ord.) £34; Wellington Invest. T. and A., 9s 6d, N.Z. Guarantee Corporation, ss, 4s lid, Dominion Investment and Banking Auckland, 17s 9d; N.Z. Investment and Mortgage, 9s 6d. RETAIL STORES.

The speech of Mr. G. J. Coles at the recent 'annual meeting of v. J. uoies, Ltd., in Melbourne, indicated that the idea of a basis of control for future expansion of Coles and Woolworths. Ltd., had not been dropped. Interest in the shares of both companies continues strong and transactions on the New Zealand Exchanges this week have been heavy, .with1 increases in prices paid at. the close for : shares in both companies. Shillings, Ltd., and McKenzies Department Stores have likewise received particular attention, and Mac Duffs (pref.) have been in demand at advancing prices. Sales of retail store companies' share have been reported as , follows:— ; Anthony Hordern, 18s 7d. : : Beath and Co., 22s 4d. Cox Bros., 22s 6d, 22s 3d, 235. Farmers' Trading, 20s 6d. G. J. Coles,'9ss, 975, 94s 6d, 94s 9d, 96s 3d, 96s 6d, 94s 3d, 975, 965, 96s 9d, 97s 6d, 975, 96s 6d, 96s 9d,,975, 98s 3d',; , 96s 8d; 96s 9d^ 98s 3d, 98s 6d s 98s sd ( 97s 9d, 98s* 6d," 995, 98s 3d, 98s 6d, 97s 3d, 97s 6d, 98s 6d. _. Macduffs Ltd. (pref.), 26s 6d, 26s 9d 26s lOd, 275. 27s 3d; Milne and Choyce (debs.), 17s 3d; Macky, Logan, 23s 9d. Shillings Ltd., 19s 9d, 19s Bd, 19s lid, 19s lOd, 19s 10^d, 19s lid,-20s, 19s lOd, 19s lid. Woolworths (N.Z.), £5 5s 6d, £5 6s, £5 ss, £5 6s 6d, *£5 7s, £5 7s

6d Woolworths Ltd. (Ist pref.), 40s

6d. ' Woolworths Holdings, 16s lid, 16s Bd, 16s 9d, 16s, 16s lOd, 16s Bd, 16s 7d, 16s 9d. .

Unlisted. McKenzie's Department Stores, 88s, 88s 6d, 88s, 88s 3d, 88s. • Selfridge's (W.A.), (10s paid), 15s; Self ridges (A/asia), 33s 6d. Woolworths Ltd., £6 9s 3d, £6 8s

9d, £6 9s 6d, £6 8s 6d, £6 Bs, £6 9s, £6 lls, 6d, £6 9s 6d, £6 12s 6d, £6 13s 6d, £6 14s, £6 13s, £6 13s 9d, £6 14s 6d, £6 13s, £6 12s 6d, £6 13s.

AUSTRALIAN METAL SHARES

Weakness developed in Broken Hill Proprietary shares, attributable, to influences other than movements in the base metals ■market, the company's interests in that direction being small in comparison with steel production. However, the turnover in these shares was heavy over the week, prices ranging from 84s to 79s 6d, and closing at 80s^ .Electrolytic Zinc' shares held their own and Mount Lyells showed some unimportant fluctuations. North Broken Hill improved in value, and Broken Hill South had a spurt to 49s 9d, receding to 48s 6d. Sales were reports:! as follows:— Broken Hill Proprietary, 83s 9d, 83s 6d, 84s, 83s 7d, 83s sd, 83s 4d, 83s 3d, 83s Id, 83s 2d, 84s, 82s 6d, 82s 3d; 82s,* 83s -Id, 83s 4d, 81s. 6d, ■ ■80s, 81g; 6d, 81s;;80s 9d, 80s 6d, 79s 6d, 805,.80s 3d, 79s 6d, 80s 6d, 81s lOd, 80s2d,'80s 3d, 81s 3d, 81s 6d, 79s 6d, 81s 9d, 81s 3d, 81s, 80s 9d, 80s, 79s lOd, 80s. :■.-■■■■■■ ■ ' . ■ ■•:

Broken Hill South, 48s 6d, 48s 3d, 48s sd, 48s, 48s OJd, 48s Id, 48s 3d, 495, 49s 9d, 49s 3d,'4Bs 6d. : Electrolytic Zinc (pref.), 60s 3d, 59s 9d, 60s 3d; 60s, 59s lOd, 61s, 60s 9d, 60s 10d', 61s, 60s 3d; and (ord.), 595, 58s 9d, 58s lOd, 60s 6d, 59s sd, 59s 6d. .-•.-■

Mount Lyell, 43s 4d, 43s 3d, 43s 6d, 43s 2d, 435., 43s Id, 43s 2^ 435, 42s 9d, 42s 6d, 42s 3d. 43s 60, 42s lOd, 435, 43s 2d, 43s 3d, 43s 4d, 42s 9d, 43s 6d, 43s 7Jd, 43s Bd, .43s 3d, 42s Bd, 43s 3d. . : . Mount Morgan, lls 4d, 11s 3d, 11s Id, 10s. lid, lls, lls Id, 10s lid, 10s 9d, 10s 9Jd; 10s " lijd; lls Id, lls o£d, lls, lls lid, lls Id, lls l£d, lls Id. ■ . ■-• , ■ ■ North Broken Hill, 75s 6d, 765, 775, 77s 6d. ■

Rawang Tin, 12s 7d, 12s 6d. BREWERIES.

Business was quiet in the brewery share market. Tooths had buyers at 55s to 55s 9d, but sellers asked 56s 6d, Sales were reported as follows: — Dominion Breweries, 42s 9d, 42s 6d; New Zealand Breweries, 50s, 505 3d, 50s, 50s Id, 50s 3d, 50s; and (con.), 355, 34s lid, 34s lOd, 34s 9d; Staples and Co., 53s 6d, 53s 3d. INDUSTRIAL AND OTHER. Sales of shares in industrial and other companies were reported as follows:— ■■■;■.. Coal.—Taupiri, 16s 3d; Westport- j Stockton (ord.), 2s 7d, and (pref.), ss.

Gas.—Auckland, 21s 7d, 21s 9d, and con.), 15s; Christchurch, 29s 9d, 3ds. ShippingI.—Devonport Ferry, 19s 9d; Howard Smith, 21s, 21s 3d; Northern Steam, 4s. ■

Textiles.—Felt and Textile, 41s 9d, 425, 41s; Kaiapoi Woollen (7s paid), 5s 6d; Manawatu Knitting, 355; Oamaru Woollen, 19s. Freezing;.—Gear Meat, 19s 6d; New Zealand Refrigerating (10s paid), 9s 7£d, 9s Bd, 9s 10d, 9s 9d.

Timbers-Kauri, 22s 6d. MISCELLANEOUS.

Sales of shares under the heading of miscellaneous were reported as follows:—

Australian Iron and Steel (pref.), 27s Od; Australian Glass, 96s 3d, 965, 95s 3d, 95s 6d; Associated Newspapers (pref.), 245; British Tobacco, 50s 3d, 50s 2d; Burns, Philp (rights), 34s 9d, 35s 3d, '35s 2d, 34s 9d, 345. 34s 3d, 34s 6d, 355.. .

Consolidated Brick, 8s 3d; Colonial Sugar; £48, ss, £48 10s; Carrier, Ltd. (January issue), 35s 2d, 35s 6d. Dental and Medical, 13s; Dunlop-