STOCKS AND SHARES

Evening Post, Volume CXXIV, Issue 87, 9 October 1937, Page 12

STOCKS AND SHARES

SETBACK IN METALS

TURNOVER MAINTAINED

''Evening. Post," October 9

Business nas been fairly brisk this week. as I ha list of sales will show, but it cani.ot bo said that investors, as a whole, are displaying increasing confidence in the markets. The unsettled < condition of the London Stock Exchange and its reaction to heavy selling in New York may easily explain the irregularity of price movements j in Australia and their accentuation by | the sharp decline in the prices of base | metals. The pending Federal elections in Australia, too, have their influence on the investment markets of the Commonwealth, and New Zealand's interest in those markets is now keen and substantial. Referring to the elections, a well-known Melbourne financial house in a confidential letter to its clients remarks: "Even if, as we believe improbable, Labour is given the reins of office, that will not check national expansion." This may be so, but it is very difficult to convince a certain and fairly large section of investors as distinct lrom speculators that the accession of Labour to power in Australia would not affect their in- j terests. Gilt-edged securities appear lo be more in favour in Australia, as j in New Zealand, than industrial shares j with a few exceptions. As was pointed out by the official record of the New Zealand Stock Exchange for October, investors have apparently considered that prices and earnings cannot continue to increase at the same rate as they have done over the past few years. With rising costs in the Dominion and in Australia net earnings for the next twelve months are less likely to show such satisfactory increases. "Much will depend on 1 the level of prices, and at present the outlook in this direction "appears promising." This "level of export prices" has indeed much to do with the prices of investments in New Zealand; but high as that level has been, especially for wool, there is no knowing when and to what extent it will decline. Wool looks fairly well at the moment, but there has been a sharp drop in the price of sheepskins in the London market which may portend lower values for the staple, i The gross returns from New Zealand wool' this coming season may not reach the total of £15,350,000 of last season, for the market, as disclosed by the London and Australian sales, is weaker; but wool is still selling at prices remunerative to producers. The New Zealand meat market is also -weaker, but has returned good prices to producers, and stock prices have been high and promise to keep on a paying basis. The dairy produce market, at any rate as to butter, may be described as buoyant, for the. time being. Prospects for the principal exports of the Dominion, then, are most favourable at the moment, and if they continue so should provide • funds for investment through the Stock Exchange, provided confidence is not shaken by unfavourable political developments at home and abroad,. > WELLINGTON BUSINESS. Sales of stocks and shares in Wellington this week exceed those of last number, but the value is less. Business reported to yesterday forenoon amounted to a value of £33,476, including £9060 in Government Stocks and Bonds, compared with a total value last week of £44,473, which included Government loans of a value of £27,275, Sales were as follows: — No. Value, ■ - - ; £ Government loans ... — ti.OOO Bank shares 700 I.S^G Pastoral »...' in# Ji? Gas ............... MO Breweries 000 i,->oi Shlpploe .......... :too ii">7 Refrigerating ...... 50» 'IUIndustries . 70ft " VI Stores 3,27(1 s.owi Miscellaneous 2.970 . Mining l 1,800 J."-' Oil 1,400 JOS 12,040 £33,470 GOVERNMENT LOANS. Government Stocks and Bonds keep up well with more buyers than sellers. Approximate prices realised as at August 31, last week, and highest prices reported for this week were as follows;—. . •. L.ISt This Aug. 31. week, week. r..c. Tear. £ ' £ £ 3 . .... 1941 *!>8 *38 31& , ! 3943, 103 10H4 3V, " 1952 104 104 Vi 104% isr.r 98-n !>8»; S3i 1941 101% *1011.4 *10iy 3 4 1940 10H 103% 103 4 194 D lOOVB 10."> 104% 4 1955 105'/s 103 105 ♦Buyers. Interest on 3'i per'cent. Stock anil Bonds, 1913 and 1952. is free of Income tax. Half-yearly Interest on 3Vi l'«r cent. Stock and Bonds (1952) Is payable on November 15; and on 3% per cent. Stock (1941) at the same date : interest Is due on 4 per cent. Stock and Bonds (1949) on October 15. Sales this week were as follows:— 3 per cent. Stock (1939-41), £98 ]ss; 3J per cent. Stock (1939-43), £101 10s: 3& per cent. Stock (1957), £98 15*; Si per cent. Stock (1938-52), £104 ss. £"104 7s 6d; 3i per cent. Stock (1939-52), £104 ss, £104 10s; 4 per cent. Stock (1946), £103 ss, £103; 4 per cent. Stock (1949), £105, £104 12s 6d, £104 15s, and Bonds, £104 15s; 4'per cent. Stock (1955), £105 2s 6d, £104 10s, £105, and Bonds. £105. DEBENTURE MARKET. Sales of local body and company debentures were but small, and were reported as follows:— 4i per cent. Mount Albert Borougn 3947). £104 15s, and (.1949) £105 ss; 4J per cent. Auckland Harbour (1953), £107, and (1955) £107 5s and £107 15s. 44 per cent. New Zealand Farmers Co-or (1940), £90, and (1945) £89 15s; 6 per cent. Amalgamated Brick, Wellington (1944), £94. BANKS, INSURANCE, FINANCE. Interest shown in bank shares was a little more active this week than last ■with Bank of New Zealand steady at about 44s 3d. National of New Zealand had inquiry at 57s 6d 1.0 58s 6d, seller:;' standing out for 60s. Sales were made at 58s 6d to 595, Bank of Adelaide has

declared an interim dividend at (he rate of 5 per cent, per annum,' unchanged. Commercial Bank of Sydney i shares were quoted by sellers at £2u 15s, but failed to attract buyers' attention at that price. National of Aus-1 tralur;ia £10 paid were to be bought ' at £14 2s 6d to £14 7s 6d, and sales were made at £14. Sales of bank shares were reported as follows: — j Bank of New Zealand, 44s 3d, 41s | 4d, 44s 3d, 445, 44s 3d. and D long term, 29s 6d; Bank of New South | Waler. £33 ss, £33 7s fid; Commer-1 cial Bank of Australia. 17s 3d. 17s 2d, 17s Id. and (pref.) £9 6s; English, I Scottish, and Australia Bank, £5 13s i 9d, £5 14s; National Bank of New Zealand, 595, 58s 6d; National Bank of Australasia (£5 paid), .£•?■ ancl (£10: £14; Union Bank, £9 lis. A little more attention than for some time past was paid to insurance shares but they were generally firmly held. Shares of all New Zealand offices were dealt' in, business being as follows. National, 18s, 17s lOd, 18s; New Zealand Insurance, 635; South British, 94s 6d, 955; Standard. 595. Pastoral shares were practically unchanged. Buyers of National Moi tgage A had inquiry at 39s andlß at 3d Wairarapa Farmers (pref.) had buyers at 4s 2d, but there were no rollers In the financial section sellers predominated, but Trustees Executors. Dunedin, had unsatisfied buyers at 75s ( and Christchurch Buildings weiei wanted at £14. New Zealand Guar-1 antee Corporation shares had sellers, quoting ss. Sales were as follows. Abraham and Williams, 655; pal- j gety and Co., £10 Is; Farmers Auc-, tioneerinfi (£5 paid)* 9osj Cxoldsbr "ugh Mort, 34s 3d, 345, 33s Bd: New Zealand Farmers' Co-op. (Ist P ie £''- 675; Traders' Finance (con.), 4s 6a; United Building, Christchurch ,Jos 7d; Dominion Investment, 17s lOd. AUSTRALIAN METALS. Although not so much affected by the vagaries of the base metals markets, as some other companies, Broken Hill ' Proprietary shares had a setback this week, but showed a tendency to improve at the close. • They touched 78s and fell to 75s 9d. Broken Hill South reached 445, but the market sagged to sales at 365, but improved towards 40s. Electrolytic Zincs (ord.) also dropped. Mount Lyells did not show quite so sharp a decline as did some others. North Broken Hill lost ground but later improved in value. Mount Morgans were weaker. Sales of Australian mining shares were as follows: — Broken Hill Proprietary, 775, 77s 3d, 77s 4d, 77s sd, 77s 6d. 77s 3d, 78s, 77s 9d, 77s 3d, 77s 6d, 76s 6d, 77s 2d, 77s 3d, 76s 3d, 765, 75s 9d, Hill South. 41s Bd, 41s 9d, 41s lOd, 41s lid, 42s 7d, 42s 9d, 445, 43s 6d, 40s, 40s 9d, 40s 6d, 40s 3d, 40s Id, 39s 6d, 39s sd, 395, 38s 38s 9d, 40s 6d, 37s 9d, 37s 6d. 365, 36s Id, 38s, 375, 36s 9d, 38s lid, 36s 6d. 39s 6d. , n .. Electrolytic Zinc (ord.), 54s 6d, 54s 9d, 54s 7d, 54s Bd. 54s 6d. 545, 525.9 d, and (pref.), 55s 3d, 55s 6d, 55s sd, 54s lid, ,54s lsd, 555, 54s 9d, 55s 3d, 54s 4d. 54s 3d, 54s Id, 545, 54s 3d, 54s sd. ' ■ ■ Mount Lyell, 40s. Bd, 40s 7d, 40s 6d, 41s 4d, 41s 3d, 40s 6d, 40s sd, 39s 9d, 39s Bd, 39s 7d, 40s, 39s 3d, 39s 4d, 38s lOd, 395, 39s sd, 39s 3d, 38s 10£ d, ■39s 3d. Mouttt Morgan, 10s Bd, 10s 9d, 10s Bd, 10s 6d, 10s sd, 10s 7d, 10s 6d, 10s BC North Broken Hill, 67s 3d, 67s 6d, 66s 6d, 67s 3d, 68s, 66s 9d, 61s 9d, 61s, 595, 61s 6d. Rawang Tin, lis 3d. DEPARTMENT STORES. All department store shares were lower in price on the week's transactions, with the exception of McKenzie's Department Stores, for which there was a good demand. The £1 shares of Woolworths Ltd., Sydney, the parent company, were divided into four shares of 5s each, and were so quoted at the end of the week, with sales at 30s 3d and closing yesterday at 28s 6d. Coles were also lower in price. Business was done at up to 95s 9d and closed at 93s 9d. Sales of shares in this section were reported as follows: — Anthony Hordern, 18s 7d, 19s. Farmers' Trading, 20s 3d, 20s, and, (A G P j ef Coles! 95s 9d, 95s 6d, 95s 3d, •955, 945, 93s 9d, 94s 9d, 94s 6d, 92s 6d, 92s 9d, 93s 9d. 92s Gd, 92s 9d. Hav's Ltd. (con.) 165.; Milne and Choyce. (debs.), 17s; Macky, Logan (cum div.), 255; McKenzie's Department Stores, 80s 9d, 86s 3d, 86s, 86s 3d. Shillings Ltd.. 18s 9d. Woolworths (N.Z.), £o 3s, £d 4s, £5 2s, £5 3s Gd, £5 0s 3d; Woolworths Holdings, Ids 6d, 15s ud, 10s Id, 15s 2d, 15s. Unlisted.— Selfridges (N.Z.) (paid), 20s; Selfridges (A'asia.), 345. Woolworths Ltd., £6 ss, £6 5s 6d, £6 4s 6d, £6 ss, £6 4s, £6 3s, £6 2s 6d, £6 2s 9d; 5s shares, 30s 3d, 29s Id, 295, 28s 6d, 275" 6d,' 295, 29s lid. BREWERY SHARES. ; Business was quiet in the brewery section of the list and sales were as follows: — . Dominion Breweries, 41s, 40s 9d, New Zealand Breweries, 49s 6d, 49s 7d, 49s 9d, 49s Bd, 49s 7d, 49s 6d, 49s 9d, 49s 7d; Tooth and Co., 55s 3d. INDUSTRIALS AND OTHERS. Sales of shares in New Zealand coal, gas, and other industrial enterprises were but few and were as follows.— Coal.—Westport, '25s 6d. Gas. —Auckland, 21s 3d, and (con.), 15s; Christchurch, 28s 6d; Wellington (ord.), 375. . Shipping.—Northern Steamship, 4s, Huddart, Parker, 42s 6d. Freezing.—Gear Meat, 18s 6d; New Zealand Refrigerating ■ (10s paid), 9s lid, 10s, and (£1 paid), 20s 9d. Textiles. — Wellihgton Woollen (pref.) were wanted at £5 15s, but there were no sellers; Mosgiels had buyers at £10 15s, but no declared sellers. Sales were as follows:—Felt and Textiles, 445; Kaiapoi Woollen, ( 13s Id, 13s 2d; Tattersfield, 31s. Timber.—Kauri Timber, 22s 3d, 22s 9d, 22s 6d. MISCELLANEOUS. Turnover was not large in the miscellaneous section, but interest was well spread over the Australian and New Zealand lists. Sales were reported as follows: — i Australian Glass, 91s lid, 91s lOd, 91s 6d, 90s 9d, 90s 3d; Associated Newspapers (pref.), 23s 9d. .Burns, Philp, 58s; British Tobacco, ex dfv. 48s 9ct, 48s IOJd, 48s lOd, 48s 2d, 48s, and (pref.), 31s; Berlei Ltd., 39s 3d, 39s 9d. „ _ „ Colonial Sugar, £47 4s, £47 ss; Consolidated Brick, Bs. Dunlop-Perdriau Rubber, 22s 2d, 225, 22s 2d. General Industries, 19s 5Jd. Henry Jones Co-op., 49s 3d, 495, 50s 6d; H.M. Theatre (pref.), 20s; Hume Pipe, 19s 9d, 19s lOd, 20s, 20s Id, 19s lid. Kandos Cement, 25s lOd. Morris Hedstrom, 29s l£d, 29s 2d, 29s New Zealand Drug, 735, 73s 6d; Northern Roller Mills, 21s; New Zealand Newspapers, 38s 3d; New Zealand Farmers' Fertiliser, 20s. "Otajo Daily Times," 46s 9d. Radio (1936), 21s 9d. United Provisions, 7s Bd. Wilson's Cement, 19s lOd, 19s 9d, 19s lid; Wairakei Ltd., 7s 6d; W. R. Carpenter, 475, 46s 9d. Unlisted. — Australian Forestry Bondholders' Trust (1938 planting), £19 10s, and (1931 planting), £16 10s; New Zealand Perpetual Forests, 43s 3d; Silknit Ltd., 50s, 51s, 50s. OIL. The demand for Taranaki (N.Z.) Oilfields shares was well sustained, with sales as follows:— Taranaki, Oil» J?s sd» <id, ?s fld*