TRADE AND FINANCE

Evening Post, Volume CXXV, Issue 144, 21 June 1938, Page 12

TRADE AND FINANCE

PRODUCE & MARKET REPORTS FROM DAY TO DAI

FEARS AND PRICES

THE SHARE MARKET

MORE SELLERS THAN

BUYERS

(By Telegraph—Press Assn—Copyright.) SYDNEY, June 20. Business on the Sydney Stock Exchange today showed no improvement, sellers predominating. i There is much comment here on tne subject of the gradual falling of leading industrials for no apparent reason. Brokers questioned today stated mat unsettled conditions overseas were upsetting the investing community. Some people, rightly or wrongly, feared a mild business recession. Other reasons given were the droughty conditions in Australia and the smaller wool clip. Most leading industrials, .it was pointed out, have been too high and are now coming back to their proper value; in addition to which dividends have been too high and. cannot be maintained. Therefore, it is not to be wondered at that there are more sellers than buyers in the market.

Several reasons may be assigned for the generally dull conditions of business on the Australian Stock Exchanges and the reflex action on the exchanges of New Zealand. One oi such reasons may be the increase in imports and the reduction in the credit balance of exports over imports. Returns for eleven months ended May 31 last, as given in terms of sterling by the Commonwealth Statistician (Dr. Wilson) show that the favourable balance for this year was but £12,290,000, compared with £36,602,000 for the coresponding eleven months of 1936-37. These values are as follows:— 11 mos., 11 mos., 1936-37. 1937-38. £ sterling. £ sterling. 109,930,000 104,442,000 82,128,000 102,730,000

Exports . Imports , Bullion & specie *- exports ; ' *&£ 1,982,000 2,096,000 Estimated balance 36,602,000 12,290,000 An additional reason for the present ! slack condition of business on the Aus- '. tralian Stock Exchanges may-be trace- ; able to fears of increasing taxation as, • indeed, was forecast in a* statement from ■ Canberra, published in the Sydney '■ "Sun," to the effect that income tax, - company tax, and excise duties are to • be raised in order to provide a-further ' sum of £3,000,000 for defence, • £4,000,000 having o"st b een raised for • that purpose as part of the £10,250,000 ' internal loan, recently over-subscribed. 5 But another hard fact which, no • doubt, has influenced the economic • nrosoect is the fall in income from • woof last season by £14,910,500 (Aus- ' tralian currency). The receipts for v the eleven months ended May 31 last were £41,147,742, compared with ' £56,058,273 for the corresponding : eleven months of 1936-37. "Australia at present is in the position of a/ sound business which is obliged by a temporary setback to draw upon its reserves," is the, way the "Sydney Morning Herald" described the present situation. • So far as fee recession in values, of bank shares is concerned, fears of impending legislation that may affect the ■ • laming capacities of the banks may be : raponiible for the fall in the prices for such investments from levels attained a year ago. . • The Australian financial year ends , June 30.

10,782,000 12,674,000

BREWERY PROFITS

DOMINION INCREASE

CURRENT PRICES

STOCK EXCHANGE

BUSINESS

MELBOUKNE, June 20. The Stock Exchange of Melbourne to& reports that toe markets were quiet. Sales included:—

DOLLAR AND STERLING

,S 7 Telegraph-Press Asm.-Copyright.) (Received June 21, 10 a.m.) LONDON, June 20. Sterling exchange, London on New York, 4.97 3-16.

JAVA EXCHANGE,

(By Telegraph—Press Assn.—Copyright.) (Received June 21, 10 a.m.) BATAVIA, June 20. Sterling exchange, 8.94* guilders to £1.

The rate on June 18 was the same.

PRICE AND RETURN

PRICE OF GOLD

THE FRENCH FRANC

DOLLAR RATES,

Buying— On demand

Dominion Breweries, Ltd.. Auckland, reports an increase in both net and gross earnings for the year ended March 31. Net profit at the record total of £41,257 shows an increase of £19,218 on the previous year's figure, while gross profit has increased by £50,533 to £148,192. The directors report that, with £963 brought in, £42,220 is available after making provision for land and income tax amounting to £34,505, and allowing £13,033 for depreciation. An interim dividend of 5 per cent, for the fialf-year ended September 30, 1937, absorbed £10,229 and the directors now -ecommend the payment of a dividend in all shares at the rate of 10 per cent, oer annum calculated on the amount baid up from time to time, less the m;erim dividend. This will absorb £12,224. It is proposed also to transer £15,000 to general reserve, leaving £4767 to be carried forward. Shareholders have been notified of a >roposal to increase the nominal capial of the company by £250 000 to £500,000 by creation of 250,000 addiional ordinary shares of £1. ine iroposal will be submitted to snarelolders at a special meeting to be held larly in July.

Latest sales reported and made on the Stock Exchanges of the Dominion, | with the highest prices and the ap-, proximate yelds per cent, per annum, to investors (all subject to appropriate taxes and exchanges where operative), based on last year's, distributions, and considering redemption and brokerage in the case of redeemable securities where dated, were as follows:— Highest Yield •price, p.c, J>.a. £ s. d. £ s.d.

(By Telegraph-Press Assn.— Copyright.) (Received June 21, 10 a.m.) LONDON, June 20. The price of fine gold per ounce, 140s lOd.

s. d. June 18 {40 10 June 17 14g »* June 16 14° ™ June 15 {40 9 June 14 •• IfO 8 June 13 {40 f June 11 140 7 June 9 140 f \ June 8 140 5 June 7 |40 7 June 3 140 g June 2 140 8 June 1 140 U May 2 130 l\ April 1 I|o ft March 1 "g S* February 1 "J ' January 3 „\, n Highest price in 1937 March 6, 142s 7JcV average price in 1930, 85s per oz.

[By Telegraph-Press Assn.— Copyright.] (Received June 21, 10 a.m.) LONDON, June 20. ..Sterling exchange on Pans, 178; francs to £1.

The Associated Banks (other than the Bank of New South Wales) quoted the following dollar rates today, on a New Zealand currency basis. ~\^ e y, are subject to alteration without notice,

U.S.A. Canadian Dollars. Dollars. (Per £1 (Per £1 N.Z.) N.Z.)

Selling— TT ....-• 3.981-8 4.015-8 On'demand... 3.98J 4.02

4.02 3-8 4.061-16

HILL AND PLUMMER DIVIDEND.

A net profit of £7019 is shown in the accounts of Hill .and Hummer, Limited, Auckland, oil and colour merchants, for the year ended .April 30. This compares with £5441 m tne previous year. A final dividend of 3 per cent., together with a bonus of 2 per cent, was declared, making 8 per cent, for the year, against 6 per cent, previously.

(toy Telegraph—Press Assn.— Copyright.) SYDNEY, June 20. Sales on the Stock Exchange today included:— £ g d Bank of New South Wales . 31 12 6 Commercial Bank of Sydney 20 13 0 Colonial Sugar 4] 0 0 Adelaide Steamship 1 14 u Howard Smith 0 19 6 British Tobacco £ ° " Tootln and Co 2 13 b Tooheys, Ltd •• 1 lj " G. J. Coles ••• fl ° Australian Glass J J S Dunlop-Perdriau « |» ' Ditto, pref. { {' 2 Farmers n 16 9 Anthony Hordern ? ia n David Jones .. * \° g General Industries 0 \i a Ditto, pref. { % I Kandos Cement J * g W. Adams ° l \ ?, W. Atkins ,.......,..•••• j * l J Woolworths, Ltd. ..., 1 " 2 Ditto, rights ..........••<• » * g Gordon and Gotch n c n •Wilcox Mofflin V i§ n Fairymead Sugar ........ J- " " Mount Morgan 1^0 Mount Lyell ex div. \ * » Placer Development n 1R 3 Kuala Kampar Tin 0 8 2 Rawang Ton V % 7 Loloma Mines i <| Q Taranaki Oil u " u

quiet, aaies muuucu. £ g fl National Bank of Aust, £10 13 6 0 Yawa'Falls 9*9 British Tobacco \ \ \ G. J. Coles •' 4 12 6 Australian Glass * " g Dunlop-Perdnau • \% \ Mount Morgan ••• " \ 9 Mount Lyell-y. 2 17 0 Broken Hill Pty. 1 17 4 North Broken Hill • • \ X L g Broken HM South J J § Emperor Gold « 2 9 Loloma Mines

Dollars. June 18 4971-16 June 17 |97i June 16 4.971 June 15 4.975-8 June 14 4.965-8 June 13 . 4.94i June 11 4.96* June 10 4.95* June 9 • y 0 % , R T,,np 8 4.95 <>-o JSSe 7 •■• 4.94J J T "2| 3 4.943-8 Ttml 2 '" ... 4.945-8 JSSI 1 " 4.947-8 Mav 3 0 4.95 5-8 May 2 I!.... 4.9811-16 Ara*l 1 .!.. 4.965-8 March 1 ■■• 5.02 February 1 :....... j;^^"^ January 1 ......... 5.00 5-16

Wellington. r nscr. Stock, 3 p.c, Ti 3/1939-43*. a. 100 2 6 3 10 2 B| Jnion Bank u. 8 5 9 4 4 5 Christchurch Gas .... 1 7 6 5 1 9 a Colonial Sugar 40 18 0 3 3 11 1 \nthonyHordem.... 0 16 10 5 18 9 1 Uoturoa Oil 0 6 0 - M raranaki 03 0 13 6 ~ A Woolworths, Ltd .... 10 5 3 13 S Auckland. B tnscr. Stock, 3Ys p.c., ■ ■ ■ B 15/1/1953-57 ......a. 97 5 0, - £ tnscr. Stock, 3% p.c, n .,;■,,„ 9 c 15/3/1939-43 ...... a. 100 2 6 ' 3 10 2 £ Inscr. Stock, 4'p.c, 15/6/1952-55 ..... .a. 102 0 3 16 1 Nat' Bank of N.Z. o.s. 2 5 0 3 12 8 | Bank of N.S.W u. 31 10 0 3 16 2 | Union Bank 8 5 9 4 4 5 Auckland Gas 10 3 5 8 7 f 1 1 0 4 15 2 | Dominion Breweries .. 1 16 0 o 11 1 -, Aust. Alloy Steel ... 0 6 9 - 3 Australian Glass B » * 10 , } Broken Hill Pty, ... 2 15 6 4 10 1 Bycroft, Ltd 2 10 3 18 0 Colonial Sugar 46 1* 0 3 4 2 £ Dunlop-Perdriau ... 0 19 5 7 4 J, Electro. Zinq (praf.) 2 0 0 8 15 U , Farmers' Trading .. 110 6 13 4 Mort's Dock 010 3 7 16 1 , Peters Ice 13 0 8 Id 1U Taranaki Oil 0 13 9 ~ ' Wilson's Cement .... 0 16 4 4 1110 Woolworths, rights -034 — Mount Morgan 0 8 o — Christchurch. C0 ( ref) Bank .. A . US u. 0 4 0 4 6 11 BaKf N.ZV:...... 2 3 6 4 1111 Guarantee Corp 0 4 6 6 9 7 Westport-Stockton .. 0 3 8 Australian Glass ... 4 12 0 3 5British Tobacco ..-■,. 2 5 9 4 7 5 Broken Hill Pty. ,. 2 lo 6 4 0 1 G.J.Coles 4 0 3 4 13 5 Moturoa Oil 0 6 0 Taranaki Oil 0 13 0 - Westport-Stockton .. 0 3 8 Christchurch Gas .... 17 6 5 19 Wilcox Mofflin 0 6 0 Woolworths, Ltd. ... 10 5 3 13 5 Woolworths, rights .. 0 6 8 Broken Hill South .. 14 9 -

Kamen * X ku. — Maori Gully ? 2 * Z Mount Lyell 12 5 _ Mount Morgan ...... »*% _ North Broken Hill .. 1 16 3 - Dunedln. National Mortgage, A 2 3 0 6 19 6 N.Z. Refrig., 10s paid 0 8 4 8 12 0 Broken Hill"Pty. ... 2 la 9 4 J9 8 Moturos Oil 0 6 0 Taranaki Oil 9, 12 11 - Mount Lyell lit — Mount Morgan U , ■ , a-Market price includes accrued interest but not brokerage, o.—Free of English income tax. s—Paid in sterling. u.—In Australian currency.

Francs. June 18 "8 3-8 June 17 }l°i May 4 Jg|| May 2 J62| April 25 1651 April 1 March 26 JfHIiR March 8 155 15-lb Par with sterling, 124.21 francs to £1.