THE RESERVE BANK

Evening Post, Volume CXXVI, Issue 60, 8 September 1938, Page 12

THE RESERVE BANK

COURSE OF BUSINESS

STATISTICAL SUMMARY

Liabilities and assets of the Reserve | Bank of New Zealand are shown in graphic form in the August issue of the Statistical Summary issued by that institution. The general reserve fund is shown unchanged at £1,500,000 since 1934; a sharp needlelike peak indicates the bank's holding of gold. Starting from "sea level" early in 1934, it reached £4,351,727 on September 10 in that year, and week by week thereafter, with sales of gold, it dropped to £3,001,727 on November 5, and remained at that level until April 22, 1935, when it was shown at £2,801,733. at which level it has been kept until today. But no such regularity of line is | shown in other items in the diagram, j Banks and State deposits movements varied considerably over the years and they axe shown with a downward trend today. Bank-notes, however, by their pinnacles at the close of each year, indicate demand for Christmas holiday spending. On the assets side of the picture sterling exchange shows rises usually in the middle of the year, but the fall has been usual at the end of each year, since 1935. The graph shows at latest a sharp and comparatively recent. decline.v for this year, being £14,634,000 as on August 15, the lowest figure shown since the Bank has published its weekly, statements of assets and liabilities. Advances other than to the Marketing Department on account of the dairy export business have ranged from £200,000 to £1,900,000, and next to £2,600,000, as shown for August 15. Other information in the summary includes trading banks' liabilities and assets month by month and a classification of their advances, by far the greater part of which are on account of primary and allied industries. Statistics of Savings Banks deposits are also given, together with current interest rates on mortgages. Tlie variations in prices of British, Australian Commonwealth, and New Zealand Government loans in London since 1936 are indicated in a diagram, as are the monthly movements in the value of New Zealand overseas trade, exports and imports. FOREIGN EXCHANGE RATES Closing direct rates as quoted by the Bank of New South Wales, Wellington, today, for buying and selling foreign currencies, based on New Zealand currency, were as follows:— Buying. Selling. & s. d. £ s. d. London—£N.Z. to £ stg. 100 ; T.T. 124 0 0 124 10 0 O.D. 123 11 3 124 9 6 Australia—£ A to £X.Z. 100 T.T. 100 17 C 100 5 0 O.D. 100 17 6 100 5 0 Fiji—£P to £N.Z. 100 T.T. 90 7 6 89 0 0 O.D. 90 7 6 89 0 0 New York—Dollars to £ A T.Z.I. .... - T.T. 3.9030 3.8690 O.D. 3.9080 3.8700 Montreal—'Dollars to £i N.Z. 1 T.T.. 3.9120 3.5795 O.D. 3.9207 3.5805 Belgium—Belgas to £ N.Z. 1. T.T. 23.196 22.256 . . O.D. 23.271 22.891 Czechoslovakia —Korunas to £N.Z. 1. .... T.T. — 111.35 O.D. — 111.37 Denmark —Kroner to £ K.Z. 1 T.T. 18.203 17.893 O.D. 15.263 17.895 Finland—Marks to £ N.Z. 1 T.T. 185.39 179.59 O.D. 185.79 179.69 i France —Francs to £ I N.Z. 1 T.T. 144.7 C 142.26 O.D. — 142.28 Germany-—Reichsmarks to . I £N.Z. 1 T.T. — 9-600 j O.D. — 9.602 Greece —Drachmae to £ • - KZ. 1 T.T. — 429.54 O.D. — 429.64 Holland—Florins to £ . NZ 1 T.T. 7.275 7.125 A- O.D. 7.315 7.127 Italy—Lire to £N.Z. 1. . , T.T. — 73.48 O.D. — 73.50 Java—Florins to £N.Z. *■ ' . 1 T.T. 7.251 7.101 O.D. 7.291 . 7.103 . Norway-Kroner to B l' ' ' ' 0-D . 16 ,242 35.895 Noumea —Francs to £ ~„,-, KZ 1. T.T. 147.26 140.51 *•■*■ O.D. — H0.55 146,6 i4o.ee ■BnfTT...!%! -84 1,489 Switzerland.- > Francs, to to*.*, i. od 17403 17030 Chefoo—N.Z. pence to 1 ' dollar T.T. — 115-8 OD. — 11 5-° •wsar.r*.fg gss, gsa ■"See'?. «er|| gMJ «%» Japan-N.Z. pence to 1 yen od - 17 33-64 Shrfnili7 N- Z- PenCTT° - 115-16 1 dollar ........ i.i. __ u5 . 1fl BW±T KA .?" CT# 34 31-64 34 31-32 1 dollar o.D. 34 25-64 34 31-32 The £l'is £1 in New Zealand currency. The rates are subject to alteration without notice. ' BaM Nlw^ouWa?ef tFI&S Zealand pound compared with its original par value, is equivalent to approximately 16s Id in London £1 0s lid in Australia, 15s 10ld in U.S.A., 15s Hid in Canada, £1 2s lid in France, 15s 10|d to Italy, 9s «d in Germany, Us B|d in Java, £1 8s o|d in Japan. PRICE OF GOLD EASIER (By Telegraph—Press Assn.—Copyright.) (Received September 8, 10 a.m.) LONDON, September 7. The price of fine gold per ounce, 144s l£d. "" s. d. September 6 ..: 144 2\ September 5 144 1 September 3 143 b September 2 143 4 September 1 143 0| August 31 143 4J August 30 142 11 August 13 142 9 August 5 142 0 August 2 141 8 February 1 139 £ July 1 HO 9 June 1 |40 7* SiV-:::::::::::: 8 Si |ScVr •• If 94 February 1-. J? y ' The highest average price of gold in 1937 on March 6, was l'lfts 7Jd; the record price was 149s 4d, reported in May, 1935; the nearest to that price was £144s 2£d, for September 6, 1938. (British Official Wireless.) (Received September 8, 11 a.m.) RUGBY, September 7. Gold to the value of £1,446,000 was sold today at 144s Id per oz. FRENCH FRANC (By Telegraph—Press Assn.—Copyright.) "(Received September 8, 10 a.m.) LONDON, September 7. Sterling exchange on Pares, 178J j francs to £1. ' Francs. September 6 178£ August 31 178£ May 7 179 7-8 May 4 1683 April 25 165| March 26 16315-16 March 8 155 15-16 Par with sterling, 124.31 francs io £1. I JAVA EXCHANGE. (By Telegraph—Press Assn.—Copyright.) (Received September 8, 10 a.m.) i BATAVIA, September 7. Sterling exchange, 8.91 guilders to £1. The rate on September 6 was 8.904 guilders. I