INVESTMENT MARKET

Evening Post, Volume CXXXII, Issue 89, 11 October 1941, Page 6

INVESTMENT MARKET

BUSINESS OF THE WEEK

"Evening Post," October 11. Conditions were quiet in the JNew Zealand investment market this week, the recent revival in buying interest having subsided. Prices reported paid for most shares dealt in showed no marked changes on those of Last week As to the future, especially of industrials, remarks made by Mr. Stan if or th Ricketson, chairman of the Australian Foundation Investment Trust (formerly Weir's) may be of interest to investors. Mr. Ricketson, referring principally to Australian conditions, thought it would be reasonable to assume expansion in essential industries, and that retail companies supplying the needs of the general public would continue to enjoy good business, while huge sums of money were being put into circulation as a result of defence contracts. At the same time, it was probably wise to anticipate a stage in wartime programme when unessential industries might be drastically curtailed. Those watching the course of sljare prices during the past twelve months had come to the conclusion that the market had shown great resilience and great powers of recovery. Investors appeared to have made up their minds that Britain and her Allies would win the war, and that Australia faced a period of great industrial expansion. ■• In the New Zealand market bank shares continue steady, with Bank of New Zealand selling up to 40s 3d, and 32s paid for the long-term mortgage issue. Union Banks reached £T 6s:. Bank of New South Wales sold at £28 10s, and Commercial Banks at 15s 7id. New Zealand Insurance commanded 70s, South British 62s '6d, Nationals 20s, and Standards improved to 63s 6d. Industrials were firmly held, especially woollens. Gas and coal shares were firm, but business small. Retail store shares showed but fractional, if any. changes on the week, with Woolworths (N.Z.) selling at 14s 2d to 14s 3d, McKenzies at 42s 6d, Mac Duffs (pref.) at 20s 3d, Beaths 18s f and Farmers' Trading at 22s 2d. New Zealand Breweries advanced from 36s 6d to 37s 3d, and Dominion kept at 30s 6d. Ballins (15s paid) commanding 11s. Shares in the Australian section were sparsely dealt in, show ..g no outstanding changes in reported prices, Broken Hills keeping at 42s 6d, Felt and Textiles at 395. Woolworths were 17s 4d and Coles 665. Woolworths Holdings rose from 16s 6d to 16s lid. Colonial Sugars reappeared in the sales with business at £53 10s. Australian mining shares changing hands included North Broken Hill at 44s (down 9d on the week) and Broken Hill South at 22s 9d (lower by Is). Mount Morgans were unchanged at 9s 6d. GOVERNMENT LOANS. Values for Government loans remained firm with fair demand. Highest prices as reported this week and last, and approximate prices in October, 1940, are shown as follows:— Knl( . Oct. I/ast n«t* ~c Yeai. 1940: week week 2% .. 1946 — *05% »6% H 1945 — *99 '" I 3 '.: 1951-54 - VVA W* 3*4 .. 1956-59 — WO 100 3W 1957-60 — 99% '9% U 1953-57 101% 101% 101* 4 .. 1943-46 102% 101% • 101*6 4 ' 1948 104% 105 Vi lOOV4 4 ' 1946-49 103 105 105 4 .' 1919-52 105% 106% 106 Vi 4 1952-55 105 107 106% 4 1954-58 . 106% 107% •107 War Loan, 1953 79% 87-^-16.87% Half-yearly interest Is due on 4 per cent. (1946-49) on October 15, and on 4 per cent. (1949-52) on November 15. ♦Buyers. Sales of Government loans as reported this week were as follows:— War Loan (1953), £87 10s; 2£ per cent. War Loan (1946), £96 ss; 3 per cent. War Loan (1951-54), £97 10s; 3£ per cent. Development Loan (1956-59), £100; 31 per cent. (1957^60)*; £99 lQs, £99 ss; 4 per cent. (1943-46), £10110£; 4 per cent. (1946-49), £105; 4 per cent. (1948), £105 ss; 4 per cent. (1949-52), £106 ss, £105 17s 6d, £106 ss; 4 per cent" (1952-55), £106 12s 6d. Local body loan sales included 4J per cent. South Canterbury Power (1954), £108 2s 6d; 3i per cent Dunedin City (1954), £102, and 3£ per cent. Springs Power (1966), £100 10s.