TRADE IN BRITAIN

Evening Star, Issue 17956, 1 May 1922, Page 8

TRADE IN BRITAIN

STOCK EXCHANGE REPORTS CHECK. WOOL PROSPECTS GOOD. Press Association—By Telegraph—Copyright. LONDON, April 29. The Stock Exchange has been under the influence of a variety of adverse circumstances during the past week, notably the lack of progress at Iho Genoa Conference and tho nervous feeling arising from the disagreements there, the engineering crisis, the uncertainty regarding the Budget, and the deplorable events in Ireland. All these have contributed to a reactionary tendency in tho stock market, but there •have been no serious declines, and, though British gilt-edged stocks arc generally lower, colonial stock have displayed a number of substantial rises. Premiums on recent colonial issues, however, were not always maintained, ami the fact Unit New Zealand scrip is selling at half a crown discount is regarded in some quarters as indicating that things are not yet quite good enough to justify the colonics in placj rug 5 per cent, stacks on the market at I far. This temporary halt in the upward movement of securities, however, is_ hardly surprising, for the recent appreciation has been enormous. The tables of Stock Exchange values, published in tho 1 Bankers' Magazine,’ show that during the last live weeks 387 representative stocks have made a tola! gain in capital value of nearly £325,000,000, of which £177,000,000 are fixed interest stocks. Every one of the thirty-four different classes of securities show' an increase ranging from .8 per I cent, in electric lighting ami power combines to 19 per cent, in tramway and omnibus undertakings. The general impression is that the appreciation is likely to continue. Ono wellinformed authority writes Stagnant trade and cheap money seem likely to be the factors operating favorably for some weeks to come. Conditions seem favorable for a continuance of financial activity, and there will probably be a further rise in securities.” Tho prospects for the opening London wool sales appear very favorable There is a growing expectation that prices will show a further advance, probably from 5 to 10 per cent, in merinos and 5 per cent, in fine cross-breds, with medium and low cross-breds firm at late rates. Tho market for merinos is expected to bo strong for some weeks, as United Stales buyers are expected to operate more freely in tho near future, and good l combing merinos aro being consumed faster than they can bo produced. Eirm rates aro likely to continue till tho new clip appears, when there may bo some falling off. Tops continue to harden. Some makers aro so heavily sold forward that they are not accepting n«w orders, and are generally asking a penny advance on last week for merino tops. Orders for yarns aro increasing. Tho spinners aro enjoying a. larger turnover and commanding butler prices. There is more activity in all sections of the cloth trade,, but the export trade is muck bettor than the home trade. Some fears are expressed that tho high prices may cripple trade at the manufacturers’ eiui, and at present there is no advance in tho price of cloth commensurate with tho rises in wool Lops and yarns. It is pointed out that tho prices of tops now average 65 per cent, above pre-war levels, 70 T s quality showing an advance of 100 per cent. The cheese market is in a peculiar position, for though thcic is no undue accumulation of stocks, and prospective arrivals are moderate, trade is almost at a standstill, retail prices for tho best New Zealand being reduced to lid, without stimulating sales. The only explanation offered is that the unusually cold weather is causing people to piefer meat to cheese. With a return to normal spring temperature tho demand would improve. The apple market his been somewhat affected by two bad cargoes, but all good fruit is selling well. The feature is the largo Continental demand, especially for Cleopatras. Now that no cargoes are going to Hamburg all Scandinavian needs must be filled from England : hence there is a good market at Hull,—A, and N.Z. Cable.