MONEY AND TRADE

Evening Star, Issue 17968, 15 May 1922, Page 7

MONEY AND TRADE

fOSITION IN BRITAIN.

STfIIITHIGHTLY REVIEW.

TOMCr .VERY STRONG.

market unsatisfactory,

tpui-iAMOCUMoa—By Tolcjraph—CopyiigW,

LONDON, May 13. (Received May 15, at 8.5 a.in.)

Iniflraatlonal politics had a somewhat tl&arbing offset on tho Stock Exchange early in the week, but the denials by AllIffoyd Qoorgo and M. Barthou of tho Sensational reports of the rupture of the Ifintonto quickly dissipated tho feeling of Wneaakcss, and there is now a distinct disposition to tako a hopeful view'. Business certainly has been on a reduced scale, put no weakness was apparent anywhere, apd gilt-edged stocks dosed quite firm, {with colonial scrip tending upwards. Homo pecorltles, especially railways, received encouragement from*tho confident tone of the speech delivered by Mr Baldwin (President of the Board of Trade) on tPhnrsday, but industrial stocks have not yet shown increased activity. Wiielo.-.s pharos axe a notable exception, there being & strong demand and rising prices, doubtless owing to recent^ wireless and telejphona development. The money market is still plentifully puppUed, and rumors are again current that tho ‘Government is likely to take advantage of tho present position to issue p large funding loan in tli» comparatively hear future. Apart from £260,000,000 now under tho process of conversion, and large Bums outstanding in Treasury bilie, the Government has to deal with about £500,000,000, of debt which will mature within the next five years, and there is also £2,000,000,000 of 5 per cent, war loan. It is suggested that tho Government’s pending proposal will offer holders of war loan scrip an opportunity to exchange into some longer-dated loan. There is not the slightest sign of any reaction in wool, and it is expected that the present sides will dose on Thursday with prices alt the highest point. Surprise re expressed at this strength, considering that the manufacturing end of tho trade is by no means confident, but there is a, strong speculative spirit abroad in the raw material market, induced, apparently, by the expectation of the early passage of the new United States Tariff Bill and tho hope that tho Genoa, discussions will open channels for the export of large quantities to Russia, The latter factor, however, is largely responsible for tho recent appreciation of low and medium qualities. Tho position of the apple trade is causing some anxiety among importers, During the last upwards of 400,000 oases of Australian and New Zealand apples arrived, of which some •were decidedly in an unsatisfactory condition, causing buyers to exercise much caution. It is also stated there were some weak holders, who were compelled to clean their stocks at prices below tho proper market rates. Fortunately no further arrivals are duo for about ten days, and tho importers hope that the market ■will bo cleared before turn, and that buyers will be keen again. Tho weather conditions are cold, and all the European fruits are very backward, so that things ought to improve for tho latter half of the Australian season if only the apples come in good condition. Further instances are reported of apples which externally appeared sound turning brown inside, tho last case being that of the Fort Sydney’s consignment, of which the insurance surveyors bad examined a, considerable quantity, with unsatisfactory results. • There is much controversy regarding tho cause. The shipowners contend that it is duo to inherent vice in the apples, and is not due to any fault in the ships. Some Importers assert that it is duo to too close stowage, or to the non-circulation of air in the holds, pointing out that the trouble occurred m certain vessels only, whereas fruits shipped in other vessels at tlie same time and from the same orchards arrived in perfectly good condition. Tho matter is regarded as serious, as it ia likely to cause tho underwriters to increase their premiums or to refuse apple risks altogether.—A. and N.Z. Cable.