MONEY AND MARKETS

Evening Star, Issue 20167, 6 May 1929, Page 2

MONEY AND MARKETS

STOCK EXCHANGE DULL REDUCTION IN BANK RATE DISCUSSED IMPROVEMENT IX APPLE TRADE. Press Association—By Telegraph—Copyright. LONDON, May 4. (Received .May 6, at 8.5 a.in.) The condition of flic Stock Exchange docs not show any change, and dullness characterises most of the markets. The political situations, both* at home and abroad, arc having the effect of restraining business. The prices of gilt-edged securities arc generally well maintained, especially colonial stocks. The steady increase in the Rank of England’s stock of gold, which is now more than £8,000.000 in excess of what it was when the bank rate was- raised in Feb- * rnary, lias had the effect, of improving investment securities, and as the stock will be further increased next week hy the arrival of .1,000.000 sovereigns from Australia, the position is regarded so satisfactory that some people arc talking of the possibility of a reduction in the bank rate in the not distant future. Sncli a reduction is very desirable in the interests of prospective borrowers, notably Queensland, which has £l-,000,000 i)J per cent, maturing on July .1, Tile arrangements for a con version loan for this amount must be made shortly. The success of the Melbourne Hoard of Works loan received | the most favourable newspaper com- | incut. THE APPLE MARKET. The apple trade is showing signs of improvement here and at Hamburg, ns American supplies arc beginning to decrease. and there is a prospect of Australian and New /calami fruit mooting with be 11 or demand. There are '-till Marge quantit ics arriving at British pons, the total for the week (Milling May 7 from (..'ainula, the United Stall's. New Zealand. Australia, and .South Africa aggregating 295, DUO cases. After | that supplies will lie smaller, only 116,l!(It) cases being due lor the week ending May 1 !. The quality of the apples now coming limn Australia and New /calami is considerably betler than (hat of the first arrivals, particularly as regards colour. This ought to have a good effect on the trade. The most satisfactory feature of the fruit trade is the strong demand for pears. Australia and New Zealand have the market practically to themselves, for South African .supplies are rapidly diminishing; conscnucnl !y there is keen competition for all good pears, and high prices are being made. The Harrabool landed her 18, 558 packages of Western Australian fruit in excellent, condition. One lending importer described this cargo as one d the lie-l he has seen from Australia. Some fetched as much as ‘2os and 22s (id lot-hall-cases and other sorts sold correspondingly well. Tills shipment ought to give a prolitable return to exporters. THE WOOI, THAI)!',. Discussing the, wool position, tile ‘Economist's’ correspondent says that the trend ol events at the London wool sales is helping to stabilise the. position in a fairly encouraging fa-liiun. Some difficulty is admittedly being found in disposing of second-hand oflcrings, and it is in these that there is any decline. Cross-brcds are being bought Ircciy by Home and Coni menial buyers, and. in spile of the fact that this description (onus the major portion of the oflcrings. greasies are not showing any appreciable decline compared will the last ■series of sales. During the whole time business lias been comparatively quiet in merino tops. {.,'m.ss-brcds have been selling steadily, and Ibe out look tor ibis description is [airly good. HITLER IMPBOVES. The. butter trade experienced a welcome improveincnv in the demand this week. Hnsiiicss during the la>t few days has been quite active, 'i here are hopes that this slate of affairs will bo maintained for some time, lor neither stocks here nor the quantities alloat are heavy, and a continuance ol the cold dry weather in England. Ireland, and on the Continent is retarding grass production; consequently the output ol Imlier is considerably smaller than is usual at this time of the year.— Australian Press Association.