Commerce, Mining, & Finance

Evening Star, Issue 22475, 21 October 1936, Page 9

Commerce, Mining, & Finance

THE SHARE MARKET DUNEDIN STOCK EXCHANGE WEAKENING OF GOVERNMENT LOANS The effect of the Government’s conversion scheme has been to cause a decided weakening of the market for Government Loans, particularly the short-dated ones, which investors feel will ultimately suffer the same fate as the 1937-40 issues. To the holders of Government scrip the new rate of interest being offered is obviously unattractive compared with the higher retgrn seourable from Commonwealth Government securities. It would not be surprising, therefore, to find trustee companies, who are big holders of Government loans, investing their funds over the Tasman. Whilst the market for Government loans has suffered a sudden reverse, there has been a definitely stronger tone apparent in practically all other sections of the market. Trading this morning was particularly active, no fewer than 10 sales being recorded, though Australian securities continued to provide the bulk of the business. Bank of New Zealands maintained yesterday’s sharp rise, four parcels changing hands at the unchanged price of 425. Commercial Banks again had improved inquiry, with sellers a shade firmer at 18s 7d. New South Wales also continued firm, with unsupplied buyers at £33, while B.S. and A.’s came into favour again with buyers at £5 14s, and no apparent seller. This bank is expected to benefit from the recent rises in the market for base metals. Insurance shares, which have been dull for some time, had improved inquiry, while in the meat sections Refrigeratings continued to attract increasing support. With the exception of Dalgetys and Goldsbrough, Morts, both of which gained ground, little interest was manifested in financial and pastoral shares. In the coal section Kaitangatas had the first seller in months at the high price of 265, while Westports were inclined to ease. Australian industrials continued to attract the keenest support from investors. Buyers renewed their inquiry for Australian Glass and only 9d separated the quotations. ' British Tobaccos regained practically all of their sudden loss after their recent sharp rise, and the Broken Hill issues continued to soar to new heights, with sales of both issues at increased rates. There was a much wider assortment of unlisted stocks quoted, though the greatest interest continued to be manifested in chain stores. Edments Ltd., a new-comer to the local market, is a Melbourne chain store company, for which buyers are offering 37s without response. Woolworths (Sydney) ordinaries suffered a slight loss since yesterday, being sold in favour, of buyers at £5 16s. Selfridges had good inquiry, with sellers 2s away, while the market for Shillings Ltd. remained firm, with sellers asking Is 6d premium. Quartz Mountain shares had a wide market, interest in this issue being stimulated by the expectation of the announcement of the company’s first crushing. Once again Australian mining issues experienced sharp rises. Electrolytic Zincs were in particularly strong favour, both issues recording gains of about 2s. Mount Morgans also joined in the upward swing this morning, buyers offering 6d more at 14s 7d, with sellers still 3d away. SALES REPORTED. Bank of New Zealand, £2 2s. Broken Hill Proprietary, £4 Os fid. Broken Hill Proprietary (cont.), £3 Os 10 Jd. Mount Lyell, £1 13s sd, SALE ON ’CHANGE. N.Z. Refrigerating (cont.), 9s 6d. SALES'AFTER CALL. Bank of New Zealand, £2 2s (three). Goldsbrough, Mort, £1 14s 2d. Woolworths (Sydney), £5 16s. Quotations as under:—

DIVIDENDS DUE South British Insurance—Final Is 4d per share,, or 13 1-3 per cent, per annum Oct. 22 Argo Dredge—ld a share Oct. 22 United Provisions Pref. halfyearly, at 8 per cent, per annum, ord. 2 per cont. per * annum • Oct. 30 N.Z. Guarantee Corporation—Final, 2d a share, 9 13-18 per cent. annum ... Oct. 30 British Tobacco (Aust.) Ltd.— pref., quarterly at 6£ per cent. per annum ... ... Oct. 31 D.l.C.—Final, ord. 6 per cent, per annum; pref., 5 per cent, per annum '.. Nov. 2 Imperial Chemical Industries Ltd. —lnterim, 2j per cent., on ordinary share ... Nov. 2 Martha (Waihi) Mine —Interim of Is a share Nov. 3 Bruce Woollen —Ord., 3 per cent., Nov. 18 FOREIGN EXCHANGES OK NEW ZEALAND CURRENCY BASIS The Bank of New South Wales, Dunedin, quoted the following rates for purchase and sales of foreign exchange (all rates subject to alteration without notice): —

AUSTRALIAN STOCK EXCHANGES Pren Association—By Telegraph—Copyright SYDNEY, October 20. Investment shares were strongly supported on the Stock Exchange to-day, and Broken Hills touched new high levels. r> „ a

BRUNNER GOLLERIES LTD. SMALLER LOSS RECORDED The directors of Brunner Collieries Ltd., with a capital of £IOO,OOO, report as follows for the year ended June 30:— After making provision for debenture interest (£1,915) and depreciation (£1,633), the year’s operations show a loss of £765, which has been carried to profit and loss appropriation account. The result is an improvement upon the previous year, when the loss was £l,BlB. The sales were 43,935 tons, as compared with 44,027 _ tons for the previous period. While the daily output has shown an improvement, the total result lias been affected by loss of working days and through shipping delays, labour stoppages, etc. Increase in working costs through recent legislation has been offset to some extent by an increase in prices, and it is hoped that the company’s mine will benefit from the Government’s declared policy of stimulating consumption of New Zealand coal. If the mine could be kept working full time profits would be assured. Additions to plant totalled £I,OOO during the year, the new haulage system having been completed. Other items in the balance sheet show; little variation from last year. BANK OF ADELAIDE INTERIM DIVIDEND The directors of the Bank of Adelaide have declared an interim dividend of 4 per cent, per annum on paid-up capital for the half-year ended September 28. The dividend is payable on November 4.

VALUABLE CRAFT THE DECAY OF FIBRE INDUSTRY AN EXPERT’S ADVICE [Per United Press Association.] WELLINGTON, October 20. “ I sec no reason why a crop of 50.000 tons of plionuium should not be harvested within 15 years, but certain changes would have to bo introduced, said Mr Alfred Wigglesworth, of London, an authority on the fibre industry, who is visiting Wellington. Mr Wigglesworth, who is intimately connected with sisal production in East Africa, has been invited by tho New Zealand High Commissioner in London to investigate the flax industry. Thirty years ago, he said, New Zealand exported some 30,000 tons of phormium, but to-day the figure barely reached 4,000 tons. JBy way of comparison East Africa in 1921 shipped 3,000 tons, but last year the quantity reached 120.000 tons, due to the complete remodelling of the industry. “I can find no evidence of similar technical progress in the phormium industry, which apparently stands approximately where it stood. 30 3 r ears ago,” Mr Wigglesworth said. “Indeed, the leaf employed appears to have deteriorated seriously, producing so. small, a percentage of good quality that only the dregs remain to bp exported, all the good fibre being required to produce binder twine to harvest the home crops. The research work conducted at Massey College, where certain strains are yielding fibre of a quality that should permit a return to the high grades of past efforts, may well be applied to the production of superior fibre for export. The spinning machinery has recently _ undergone _ profound changes, and in this direction lies the economic success in tho production of improved phormium as a substitute for Italian or Hungarian hemp. Attractive coloured mats can be woven from phormium, but it is doubtful whether Now Zealand would not for the present be well advised to concentrate on the production of a large crop of superior fibre, reserving the experiments in manufacture for later years. By modernising the fibre industry a valuable indigenous craft would be revived, yielding a substantial income and finding employment for many men. LDRNEVILLE STOCK SALE [Per United Press Association.] INVERCARGILL, October 20. There were improved markets for fat cattle and fat sheep at the weekly Lornoville stock market to-day. Good quality bullocks advanced in value by about 30s a head, and cows and heifers also improved. Eat wethers sold well, values being about Is 6d. a head better than those ruling last week. Operators were particularly interested in lightweight wethers. There wore not many ewes yarded, and they sold on a firm market. Fat Cattle.—Good quality made from £l2 15s to £l4; good quality handywoights, from £ll 5s to £l2 ss; and lighter weights, from £9 10s to £lO 10s. Prime quality heavy-weight cows made up to £ll 15s: prime quality, from £9 15s to £lO lUs; good quality, from £8 5s to £9 ss; medium quality, from £7 to £7 15s; and aged and inferior, from £4 10s to £6. Good quality handy-weight heifers brought from £8 10s to £9 12s 6d, and lighter weights from £7 5s to £B. Fat Sheep.—Prime quality wethers realised from 33s to 355; good quality, from 31s to 325; and lighter weights, from 28s 6d to 29s 6d. Prime quality young ewes sold at from 32s to 35s 9d; prime heavy-weights, from 27s to 295; good quality, from 2os to 26s 6d; medium, from 22s 6d to 245; and light and unfinished, down to 19s. Only three lambs were penned, and two of them, exceptionally good, brought 375. THE SEARCH FDR COLD MOSSY GREEK RETURN The Mossy Creek return for last week was 460 z 3dwt from 8,372yds after 123 hours’ dredging. GOLDEN POINT MINE NEW REEF DISCOVERED. Developmental work has been conducted during the last six_ months at the Golden Point quartz mine at Macrae’s Flat by New Zealand Mining Investment Ltd., which has secured an option over the property. Part of the development work was devoted to determining the existence of a third reef which was reported a number of years ago, but which more recent raining operations had not located. Word was received recently from the manager that a new reet had been discovered under the floor of the low level, a foot wide and carrying gold, but it was deemed inexpedient to report the matter until the permanence of the now lode was more definitely established. The reef has been driven on, and has swelled to 2ft, the average width being 18in, and it has risen to the floor level. Two assays taken disclosed values of 16dwt and 14dwt to the ton. Most of the shares of the Golden Point Company are held in Christchurch. ADDISON'S FLAT RETURN The Addison Flat sluicing claim return for the fortnight ended October 15 was 30oz lOdwt for 34 shifts. DOMINION RUBBER DIVIDEND At a meeting of the directors of the Dominion Rubber Company Ltd., held in Dunedin yesterday, an interim dividend at the rate of 2J- per cent, in respect of the half-year ended May 31 was declared. The dividend will be payable on October 27.

Buyers. Sellers £ s. d. £ s. d. BANKING— New South Wales ... 33 0 0 New Zealand 2 2 0 2 3 0 Commercial 0 18 4 0 18 7 E.S. and A. 5 14 0 — National of N.Z. ... 2 19 6 — INSURANCE— National 0 18 9 0 19 0 South British 4 9 0 — Standard — 3 2 0 .SHIPPING— P. and O. Deferred Stock 1 12 0 U.S.S. Co. (pref.) ... 1 6 3 — MEAT PRESERVING— N.Z. Refrigerating (paid) 0 19 3 N.Z. Refrigerating (cont.) 0 9 6 — LOAN AND AGENCY— Dalgety 9 0 0 9 5 0 Goldsbrough, Mort ... 1 14 0 1 14 4 National Mortgage — 2 11 0 N.Z. Guarantee Corporation 0 5 7 Perpetual Trustees ... — 3 4 0 Wright, Stephenson (ord.) 0 18 0 Wright, Stephenson (pref.) .-. — 0 19 6 COAL— Kaitangata 1 1 6 1 6 0 Westport — 1 3 0 GAS— Christchurch 1 7 0 — .WOOLLEN COMPANIES— Bruce (ord.) — 0 14 6 Kaiapoi (cont.) — 0 6 0 MISCELLANEOUS— Anthony Hordern ... 0 18 9 Associated News (pref.) 1 3 0 Australian Glass 4 14 9 4 15 6 Australian Iron and Steel (pref.) 1 6 6 British Tobacco 2 7 3 2 8 0 - Broken Hill Propty. 4 0 0 4 0 6 ‘ Broken Hill Propty. (cont.) 3 0 0 3 0 10 Brown, Ewing (ord.) 0 17 0 — Brown, Ewing (pref.) 1 2 3 — Consolidated Brick ... 0 10 0 — Crystal Ice Co 2 5 0 — D.I.C. (pref.) 1 3 6 — 0 Dominion Fertiliser ... 1 4 5 1 5 Dominion Rubber ... 1 5 6 1 8 6 Dunedin-Kaikorai Trams 2 0 0 Dunlop Perdriau Rubber ... 0 17 9 0 18 4 General Industries .... — 0 19 6 G. J. Coles ■ 3 15 6 — Hume Pipe 0 19 6 0 19 11 Milburn Lime and Cement ... 8 3 0 National Electric 0 14 6 0 15 3 N.Z. Newspapers .... — 2 0 6 N.Z. Paper Mills . ... 1 6 0 1 10 0 ‘ Otago Daily Times ’ — 2 6 0 Regent Theatre — 1 1 6 Wilson’s (N.Z.) Cement 1 16 9 Woolworths (ord.) ... — 6 3 0 BREWERIES— New Zealand 2 10 0 Dunedin 1 9 0 1 10 0 Tooth’s 2 15 6 — UNLISTED STOCKS— Assoc, Petrol (pref.) 1 6 0 Edments Ltd 1 17 0 — Woolworths, Sydney (ord.) 5 15 0 5 17 0 Otago Farmers’ Coop Were’s Trust (rights) 0 2 6 0 4 0 0 1 0 0 1 2 Quartz Mountain 0 2 7 0 6 0 New River Gold 0 0 7 Setfridgcs 1 13 0 1 15 0 Shillings Ltd. (£1) — 1 1 6

AUSTRALIAN MINING— Broken Hill South (£1) ... '. ... 6 17 0 Electro. Zinc (preL, £1) 2 10 0 2 12 0 Electro. Zinc (ord., £1) .. 2 8 6 2 10 0 Mount Lyell (£1) .. 1 13 1 1 13 9 Mount Morgan (2s 6d) ... 0 14 7 0 14 10 GOLD MINING— Argo Dredging (Is) ... 0 1 8 Big River (Is) 0 1 9 0 2 0 Central Shotover (Is) 0 0 5 Glutha River (2s) 0 2 6 Gillespie’s (Is) 0 1 5 0 1 61 Golden Progress (2s) 0 0 9 0 16 Goldfields Dredging (Is) __ o o King Solomon (Is) ... 0 0 6 — Lawson’s Flat (Is) ... — 0 0 5 Molyneux River (2s) 0 2 0 — Mossy Creek (Is) 0 1 3 — Nokomai (5s) 0 2 0 —. Okarito (5s) 0 3 0 0 4 9 Waipapa Beach (Is) 0 0 8 0 0 10 Waitahu (5s) — 0 2 3 N.Z. GOVERNMENT LOANS31 p.c. Stock, Nov., 1938-52 — 104 10 0 31 p.c. Stock, Mar., 1941-43 101 15 0 31 p.c. Stock, Sept., 1941-43 101 15 0 p.c. Stock, May, 1941-52 103 10 0 31 p.c. Stock, Nov., 1941-52 ... 103 10 0 4 p.c. Stock, 1937-40 4 p.c. Stock, 194346 10110 0 104 5 0 4 p.c. Bonds. 1952-55 105 15 0 4 p.c. Stock, 1952-55 105 15 0

London — £100 stir. N.Z. ... ... Buying. Selling. T.T. £124 £124 10/ O.D. £123 10/ £124 8/9 Australia— £A to £100 N.Z T.T. £101 £100 10/ Fiji— £F to £100 N.Z T.T £90 7/6 £89 New York— Dollars to £1 N.Z ... T.T. 3.95£ 3.91-J O.D. 3.96| 3.92i Montreal— Dollars to £1 N.Z ... T.T. 3.95i 3.91J O.D. 3.96| 3.92| Austria — Schillings to £1 N.Z ... T.T, — 20.57 O.D. — 20.59 Belgium— Belgas to £1 N.Z ... T.T. — 23.196 O.D. — 23.207 Czechoslovakia— Crowns to £1 N.Z ... T.T. — 109.95 O.D. — 110.00 Denmark— Kroner to £1 N.Z .. T.T. 18.203 17.893 O.D. 18.263 17.903 France— Francs to £1 N.Z ,... T.T. — 84.14 O.D. — 84.18 Germany Keichmarks to £1 N.Z ... T.T. — 9.693 O.D. — 9.698 Holland — Florins to £1 N.Z ... T.T. — 7.268 O.D. — 7.272 Italy— Lire to £1 N.Z ... T.T. — 74.38 O.D. — 74.43 Java— Florins to £1 N.Z ... T.T. — 7.258 O.D. — 7.262 Norway— Kroner to £1 N.Z .. T.T. 16.181 15.891 O.D. 16.241 15.901 Sweden— Kronor to £1 N.Z .. T.T. 15.785 15.490 O.D. 15.845 15.500 Switzerland— Francs to £1 N.Z ... T.T. — 17.003 O.D. — 17.008 Noumea— Francs to £1 N.Z ... T.T. — 82.77 O.D. — 82.83 Papeete— • Francs to £1 N.Z ... T.T. — 82.92 V O.D. — 82.98 Hongkong— N.Z. pence to 1 dollar ... . . T.T. 18 15-64 18 47-64 O.D. 18 13-64 18 23-32 India and CeylonN.Z. pence to 1 rupee ... . . T.T. 22 3-8 22 17-32 O.D. 22 11-32 22 41-64 J apan— N.Z. pence to 1 yen T.T. — 17 17-32 O.D. — 17 33-64 Shanghai— N.Z. pence to 1 dollar ... . . T.T. 17 47-64 18 15-64 Singapore— N.Z. pence to 1 dollar ... . O.D. 17 45-64 18 7-32 . T.T. 34 23-32 35 13-64 O.D. 34 5-8 35 5-16 Chefoo— N.Z. pence to dollar . T.T. 17 3-4 18 3-8 O.D. 17 45-64 18 23-64

Bank of New South Wales £ 35 s. 7 d. 6 Commercial Banking of Sydney 20 10 0 Union Bank 9 12 6 Colonial Sugar 43 15 0 United Insurance 11 10 0 Associated News ... ... 1 3 6 Australian Gas (A) ... 7 7 0 British Tobacco 2 8 3 Tooths ... 2 16 9 Carlton Brewery 3 8 0 Drug Houses 1 9 3 Australian Glass 4 16 6 Goldsbrough, Mort 1 14 n Wilcox, Mofflin ... ... 0 10 8 Electrolytic Zinc 2 8 6 Lustre 1 5 0 Amalgamated Wireless (cont.) ... o 2 6 Mauri Brothers 3 7 6 Waldas Shoes (New Zealand delivery) 2 0 0 Wunderlich 1 3 0 Edwards Dunlop ... ... 2 4 6 Mount Morgan ... ... 0 14 11 Mount Lyell 1 13 10J Broken Hill Proprietary 4 1 3 (New) 3 1 3 South Broken _ Hill ... 6 19 0 Zinc Corporation 4 19 6 Mandated Alluvial 0 16 0 Emperor 0 16 4’MELBOURNE, Octobe ■ 20. Industrials were firm. Barriers strong, andi bonds easier. £ s. d. Commercial Bank of Australia 0 18 8 National Bank (£10 paid) 14 15 0 Carlton Brewery 3 9 9 Colos 3 17 6 Australian Iron and Steel (pref.) ... 1 6 H Australian Glass 4 16 3 Dunlop Perdriau 0 18 3 Electrolytic Zinc 2 9 3 (Pref.) 2 11 9 Victoria Nyanza 0 13 11 Mount Morgan ... ... 0 14 10 • Mount Lyell 1 13 6 Broken Hill Proprietary 4 1 0 North Broken Hill ... 11 0 0 South Broken Hill ... 6 18 6 Emperor 0 16 3 Loloma ... 1 3 6 General Motors ... 1 4 3 Yarra Falls 2 0 3