REPORT FROM LONDON.

Feilding Star, Volume II, Issue 513, 26 March 1908, Page 4

REPORT FROM LONDON.

Messrs Barraud and "Abraham's London agents (Messrs R. T. Turnbull and Go.) report on February 14. — T ho failure of Sir James Laing and Co., tho shipbuilders, whose firm was late'Jy so prominent in connection with tlie proposed new steamship line for Australia, caused considerable surprise, but it appears that their difficulties have arisen from matters outside the shipbuilding business, and does not imply that general weakness exists in that trade ; at the same time builders a>i-e not so busy as they were, and a good many men have been already thrown out of employment. Tho threatened difficulties in the cotton trado havo fortunately been overcome, hut differences between masters and men have arisen in tho potteries. At the first series of this year's public sales of colonial wool (January 21 to February 7) Home and Continental buyers were in good attendance throughout, but American representatives were fewer than at this time a year ago. At the opening, merinos and fino crossbreds were found to l>e most in favour and continued so, finishing up with tho former a trifle higher than in December, and the latter at par. On the other hand, greasy merinos of short staple and Ir-ilty, or heavy in condition, declined at first, about 5 per cent, but vej'ivirtd a lMle towards tho close, while seourod wore geno ally in buyers' fa wir. Alediur.i and coarse crossbreds oe^an wth a de. lino of 2£ per cent, meuurr.s occasionally 5 per cent, and f.s mo nays went on. they fell still further, wn.i a bhg/it recovery upon those suitable tor America, which rallied them somewhat dining the last few days, the final quotations being about 10 per cent on coarso snd 12-J on ordinary medium, below tho . previous sales rates. The condition of tho New Zealand woolls seen so far does not show much improvement upon tho preceding clip, and this no doubt had its effect on buyers, especially for American .requirements, who were very particular in selecting tho lots they bid for. . „ Although the easo in the money market seemed to encourage the hope that prices all round would at least show steadiness, it is undoubtedly the case that tho financial strain of the last threo months of 1907 has not yet been overcome. In America, tho atmosphero in the upper circles of finance seems clearer, but tho smaller institutions aro having a very anxious time while many industries are still suffering. In Germany, top, the position both financially and industrially is not easy. Spinners in lorkshne find it dicult to secure -new orders (i any weight for thoso yarns which Germany especially takes, and this tolls on tho crossbred wools. Still, there is no reason for pessimism; given a little inoro time far tho effects of cheaper money to assert themselves, tbe inherently healthy state of the woollen trade may bo expect ed to have a good influence on the raw material all round. Fashion has been surely turning in favour of softer and finer fabrics, and tho demand tor wool to suit this was felt whenever tho serins opened. Tho coarser fibre, howevei, i* liiiely to be in larger supply.