MONEY MARKET.

Gisborne Times, Volume LXVIII, Issue 10724, 23 October 1928, Page 6

MONEY MARKET.

STRONG TONE IN INVESTMENT

SECTIONS

SEVEN OR EIGHT NEW PROSPECTUSES EACH DAY,

ANGLO-PERSIAN PAYS 74

PER CENT.

United Press Assn, by El. Tel. Copyright (Australian Press Association.) LONDON Oct. 21..

A feature of the Stuck Exchange during the last few weeks has been the wonderful strength of purely investment sections of the market, notably gilt-edgeds, with the 5 per cent, war loan leading, in spite of counter-attractions, of a more speculative character, of which the Hood of new issues continues. Every day sees the publication of seven or eight new prospectuses, mostly more or less speculative, and dealing with all sorts of commodities, r align]g from gramophones to disinfectants. Most of these have been fully applied for, notably gramophone issues. This week’s public issues total just under £9,500,000, bringing the year’s aggregate to £57,195,000. Commenting on this state of affairs tho financial editor of the Spectator points out: “D tiring the past seven years the capital value of 305 representative securities selected' by the Bankers’ Magazine has appreciated by no less than £1,500.000,000. Therefore, it is scarcely surprising in view of .the talk of depression in certain heavy industries and the great volume of unemployment, _ that a question-, constantly asked is: Where does the money come -from?” A considerable sensation was caused last March when the directors of the Anglo-Persian Oil Co. decided not to pay an interim dividend, and refer the question until - the full year’s accounts were available. It is now announced that a dividend of 7-J per cent, for the year will be paid, compared with 12; per cent. last year. This will come as a relief, for nobody had expected more than 3 per cent., and there were, some pessimists who expected less, or even nothing. JLt is interesting to note that the British Government holds 7,500,000 shares in the. Anglo-Pors-lan Co., on which it will receive £562.500 in dividends. As the Government investment cost only £5,000,000, tins is a good return. WINE TRADE IN DEPRESSED CONDITION. The wine trade discloses a generally depressed condition, and both the imports and consumption of wine from all sources show a serious de-c-lint. This particularly applies to Australia, which is suffering severely from the combined effects of the reduced export bounty and the increased import duty here. In September, 1927, imports" of Australian wine amounted to 783,311 gallons. Last month they were only 45,517. During- the first nine months of 1927 Australian imports totalled 3.127,281 gallons. For the corresponding period of 192 S they were 1,511,305. AUSTRALIAN EGGS. The first arrivals of Australian eggs have not met with a satisfactory market as supplies from all sources are plentiful. Consequently the best price obtainable for Australian imports is about 17s 6d per 120. Importers have not been pushing sales as they hope the market will improve as the weather becomes colder and home and- Continental .supplies get smaller. Already Danish production is showing a considerable decrease, and ‘importers are expecting an early improvement in prices.