WOOL MARKETS

Gisborne Times, Volume LXXXIII, Issue 12735, 16 December 1935, Page 2

WOOL MARKETS

PROSPECTS OF STEADY SELLING

RAW MATERIAL WANTED

In the last lew years there have been so many disappointing reactions, following- closely on encouraging wool market developments that experienced men have hesitated to express confidence in the outlook.

It will he recalled that frequently since 192 S the demand for the raw material seemed to bo increasing, and there were times when supplies appeared to be short of probable requirements. Price increases were then ex-

pected- Much speculation occurred inconsequence. Bufl'or three or four years the period of very low values persisted. Then there was a sudden un-predicted rise, and good prices continued for about nine months, but to the disnn\y of growers and the trade in general, iwool again fell to the disastrous values -of 1931 and 1932. No explanation can he advanced for the comparative boom of the 1933-34 season. Nor can the specialists tell us why wool prices were often lowest during the depression years at times when the statistical position of raw. wool see lined to be favorable and the demand fairly satisfactory. The vagaries of the wool market have been profound indeed. At present, however, the most experienced wool men—iwho are the mostreticent when it comes to discussing t-he outlook—quite cheerfully assert that good prices have come to- stay lor a season. A buoyant market in London has dispelled any lingering .'ears of a set back. Stocks are light and every manufacturing country wants- wool. Even the tariff harriers of the United States arc- not high enough to keep wool imports •out. So there -are good grounds for satisfaction in the situation and the outlook. At the same time, although wool is not yet too dear, any material increase might bring the commodity into the- danger zone.