TRADE REVIEW

Hawera Star, Volume XLVIII, 21 July 1924, Page 5

TRADE REVIEW

BETTER TONE

BY CABLE —PRESS ASSOCIATION—COPYRIGHT LONDON, July 19. Apprehension of an early rise in the bank rate having apparently passed away, a better tone has shown itself on the S.tock Exchange, and the gilt-edged market is recovering from the recent depression. The unexpected revolutionary outbreak in Brazil had. a somewhat disturbing effect, but this has been counterbalanced by the removal of the fears of dearer money, the improvement in the sterling exchange with America, and the prospect that the Loiidon Conference of Premiers will improve the international political situ, ation. These factors brought about some revival of confidence, and the tone of the gilt-edged market is distinctly firmer, although there is no great activity. An improvement is noticeable in war loans, conversion loans, and also in the scrips of several recent colonial issues. A satisfactory incident has been the placing privately of £1,000,000 in New Zealand 4£ per cent, stock at 95, on the same terms as the £5,000,000 loan was floated in May. This £1,000,000 was placed without affecting the market in any way, and its sale shows how easily the market can absorb large issues of capital of this sort. But while giltedged stocks are firm, other securities have not been well supported, and several recent capital issues of industrial companies have not been fully subscribed. The foreign exchange market has been somewhat unsettled, with considerable fluctuation in the dollar exchange. But a strong rally ha s set in, and the rate to-dav is firm at just under 438 cents. One cause is the large American demand for sterling in connection with the big flow of American visitors to Europe. Colonial butter prices are well maintained, although Danish is weaker, owing to the absence of a demand from Germany. Our supplies of best butter are beginning to decline, as usual at this time of the year, but it is expected that prices for these will not go lower, increasing quantities are coming from Siberia. Imports recently have been about 15,000 to 29,000 casks weekly, and 100,000 casks are due next week. The quality of this butter is greatly improved, and it is affecting the prices of lower grade butters, some buyers taking it instead of Irish. The colonial apple market continues very firm, especially for hard keeping varieties. The prices paid are surprisingly high, considering that Covent Garden and other markets are heavily supplied with Continental small fruits. One reason for the firmness is undoubtedly the demand caused by hosts of visitors to London, and another is that the English apple cron is expected to be small owing to disease, and many fruiterers are passing sturmers to store for autumn requirements. Yet another reason is that the apple-eating habit is steadily growing, due, in the opinion of fnany people, ~to the advertising p/onaganda now being carried out by the Dominions and by other exporting countries. The most remarkable feature of the apple trade is the high prices realised for blemished Tasmanian Stunners. Many of these have a most unsightly appearance, being almost covered with -black spot, yet thev are realising up to 16s 6d a case. Opinions may differ as to whether apples' of this sort are a good advertisement for Australia, but the fact that they are selling so well disarms criticism regarding the wisdom of shipping them. It must, however, be remembered that this is an abnormal year, for the reasons already mentioned, .and. that the prices now being realised probably constitute a re. cord for the third week in Julv.