STOCK EXCHANGE

Hawera Star, Volume XLVIII, 18 August 1924, Page 5

STOCK EXCHANGE

OPTIMISTIC TONE. TRADE PROSPECTS BRIGHTER. DEMAND FOR BUTTER BRISK. 87 CABLE—PRESS ASSOCIATION—COPYRIGHT. LONDON, Aug. 16. A holiday feeling prevails on the Stock Exchange ami conditions are very quiet except, for a little activity in some more speculative sections. The general tone is quite optimistic, regarding the result of the London Conference, and this view has been reflected in an appreciation in the sterling exchange, in New York. This had a stimulating effect on gilt-edged securities, enabling them to withstand the effects of the stringency in money and the markets closed with gilt-edged securities firmer all round. The prospect of the success of the conference also caused an improvement in German bonds.

Regarding trade prospects, The Statist, in a half-yearly review, says the general outlook for British business is brighter than at any time since the commencement of the depression'in 1920, mainly because of the favourable development of the past half-year in the field of European reconstruction, in addition to the financial recovery of Hungary and Poland and the undoubted improvement in the financial conditions of many other of the Continental nations. There is the outstanding fact that the desire for peace has at last been established in the long-standing and eqibittered reparations struggle, which so far has blocked all comprehensive plans for European reconstruction.,-

The Statist admits that it is true that- there are other elements in the political situation less favourable, and mentions among others the troubles regarding Russia, Mexico, India, East Africa, the. Sudan and Mesopotamia; also that the business situation here is stagnant, part of the very pronounced improvement which commenced last September having been lost during recent months. This setback, however, appears only temporary, and, given an assured settlement of the reparations question, there i's practically certain, to be a fresh improvement in the closing months of the year.

Dried fruits are meeting with a better demand, but the market for Greek currants is unsettled after a sharp advance, due, to speculative buying owing to reports that rain hail damaged the crop. A possible imposition of an export duty of 10 per cent, on shippers has been withdrawn. All the new 7 season’s quotations for Australians advanced in prices, choice selling at 66s to 68s. These are scarce in bulk offerings, for which 50s to 52s for medium and 54s for Australians are quoted. Sultanas are in large supply, and are meeting with a good demand. Quotations are: Choice 55s to 58s, medium 53s to 555, poor 50s to 525. New arrivals (Lexlas) are selling freely at 46s to 50s.

The demand for butter continues brisk, and though the. imports during July amounted to 443,41 Bcwt., which is 24,000 cwt. above the figures for July, 1923, prices continue to harden. Apparently new arrivals have been well absorbed,' in addition to a quantity of cold stored stocks. Germany is still buying freely Esthonia and Latvian, and also Danish, enabling the Danes to raise prices. Retailers here have advanced prices to Is Hid, 2s and 2s 2d a pound, according to quality, and this may affect the consumption, especially as the margarine manufacturers are taking advantage of the dearness of butter to push their, article to the utmost.

According to one of the wine trade newspapers, the Wembley Exhibition is helping the sale of Empire wines in a gratifying way. A prominent, trader informs the newspaper that since the exhibition got fully into its stride his sales of Empire wines increased by leaps and bounds, with a. ■corresponding drop in French wines. In this connection it is interesting to note, that though the July imports of Australian wines were small, the imports for the first seven months of the year were 495,249 gallons, whieh is nearly 150,009 gallons in excess of the same period of last year.