CHEERFUL TONE RULES

Hawera Star, Volume LIII, 2 October 1933, Page 7

CHEERFUL TONE RULES

BRITAIN’S TRADE OUTLOOK

SIGNS ON STOCK EXCHANGE. | PRIMARY PRODUCERS’ POSITION’ IM PR OVEM’ENT INDICATED. (United Press Association —By electric Telegraph Copyright.) Received 11.50 a.m. to-day. LONDON, Sept. 30. The commercial summary shows that the Stock Exchange maintains a cheerful tone in aIL departments, thanks to the number of favourable influences, notably the good reception of the new conversion loan and the brilliant success of the Commonwealth issue which is reflected in the firmness of gilt edgeds, while industrials have benefited by the signing of the AngloArgentine trade agreement and a rise in the prices' of numerous commodities, notably rubber, which advanced sharply on the appointment of the restriction committee to collaborate with the Dutch. It now is. believed there is a good chance of the restriction .scheme being enforced next spring. This caused a boom in rubber shares, several qf which advanced about 20 per cent, in the week. Cabled news from Canberra that, another Commonwealth conversion loan is pending is not .surprising in view of this week’s .successful operation, but some doubt exists as to whether it can be done just yet. It is understood South Africa has a prior claim to convert about- £15,000,000. Also, as the “Morning Post” points out, having regard to the fact that there is a large call of 93 per cent, on the last loan due on October 30, there is something to be said for a pause before the next conversion operation is attempted, especially as far as can be seen at present, there is no reason to anticipate any set back in trustee securities.

Describing the state of trade the “Economist’s” monthly review says: “Although the latest evidence of the trend of industrial and commercial activity at Home and abroad remains encouraging, it would be idle to deny that the path to prosperity is still long and thorny. Nevertheless, it now seems almost beyond doubt that the trade cycle is on an upward movement and will icome through the holiday period without -serious mishap. Progress is slow in many elements. The political and economic -situations remain obscure, but there is ground for hope in the absence of further deterioration in the United States, and a further aggravation of political difficulties in Europe that the improvement in the world economic- -situation will continue in the near future.” The revival of the world’,s industrial activity has been accompanied by an improvement in the position of a large section of primary producers. With few exceptions the output of industrial raw materials does not now exceed the current consumption at the prevailing level of prices. In many cases stocks' accumulated in recent years had begun to decline. The butter market had a slight set back due to a -slackening of the demand from buyers who recently had been purchas-ing-heavily and now are holding off sales, Australian has -been so good lately that practically nothing is left on importers’ hands. There is, however, probably a considerable quantity in cold iftore belonging to the big wholesalers who are buying all through the season.

Among the Australian food products now coming into favour are sheeps’ and calves’ tongues in glass jars, which the New South Wales and South Australian Agencies General are displaying at Australia House. They are attractively got up and are meeting a steadily increasing demand. Another line recently* introduced, stewed rabbit with vegetables in glass jars, is also proving so popular that large consignments have been ordered. The trade in frozen rabbits has been brisk and now the season is in full swing. The prospects of Australian egg trade in the immediate future are not regarded a.s bright as 61,000 cases, nearly 22,000,000 eggs, are due to arrive within a fortnight.