Money and Markets

Hawke's Bay Tribune, Volume XXII, Issue 268, 27 October 1932, Page 10

Money and Markets

Review for Business Men

THE OUTLOOK

INDUSTRIAL AND FINANCIAL FLUCTUATING MARKETS. GOLD-MINING BOOM. (Special to “Tribune.”) (By “Noon Call.”) Auckland, Oct. 27. The financial and industrial outlook continues rather unsettled, with many markets fluctuating rather widely. Across the Tasman there has been a steady depreciation in the market for better class securities, many of which are traded in on the New Zealand Exchange. At several company annual meetings in Sydney and Melbourne recently optimistic references have been made regarding the future of Australia and the improved tone of commerce generally.

The following table shows the advances made in the sale prices of leading Australian issues on New Zealand Stock Exchanges 'during the past twelve months: — Last A year Sale. Ago, £sd £ s d Australian Glass .. 119 6 15 6 British Tobacco .. 112 3 1 4 1 Colonial Sugar .. 50 0 0 36 5 0 Goldsbrough Mort. 14 4 13 0 Elec. Zinc (pref.) 16 7 16 3 Tooth’s 1 12 9 19 10 Cause for optimism is also shown by the aggregate figures of the September quarterly returns of banks trading in Victoria. These figures, states the Melbourne “Argus,” indicate some improvement in the trading position. In spite of all this, however, there is not the buoyancy in the investment market the more optimistic had hoped for. Further, if other years are to be taken as a guide no great improvement can be looked for until after the holidays, as from the end of six months onwards those with money to invest will think more of what they are going to do at Christmas time than of seeking new avenues for investment. INTEREST IN GOLD. Interest in gold-mining appears to be world-wide. In New Zealand several big finds are reported, and the outlook has not been so encouraging for many years. Overseas in Australia there has also been a great increase in the amount of attention given to gold-mining, low grade areas receiving attention as well as new fields, which are being prospected freely. New discoveries have also been made in Africa, where an increasing number of diggers and prospectors are finding employment. An interesting balance-sheet published during the week was that of Shetland and Company, Limited. This company showed a net profit of £13,000 compared with £4,000 last year, and paid a dividend of six per cent, on both issues of shares; leaving over £3,000 to be carried forward into next year’s account. As this company deals in a wide range of agency lines some indication of the general state of trade in New Zealand can be taken from a review of its accounts. AUSTRALIAN BANK DIVIDENDS. Australian banks have not finished reducing dividends, for the interim rate announced by the National of Australasia has been reduced to two and a half per cent., compared with three per cent, for last year. For many years this bank paid a regular five per cent, to shareholders halfyearly. It is difficult to advise as to the best investments to-day. Government securities are certainly safest, but with them there is a tendency to believe

that the temptation to interfere with interest rates proves too strong for the Government from time to time. Thus the investor is tending to pay more and more attention to shares in sound industrial companies, with the result that on to-day’s market many of these offer only a very small return to the investor. This can be seen from the range of securities given below where the return based on the latest dividend is also shown: —

STEELING EXCHANGES. British Official Wireless Service. Rugby, Oct. 25. The following, quotations of are current to-dav compared with those of October 24 and par:— * Par Oct. 24 Oct. 25 Paris. It « 4 124.21 84} 84 N.I. dol. to £ 4.86} 3.32} 3.30} Montreal, dol. to £ 4.86} 3.60} 3.00} Brussels. bet. to £ 35.01 23 23-32 23.72} Geneva, tr to £ 25.225 17.20} 17.09} Ast-dam, S to £ 12.187 8.26 8.19} Milan, Uro to £ 92.46 55 (434 Berlin, sake, to £ 20.43 13.99} 13.88} St'holm. knr to £ 18.159 19.16 C’hagen, knr. to £ 18.159 19'23} 19'20 Oslo. knr. to £ 18.159 195 19.55 Vienna, schgs. to £ 34.585 29* 28}* Prague, knr to £ 154.25 112 111} Hel'fors, mks. to £ 193.25 229} 230 Madrid, pes to £ 25.225 40} 40} Lisboa, esc to £ 4.50 hq 109} Athena draoh. to £ 375 575 575 Bucharest, lei. to £ 813.60 57 q 555 Belgrade, din. to £ 276.31 257} 250 Bio de p. to mil 16.70 sj» 5 9.32 M. Video, p. to peso 51 jqs Bombay, p, to rap. II 131144 ig 11-60 Shanghai, p to tael - 217-16 2111,16 H. Kong, p. to doL - i 6 j 157.15 Y'hama. p. to yen. 24.582 153.15 157-15 ‘Nominal THE PRICE OF SILVER. British Official Wireless Service. Rugby, Oct. 25. Silver is quoted at spot 1/6 and forward l/6}d. |the price or gold London, Oct. 26. The price of gold is £6 5s 4}d an ox. BASE METAL QUOTATIONS London, Oct. 26. The official London (middle) quotations for to-day compare as follow with

AUSTRALIAN STOCK EXCHANGES BUSINESSS RESTRICTED Sydney, Oct. 26. The Stock Exchange is still awaiting the loan decision and business was restricted. Sales.—Bank of New South Wales £32 12/6, Dunlop 18/3, Goldsbrough Mort. £1 7/3, .Australian Drug 8/6, Colonial Sugar £55 10/-, Taranaki Oil 3/-. Bonds.—Four per cents 1938 £lOl 10/-, 1941 £lOO 12/6, 1944 £lOO, 1950 £lOO 7/6, 1957 £lOl, 1959 £99 15/-. Melbourne.—Australian loan stock, four per cent, 1944 £99 15/-, 1947 £99 17/6; Commercial Bank (pref.) £8 8/-, Australian Paper £1 9/-, Broken Hill Proprietary £1 7/I}, Roma Blocks lid.

Sale price. Beturn on Invest. £ s d £ s d Commercial Bank 14 8 3 8 2 Union Bank 8 2 0 2 9 4 Bank of N.Z 2 6 5 6 3 5 National Insurance 14 6 5 3 5 Dalgety & Co. ... 8 15 0 4 0 0 Wilson’s Cement . 1 11 3 6 8 0 S. British Insur. 2 17 9 4 12 4 Colonial Sugar .. 50 0 0 5 0 0 Wellington Gas .. 1 10 9 5 4 1 Goldsbrough Mort. 1 4 5 2 1 0 British Tobacco .. 1 12 3 3 14 5

those previously cabled: — Oct. 25 Oct. 26 . £ s d £ 8 d Copper— Standard, spot 31 8 9 31 11 10i Standard, fwd. 31 11 3 31 14 41 •Electrolytic .. 35 10 0 35 10 0 to 36 10 0 36 10 0 Wire bars 36 10 0 36 10 0 Lead— Spot .. .. 11 15- 0 11 18 9 Forward ,. 11 18 9 12 3 9 Spelter— Spot .. .. 14 17 6 15 3 9 Forward 15 7 6 15 8 9 TinSpot .. .. 151 7 6 153 11 3 Forward 151 15 0 153 17 6 Silver— Standard, per oz 18d Fine, per oz. 19 7-16d 18d 19 7-8d •American 5.50 cents per lb.