TRADE PROSPECTS

Marlborough Express, Volume LIV, Issue 181, 2 August 1920, Page 6

TRADE PROSPECTS

A GENERAL SURVEY.

LONDON, July 24. The. money market is dull and featureless, and likely to remaui so, as the fear of a higher bank rate in the autumn appears to have entirely disappeared.

The course of -foreign exchanges, and especially the fall in the American rate, has caused some unsettlernent, but the American fluctuations are, to a large extent, quite- normal, and due to the impending payments for produce which Britain and tho Continent will import largely from America in tho closing months of the year.

It is unlikely that tho value of the £ sterling in New York will reach a very low level, as the trade balance is- improving. Mr Lloyd George's speech on tho Polish question, coupled with the disturbances in Ireland, has caused some disquietude on tho Stock Exchange, where business is considerably restricted, but prices generally are fairly well maintained.

R-eports from Germany state that Mexico is ■ endeavoring to regain her position as the largest silver producer m the world, and is aiTanging to have all the mines worked. Even those hitherto regarded as unprofitable will bo worked, partly at the Government's expense. * Wheat prospects improved greatly last month. It is now certain that America, Canada, Argentine, and India will all have surpluses. 'Freights continue to decline, as the supply of cargo steamers largely exceeds the demand, particularly in the American trade. One steamer was chartered early in June to cany wheat from Montreal to Antwerp at 1 (5s Gd a quarter. The same steamer wants a similar charter for the end of August, and the best price obtainable is 11s.

The position of the tallow market is full of interest, Good authorities*'1 believe that the last decline brought 1 values down to a basis at which busi- 1 ness can be done. Meanwhile Aus- ■ tralian shipments are arriving. For these the purchasers have paid over 100s forward, whereas the present value is only about 60s, but the last of these contracts will terminate at the end of tho month. Considerable qualities were purchased by the Dutch months ago at prices above 100s. It was intended for Germany, but most of it was gent back, as the Germans could not afford to pay the < price. It is now likely that there : will be a brisk demand" from Ger- j many, with some recovery in prices. Business in the Bradford wool market is chiefly hand to mouth. Buyers are waiting for prices to reach the i lowest level. Spinners are not disposed to buy forward, but will proh- • ably be compelled to purchase in the course of a few weeks. There is a possibility of the woollen mills operatives striking at the end of the r-onth for higher wages, which the < employers refuse, contending that the recent offer of a ten per cent advance was generous. ;