LONDON MARKETS.

Manawatu Standard, Volume XLIII, Issue 3106, 27 December 1921, Page 5

LONDON MARKETS.

CLOSE IN CHEERFUL MOOD. WOOI, VALUES FIRM. By Electric Telegraph—Copyright Received December 27, 8.5 a.m. LONDON, Dec, 24. The stock markets closed for the holidays in the cheerfullcsl mood. Business in gill edged securities has been on an enormous scale, Some linns' dealers are reported io have done 150 U to 2000 bargains daily during the past week. Quotations advanced steadily till Thursday when the profit taking caused a slight relapse in some securities, bill there is a strong underlying feeling of confidence and the prospects lor the New Year arc distinctly favourable, The monetary conditions appeal to warrant a reduction in the bank rate to 4, per cent. If this is made, then the prospects for numerous new issues expected after ihn holidays appear very hopeful. Cheerfulness characterised the Bradford wool market, the yem closing with value.' on the rt'hoie exceedingly linn. The outlook is much brighter than at any_ lime in recent months. 'Jopmakers are asking over 4s for 64's quality March delivery. The supply of fine lops is barely sufficient to meci, curreni requirements and there is -Mine fear of a shortage if the spinners' busmen increases sufficiently to bring them into ili.' market for tops. The position abroad is very similar. The demand in Ronbaix exceeds ihe output and, although combers are working three shifts, the total production is absorbed daily. Merino tops are especially in request owing to the fire in Rheims having destroyed a great part of the plan* of a combing linn which specialises in merinos, Many people anticipate that the increasing German demand will cause a further improvement in the wool market. Ii is believed that, whether the present negotiations conclude favourably for Germany or unfavourably, the result v, ill be a more settled exchange. Willi steadiness and an absence of violent fluctuations business can be done with Germany, which undoubtedly wants raw materials, tops and yarns. The Yorkshire Post sums the position up as, follows: "Though some people appear too sanguine, undoubtedly we are sieadily Hearing a sounder condition of all'airs. Generally, 1922-may have seme unpleasant surprises in store, especially in ihe clearing up of financial complications, bin linns arc being established on a sounder basis, ('specially the primary sections of (be trade, and that will help if there is serious trouble elsewhere. 11 RETURN TO PRE-WAR CONDITIONS. The outstanding feature of the Christmas markets has been ihe return to almost prewar conditions. Many commodities have been selling at about 1913 prices, notably oranges, apples, sweets and toys (of which Germany sent enormous quantities at prices even cheaper than before ilie war). Despile ihe unemployment, everybody seems to have money to spend. Shopkeepers have been doing a. roaring trade. Many people habitually postpone the purchase of the Christmas turkey till the eleventh hour, hoping to secure a bargain if the weather is warm on Christinas Kve. Those who have done so this year have fallen in badly. Early in the week turkeys were selling at 15d a lb. Then came the news that the I'Tench farmers would not sell because the price was unrenumerative. This was followed by the arrival of a large number of birds from Mid-Kuropo, all unlit for consumption. This caused a rush of buyers on the depleted markets with prices soaring hourly till they reached 42(1 per lb and lis more for Norfolk birds. Leadenhall and Smithtield nuurkets were absolutely cleared.

' VARIATION IN BUTTER PRICES. The Heard of Trade's food department announces that, in view ol the large, arrivals of free butter, il is no longer possible to continue the sysieiu of fixing prices weekly or fortnightly for its stocks. A speedy clearance of ihe balance of Ihe stocks is desirable, but is only possible by a variation of the prices noi only from day to day, but also 'from hour to hour. Therefore,' ihe butler committee has: been disbanded. 'lhe department is prepared to consider offers from first-hand buyers for outright purchases, and also to consider applications for sale on a commission basis. 'I he department eslimal.es the present value of in butler al approximately New Zealand jirsi grade 130 s, second 120 s; Australian lirsi 112 s. second 100 s; Argent me, lirsl 100 s, second 90s.—A. and N.Z. cable.