BRITISH CALM.

Manawatu Standard, Volume LV, Issue 230, 27 August 1935, Page 7

BRITISH CALM.

IN ANXIOUS DAYS. THE STOCK EXCHANGE. APPRECIATION OF STERLING. (United Press Association—By Electric Telegraph.—Copyright.) Received August 27, 9 a.m. LONDON, Aug. 26. Discussing the effects of the possibility of war on Britain’s financial position, the Daily Telegraph’s financial editor says : East week the Stock Exchange recognised tho existence of the very awkward situation. Jobbers took the precaution of reducing prices while investors and speculators, both professional and private, kept their iieads. The paucity ol selling surprised tho most experienced dealers. There seems no reason why this steady attitude should not be maintained until the League’s decision is known. if the world thought this country was steering to war the effect on the rato of ttie pound sterling would be seen very quickly, but the tendency of sterling recently has been to appreciate, which is more notable liecau.se it is contrary to the usual seasonal trend.

There is evidence that both the loaders of the rank and file in the city and tho investing public are calmly surveying all the eventualities in a realistic frame of mind. The worst that the city looks for is a certain measit e of hostilities in Abyssinia and a fresh period of grave uncertainty in Europe, but it recognises that nothing which’ is likely, to happen need change the fundamental basis of British progress.

AUCKLAND REACTION

UPAVARD TREND CHECKED

AUCKLAND, Aug. 26

Apparently as a result of war fears there has been a definite check in the upward trend of share values on the stock exchanges. This is the first setback the investment market lias experienced for several weeks, during which time a buoyant tone has been maintained.

Operations on stock exchanges today revealed a general slackness in demand. On the Auckland exchange there was a turnover of under 20 sales compared with an average of about 3b transactions over the past few weeks. Brokers state that in many cases buying orders have been ' suspended and this was reflected in the lack of inquiry for several issues. However, thero is no undue pressure to sell and heavy losses may be avoided.