WOOL SALES

Nelson Evening Mail, Volume LXXI, 18 November 1937, Page 9

WOOL SALES

CAUSE OF COLLAPSE MOST DIFFICULT FUTURE COMMENT BY DAWSON'S [United Press Association— By Electric Telegraph-Copy rigat] (Received lath November, 9.55 a.m.) LONDON, 17th November. Dawson’s, commenting on the wool sales, says that the cause of the collapse seems to go back two or three seasons when Japan purchased in excess of her immediate requirements. The Japanese Minister of Commerce is now reported to have restricted wool imports from all sources. A most difficult future confronts the crossbred section of the trade and there is little prospect that a stable basis will be reached until the New Zealand season is well on its way. The reasonable figures to which : Merinos have fallen suggest that cross- ! bi'eds cannot maintain anything like the recent enhanced values. Merino combing fleeces seem to have reached a point at which trade should move freely. Several months may be needed to clear the debris caused by the collapse of primary commodities, including metals. Yesterday’s opening of the wool sales was most disappointing. No satisfactory quotable basis for wool u'as established and buyers’ and sellers’ views were totally divergent. KEEN DEMAND FOR BETTER KINDS (Received 18th November, 12.45 p.m.) LONDON, 17th November. At the wool sales 8271 bales were offered, including 3229 New Zealand, and 6384 were sold. There was a fairly good selection and keen demand for better kinds from the Home trade and the Continent. Messrs Buxtons Limited arc in receipt of the following wool market cablegram from their London agents, Messrs Sanderson, Murray and Elder Limited, dated IGth November, 1937: — “Sales have opened with a good tone, and competition keen. Continental buyers are the principal operators and are buying freely. Yorkshire buyers are operating with great reserve. Compared with last London sale’s closing rates, Merino, good to extra good, declined 15 per cent.; Merino, other descriptions, declined 20 per cent.; crossbred, poor selection offered, declined 20 to 25 per cent.” New Zealand greasy crossbred "HK” top price 12d, average 12d.