Finance Stock And Mining.

Free Lance, Volume VII, Issue 331, 3 November 1906, Page 5

Finance Stock And Mining.

THE London money maiket continues very stringent. Indeed, the last cabled figures show the position to be lather worse, but we must not take alarm, for the 6 per cent, bank rate has barely operated for a week and it wa& not expected that it would be immediately effective in stopping the outflow of gold. The stringency has no doubt stopped to a very large extent speculation on tihe various markets and this can be seen by the general downward tendaixcy of the values on the Stock Exchange and the lower prices ruling in the metal -and produce markets. * * * The danger in the situation is the probability that many sipeouiatous who have loaded up witih securities' they •cannot very well carry wall be foaoed into the market or be obliged! to bankrupt. There is 'danger oi a financial crisis from big financial hou&es beang 4oauight in the storm. Apart from that there is nothing very serious and in a few weeks matters should light themselves. But, there is absolutely not the least reason why we in New Zealand) should be at all disturbed by the London conditions. There is unquestionably an abundance of money or loanable credit available in tne colony and t(he current year should' see a great accession of financial strength. The revenue account of the Consolidated Fund for the half-year ended 30tiu September, which the- Colonial Treasurer was able to present to Parliament, was exceedingly satisfactory as sihowing the continued prosperity of New Zealand. From now right on to the end of January, if not later, there will be an extraordinary expenditure on the part of the people in travelling and .general enjoyment. The people have the money to spend and they will spend it. * * * The produce markets have felt the stringency of the money market and butter is" reported dull. T!he price, (however, is staid <a goods one, and, if maintained, will leave us with no cause of complaint. There us danger in quite another direction, and that is the possaboJiity of a prolonged dlry season curtail. ng the milk supply. Last year there was a shortage of milk at the factories because of the dry weather and the conditions seem to be les6 promising this season. • • • However, if there as a smaller make of butter, it should realise a higher price and the net result to the colony will be the same as if we had an anr creasedi output at an average price. Wool may, possibly will, be slaigjhitlly lower, but, as against that, we aie certain of an increased output which will make good the loss on the lower range of values. Taken all round, we have nothing to fear; on the contrary, we have reason to look forward to a continuance of prosperity. • * * The forty-fourth annual report of the Australian Alliance Assurance Company shows premium*, fire, marine and accident, amounting to £e>9,678, losses to £30,491, expenses, commissions', taxes amd fire brigade charges £19,331, net underwriting profit £9755, to which has to be added the interest on investments £6472 and the sum of £^2,717 brought forward from last year, making in all the sum of £38,945. The dividend for the year is at the rate of 4 per cent., absorbing £5000, the whole of the balance being addled to the funds, which now total £43.6, 285. • # * The thirty-third annual report and balance-sheet of the National Fire and Marine Insurance Company of New Zealand, circulated during the week, states that the net revenue for the year ended 30th September amounted to £120,841 18s 7d. After making the usual provisions and deducting £7500, the amount of the interim dividend, there is a surplus of £36,126 12g 10d, to which has to be addiedl balance from last year £19,616 13s Bd, making in aJI £55,743 6s 6d. Out of this, £20,000 lhas been taken for augmenting the ireeerve fund, a further dividend of nimep&noe per share absorbs £7500, leaving £28,243 6s 6d to be carried forward. * • * The fire and marine premiums, less xe-insuranoes and returns, amounted! to £106,036, as compared' with £107,648

in the previous yeaa . The amount received from interest and lents totalled £14,806, as against £13,753. The losses totalled £40,892, as compared with £58,996, and the expense., of management amounted to £36,d15. The asset© show. Loans on mortgage £193,246, debentures £69,490, money on deposit and at short call £57,800, balance at bankeis £20,647. The National has hadi a .good yeai and not a little of the credit as due to the excellent .caneervatave management of Mr. Henry E. Williams, the general manager. & * * * Dalgety and Co., Limited, have evidently experienced another prosperous year. The local offioe> has .received a cable message from London stating tihat at the annual meeting of shareholders, to be held on, Thursday .of next week, it will be proposed 1 tlhat a dividend be declared) of 3s per sihare, and making, with the interim dhvidland already declared! and paid, 6 per cent. for the yea.r ending 30th June last, and that a bonus of 1 per oenit. be paid, making in all 7 per cent. * * * The sum of £35,000 i» to be addied to the reserve fund, which will then stand at £200,000. It will further be piropoeed that £5000 be set aside as the nucleus of a provadent fund. These disbursements will absorb £110,000, leaving a balance of £55,380 to be carried foiward to next year. The amount eariued over last year was £56,399. Theie is nothing of special moment to report about the sharemarket. As is usual at this time of the year holders show a disposition to realise and take in profits, whoile investors, if they have not secured something .obeap, are disposed to wait until after the holidays. In bamking shares, the demand is fair far National Banks, which are wanted at £5 7s 6d, sellers asking £5 10s. New Zealands are offered at £8 14s, but there are no buyers. * # « In financial shares there is nothing doajng. Building society shares are apparently neglected, but in reality there are very few offering. There are sellers of Wellington Building at 13s and Wellington Deposit and Mortgage shares at 11s. National Mortgage shares are wanted at 61s, and New Zealand and River Plate at 29s 6d. * * * Gas shares are quiet, holders showing no disposition to quit. There are buyers of Ashburton Gas at £6, and Wellington Gas at £18 15s for the £10 paid up shares. J'eilding Gas shares are offered at 255. * * # Meat shares show a little more activity. Gears' (£1 paid) are in demand at 42s 9d, and there are sellers' of Ohristcihurch Meat at £9 10s and Wellington Meat Export (£2 12s 6d paid) at £3 4s 6d. * * * Manawatu Rails are offered at 38s 6d, New Zealand Shipping at £5 2s 6d, amd Wellington Steam Ferry at 15®. Union Steam shares are wanted at £16 15s, Wesitport Coal at £7 2s 6d, "New Zealand Times" at 455, and New Zealand] Paper MilJ at 235. * * • There are sellers of Wellington Woollens at £3 14s, Hydraulic Hand-milker at £4, Leyland and) OBrien Timber shares at £2 6s, Ma.nTii.ng and Co. Brewery at £4 lls ex div., Mauriceville Lime at 2j3s, Shafland and Co. ordinary at 22s 6d, and Ward and Co., Ltd., at £5 15s. * * • In mining, the principal feature is the downward tendency of Talismans, which at a recent date were quoted ait 295.