BRITAIN'S BUSINESS.

New Zealand Herald, Volume LX, Issue 18567, 27 November 1923, Page 7

BRITAIN'S BUSINESS.

RETURN OP CONFIDENCE,

CHEERFULNESS ON EXCHANGE

BRIGHTER TRADE OUTLOOK. By Telegraph—Press Association— Copyright. A. and N.Z. LONDON, Nov. 25. After ten days' depression and general uneasiness arising from political developments at Home and abroad, the Stock Exchange on Wednesday suddenly took a turn for the better, and closed yesterday in an atmosphere of cheerfulness, which is as surprising as it is welcome. Early this week the feeling of depression was such that the prospect of any new issues seemed out the question until after the general election at least, but the recovery of about 10 canto in New York exchange had such a rapid effect that the Denaby, Colliery issue of 300,000 6 per cents, at 98£ advertised yesterday, was over-subscribed in two hours, ' and it was possible to underwrite the South v Australian and Tasmanian loans without the slightest difficulty.

The success of these new issue operations is regarded as an indication that the depression is passed, and the ease with which gilt-edged securities have recovered from the serious setback is. accepted as showing that confidence is not by any means severely shaken. The scare produced by vague talk of possibilities of a Labour victory at the elections ' and a levy on capital has almost disappeared, and the Stock Exchange generally anticipates a return of the Conservative Party with a fair working majority. . Reviewing the state of trade, the Economist says there are signs that the slight increase in production which is seen during the last two months is confirmed by the further expansion of the iron and steel industry, the brighter outlook in engineering, and the rise of 8 per cent, in shipping freights. More business is being done in the cotton industry, chiefly owing to a rather better Indian demand. Employment figures confirm the tendency to* improvement, for they have remained practically stationary the last two months, when a seasonal decline, of employment is ordinarily expected.

NEW ZEALAND PRODUCE.

BUTTER MARKET STRONG. EGGS IN GOOD DEMAND. A. and N.Z. LONDON. Nov. 25. The butter market retains its strength, though trade at advanced prices is slow. Importers consider there is little prospect of any decline in values in , view of the shortage of Australian exports, and the fact tfoat the United States is buying considerable quantities of New Zealand butter. American operators have also bought a fair amount of Dutch and Danish lately. _ ,

The trade in Australian and New Zealand . eggs continues most satisfactory, the demand being excellent, as Continental supplies are somewhat restricted. The latest arrival of 1626 cases ■of New Zealand eges in the Rotorua, landed in fine condition. Importers consider they i are the best yet landed. They realised !22s and 23s per 120.

BORIC ACID IN BUTTERPOSSIBILITY OF ABOLITION. ALARM " AMONG IMPORTERS. A. and N.Z. LONDON, Nov. 25. The committee appointed by the' Ministry of Health ir. July to investigate the use of preservatives in food, , is approaching the end of its labours. There is considerable apprehension among butter importers that the committee may recommend . the prohibition of: the use of ; boric acid to preserve butter. This apprehension arises from the views on the subject expressed by members of the committee when examining witnesses. The abolition of the use of boric acid would be a ■ trel mendous blow to ,the Australian ;ahl' New Zealand butter industry, and a suggestion is made that the producers should take action in the matter. For years the amount of boric , acid ' allowed 1 in ; butter has been .05 per cent., and when the matter ; was last under ■ discussion;'.; medical evidence was given to i show that this quantity was quite ,: harmless." .; One J doctor said he had taken a : grain of boric acid daily without any ill effect.;; - i; _

DRIED FRUIT ;; TRADE.

DEMAND FOR CHRISTMAS. A. and N.Z. C- LONDON, Nov. ' 25. The * dried fruit trade . alums - some \ improvement, as retailers are buying (fairly freely for the Christmas market. ■'(Australian lexias cleared ,-■ well tat 525, • and the market ■: is now bare; ) 58s is v asked .for a moderate quantity due ?to 'arrive; next week. • ; Australian c currants :. are also meetinp an improved i demand following another v. reduction m price, and fair quantities are selling at about 535, Three Crowns •'-.; 50s, Two i Crowns; but } : Sultanas are still very difficult to move, as plenty of Smyrnas and Greeks'are available. •,