TRADE AND FINANCE.

New Zealand Herald, Volume LXV, Issue 20084, 23 October 1928, Page 7

TRADE AND FINANCE.

LONDON STOCK EXCHANGE

INVESTMENT LINES STRONG.

MANY SPECULATIVE ISSUES

Australian and N.Z. Press Association. LONDON. Oct. 21

A feature of business On tho London Stock Exchange in tho last few weeks has been the wonderful strength of tho purely investment sections of tho market, notably gilt-edged stocks. Tho 5 per cent. War Loan led. This strength was maintained in spito of the counter-attractions of a more speculative character, of which the flood of new issues continues.

Every day sees tho publication of seven or oight now prospectuses. Most of them aro more or less speculative and deal with all sorts of commodities. These range from gramophones to disinfectants. Most of thoso lines liavo beon fully applied for, notably gramophone issues. Tho week's public issues totalled just under £9,500.000, bringing tho year's aggregate to £37,195,000.

Commenting on this state of affairs, the financial editor of the Spectator says: "In tho past seven years tho capital valuo of 365 representative securities selected by the Bankers' Magazine has appreciated by no less than £1,500.000,000. Therefore, it is scarcely surprising, in view of the talk of depression in certain heavy industries and tho great volume of unemployment, that tho question is constantly asked, Where does tho money como from T Anglo-Persian Oil Dividend.

Considerable sensation was caused in March when the directors of the AngloPersian Oil Company decided not to pay an interim dividend and to defer tho question until the full year's accounts wore available. The company has announced a dividend of per cent, for tho year, compared with 12£ per cent, for last year. This will corno as a relief, for nobody had expected more than 3 per cent., and there were some pessimists who expected less than that, or oven nothing. It is interesting to note that the British Government holds 7.500,000 shares in tho Anglo-Persian Oil Company, on which it will receive £562,500 in dividends. As tho Government's investment cost only £5,000,000, this is a good return. Australian Wine Trade. Tho wine Irado discloses a generally depressed condition, and both imports and consumption of wino from all sources show serious declines. This particularly applies to Australian sorts, which are suffering severely from the combined effects of tho reduced export bounty and tho increased import duty here. In September, 1927, the imports of Australian wine amounted to 783,311 gallons. Last month they were only 45,517 gallons. In the first nine months of 1927 Australian wine imports totalled 3,127,281 gallons, and in the corresponding period of 1928 they have been 1,511,305. Egg Market Not Yet Strong. The first arrivals of Australian eggs have not met with a satisfactory market, as the supplies from all sources are plentiful. Consequently the best price obtainable for Australian imports is about 17s 6d per 120. Importers have not been pushing sales, as they hope tho market will improve as tho weather becomes colder, and as tho Home and Continental supplies become smaller. Already tho Danish production of eggs is showing a considerable decrease and importers are expecting an early improve meat in prices. SYDNEY WOOL SALESGOOD GENERAL COMPETITIONAustralian and N.Z. Press Association. (Received October 22, 11.45 p.m.) SYDNEY, Oct. 22. At the Sydney wool sales to-day there was good general competition in all sections. The market was firm at last week's rates for nil descriptions of Merino. Comebacks and crossbrcas also sold well.' Good clearances were effected, tho sales totalling 11,929 bales. Greasy Merino sold to 26id. N.Z. AIRWAYS, LTD. FORMATION OF COMPANY. A private company recently registered is that of New Zealand Airways, Limited, Dtiuedin, with a capital of £2OOO in £1 shares. Tho subscribers, all of Dunedin, are: 11. M. Mackay (1400), G. T. Wright (500), E. J. Brewster (100). Tho objects nro:—To carry on tho business of aircraft proprietors, carriers, mail contractors, manufacturers of and dealers in, hirers, repairers, and warehousers of motors, aircraft, and other conveyances by land or air, and incidental. TARANAKI OILFIELDS, LTD. POVERTY BAY OPERATIONS BREAK It is claimed that a notablo feat in mining was performed by the field staff of Taranaki Oilfields, Limited, in recovering tho whole of tho 3000 ft. of casing from the company's No. 1 bore at Poverty Bay after a break had occurred at a depth of 360 ft. Such mishaps often lead to the bore being abandoned, together with tho casing in it. Drilling is to bo continued with 6Jin. casing, becauso officials of tho company nro hopeful that they are Hearing oil sand, tho oxistenco of which was indicated by a geological examination of tho field. An area remaining to bo treatod is regarded by tho company's experts as one of much promise. Although a largo amount of money has "been spent on exploitation and drilling, funds in hand are said to bo sufficient for present requirements.

WITHIN TARIFF WALLS. AN AUSTRALIAN ENTERPRISE. Sir Henry Cowan, M.P., chairman, of Parkinson and W. and B. Cowan, Limited, pas meter makers, referred in a recent speech to the development of the company's enterprises in Australia, and 6aid it was the policy of tho directors to operate particularly in Australia, New Zealand arid Canada, from within tho tariff wails and to lake advantage of a protection which enables them to face the heavy additional cost of local manufacture. Besides being largo manufacturers of gas meters, the company produced water meters and was interested in oilconsuming apparatus, leather dressing, and electricity meters, and had recently registered a new subsidiary under tho name of Domestic Electrification, Limited. AUSTRALIAN EXCHANGE. SYDNEY, Oct,. 22. The Ne<v South Wales banks which do business with Now Zealand announco an alteration in tho exchange rates from today. Tho new rates aro: —Buying, 5s per cent, discount; selling, 5s per cent, premium.