THE MONEY MARKET.

New Zealand Herald, Volume LXVI, Issue 20426, 30 November 1929, Page 9

THE MONEY MARKET.

BANK OF ENGLAND RETURN

GOLD STOCK AUGMENTED.

NET GAIN OF £2,551.000.

(Received November 29, 5.5 p.m.) LONDON, Nov. 28

The Bank of England return for the week ended November 27, is as follows: —

ISSUE DEPARTMENT. Notes issued:— Govt, debt £11,015,100 In circu- Other Govt. lation £354,556,744 securities 233,728,604 In bank- Other secuins dept. 40,155,450 rities .. 10,432,762 Silver coin 4,823,534 *£ 260,000,000 ' Gold coin & bullion 134,712,194 £394,712,191 £394,712,194 'Amount of .fiduciary issue. BANKING DEPARTMENT. Capital .. £14,553,000 Govt, secuRest _ .. 3,264,751 rities .. £57,703,618 Deposits— Advances, Public .. 17,432,919 £15.263,821 Bankers, Other 5ecu£58,219.448 rities, Other acs., £17,880.106 33.144.227 £38,200,325 96,419,773 Notes .. 40,155,450 Seven day. Gold and etc., bills 2,533 silver coin 669,711 £131,673,006 £131,673,006 Tho principal items of the above return compare as follow with those for last week, the proportion of the reserve being shown in the last line: — Deposits— Nov. 20. Nov. 27. Government .. £15.340,173 £17,432,949 Bankers .. 58,544,923 58,219,448 Other securities 38,544,908 38,200,325 £112.430,004 £113,852,722 Securities— Government .. 62,498,618 57,703,618 Advances, etc. . 8,108,161 15,263,821 Other .. .. 21,843,957 17.880,406 Reserve .. .. 37,743,798 40.825.161 Note circulation . 355,086,839 354.558,744 •Coin and bullion 132,830,637 135,381,905 Proportion .. 33.50 35.80 •November 27. 1928; £159.845,986.. 1929: Maximum, June 12, £164,211,400; minimum, October 2, £130,343,588. SHORT LOANS AND BILLS. The Bank of England rate of discount is per cent., to which it was reduced on November 20, from 6 per cent. Short loans are quoted at 4£ per cent., as against per cent, last week. The market rate of discount for best three months' bills is 4 13-16 per cent., as compared with 5 per cent, last week. FOREIGN EXCHANGES.

Tho following rates on foreign exchanges are current compared with the cabled quotations on November 26 and par:—

NATIONAL TOBACCO CO.

YEAR'S PROFITS £42,283.

DIVIDEND OF 15 PER CENT.

The sixth annual report of the National Tobacco Company, Ltd., shows net profits amounting to £42,283, after deducting all charges and allowing £13,000 for income tax. The same dividend as last year, namely 15 per cent., is proposed. The report of the chairman of directors,

Mr. G. Husheer, states that sales showed a substantial increase, but in no way comparable with that of previous years, when the market offered a wider field in, which to operate. Every forward step had narrowed the company's scope, until it had gradually reached a point beyond which it could hardly expect to advance. Its goods were now firmly established in every part of tho Dominion. They had supplanted most of the foreign lines and commanded a larger sale than all the rest combined. Further progress must therefore necessarily be slow and would in a large measuro depend upon increased consumption through growth of the population.

Owing to the fact that sufficient raw leaf was being grown to meet the company's requirements the directors had decided not to extend the area under cultivation. The market was actually saturated and could absorb no more, and even if New Zealand succeeded in producing a type suitable for the English market those in a position to know would state that there was not the remotest chance of New Zealand ever being able to compete in price with other parts of the Empire. The fall in price of African leaf.had resulted in a reduction in the acreage there of more than 60 per cent., while the huge stocks which had accumulated in London and Liverpool would take years to work off.

The capital of the company remains the same as last year, namely, £124,341. To sundry creditors the company owes £6427. Tlio total assets amount to £242,417, an increase of £33,000 over last year. Cash in hand and in bank amounted to £57,956, including £30,000 on fixed deposit at 4£ per cent. A sum of £5065 was brought from last year and out of this, togother with the net profit, £42,283, the directors recommend the payment of a dividend of 15 per cent, on ordinary shares and 8 pa* cent, on-preference shares. It is also proposed to transfer to reserve £25,000, which will bring that account up to £65,000, and to carry over into next year the balance of £4541 15s.

The figures from the profit an<J loss account for the past three years are as follows:

1927. 1928. 1929. Gross profit r.. £52,359 £82,849 £94,883 Expenses .. 29,106 44,297 49.815 Depreciation , v 4,091 1,053 4,005 Net profits 19,160 38,057 42,283 Dividend, p.ft. sv 12i 15 15

Nov. 28. Nov. 26. Par. Montreal, dol. . . 4.03 4.93J 4.866 New York, dol. .. 4.87 27-32 4.87 29-32 ■1.8GC Paris, fr. . . 123.855 123.86 124.21 Brussels, belga . . 34.67 34.97 35.00 Geneva, fr. . .. 25.13 25.35 25.22 Amsterdam, fl. . . 12.09 12.0 8S 12.10 Jtome, lire . . . 93.175 93.19 92.46 Berlin, r.m. . . 20.38 20.3 S 20.43 Stockholm, kr. . . 18.13 18.135 18.159 Oslo, kr 18.205 18.205 18,159 Copenhagen, kr. . 18.195 18.205 18.159 Vienna, sch. . . 34.67 34.675 34.581 Prague, kr. . . . 11541! 164 E 24.02 Helsingsfors, mark 1941 1941 192.23 Madrid, pes. . . 35.025 35.595 25.221 Lisbon, escu .. 1081 108J — Athens, dr. . . . 375 375 375.00 Bucharest, lei. . . 817 817 25.221 Rio de Janeiro, m. 5 25-32 5 25-32 — Buenos Aires, dol. 46 5-16 46 5-16 47.57d Calcutta, rupee . . 17 27-32 17 27-32 18d Shanghai, tael .. 26i 261 — Hongkong, dol. . . 20} 201 — Yokohama, yen . . 24 1-16 25 1-16 ' 24.58d Batavia, fl. .. 12.12 7-8 — — CONSOLS AND COLONIAL STOCKS. The following table gives quotations for consols and colonial fiscribed stocks compared with those of November 21 - VariaPrice. tion. £ s. d. s. d. Consols, 2} per cent. . . 53 0 0 10 0* Funding Loan, 4, 1960-90 85 10 0— Same. War Loan, 5, 1929-47 . . 99 15 0 5 0* Conversion Loan, 31 .. 74 10 0 5 0* Victory Bonds, 4 91 12 6 Same. Com'weahh, 5}, 1922-27 . . 94 0 0 10 0* Coin'wealth, 6, 1931-41 . . 99 0 0 15 0* Victorian, 3, 1929-49 69 0 0 2 6t Victorian, 31, 1929-49 . . 71 5 0 Same. Victorian, 51, 1930-40 . . 97 0 0 12 6* Victorian, 5. 1932-42 90 10 0 12 6* Victorian, 4J, 1910-60 , . SS 0 0 10 Of N.SAV., 4, 1933 93 5 0 5 0+ N.S.W.. 3, 1935 . 74 5 0 Same. N.S.W., 31, 1930-50 84 7 6 3 9t N.S.W., 55, 1922-32 97 0 0 5 0* N.S.W., Gl. 1930-40 100 17 6' 5 0* N.S.W., 6, 1930-40 9S 0 0 17 6* Queensland, 31, 1930 99 7 6 , Same. Queensland, 3, 1922-47 .. 69 2 6 2 6t Queensland, 6, 1930-40 . . 99 5 0 10 0* New Zealand, 41. 1949-53 . 93 2 6 2 6* New Zealand, 3}, 1940 . . 86 13 9 6 3t New Zealand, 3. 1945 73 3 9 3 9* New Zealand, 6, 1936-51 . 103 17 6 2 6+ S. Australia, 31, 1939 . . 82 5 0 12 6* S. Aus., 3, 1916 or aftev 56 0 0 20 0* S. Australia, 61, 1930-40 101 7 6 2 6+ Tasmania, 3i, 1920-40 . . 8'2 3 9 16 3* Tasmania, 3, 1920-40 77 0 0 Same. Tasmania, 6}, 1930-40 . 101 10 0 5 0* W. Australia, 31, 1929-35 87 10 0 2 6t W. Australia, 3. 1915-35 86 0 0 10 0* W. Australia, 6, 1930-40 100 5 0 10 Ot tHigher. "Lower.