EXCHANGE PROBLEMS.

New Zealand Herald, Volume LXVIII, Issue 20990, 29 September 1931, Page 10

EXCHANGE PROBLEMS.

POSITION STILL CONFUSED.

UNCERTAINTY IN TRADING. PRICES SHOW ADVANCES. Contusion still prevails on the Auckland importing market with regard to tin: currency position. The intervention of the Dominion Day holiday yesterday suspended activity on the Stock Exchange and in banking circles, and the resumption of business this morning is being awaited with considerable interest.

In expressing dissatisfaction with Iho present position, the manager of a large importing firm said many difficulties presented themselves to those firms which desired to continue their ordinary trading with foreign houses. Following on the refusal of the banks to sell dollars, cabled offers had been made to American and Canadian firms to deal on the basis of the pound sterling, remittances to be converted into dollars by the selling firms at the current rates and adjustments made by the importing houses. These offers were not accepted and the present situation almost constitutes a deadlock. In one instance an Auckland firm cabled an offer to buy on a basis slightly in advance of the rate of 3 dollars 50 cents quoted by the batiks, but the reply received from the foreign firm indicated a refusal to do business except on a basis 50 cents lower than that offered, with a reservation providing for any further fluctuations to bo adjusted. The latest cablegrams front abroad indicate au increase in tho pricos of supplies from all sources. Quotations received yesterday from England and Canada were made at advanced prices, and Canadian salmon was showing a considerable increase ill price.