CHEAPER LONDON MONEY.

New Zealand Herald, Volume LXIX, Issue 21136, 19 March 1932, Page 10

CHEAPER LONDON MONEY.

The fall in the Bank of England rate last week was generally expected. The further reduction this week has come much more as a surprise. The two movements following in such quick succession emphasise afresh the change in situation since September, when suspension of gold payments and an increase to 6 per cent, coincided. Now Ihe improvement in outlook is so completely confirmed, it is natural to consider what can be expected from the cheapening of money which this decision by the Bank of England signalises. The first and most natural reaction is the increased activity in the stock market, with a special response by gilt-edged securities. Tt. i.s also certain to bring into view, afc least for conjectural discussion, the war loan conversion" scheme affecting more than ;C2,000,000,000 of 5 per cent, stock, for which the ground was prepared last September. The Treasury was given the necessary powers to proceed with this gigantic operation when conditions appeared favourable. The assurance of a balanced Budget, and a stimulated interest in the gilt-edged market, are assuredly two indications that the time may be ripe for action before long. But the possibilities in commercial and industrial fields are much more important questions t.o-dav. In general the effect hoped for will be a quickening of commercial and industrial activity. The belief that the stage is being set for such an upward movement is assisted by the opinion of Sir Otto Niemeyer, quoted to-day. Sir Otto says there are signs of a change in (he tendency of world prices, a statement which, though guarded, can surely mean nothing but a rise from the present' depths. These events, though distant, cannot fail to have their effect in New Zealand. In other circumstances, when borrowing was si ill in progress abroad, (his would be the psychological moment for a loan Hotation. There is no such opportunity to be seized now, but the brightening tone of London should be a factor working for cheaper money here, and a tendency toward revival. Everything points to a good summer in Great Britain and a prospect that New Zealand will receive some benefit. With that there is distinct hope of things being better in the coming spring. In such a situation as the present the first impulse to recovery is the most important, ; and Britain looks like giving the movement the impulse it needs.

LOCAL AND GENERAL NEWS. Penny Postage Advocated. "That the timo has arrived when penny postage for letters should be reverted to," is the text of a remit to be moved at the conference at Papatoetoe on Wednesday of chambers of commerce in Franklin anrl adjoining districts. r l he Fukefcohe chamber is bringing the matter forward. Tailor's Shop Robbed. Several suits of clothing were stolen from Mr. E. Clark's tailoring shop in Pitt Street between Thursday evening and yesterday morning. Entrance was gained by breaking the glass panel of I he. front door after material had been plastered on the glass to deaden the sound. Salmon in the Rakaia. Salmon, which are eclipsing in size those of previous years, are now running in the Rakaia, according to word rereived in Christchurch. Good catches of big fish are reported to have been secured last Monday afternoon and on Tuesday morning, one fisherman having landed 13 large fish. Transfer of Oable. Arrangements have been made for the cable steamer Recorder to leave Auckland next Thursday afternoon for Cook Strait, where she will commence the task of transferring the shore end of the WellingtonSydney cable, from Wellington to Auckland. This follows the decision to close the Wellington office of the Pacific Cable Board and relay the cable to Auckland, tho cable being brought ashore at Muriwai. Firearms Without Permits. "A number of cases of having firearms without a permit have been before Ihe Court lately, and it may be that the fines have not been a' sufficient deterrent—the view I take is that they can be and shall bo increased." These remarks were made in Wellington Magistrate s Court yesterday, by Mr. E. Page, S.M., in fining Norman Alan Millar £3 for procuring the possession of a revolver without a permit. Oyi'i 1 William llighty was similarly dealt with. Smaller Parliament Favoured. A proposal that the Associated Chambers of Commerce promote a petition of electors throughout New Zealand for the reduction by half of the number of members of the House of Representatives and tho Legislative Council was endorsed at a meeting of tho Pukekohe Chamber of Commerce this week. It was agreed that the proposal be submitted as a remit to the half-yearly conference of chambers of commerce in Franklin district, to be held at Papatoetoe on Wednesday. Matson Liner Lands Fruit. The Matson Line steamer Sierra unloaded 223 cases and 62 bunches of bananas from Suva yesterday. It is stated that the reason for landing the fruit here and not at Sydney was that it was thought- to be ripening too quickly. This is the first cargo from the Islands unloaded at Auckland from a Matson liner. Previously the waterside workers had placed a ban upon cargo for Auckland from either the Islands or from Sydney, but yesterday no trouble was experienced in unloading the fruit. Disease In Blackberry. A discovery that may have an important. bearing on the. research efforts to find an enemy of the blackberry has been made by Mr. J. H. James, of Saies, North Auckland. He writes that a disease is rapidly spreading on the blackberry bushes in that district, and doing a considerable amount of damage to tho plants. The leaves first show small yellow spots and then, underneath, become covered with a powder or dust of the same colour. This, in a short time, spreads over the plants and causes them to die. Wellington's New Dock. It is expected that Wellington's new floating clock will be ready about the end of the month for its working trial, in which one of the New Zealand Shipping Company's vessels will be. used. There is some speculation as to which ship will be tho first, to use it thereafter. It is understood, however, that the ferry steamers Rangatira, Wahine and Maori will be regular customers, with the Rangatira probably the first of (he three. The Rangatira is too large for the Lyttelton .dock, where the Wahino and Maori were formerly docked for the completion of their annual overhaul and survey. " Paradise for Holiday-maker." "Concentrated beauty" is the description applied to New Zealand by Mr. Hollister St urges, an American tourist, who, arriving on the, Mariposa, has just completed a short tour of tho Dominion. " Tit 1000 miles," he. said, " you have the farming lowlands of England, a. little of the mid west. American desert, the alps of Switzerland and Hie fiords of Norway. All are very beautiful. In addition there are. the scenic wonders of Rotorua and Wairakei, the unmatched beauty of Waitomo Caves and the marvellous fishing of Taupo and the Bay of Islands. Truly your country is a paradise for any holi-day-maker." A Tame Seagull. The keeping of a seagull in a garden in a suburb of Christchurch was brought, before the notice of the Canterbury Society lor the Prevention of Cruelty to Animals. The inspector, Mr*. D. J. White, visited tho house and found that tho bird was kept by a young man, who had found it. when young. Mr. White told members of the committee of the society last evening that there was no cruelty attached to the. keeping of tho bird. It had < plenty of room to move about in and was so tame that it would not fly away. It was like a magpie in the garden, keeping slugs and earwigs .from attacking the plants. The committee decided that there was no cruelty in keeping the bird, therefore no action will be taken. Puzzle for Travellers. Travellers by the express, which is due at Auckland from Wellington early tomorrow morning, will be puzzled to learn tliaL the train will arrive afc Te Kuitj station at 2.39 a.m. and will continue its journey at 2.14 a.m., 25 minutes before tho scheduled timo of its arrival. The anomaly is due to the fact that the Railway Department will put back its clocks, owing to the end of summer time, at 2.30 a.m. to-morrow, and To Kuiti is the first stopping place reached by the express where the alteration will be felt. The train normally leaves Te Kuiti at 2.44 a.m., but as the clocks will bo put back half an hour when the train is there it will leave at 2.14 a.m. Th§ train, which ordinarily reaches Auckland at 6.38 a.m., will an-ivp on this one day at 6.8 a.m., standard time.