REVIEW OF THE WEEK

New Zealand Herald, Volume LXXV, Issue 23145, 17 September 1938, Page 11

REVIEW OF THE WEEK

A CLOUDED MARKET TENSION ABROAD REFLECTED WIDE RANGE OF LOSSES The disturbed situation in Europe overshadowed all other influences in the investment market this week. With the general deterioration abroad, tho flow of business diminished to the smallest volume for a long time, and values slipped away throughout tho period, reaching in many instances tho lowest points of tho year. Coming on top of tho unsteadying effect of increased company taxation both in New Zealand and Australia, the European crisis caught the markets at a low ebb, but political issues havo been almost lost sight of during tho disturbing days of tho past week. Investors for the most part, however, were content to hold their hand, hoping for the best, and, while it was diflicult to induce offers at what in many cases appeared to bo bargain rates, there was no evidence of a rush to liquidate such as might bo expected under the circumstances. That some power to rally was retained, was provided in tho immediate response of the markets* upon receipt of tho news of Mr. Chamberlain's visit to Germany. Loans Remain Weak Support for Government loans was weak and unchanged. The volume of business remained steady, with the interest centred in the 3.J per 'cent taxfree issues, values for which cased at the close of the week. Following is a comparison of the levels ruling ;i year ago for a selected number of Government loans, compared with those of the last two weeks: — Sept. 17, Last This 1937 Week Week Bonds, 15/2/43-40, 4 103% 100 99%* Stock, 15/3/39-13, 3% 101*§ 100'/ 4 100% Ditto, 15/1/53-57, 3% 99 01%t 01%t Ditto, 15/4/40-49, 4 . 104% 101 10 L Ditto, 15/0/52-55, 4 . 105'/ 4 101%t 100% •Buyers. §Ex interest. Banks were eloquent in their indication of the outlook of investors. Business was restricted almost solely to tho New Zealand institutions, which lost further ground, although New Zealands rallied from 41s Del to 42s at the close of dealing. Insurances were similarly easier, with New Zealand Insurance contributing tho only transaction of the week and losing Is to 555. All these issues were at their lowest levels this year. Decline in Industrials Neglect was very apparent in tho classified sections. Breweries were sluggish, with some effort at a recovery later. Among the Australian industrial issues, falls were persistent over tho greater part of the week. Broken Hill Proprietaries were the chief sufferers, declining 2s to 54s 9d before they took an encouraging turn upward on Thursday. closing finally at - r )6s .'3d. Similar falls occurred in other stocks, G. J. Coles. Woolworths (Sydney), Electrolytic Zinc (ord.) and Farmers' Tradings reaching new low levels for tho year. Trading in Barriers was the main feature of mining business. Both Broken Hill North and South issues were fairly firm in the early part of the week, but weakened materially later. The market for Mount Lyell shares was not tested. Loloma gold shares were very firm. The following comparative table shows the levels of sales mado on the Auckland Stock Exchange in tho corresponding week of 1937, together with the lowest price touched last year, and prices during recent weeks: — / Sept. 17, Lowest Last This 1937 Price Week Week Bank A'asia... 232/0 227/0 213/- 205/-* Com. Bk. Aus. 17/3 10/9 10/1 10/lO Nat. Bk. N.Z. 58/3 55/- 52/- 52/E., S. and A. 105/-* 100'- 103/0 104/4 Bank N.S.W. 0-15/4 012/0 000/-* 597/0* Bank N.Z. .. 44/0 40/- 42/- 42/Union Bank .. 102/- 187/- 168/Nat. Ins. . . 'lB/- 17/- 10/10 it 14 N.Z. Ins. .. 03/- 00/- 50/- 55/South British 90/61 48/0 40/- 40/4 (iolds.-Mort .. 34/31 30/10 20/0* Pukemiro . . 20/4 IS/- 18/(4 18/G» Auckland Gas 21/0* 20/0 20/1 20/4 N.Z. Breweries 48/-* 44/9 40/3 40/Dom. Brew. . . 40/0t 37/0 29/9* 29/0* Aust. Glass . . 91/- 81/3 92/9 British Tob. . . 49/3 47/10 46/-* 45/-* Broken Hill . . 74/- 59/- 50/9 50/3 Bycroft .. 11/-* 39/0 Col. Sugar . . 910/- 855/- 942/0 945/Dunlop Perdriau 22/3 18/11 20/8* 20/9 El. Zinc (pf.) . . s(i/- 47/9 45/3 44/3 Farmers' Trad. 20/9 19/9 19/10 19/8 G. J. Coles .. 95/0 SO/- 78/- 77/Wilsons Cem. 20/9t 17/- 10/4* 10/0 Martha .. 15/3 12/3 10/9 10/0* ML. Lyell . . 42/- 30/0 27/- 20/0* •Buyers. tCapital sinco altorcd. Trend ol Dealing Tho trend of dealing over tho week was as follows: — Government Loans. —"Rural bonds, 15/9/47, 4, £ 102 (cum interest). Inscribed stock, 15/11/38-52, 3%, £ 1(10 10s, .CI 00 ss, £IOO (2); ditfo, 15/3/39-43, 3%, £IOO ss; ditto, 15/9/39-43, 3%, £IOO 2s 0(1; ditto, 15/5/39-52, 3%, £IOO 5s (2), £100; ditto, 15/4/40-49, 1, £lOl (3); ditto, 15/0/52-55, 4, £IOO 2s Od. Debentures. —Mount Albert, 1/7/41, 4%, £lOl. Banks. —Commercial of Australia, 15s 10(1; National of Now Zealand, 52s (2); New Zealand, 41s lid (2), lis "lOd, 41s 9d, 425. Insurance.—New Zealand, 50s, 555. Gas. —Auckland, 20s Id. Timber.—National, 8s Od. Breweries. —New Zealand, 40s; Tooths, 53s (id. Miscellaneous. —Alloys Steel (Aust.), 7s; Broken Hill Proprietary, 50s 4d, 50s 3d, 50s, 55s Od, 55s 3d, 54s 9d, 555, 50s 3d; Consolidated Brick, 7s Od, 7s (id; Dunlop-Per-driau, 20s 9d; Electrolytic Zinc, lis (id, 41s; ditto, pref., 445, 44s 3d; Farmers' Trading, 19s 1 Od, 19s 9d (3), 10s 8d; ditto, A pref., 225; G. J. Coles, 78s, 78s 3d, 775; Imperial Chemicals (pref.), 21s Sd (3); Milne and Choyce (deb.), 10s Od; New Zealand Farmers' Fertilizer, 17.4; Northern Poller Milling (ord.), 19s; New Auckland Laundry, 19s 0(1; Taranaki Oil, 12s Od, 12s Id; Wilsons Cement, 10s Od; AVoolworths (Sydney), 20s 10(1, 20s 5d (2), 20s, 10s 9(1. Millinpr.—Waihi Investment, 8s 7d; Broken Hill South, 30s, 30s Od, 29s 3d; ditto, ex div "8s Od, 28s 8d; Loloma, 24s 10(1; Mount, Morgan, 10s ltd (2); Mount. Kasi, 4s 7d; North Broken Hill, 45s Od, 455, 43s lOd; ftawang Tin, Ss (3); New' River, Od. • Overseas List. —Woolworths Holdings (South Africa), 15s 2d, 15s. Unofficial List. —Auckland I- armors I 1 reeziim (£1 paid), odd lot, 21s; Australian Provincial Assurance, ss 11(1; New Zealand Perpetual Forests, 33s Od; Solfrulges (N.Z.), 10s paid. 5a (id. BRADFORD TOPS MARKET QUIET BUT FIRM LONDON, Sept. 15 The Bradford market is quiet but firm. Business is restricted pending the outcome of the political situation. Following are to-day's quotations and those of recent weeks: — Auk. 25 Sep. I Sep. 8 Sep. 15 per lb. per II). per ll>. per lb. d d d d Seventies .. 28 27 20Mi 20% Sixty-fours .. 20% 25% 25 25 Sixties . . 25% 24% 21 21 Fifty-eights .. 22 21% 21 21 Fifty-sixes .. 20 19 18y a 19 Fifties .. 17 17 10% 17 Forty-sixes ~ *lO% *lO% *lO% *lO% Forties . .. *lO% *lO% *lO% *lO% i 'Nominal. WHEAT AND SUGAR LONDON, Sept. 15 Wheat. —Cargoes are firm and parcels are steady. Futures.—London: October, 23s 8d a quarter; November, 23s IOJd. Liverpool: October, 5s lid a cental; December, 4s .11 jjd; March, 4s IOJd. Raw sugar, beetroot basis, 5s BJd a cwt. WHEAT IN CHICAGO CHICAGO, Sept. 15 Wheat. —September, 64j| cents a bushel; December, 64J cents; May, 66| cents.