THE MONEY MARKET

New Zealand Herald, Volume LXXVI, Issue 23507, 18 November 1939, Page 7

THE MONEY MARKET

BANK OF ENGLAND RETURN RECOVERY IN DEPOSITS GOLD HOLDING INCREASED LONDON, Nov. 1G The Bank of England return for the week ended November 15 is as follows : ISSUE DEPARTMENT Notes issued: — Govt, debt £11,000,000 In rircu- . Other Govt. lation 527,600,000 securities 505,500,000 In bank- Other secuiug dept. 52,000,000 rities .. 3,000,000 Silver coin 500,000 *£580,000,000 Gold coin & bullion 200,000 £580,200,000 £580,200,000 •Amount of fiduciary issue. BANKING DEPARTMENT Capital .. £14,500,000 Govt, securest . . 3,200,000 rities £103,200,000 Deposits— Advances Public . . 17,900,000 and other Bankers <fc securities 20,500,000 other acs. 147,700,000 Notes .. 52,000,000 Gold and silver coin 1,000,000 £183,300,000 £183,300,000 The principal items of the above return compare as follows with those for last week, the proportion of the reserve being shown in the last line:— Deposits— Nov. S Nov. 15 Public .. £21,300,000 £17,900,000 Bankers .. 101,900,000 107,100,000 Other Accounts 41,500,000 40,000,000 £101,700,000 £105,000,000 Securities — Government .. 102,300,000 103,200,000 Advances, etc. 5,500,000 5,200,000 01 her .. 21,900,000 21,300,000 Reserve . . 52,700,000 53,000,000 Note circulation 525,400,000 527,000,000 Coin and bullion 1,100,000 1,200,000 Proportion . . 32.05 32.35

RATE OF DISCOUNT The Bank of England rate of discount is 2 per cent. It was reduced on September 21 from 4 per cent to' 3 per cent. CONSOLS AND DOMINION STOCKS . The following table gives quotations for consols and colonial inscribed stocks, compared with those of November 9:— Price Variation

£sd s d Consols, 2% per cent G8 2 6 -2 0 Fund. Loan, 4, '6O-00 105 3 0 0 Samo War Loan, "?>% 1052. 02 30 0 +3 5 0 Conv. Loan, .V/ a , 3001 03 0 0 +35 0 Victory Bonds, 4 .. 105 11 3 +3 0 Com'wealth, 5, *45-75 304 0 0 -30 0 Coin'wealth, 4. *43-18 100 2 0 -2 0 Com'wealth, 3%, '4B-53 JOl 12 0 -32 6 Com'wealth, 3V«, 'SO-01 82 0 O +47 0 Com'wealth. 3, 55-58 83 17 fl +JJ 0 N.S.W., 3%, 1930-50 03 7 G +2O 0 Victorian. 3, 3 020-49 01 5 0 +35 O Victorian, 4 3 A, 1040-60 102 3 0 0 +35 0 Victorian, 5, 3045-75 103 10 0 -5 0 Queensland. 3, "22-47 02 2 0 +5 0 Queensland, 5, '4O-00 100 15 0 &amc S. Australia. 3, 1916 n or after . . 09 0 0 +2O 0 S. Australia, 5,1945-75 103 10 0 -20 0 \V. Australia, 4, '42-62 97 0 0 +oo 0 Tasmania. 3 1 / a, '2O-40 101 0 0 Samo Tasmania, 4, 1040-50 00 0 0 +2O 0 ]S*. Zealand, 4Vi. 1945-58 97 10 0 Same X. Zealand, 3'A 3 910 101 5 0 +2 6 N. Zealand, 3. 3 945 00 12 6 +22 6 tEx interest.

PRICES FOR HIDES DOMINION SUPPLIES SCHEDULE AND CONDITIONS SEPTEMBER I RATES AS BASIS [by telegram—own* correspondent] WELLINGTON. Friday The schedule of prices to be paid for hides for domestic consumption was announced by the Minister of Supply, the Hon. D. G. Sullivan. He said that to ensure adequate supplies of hides for New Zealand requirements, in view of the seasonal shortage which had been accentuated by the smaller production during the last few months, he had called a conference of representatives of the tanning, freezing and export interests to review existing conditions. After considerable investigation of the position, said Mr. Sullivan, it was decided that New Zealand tanners should have first call on the production of hides required for domestic consumption, and prices were fixed as being the prices current at September 1, in accordance with, the Price Stabilisation Regulations. Owners of hides were required to offer their holdings to tanners at these prices immediately.

Decisions of Conference The decisions of the conference and schedule of prices and conditions of sale were as follows: — It was agreed to treat the salted hide as the thinners' source of supply, the tanner to have the first call on all salted hides at September 1 prices, the hides to bo in conformity with New Zealand standard specification both as regards treatment and grading; the intention being that no hides shall be. sold by exporters or shipped from New Zealand till a certificate has been given by the tanners' committee that they are not required by the New Zealand tanners. It is understood that this arrangement shall apply until the terms of any possible purchase on behalf of the United Kingdom Government are known, when some new arrangement shall be discussed. Basis of Agreement N It is agreed that the foUowing prices are an assessment of September 1 prices in accordance with the provisions of the Price Stabilisation Regulations and which form the basis of this temporary agreement. Freezer Hides.—Freezer, ox, cow, bull and yearling hides to be on the basis of prices ruling on September 1 for the particular brand on similar get-up or quality. . Other than freezer hides. —Ox hides, abattoir standard; 701b. up. first grade, 7d; second grade, 6sd; 591b. tn 691b., 61d and 53d;. 531b. to 581b., 6>d and ojld; 'lslb. to 521b., ojd and ojd; up to '151b., ojd and o\d. Country butcher standard: 701b. up, 6idand 6d; 591 b to (591 b.,- 6cl and 5Jd; 531b. to 581b., 5Jd and old; 451b. to 521b.,-ssd and sd; up to 451b., 5Jd and- sd. Farmers' standard: At valuation on September 1 basis. Cow hides, all weights. —Abattoir standard: First, s]d; second, sid. Country butcher: First-, 5-Jd; second, sd. Farmers: First, sd; second, 4UI; third. 4d.

Yearlings.—Abattoir standard: 2olb. to 301b., first, 6Jd, second, 5 3 , d; 171b. to 211b., 74d and 7d; 91b to 161b., BJd aud 7-Jd. Country butcher standard: 2olb. to 301b., 51 d and od: 171b. to 241b., Cd and 5Jd; 91b. to 161b., 6id and 5Jd. Farmers' standard: At valuation on September 1 basis. Bull Hides. —At valuation on September 1 basis. Calfskins: At valuation on September 1 basis. All of the above prices are loose on floor at Auckland, Wellington, Cliristchurcli and Dunedin. Prices at other centres are id a lb. lower.

HIGHER RUBBER QUOTA LONDON, Nov. 16 The International Rubber Committee has raised the quota for the first quarter of 1940 to SO per cent.