BEAR TRADING BANNED

New Zealand Herald, Volume LXXVII, Issue 23708, 15 July 1940, Page 3

BEAR TRADING BANNED

AUSTRALIAN EXCHANGES RESPONSE IN SHARE VALUES [FROM OUR OWN COHRKSI'ONDKNT] SYDNEY, July 10 "Bear" operations have been prohibited on stock exchanges throughout Australia, owing to the gravity of the present war position, which has produced abnormal conditions. The prohibition will remain in force until further notice. While up to the present there has been no appreciable "bearing," the prohibition is considered desirable as a "precautionary measure and to reassure members of the public who are nob well-informed about the operations on the stock exchanges." The prohibition applies hoth to the mining and investment markets, but genuine forward selling in the mining section is still permissible. ' The steps taken to prohibit _ bear transactions are timely, and action designed to prevent unnecessary depression of share values in existing market conditions is commended. It is claimed that the operator who sells scrip which ho does nofc possess, in the hope that he may be able to cover his requirements at a price which will leave lum a profit margin, should be discouraged in the interests., particularly, of the general body of genuine investors. Some professional operators have been adopting this practice. The prohibition of "bear" trading had an immediate effect on prices at the Sydney Stock Exchange. After a period of many weeks, during which prices have progressively declined, share values took a substantial upward turn after the ban was announced.

DRIED FRUITS FOR BRITAIN AUSTRALIAN SURPLUS SOLD Britain has bought tho balance of the available surplus of Australian currants, sultanas, and lexias of the 1940 season. _ .it Announcing that the sale involved about 15,000 tons of sultanas and 10,000 tons of currants, the Minister of Commerce, Mr. A. G. Cameron, said in Melbourne on Wednesday that it brought the total fruit sold to Britain in the 1940 season to 51,000 tons, made up of 18,000 tons of currants, 13,500 tons of sultanas, and 1500 tons of lexias.

Prices per ton in sterling for fruit delivered into tho warehouse in Britain ranged from £26 for one-crown currants to £35 for four-crownj £3l for onc-erown sultanas to £45 for fivecrown under a first contract, and a flat rate of £3O for sales made under a second contract; £3B to £45 for four and five-crown lexias. Purchases made by Britain under the first contract, representing about 26,000 tons, Mr. Cameron said, had hcen almost all shipped, and orders received, from Canada and New Zealand exceeded shipments to those countries in any previous season. Disposal of the crop was doubly pleasing, ho added, because tho season had been a record one.

WOOL CONSUMERS LOSSES IN EUROPE An indication of the loss of consumers of imported wool caused by the war is the fact that the countries now occupied by the enemy imported the approximate equivalent of 3,700,000 bales annually from all sources. As an offset, the United States may require appreciably greater supplies, Japan may need larger quantities, and the Australian mills are certain to want more wool, states Wincheombe Carson, Limited, wool brokers, Sydney. If this season's Australian wool had been offered at auction and catalogues were now being submitted by that method, the few remaining countries able to import supplies would be in a position to securo them at almost any price they cared to bid. The British contract lias averted that position this season, and has enabled Australia to got a reasonable return for her record clip. Consumption of wool will proceed apace at the Australian mills, Juit a great part of their output will be devoted to military needs. The Defence Department is taking the whole of the production of the Sunnvside mill, Ballarat. employing 400 hands and capable of turning out one and a-half miles of khaki daily. The mill usually produces large quantities of fabrics and blankets for the trade in Australia. A similar development is likely in other mills. SILVER AND TIN VALUES LONDON, July 12 Silver is quoted at 213 d a standard ounce and 23id an ounce fine, against 21 13-16 d and 23 9-16 d yesterday. Tin quotations are easier. Spot: Buyers, £266 2s 6(1 a ton; sellers,_£ 266 7s 6d. Forward: Buyers, £265 ss; sellers, £265 10s. WHOLESALE EGG PRICES The Auckland Egg Marketing Committee announces that wholesale egg prices are unchanged as follows: Hen: First grade, large, 2s 3Jd a dozen; medium, 2s 2-Jd; small, Is IOJd. Duck: First grade, large, 2s l}d; medium, lis Did; small. Is lOjd. Country storekeepers' minimum buying prices tor large-size eggs are: —Hen, Is 9Jd >i dozen; duck, Is 7Jd.

LONDON COMMODITY PRICES (Received July 11. 5.5 p.m.) LONDON, July 13 Friday's closing commodity prices were: Rubber: Para. 15d per lb; plantation and smoked, 12jjd. Cotton: Spot, 7 9Sd per lb; August delivery, /.42d. Linseed oil, £4-1 a ton. Turpentine, 5-'ss per ewt. PAPAKURA DAIRY SALE Thn New Zealand Loan and Mercantile Agency Company, Limited, reports a largo yarding: at the Papakura dairy sale, competition being? kern. Best dairy cows, £1- to £l3 "15s; medium, £ll. to £ll 17s bd; hackward, £8 10s to CIO ss; host dairy heifers, £l2 to £l3; medium, X'lO 10s to t'l'l los; others, .-to to .t'lO ss; backward, .€(> l">s to J2B 17s Od; yearling heifers, £2 17s Od to £3; young service bulls, £3 los to ,C 7 10s.