STOCK EXCHANGES

New Zealand Herald, Volume 78, Issue 24134, 28 November 1941, Page 3

STOCK EXCHANGES

YESTERDAY'S SALES RETURN ON INVESTMENTS * In the following list of yesterday's ° sales, yields allow for exchange and British income tax where necessary, jj a lid, in the case of loans, redemption ' and brokerage, but no allowance is v made for social and national security taxes on dividends 011 which these are c payable;— ' AUCKLAND EXCHANGE Sale Price Rise or Yield, a .€ s il Fall t s d Bank N.%. . 2 0 0 D. I. and B. 0 19 9 Ak. Gas (ran.) 0 211 t<> 0 1 s Nat. Timber O S 0 -9d J1 10 0 n N.Z. Brew.. 1 17 0 +3d 4 1 1 Broken Hill 1 19 10 +ld 8 15 4 p Dgiu. Pictures o 10 0 ... tl Grey and s Merizies . 0 18 0 Robinson lee 1 3 0 W'wths (Syd.) 016 >1 +ld 5 7 2 Wellington.—Stock, 15/9/46-48, 3, £O9 ® 15s; ditto, 80/1 1I AH, 4, £101! 17s (id; ditto, 1 15/4/■KM9, 4, £IOB 15s; ditto, 15/0/52-55, I: 4, £108; Bank Australasia. £8 12s (id (odd J lot); SAuckland Gas (con.), 2s l id; Felt and ' Textiles. 38s fid; Broken Hill 'Pty., 40s (2); e Woolworths (Syd.), 10s 4d. Overseas list.: Woo!worths Holdings (South Africa), 17s 3d f ' Chrislchurch. Bank New Zealand. 40s , (3); National Insurance, 20s; Felt and Textiles, 38s (id; New Zealand Breweries, 375, 37s 3d. • Dunedin.—Westport Coal, 255. SSales after hours on Wednesday, t Based j on interim dividend at rate per annum- '] t AUSTRALIAN MARKETS ( r CONTRACTION IN BUSINESS 1 (lived. 8.52 p.m.) SYDNEY, Nov. 27 * Trading on the Stock Exchange contracted j sharply again to-day while investors awaited J news from the theatres of war. Sales in- * eluded: —Bank New South Wales, £25 Ss; Commercial Banking Sydney, £1.6 30s; Tooths, 51s; Australian Gas A, 965; Amal-. gamated Textiles, 10s lid; British Tobacco, ' 43s fid; Broken Hill Pty., 37s l%d; Colonial Sugar, .fl(? IOs; James Stedman, 13s 3d; Adams (pref.), 225; Mauri Bros, fits fid; Victoria Nyanza, 9s Sd; Morris Hedstrom (pref.), 25s <>d; Mount Morgan, 9s 7d '(N.Z. delivery), 0s 8(1; Kawarig, 8s 10d. Melbourne business included: —National Bank A'asia (CIO), £'ll ss; Carlton Brewery, 02s; Broken Hill Pty., 37s 3d; Drug Houses, 28s Id; Dunlop Rubber, 23s 9d; Mount Morgan, 9s Sd; Broken Hill South, 21s.

INVESTMENT FACTORS

TRENDS WITHIN DOMINION WAR'S EFFECTS REMOTE ; The opinion that Now Zealand had : become more self-reliant and had suffered less than any other part of the world since the outbreak of war was advanced by the chairman of the Christchurch Stock Exchange, Mr. P. E. Graham, at the annual meeting on Tuesday. Some had suffered considerable loss and even cessation of business, chiefly through import restrictions, said Mr. Graham, but new industries had sprung up and the Dominion's finance and business had probably been le&s severely affected than other countries. On the Stock Exchange there had been a very considerable shrinkage in turnover, and it was confined mainly to dealings in stocks and shares in New Zealand companies. I stated Mr. Graham. The lowering of interest | rates had made investors looking for reason I able return tor their capital turn their attention to bank, insurance and sound industrials or preference shares, with the result that prices had risen considerably and there ,i,ul been far more buyers than sellers. Share values had kept up surprisingly well, and a comparison showed that prices generally were higher than they were at the outbreak of war in 1939. Referring to the £10,000.000 War Lean, which was oversubscribed, Mr. Graham said the interest rates created a new low level for Government loans with the exception of the compulsory loan. However, not only was the loan over-subscribed, but trading in existing Government issues had besn ve<y brisk. Trading: companies, by reason of import restrictions, had been unable to obtain stocks of lines usually imported from overseas, and as their shelves had emptied their bank balances had increased and stocks of goods decreased. As deposit rates had been rednoed to a very low mark, companies and others haci been forced to find some outlet for surplus cash, and in consequence Government Joans had found ready sale and had been hongiH down to a return of little over 3 nor cent. Low interest rates and taxation, Mr. Graham stated, were bearing heavily on those da* ! pendent on income from mortgages and debentures, and upon an army of small investors who were assessed for taxation on the shareholding at the highest rate. Any further reduction in interest or increase in living costs would bear far too heavily on those

classes. BROKEN HILL PTY., LTD. CALL-UP OF £625,000 The third call of 5s a share on 2,500,000 new shares in Broken Hill Proprietary, Limited. is due to-morrow when shareholders will provide a further £625,000 to the capital of this huge Australian undertaking. The new money is being raised to finance the company's entry into the shipbuilding industry. The first call of 5s was paid in Mnrcn and the second in July. The final call of ss, making- the new shares fully paid, becomes, pay able on March 31, 1912. There are more than 10,000 shareholders in the company and over 1,000,000 shares of the capital of £12.029,195, the largest of any industrial company in Australia, are held in New Zealand. TATTERSFIELD'S YEAR AN INCREASE IN EARNINGS | After transferring £2OOO to insurance fund reserve, net profit of Tattersfield, Limited, for the year ended September 19, was £6442 This I compares with £SOIO in 1010, when £7OO was previously set aside to insurance reserve, and 1'4157 in 1939, when £OOO was placed to insurance reserve before profit was struck. The directors recommend an unchanged dividend of 8 per cent, absorbing £4400, leaving C3IS7 to be carried forward, against £1145 brought in after payment of £7OO directors' fees. As is customary no profit mid loss account is issued, but. the report states that C 509 has been added to depreciation reserve, II is stated that in spite of difficulties, largely caused by the war, in securing many lines of essential raw materials, sales had continued at a high level throughout the year. Profit was struck after taking full statutory depreciation and providing for taxation. Changes in the balance-sheet show a rise of £14,990 in the amount owing to the bank to £29,178, but this is more than accounted for by an increase of £10,588 in stocks to £31.559 anil the addition to assets of the holding of £7700 in War Loans. CHEESE PRODUCTION (0.C.) HAMILTON, Thursday A further effort to increase (he production of cheese is being made by the New Zealand Co-operative Dairy Company, Limited, by reconditioning the old butter factory at Otoroluinga and converting it info a cheese factory, Ten vats have been installed. The manufacture of cheese will commence on Monday, and two shifts will he worked daily. It is expected that the output of the existing butter factory will not be affected to a material extent, as the milk will lie drawn from increased supplies now available in the district. Cheese will be made from the milk of 0700 cows located within a radius of five miles of Otorohanga. The company is taking steps to convert the old VVnikalo Valley Dairy Company's butter factory at Fraiikton Junction lo a cheese factory, but some weeks may elapse before sufficient equipment and labour are available lo enable tlio work in hand to bo completed. OVER-WEIGHT PIGS (■O.C.) HAMILTON, Thursday The need for keeping pigs for export within the stipulated weights has again been stressed by Mr, M. J. Scott, superintendent of the pig industry, in a circular letter to district pis councils. As a result of the variations in yields of Wiltshire sides from,careases, due to differences in pigs and differences in methods of trimming, and because of the need for some fair way of paying for those pigs (hat are just over IfiOlh. car* case, it seems necessary to have some further definition about top-weight baconer pigs for export, says the circular. The Marketing Department buys baconers for export only in the form of Wiltshire side?, and these have to be within the weight range of 451b, to 70|b, This advice was sent to all pig-meat exporters, continues the circular, and is tho basis of purchase for baconer '"'so as not to penalise unduly the few good nigs that are just over 1001b., it is possible to cut Wiltshircs. and certain operators accept haroners rip to 1001b, The Primary Industries Controller views this procedure as a reasonable way of meeting the occasional difficulties of overweight pigs, hut recommends io producers that they endeavour to market their pigs within (he range. Farmers can ipvercomo any difficulties by keeping their pigs below top weights.