ENGLISH WOOL LETTER

New Zealand Times, Volume XXXVI, Issue 8257, 21 October 1912, Page 8

ENGLISH WOOL LETTER

VALUES FIRM AND -PROSPECTS GOOD. Piom Out Special Correspondent. BRADFORD, September 6. Conditions in the wool trade appear to ie very satisfactory, a fair amount ot new business having been registered during the past week. Some seem to think that on Thursday hardly as much was done in crossbreds as last week, users having to a large extent covered Uieir requirements and returned. All tne same, the market presented many encouraging features, and business generally must bo described as good. It must be said that the autumn trade has opened out splendidly, and much better than even the most sanguine ever expected The question was put pointedly on Thursday as to whether we thought things were os healthy at the foundation as the majority were trying to make out, and whether the abnormal season so far as weather is concerned, was going bo adversely affect textiles in general. This no donbt is an aspect of the case which must be faced, for without doubt agricultural and pastoral enterprise lies at the foundation of all successful business. It does seem a pity that wo should have had incessant rams instead of sunshine, but it is remarkable that in every lot there ie a cross, and that in most cupboards there is an Unwelcome skeleton. A well-known topmaker said on ’Change this week that no less a sum than XT50.000 was wrapped up in Great Britain’s agriculture, and while this is not in any sense lost, adequate returns must be forthcoming before the influence ot the large number of families throughout the land can be felt to any appreciable extent in the demand for textiles among both town and country* clothiers and drapers. There has always been harvest time in the world’s history up to the present, and ■idthough crops may have been spoiled, they aro not entirely ruined. After all it cannot bo said that British agriculture is languishing. Hay crops are on the whole distinctly heavier than last year, and even if their feeding value has been pair, tiajly reduced, there is quantity if not quality. The writer was travelling about a. week ago to a sennido resort for a week-end in company with a fairly big Yorkshire Dales farmer. Naturally the Weather was tl\e chief topic of conversation, but ho made the eignficant state, ment that all classes of stock were fetch-' ing good prices, cattle being J 22 per head dourer than a year ago, while shoe- ore likewise making distinctly higher values. All cereals and farm produce are also fetching more money, hence wo do not think that in the aggregate farmers will be very much worse off than they wore a year ago. An unusually early and good demand has begun for autumn and win.jtor fabrics, overcoatings appearing fully iix weeks earlier than a year ago. Ail this means trade, and it is significant that both spinners and manufacturers Kavo not yet fait any ill effects from the adverse weather conditions of the past three months. Wo do want to say one word to either frighten or excite the market, but wo are still sanguine enough to believe that mills will continue to be fully run during the coming winter, and if the quantity of light weight goods Bold this summer has not been large, the export trade has been sufficient bo maintain mills in a fair degree of prosperity. MERINOS IN A SOUND POSITION.

If one carefully analyses the standing of fine wools to-day, he cannot bat bo impressed with the absence of forcing tactics. It is surprising how steady and firm values have remained during the past month, and when one thinks of the considerable amount of business which has been dome in fine tops, it is surprising that an out and odt advance has not been established. Does it not show- that our largest importers and topmakers hove their eye upon the opening of the colonial season? That undoubtedly is correct, and the majority think that to start importing on a 37d basis for 64's la high enough to bo consistent with gaiety. Nothing has impressed the.

writer more during the past few weeks than the sober views expressed by those who are responsible tor determining prices, and even fin© tops to-day can be bought at the figures wo quoted a month ago. More business has been done this week than last, and so long os stocks last, topmakers say that they will sell and realise profits. There is persistent talk about forward sales, but wo can find no emo prepared to risk the future by sailing for next January delivery ot less than current prices to-day. Sp minors axe in the moixl for listening to any offer at less money, but naturally are fighting shy of paying 27d for next year’s delivery. Topmakers are certainly acting most wisely in refusing to sell forward until they know where they stand for it is useless mortgaging the future iu face of, a shortage, and healthy conditions obtaining on the Continent as well as America. The market to-day is very healthy and sound, prices are exceedingly firm, and taking all things into consideration, there is little to indicate that lower prices are likely to prevail. CROSSBREDS VERY FIRM.

Business has been somewhat reduced in volume this week compared with last, ■and it looks as if the majority have covered their mjuiremeuts Possibly the higher quotations which firms are enforcing have had something to do with the tapering oil of new orders, but the situation is tdly sound, and the whole aspect of crossbreds presents a healthier and more robust appearance than was the case a month ago. Do as ho will, no mm can minimise the influence of the American factor, or in the least disparage the demand which has boon made for both wool and tops. The largest firms of buying brokers in Bradford acknowledge to tneir clients having done in many cases a record business, and although several firms bought more crossbred wool at the last senes of London sales than they have ever done before, they are congratulating themselves on the profit they have been able to make. A most unusual circumstance has happened, that of topmakers selling wool to each other, and so long as they could see a profit they have wisely secured it. It is noteworthy that two or three of Bradford’s leading firms have been rather badly caught by the present move, for they sold some months back big weights of 4rVs to 48’s tops for delivery during July, August, September, and October at a thick penny less than today’s quotations. These low sellers are naturally out of the market to-day, and are more to be pitied than blamed, for at one time it looked as if they would bo able to execute their orders without a loss. However, that is a passing phenomenon which will always occur no matter what course values take, for the man is not born who can see months ahead and never make a mistake. This week there has again been a fair amount i of activity in wool, and the Continent 1 has in no sense been a despised customer. There seems to be a new demand springing up for scoured medium crossbred wool for shipment both to Germany and Russia, this giving additional strength to values. Most topmakers are to-day asking 14fd for AO’s prepared, but the most pronounced demand is still that which is being made for medium carded tope, and even 50's are not excluded, English wools are moving very nicely, and topmakers and spinners faced with the certainty that prices are going to be no lower, but possibly higher, have bought some fair weights during the past fortnight. Some qualities are .already getting scarce, and there has never been a time in the history of the trade when the country has been so cleanly swept of domestic wools. Country dealers have exerted themselves in a most unusual manner: a month back they paid prices sensibly above those current in Bradford, feeling that the future was with them. The stocks then purchased look right to-day, but several firms are sitting upon them in the hope of making a considerable profit at a later date. NOILS SELLING BETTER. The position of this bre product of the top trade is worth more than passing notice. We understand that during the week increased activity has been witnessed in merino descriptions, but to what it is due no one can say. Evidently one or two dealers have reasons tor operating on a fairlv large scale, and even merino noils are, if anything, slightly dearer on the week. Their competitors appear to bo a little mystified

and cannot understand what this latest turn of events really 'means. It is just possible that they are experiencing an augmented demand on Continental account, but other firms say that they have felt no impetus, and are still on the quiet side. Be that as it may, a fair amount of business has been done, and we think topmakers are wise in selling. We have been approached as to what we think of the future of noil prices, and we must say that we cannot at the moment see any sound reason for expecting these to improve. All authorities agree that the coming Australian clip will be more "noily” than the last, and the new Queensland wools which were offered last series in Coleman street showed unmistakable signs ■of being shorter and weaker in staple, important factors which mean more noil production. We hope topmakers realise this fact, and will make all due allowance in fixing the prices for any prospective business on January account. So far as crossbred noils are concerned, there is still a big business doing in 40’s to 48’s. and those who have contracts running are naturally regretting their position. No satisfactory Explanation has been given for the pronounced activity which has been seen in strong qualities, but we suppose it is largely due to a lessened production together with an increased call on the part of blanket and crossbred tweed manufacturers. Mohair noils are very slow and relatively cheap, while cashmeres are very scarce.