COMMERCIAL SUMMARY

Otago Daily Times, Issue 18675, 3 October 1922, Page 5

COMMERCIAL SUMMARY

MONEY MARKET UNCERTAIN AFFECTED BY NEAR EAST CRISIS. WOOL PRICES SOARING.. Pre«a Association—By Telegraph—Copyright. LONDON, September 30. The past fortnight has been a trying period on the Stock Exchange. There has been so much uncertainty regarding events iu the Near East that business was reduced to a very small compass. With all sorts of rumours hying about, it is only natural that people should be extremely cautious and prefer to keep tlwir mousy on deposit rather than risk it even in giltedged securities; but though business has been so restrained, there has been no great depreciation in prices, for if buyers have been conspicuous by their absence there has been no influx of sellers. The whole position has been so uncertain that only the most hardened operators dared to run the risk of opening fresh business, as the whole aspect of affairs might change at any moment. In this position of things, prospects for new issues are far from favourable. It is understood that several overseas States are anxious to raise loans, but they are likely to defer operations as long as they conveniently can. One bright spot in the Stock Exchange is the rubber share market. Following a slight improvement in the price of raw material, there has been a steady absorption of rubber shares, and prices for these have not shared the general weakness, but show all-ronnd appreciation. The foreign exchange market has been upset by the disquieting position in the Near East. German marks are suffering most, though in this case the unfavourable reparations prospects and continued inflation were also contributory factors. The weakness of the dollar exchange is attributable mainly to remittances to the United States in payment for exports; but another cause is the fact that the British Government must pay America about £14,000,000 interest on her debt in October, and a further £12,000,000 must be met on November 1. The English markets are glutted with fruit of every description. The homo crops of plums, pears, and apples are very large, and heavy supplies of Spanish grapes are arriving daily; while Switzerland, France, Germany, and the Tyrol are all sending great quantities of apples, which in former years used to be consumed locally or exported to Russia. Now the exchange between these countries and Britain is so favourable to them that they are able to sell their fruit very cheaply and still x-eceive a handsome profit. Californian apples sold in Liverpool as low as 4s 6d per case, American barrels at 10s 6d and 18s, and Nova Scotian Gravensteins at from 10s to 14s a barrel. Wool traders are following with unusual interest the opening of the Australian sales, and while importers are highly gratified with the satisfactory results, users in .Bradford are showing some alarm at the soaring prices. Spinners are holding to the open market as much as possible in the hope that they may get better terms later. Both spinners and manufacturers assort that they cannot sell their products at prices commensurate with the cost of tops.—A. and N.Z. Cable. BRITAIN’S FINANCES. REVENUE STATISTICS. LONDON, October 1. The quarter’s revenue decreased by £3.255,000, compared with 1921. The decreases were ; Excess profits, £9.950.000 ; excise, £8,051,000; Customs, £3,632,000; postal services, £1,450,000, special receipts from sale of war stores £27.109,000. Increases : Income tax. £4,774,000 : estate duties, £4,014,000; telepnonos, £1,400,000. The six months ; revenue was £403,893,000, a decrease of £52,269,000, and the expenditure amounted to £347.423,000, ,V decrease of £150,570,000, of which the civil services' accounted for £69,155,000, the Army Navy and Air Forces £40,060,000. and interest on war debts £31,751,000.—A. and N.Z. Cable.