BRITISH TRADE REVIEW

Otago Daily Times, Issue 19691, 19 January 1926, Page 9

BRITISH TRADE REVIEW

BUTTER MARKET ACTIVE. WOOL TRADE HOPEFUL. TRANSACTIONS WITH RUSSIA. {Press As.aocintion—By Telegraph—Copyright.) LONDON, January 16. The first fortnight, of the new year has bcr.n a dull period on the Stock Exchange, and business all round has been on r. small scale. This is largely due to the plethora nf new issues, which have diverted attention from existing securities and the fears that a rise in the bank rate might be. necessary, following the increase in "New York. 11l is fear has proved unfounded, for the present at any rate, and the market closed steadily, especially for gilt-edged stock, a noteworthy feature being that colonial scrip was hvell maintained, despite the poor response to the Queensland and South Australian loans. BUTTER. The butter market is at last showing some signs of activity, and trade last week was fairly brisk at prices from. 6s to 8s above the previous level. Importers arc hoping that the improvement will be maintained, and shippers apparently have the same idea, for a considerably quantity of recent arrivals from Australia and New Zealand are being held awaiting their instructions. It is reported that the Anstralan and New Zealand Control'Boards are reducing shipment®, and if this is the case the market should harden, especially if the estimates that New Zealand’s arrivals will show a considerable shortage compared with 1924 are realised. AUSTRALIAN WINES. The optimistic reports cabled from time to time regarding the improvement in the Australian wine trade are fully borne out by the official figures, which show that both imports and consumption are largely in excess of previous years. The total imports of Australian wine in 1925 amounted to 1,054,000 gallons, compared with 824,OTO in 1924 and 706,000 in 1923. The consumption of .Australian wine in the United Kingdom was 782,000 gallons, compared with 611,000 in 1924 and 628,000 in 1923 This increase in consumption by 171.000 gallons is particularly noteworthy as the consumption of wine from other British possessions in 1925 was less than in 1924, being 215,000 gallons, against 220.000 gallons of Australian wine. EGGS. The esrv season is closing somewhat unfortunately, the best price obtainable for the Sophocles's parcel being only about 15s per 120. The slump in Australian eggs is largely due to the general fad in prices owing to heavy supplies from all sources, but it is accentuated by the presence cm the market of several unsatisfactory parcels which were held up in Australia by the shipping strike. These are practically unsaleable, and several lots which had been sold have been returned by the purchasers. The result is that Australian eggs for the moment have got a very bad name. THE WOOL MARKET. The wool trade does not expect- the first series of sales, opening on Tuesday, to allow any great divergence in values from the last- sale of 1925. The Bradford correspondent of the Economist points out that if Continental buyers are able to operate at all freely there should be no difficulty in maintaining values, but there is some room for doubt whether these countries will be able to give their usual support. So long aa there is any possibility of lower values users will simply buy from hand to mouth, but there is reason to believe that a firmness in wool would bring opt a considerable amount of latent business in semi-manufactured and fully manufactured goods. Another expert writes : “One reason why I do not expect any great change is that the figures published by Messrs Dalgety and Co. show that the amount of Australian wool on its way to Europe is quite adequate. No complaints are now heard in the consuming centres about the smallness of stocks. This points to no higher values being paid, while the probability of much decline in merinos is precluded by the fact that merino tops are leaving the combers as fast as they are being produced. This indicates a large consumption in the West Riding, and we should say that merino wool is now being shipped on a larger scale than for the last two years.” A notable feature of the trade returns for 1926 is the indication that they afford of the approach to normal transactions with Russia in the Kvool produced in that country. In 1924 the quantity of wool exported to England from Russia was only /87,0001 b, hut last year the quanttiy received from this source rose to 7,210,000 lb. This represents something in the region of the pre-war volume if the trade done in the last two pre-war years be accepted as a reasonable criterion.—A. and N.Z. Cable.