COMMERCE AND FINANCE

Otago Daily Times, Issue 22894, 30 May 1936, Page 11

COMMERCE AND FINANCE

CHRISTCHURCH STOCK EXCHANGE THE WEEK’S ACTIVITIES (Per United Press Association) CHRISTCHURCH. May 29. Again this week the Stock Exchanges of New Zealand have shown a strong interest in Australian securities, and. though there has been a continuation of the settling down process across the Tasman, with values, if anything, a little weaker, Australian shares have in the main firmed, though prices have* at all times been erratic. The turnover on the New Zealand exchanges has been good. On the Christchurch Exchange it was the best for many months, but as a whole investors are far from assured about the future. The last few years have brought within the influence of the Stock Exchanges a large bodv of owners of money who. in the days when lending on property was more free, took little or no interest in the* share market. They were forced to turn to the Stock Exchange when the mortgage market became stagnant, and the very small improvement in the demand for bang pn property has discouraged exploitation of mortgages. Again, ns a means of investment, recent Government legislation, and particularly that of the last week, has added further to the uncertainties of the future of the mortgage market, and has stimulated interest in shares as an investment. The activity of the exchanges is by this, in some measure, explained. The activity of Australian 'securities in genferal explains • itself. , The path of the investor is at the moment a thorny one. He cannot be certain of a continuance of the increased profits of industry in this country, because it has not yet been made clear ‘how far the Government intends to avail itself of the powers is has already given itself to regulate industry. The investor also thinks somewhat uneasily about the strict regimentation of the flour milling industry, and naturally proceeds with caution. . . Australian conditions appear to be healthy, but there are signs that stabilisation is at hand over the broad field ox Australian investment, therefore most stocks seem generously priced and the investor can look for nothing sensational in the ' way of returns. On the other hand, Australian stocks offer the closest and most easily understood outlet. An increasing amount of money in the last few weeks has also been seeking investment even further afield, though, as ■ yet, the movement has not assumed the proportions of a flight of capital. Government issues, local body debentures, and banka were poorly supported this week, the emphasis being strongly on industrials. Banks have not quite realised the hopes of the market,_and_ this m part accounts for the restraint in busiInsurance was also poorly supported. t The moat interesting development in the loan section was the withdrawal on Thursday of Mortgage Corporation shares ''from the quotation hats. The last sale was on Monday, when a parcel changed hands at XOs Bd. Goldsbrough, Mort were well supported, and’the price, though variable, was a slight improvement on recent quotations. . New Zealand Breweries have mid wn active market recently, and this week they were again well favoured,'business having been brisk. The price throughout the week "remained a few pence above that of last week. Australian Glass showed some reaction to the rise at the end of last week, and were slightly weaker. British Tobacco continued the steady rise that has been in evidence lately, and remained at £2 Is 6d for the greater part of the period. Broken Hill continued in favour. The old stock improved its position a little, but there was a rise of 2b in the new shares to £2 Os 6d. G. J. Coles retained the advance made in the past fortnight, but showed a disposition to recede slightly at the end of the week. Dunlops opened the week with a sharp rise to a high point or 17s lOd, and, though business was very bnsk throughout, the price was a shade earner at the end. Woolworths, Sydney, ordinary. had quite a sensational career on Monday. They were quoted, cum rights, at a high point of £9 15s 6d. Next day they were sold at a low (point of £4 16s 3d, ex rights, but rose steadily through the week to £5 12s 3d yesterday. The New Zealand issue, probably in sympathy, also made a useful gain. Shillings shmved a tendency to react from the prices of last There was more interest in general mining issues than has been the case 'for some time, though the turnover was by no means large. Investors are turning a little more confidently toward mining as tjme weeds out the weakest of the concerns brought into being at the tune of the boom in mining. MINING NEWS NEVIS SLUICING CLAIMS The following advice has been received by the secretary of the Nevis Sluicing ClainiS from the claim manager;— The wash-up in the main tail race has resulted in 920 z 12dwt of gold being won. Included in the wash-up are no fewer than nine nuggets, varying m weight from Aoz to loz Idwt. Before cleaning in No. 2 tail race, there will be a further week’s sitiicing, but it is not anticipated that there will be a ‘ great deal of gold won from this second wash-up, most of the sluicing having been done into the No. 1 tail race. The claim is now well opened up for a favourable season next year. MATAKI JUNCTION RETURN Last week’s return from the Mataki Junction dredge at Murchison was 68pz. The hours run were 123, the yardage put through being 16,000. KING SOLOMON RETURN (Per United Press Association) INVERCARGILL May 29. The return at the King Solomon mine for the past week was 430 z 13dwt. CANTERBURY MARKETS (Per United Press Association) CHRISTCHURCH, May 29. The potato market has been moat erratic throughout the week, and quotations have been for the most part uncertain. On Wednesday sales were made at £5 15s. f.0.b,, for both prompts and Junes, but there was a firming later, and the price yesterday was £6 to £6 ss, Farmers have been showing no great anxiety to sell at under £5, and consequently there has been a somewhat restricted trade. Though no ?;reat quantity has been shipped to Auckand recently, the market there is unsatisfactory, consignment lots having realised £7 to £7 2s 6d only, ex wharf. Earlier in the week consignors found themselves obliged to reduce their limits to. secure business, but doubtless with the smalt boats this week there will be a firming later. .. . , Farmers in many districts have been pitting their potatoes with the object of allowing them to lose some of the dirt that has been so troublesome after the wet growing season. Estimates of the damage lire as hard to make now as they were earlier in the season, and reports of actual losses show a wide variation. In wme instances, even after losing a ton er two to the acre, the yields have been exceptionally good. Wheat has been offering very freely, and as a number of millers are bought up the fowl feed market has received increased offerings. The demand is steady and fairly healthy, but it cannot cope with the quantity coming forward, and the price has weakened. The bulk of the samples coming forward are sprouted and out of condition, hut enough good whole grade has been offered to embarrass this market also. Buyers are inclined to proceed cautiously, as they know that there are large quantities available. Oats are a little firmer, though there is no great demand for them. A Grade Gartons are worth 2s sd, 13 s 2s 2d, and Algerians 2s to 2s Id. Chaff has also had a slightly better demand, and the price is a little firmer.

LOCAL AND OVERSEAS MARKETS,

In neither of these lines, however, is there any very encouraging market. The small seeds market is practically non-existent at the moment, and no great increase in business is now looked for before the spring. ZINC CORPORATION DIVIDENDS DECLARED. (Per United Press Association) WELLINGTON, May 29. The directors of the Zinc Corporation have declared a total participating dividend of 4a 6d per share for the year ended December 31, 1935, also first half fixed cumulative dividend of 2s per share on preference shares for the year ended December 31, 1936. Both dividends are liable to deduction of English income tax. ' COMPANY REGISTERED The Mercantile Gazette notifies the registration of the following company:— Woodwaro Company, Balclutha, Ltd. Registered as a private company May 19. Office: Clyde street, Balclutha. Capital: £ISOO into 1500 shares of £1 each. Subscribers: Balclutha—R. A. Dunn 375, R. S. Dunn 375, O. W. Dunn, 375, J. N. Dunn 375. Objects: To carry on the business of timber merchants and general incidental. AUSTRALIAN STOCK EXCHANGES (United Prose Association) (By Electric Telegraph—Copyright) /SYDNEY, May 29. (Received May 29, at 10.15 p.m.) Operations on the Stock Exchange today covered a wide range of issues. There waa considerable support for n-brewery shares, and a firm tone was maintained for the chief industrial issues. THE MORNING SALES,

Commonwealth Bonds — 4 p.c., 1938 102 16 S 4 p.c., 1941 101 3 9 ■4 p.c.. 1955 102 10 0 4 p.c., 1957 100 17 6 Tooheys 1 11 0 Anthony Hordern .. .. .. 0 18 101 Associated News 1 2 3 2 1 9 Broken Hill Proprietary 3 5 0 Burns, Philp .. 3 11 0 Lustre .. .. 1 5 15 ADDITIONAL SALES. Bank of New South Wales .. 33 0 0 National Bank (£5 paid) .. 7 5 0 Bank of Adelaide 6 14 0 Adelaide Steam .. A .. .. 1 10 90 19 3 Burns, Philp 3 11 0 British Tobacco 2 1 9 2 12 3 Tooheys • 1 11 0 Carlton Brewery 2 17 9 n J ("Vilen 4 0 0 Queensland Brewery .. .. .. 1 9 4 i Drug Houses 1 10 7* Dunlop Perdriau 0 18 0 Greater Williams 0 0 JO 2 1 3 Millaquin Sugar 2 0 0 Horderns 0 IS 1UA 5 3 General Industries 0 19 41 Amalgamated Textiles .. • • 0 10 7 Edwards Dunlop 2 2 6 Quensland Insurance .. • ■ • • 3 1 0 Commercial Bank of Australia 0 19 0 Hume Pipe 0 19 6 Broken Hill Pty 3 5 0 (new) 2 1 0 South Broken Hill 5 13 0 North Broken Hill .'. •• •• 8 8 0 Zinc Corporation 4 4 3 Placer Development .. •• 5 0 12 12 6 8 0 18 101 UNLISTED STOCKS, Woolworth’s (ord.; ex bonus 8 0 issue, to-day) 5 5 11 6 • 5 19 6 (back) 5 9 0 5 15 0 MELBOURNE, May 29. Commercial Bank of Australia , 0 19 3 National Bank (£5 paid) .. Australian Iron and Steel 7 7 0 (pref.) .V Australian Glass 1 4 4 10 3 0 0 19 2 1 4 6 Emperor 0 12 9 C Mount Morgan 0