MARKETS FIRM

Otago Daily Times, Issue 23331, 25 October 1937, Page 7

MARKETS FIRM

END OF "WILD WEEK" IMMEDIATE PROSPECTS OPINION SHARPLY DIVIDED (United Press Association) (By Electric Telegraph—Copyright) LONDON. Oct. 23. (Received Oct. 24, at 6.30 p.m.) After an almost incredible week the markets finished firmly, but opinion is sharply divided concerning the future. There is little on the industrial side to account for the behaviour of Wall street. Industries and commodities, like stocks, passed a wild week, with few changes on the balance. When tin fell below £207, Bolivia requested an extraordinary meeting of the International Tin Committee, which will assemble on October 25. Authoritative observers are confident that the quota will be reduced by as much as 25 per cent. Strenuous opposition to restriction has been voiced by Malaya, but most market men believe that the price qf tin will suffer a severe relapse if the quota is not changed.' The market for other metals is uninteresting. There was trade buying of lead and copper at the reasonably good lower prices. At the beginning of the week there was heavy selling of rubber. The East trade bought a fair quantity, but still refuses to follow advances. The immediate outlook is not promising, but dealers are confident. Butter In Short Supply Tooley street merchants are viewing the high butter prices _ with mixed feelings as to the statistical position. Imports showed a remarkable falling off in September and so far in October. The total for September was 31,302 tons, compared with 43,561 tons last year. The cold store stocks have been rapidly depleted, and the latest figures are 11,910 tons, compared with 24,670 tons last year. The prospective arrivals are light, and there can be no relief until substantial New Zealand and Australian shipments are available at the end of November. Retailers report that the higher prices are beginning to slow down consumption. _ Germany continues to absorb larger quantities of Continental butter. It is difficult to obtain reliable information in regard to future shipments from Russia, but the arrivals recently have been negligible. , , . , .. The immediate outlook for butter is for stable, even advancing, prices. Nobody fears a recurrence of the low levels ruling in previous years, though set-backs are inevitable. No one expects the market to break three figures this season. The market for eggs is quiet and weaker, but. in view of the prospect of a decline in Continental supplies, more inquiry and a steadier tone in the market for Empire eggs is anticipated. Bradford Wool Market There is a distinctly better atmosphere at Bradford, accompanied by more inquiry and business. There is a growing feeling that merinos are down to what will prove the lowest point for some time. Many who sold forward at low prices are rushing to cover their principals. The Wool Secretariat is at present visiting Yorkshire, which favours concentration on research to widen the uses of wool.rather than on publicity. MOST UNSTABLE CONDITION THE WALL STREET MARKET NEW YORK, Oct. 23. (Received Oct. 24, at 6.30 p.m.) The stock market is still most unstable and closed weak after heavy selling, 1,500,000 shares changing hands. Prices declined by from 1 to 10 points in sympathy with rail shares, which led the downward swing. The financial writer of the New York Times says that the prevailing view on Wall street is that the deflation of security prices is the decisive test of some of the New Deal’s basic economic theories.