TRADE OUTLOOK

Otago Daily Times, Issue 23517, 4 June 1938, Page 23

TRADE OUTLOOK

LESS FAVOURABLE BANK CHAIRMAN’S VIEWS (Fbom Oub Own Cohhehvondentj (By Air Mail) LONDON, May 14. Sir A. Steven Biisland, Bt., chairman of the Union Bank of Scotland, admitted at the annual meeting this week that the position of trade and industry in Great Britain was some what less favourable than a year ago There had been, he said, a recession of business, mainly because confidence had received a succession of shocks—in the continued crises of the Spanish war; in the conflict between Government and business interests in the United States; in the outbreak of war in {he Far East; and in the recept events in Europe World production between Septembei last and Marcn. 1938 had lost half (he gain marie since 1935 the downward trend of world trade had persisted, and this was reflected in the fall in freights and the increase in laid-up shipping, The volume of exports ol British manufactures during the first quarter of 1938 had returned to the 1935 level, the fall in British trade with foreign countries had been compensated oplv partially by an increase in exports fthe Empire The rise in figures oi unemployment which had particular!* affected the textile industries had been balanced to some extent by increased employment in the armaments industries In the United States ol America > steep decline in activity had taken place last autumn The outlook was uncertain, but it appeared that the recession had reached the bottom The effects of disequilibrium in one coun try were felt far beyond it and while there was no doubt that there had been a downward movement in the world trade cycle, there seemed to be no reason for them to fear a severe slump, although it was idle to expect an immediate resumption of their recent rate of activity.