LONDON WOOL SALES.

Otago Witness, Issue 2928, 27 April 1910, Page 8

LONDON WOOL SALES.

fFltO". Or ESPECIAL CORBESPONDENT.} LONDON, March 11. OPENING OF SECOND SERIES. MERINOS PAR TO CHEAPER.

CROSSBREDS A SHADE CHEAPER. Once moie the varied clans of the wool foorld are gathered in the amphitheatre oi Coleman Street Woo) Exchange to test their "strength, and to see which can wage the keenest battle in the fight for the raw material It seems but a good week ago since wo greeted ?ach other, but then to busy men time flies, and nearly five weeks ■have elapsed lince .we last said good-bye. I have always said that growers look through different spectacles to buyers; the former heping that their wool will sell for a b'g price, while the latter do their best to fjst the "aw material as cheap as possible. T'if. position of both parties is a tangible one. f or it is only right that fbe -grower be rewarded for his toil and labour-, while users naturally want to obtain on ae cheap a basis as passible that which they know is of first imraortance to th«m. The or>enin.g of anoth>* series of /jales ; s just 'ike the sounding of the drum to an o'd war horse, and hundreds' of 1 buyers are at present in attendance iu Coleman street doing their utmost to meet their "'ants. The trade came together. last (Tuesday in fairly gocd heart, there being very little misgiving on the part of any as to how wool was going to sell. 'Merinos -vers recognised as a very safe article, toe most interest seeming to centre' " around crossbreds. That was but natural after the slight ease reported at Antwerp and Liverpool last week, but nobody took the backward move which was chronicled very seriously. To be candid, the River 'Plate cl?p this season is a disappointing quantity, -.ho wool being ten-dear, badly grown, b.eavy, and burry to a degree, consequently London was looked to to dtefine the position and shape a programme. To the majority the standing" of the raw materia] seems sound enough, but sometimes . contingencies arise in the wool trade which i take on ugly phases, and many thought . that possibly Antwerp and Liverpool were i simply leading the way for London, and that crossbreds might possibly ease.

SUPPLIES AVAILABLE

The news has already been cabled to ©very wool-growing and consuming country in the world that I*l.ooo bales are available, this being about 40,000 bales less than i"was anticipated. It is safe to assume that - if there had been no coal strike in New South Wr'es there would have been to hand 180,000 bales with the carried-over quantity at the January series. However, 14-1,000 bales it quite sufficient for the time Leing, for when May arrives it is just possible that the trade will be breathing a little more freely and there will be an . absence of tha.t financial pressure which at times has been the cause of a decline in prices. However, it i« iusfc as well to put on record the quantity of wool that is available, and below the reader is given full oarticulars respecting the gross arrivals, the quantity of wool sent forward direct to manufacturing areas, and also the net quantity available for sale. Seeing that at the present series crossbred wools bull* the largest, I show separately the quantity .of New Zealand bales which go to help imake up the total. The following are the particulars:— Arrivals for the Sales.— Net

It will be seen from the above table that the net offerings are the smallest of any year since 1906; in fact, one has to .pro each to last centuT.v to find such a small quantity as 141,000 bales available for a March series. Something / like 100,000 bales of New Zealand crossbreds were expected, but as a matter of fact there are only about 77,000 bales. This is 'a good average. The gross arrivals are also below what they were 12 months a<ro by 59,700 bales, but, on the other hand, the quantity of wool sent •forward direct to manufacturing areas, although clown about 6500 bales, is larser 'in proportion than the gross arrivals. This proves th-it more wool than ever has been bought in the colony, and that supplies are adequate in manufacturing areas. At the. .same time users never obieet to being called together to lift 100.000 bales, and we do not anticipate there being any difficulty in doing this on the present occasion. A DECENT START. Messrs Thomas and Cook, fop the first time in their history, opened She ball, this firm being the largest sellers of crossbred wools. Their catalogue contained a sprinkling of al' qualities, and offered a fair test of the strength of the market. Bidding ibegan }n good earnest, and led to a fairly brisk sale. Evidently several had been valuing at a fracton less than was obtained) last series, and here and there a parcel of 40*6 ims purchased at id und«r January ©losing rates. At the same tfjsr wool sold remarkablv well, and competition was keen ffc> a degree. Buyers operated very freely,

nothing. hanging fixe. Germany bid ocnfiu-jntiy, but the home trade proved to be the largest (purchasers, the wools being the most suitable for that quarter. A fair sprinkling of American buyers are present in Coleman street, but it is as yet too early to say what they are going to do. Herre and there one saw signs of orders that have to be filled, but on the opening day they did fiot do a great deal. Merinos went splendidly, the operations of all sections of the trade being very good indeed. There is no question of a doubt that fine wools are going to sell as well as ever, and Yorkshire toprnakers and Saxony spinners are here to buy. Compared with the close of the last series, the following changes ■were seen: Giease, merino, super ftd advance „ medium fully par „ „ faulty par ~ crossbred, fine par )} „ medium par to |d advance „ coarse par to £d decline Sliped „ combing fully par „ „ clothing par to §d advance Gieasy Cape merino combing fully par „ „ ~ clothing fully par „ Punta Arenas crossbred, fine no change M Punta Arenas crossbred, medium Jd decline „ Punta Arenas crossbred, coarse Jd decline The opening results just about harmonised with general expectations. Buyers seem satisfied that the position of things had been so cleairly defined, and given a steady basis of values everybody felt certain that an excellent series would result. The selection of wool is again going to be a very decent one, and I feel certain that we shall see plenty of competition, with the catalogues absorbed as readily as ever. THE OUTLOOK. Messrs H. Dawson and Co.. in speaking about the outlook, say:—"The market is still under the predominating influence of a well-maintained consumption everywhere, and in practically every grade. While this is sustained there is little chance of any weakening of confidence, although everybody fully realises that prices are above the average of the past decade. Uip to now there has not been any general accumulation of stocks, notwithstanding that this is the period of the year when the opportunities and risks of such are the greatest; but so far (in European centres at least) the experience is of quite a contrary character, for wools are going into consumption rapidly, and indeed complaints are numerous that tops and yarns cannot be delivered promptly to their contract dates. Consequently -buyers are encouraged to operate confidently in merinos. It is true that some of the German spinners report slightly easier quotations for yarns, but even at recent values their prices are still adequately remunerative. "The position in crossbreds is a little uncertain until America shows her hand. American buyers are present in good numbers, bu+ their market is somewhat quiet at the moment, due of course to the fact that direct colonial -purchases are arriving freely at Boston. U.S.A. demand has been so strong latterly foi the beet crossbreds that these would naturally be affected by any change in their support. _ Average sorts, however, will find a persistent demand from the home trad«, and the statistical position of crossbreds (reckoning an expected decrease of. fully 80,000 bales from the River Plate) is one of unusual strength. Up to date some 240,000 bales (nearly half the clip) have been sold in New Zealand, where the egular season is now over. It is evident that the four remaining series in London will have smaller offerings of New Zealand wools than has been usual."

Grass Forwarded New arrivals, direct. Zealand, quantity. /; eries. Bales. Bales. Bales. Bales 1910 . 364.500 229,00C 76.800 141,000 1909 .' 424.200 236,500 92,400 194,500 1903 340,700 169,500 92.200 201,200 1907 ,. 397,400 233.000 74 90C 167,300 1906 306,300 178.000 58,000 131.800 1905 . 366,000 171.500 74,000 179,500 1904 271,90( 110,000 69,000 168.000 1903 278,300 120,500 76,000 53,i300 167,000 1902 252.100 105,000 162,000 1901 . 216 000 92.000 63,000 218,000 1900 263,000 108,000 44,800 174,600