COMMERCIAL

Southland Times, Issue 19101, 20 November 1923, Page 2

COMMERCIAL

STOCK EXCHANGE. INVERCARGILL. Sale reported:— New Zealand Insurance, 29/3 (Nov. 16). Quotations: — Bank of Australasia, s. £l3 7/6. National Bank, s. £6 17/6. Bank of New Zealand, s. 51/9. Union Bank, s. £l4 19/-. New Zealand Coal & Oil, s. 3/-. National Insurance, b. 77/-. New Zealand Insurance, b. 28/9. Standard Insurance, b. 37/6. N.Z. <fc River Plate, ‘b. 21/-. Perpetual Trustees (Dunedin), b. 37/6. Wright, Stephenson & Co. (ord.), s. 29/-. New Zealand Refrigerating Co. (10/paid), b. 10/8. Southland Frozen Meat (£1 ord.) b. 32/-; (10/- paid), b. 16/-; £1 pref.) b. 32/-. Waihi Goldmining Co., b. 26/-. Huddart Parker, Ltd., s. 42/-. Union S.S. Co., b. 20/7; s. 21/-. Bruce Woollen Mills, b. 34/-. Milburn Lime & Cement, b. 35/6. New Zealand Drug, b. 66/-. New Zealand Milk Products, b. 25/-. New Zealand Paper Mills, s. 23/3 (ex div.). Otago Daily Times, b. 60/-. War Bonds, 1930, b. £96. Inscribed Stock, 1938, s. £97. War Bonds, 1938, b. £96. Inscribefl Stock, 1939, s. £97. War Bonds, 1939, b. £96; s. £97. P.O. Bonds, 1927, b. £9B. P.O. Inscribed Stock, 1927, b. £9B. P.O. Inscribed Stock, 1929. b. £97 17/6. Soldier Settlement Loan Bonds, s. £lOl. Soldier Settlement Loan, . Inscribed, s. £lOl. STOCK EXCHANGES. (Per United Press Association.) DUNEDIN, November 19. Sales: Bank of New Zealand, new issue (two), 49/9; New Zealand Refrigerating (cont.), 11/-; Mount Lyell, 22/9 and 22/6; Brown Ewing, 30/-; Waihi (two), 26/-; Waihi Grand Junction, 4/9. Sales reported:—Electrolytic Zinc, 28/41; New Zealand Paper Mills, 22/9; Bruce Woollen, 35/-; New Zealand Refrigerating (cont.), 11/-; 4j 1938 Bonds, £96 15/-. CHRISTCHURCH, November 19. Sales reported: Crown Brewery, 57/6 (two parcels). WELLINGTON, November 19. Sales-: Inscribed Stock, 1938, £97; Gear Meat, £2 2/6; New Zealand Paper Mills (ex div.), £1 2/9. AUCKLAND, November 19. Sales: Auckland Gas (1928 Debentures), £103; New Zealand Breweries, Ltd., £102; National Insurance (ex. div.), 75/-; Auckland Gas Co., 25/4, do. contributing, 3/4. BUTTER AND CHEESE. THE LONDON MARKET. The National Mortgage & Agency Co., Ltd., has received the following advice from its principals, Messrs A. J. Mills & Co., London:—

Butter.—The market is strong, ruling prices being from 204/- to 206/- per cwt. Cheese is firm at from 108/- to 110/per cwt. Henderson & Co., Ltd., has received cable advice from its London principals, Messrs Lovell & Christmas, Ltd., under date of November 16, as follows: First grade butter, 200/- to 204/-; exceptional, 206/-> Cheese.—White, 100/- to 106/-; coloured, 102/- to 108/-. A large quantity of both butter and cheese was sold before the rise, and now little doing at advanced prices. POTATO CROP. THE AUCKLAND YIELD. The potato crops around Auckland are, in most cases, in very good condition, being 1 remarkably free from blight. From now on | potatoes will come to the markets in in- : creasing quantities, the bulk of the yield I having been late owing to the wet winter, particularly the very unfavourable weather in June, when the crops for October are usually planted. The supply up to the present has been steady, but in the absence of the bulk, prices have been firm. HIDES AND LEATHER. DEPRESSION UNIVERSAL. The depression in the hide and leather markets which has led to a reduction in leather prices in Dunedin is not confined to the Dominion. Information has recently been received from overseas to the effect that depression in the leather market is universal. Reports from America state that the sole leather industry, in particular, is very depressed. Present visible stocks have increased during . the last month or two, and naw total about 10,900,000 sides. This is about twice as much as the normal stock. The increased use of rubber and other substitutes for soles and heels and the lack of export demand from the United States are said to be the chief causes of the unsatisfactory position which, it is thought, is not likely to be remedied for some time. The position of the upper leather tanners also is said to be more or less unsatisfactory. Too much leather production and over competition in selling have seriously affected the industry. The production of hides in the United States, the Argentine and some other countries, it is stated, has materially increased during the last year or two, and, owing to the unsettled state of the world markets, the consumption of leather has rather decreased than increased in proportion to the quantity of hides.

The English market is also reported to be very stagnant owing to the weakness in River Plate hides, which were selling at the end of September at 64d per lb, c.i.f., at British ports. Since the period mentioned prices have again declined iij Britain and the United States. s The Australian markets showed a further weakening tendency last week for all light and medium hides and yearlings. The markets of the Dominion are also depressed in sympathy with overseas conditions. „ WOOL TRADE. SEASON’S PROSPECTS. A BRADFORD VIEW. A Bradford correspondent, writing to the Sydney Daily Telegraph, in regard to the coming wool season, says:— The London sales finished encouragingly, and reflecting on the course of the auctions, we must admit that the wool position is stronger than the majority expected to find. There has once more been demonstrated the fact that the home trade is not the only pebble on the beach, and unless things shape very differently to what they are doing to-day, our purchases during the forthcoming season in Australia will be less than ever. There is no inspiration to be derived when one contemplates the position in which the textile industry of the West Riding finds itself to-day, for ignore the fact as one will, there is a smaller consumption of merino wool to-day than at any time.since the war. Topmakers, spinners, and manufacturers candidly confess being unable to sell merinos on a paying basis, for merino topmakers have yet cons derable stocks of tops on their hands which they cannot sell, or else spinners are unwilling to take up contracts. The utmost patience is being exercised between one firm ind another, although we understand that in some cases the straining point has been 1 reached. There is no good to be obtained I by either side becoming nervy, and one will j have to believe in the willingness of the | offer to take up contracts with the utmost ’''ssible speed. All the same, there is far , . ore encouragement at the crossbred end ' I the trade, and it was significant throughthe recent auctions that all the best .bing merinos went to merchants for

the American trade, or were taken by woollen manufacturers. FUTURE OB’ FASHIONS.

The question was put the other day by one of our largest importing topmakers: What quality of wool is it safest to buy? He frankly admitted that Bradford did not offer the slightest encouragement to put money into merinos, and, although he had been in the habit of importing anything up to 50,000 bales per year, the principal of the big firm frankly admitted that he was beaten. The party does not stand by himself, far from it. There are still on Bradford Exchange buyers who ought to have been in Australia, and they are here simply because of the uninviting future in regard to merinos. We frankly admit that there is to-day no encouragement to buy merinos at current prices, and limits are in the hands of Bradford buyers in Melbourne today at 4/9, the principals here saying candidly that that is going to be their price for the next month until they see how things shape. It will be strange if France can monopolise the whole of the merino situation in Australia, and continue to buy in all markets throughout the entire season, determining prices all the time. If the Continent can lift the current Australian clip at to-day’s values, they will have the chance of doing it. One never witnessed such opposition to merino yarns and fabrics, as is seen to-day among wholesale buyers, the great cry still being for something cheaper. That seems to us to be the sole reason for the present fashions moving on to crossbreds. It must be admitted that 36 to 50’s wools offer to-day the best prospect of a profit to buyers,- far more than even fine crossbreds and merinos.

It is significant that, compared with the September series, 1922, 36-40’s have advanced on average 45 per cent.; 46’s have moved up 36-38 per cent., while halfbreds (50-56’s) are about 10 per cent, dearer. Merino wools are practically stationary. Taking quality for quality, there seems to be a far more reasonable chance of 36-50’s wools rising than 56’s and upwards. It is not that the public wants to start wearing crossbred fabrics in preference to merinos, but in millions of cases stern necessity is compelling both men and women to consider cost of clothing, as they have not done during the past ten years. i4s we have already said the Colonial auctions have opened splendidly. It now remains to be seen whether to-day’s standard of values can be maintained, and while we do not think there is much chance of any serious setback in merinos and fine crossbreds, the wisest heads in the West riding, those in very close touch with the Continent and Australia, are not backward in asserting that the trade will do well to get through the coming season on to-day’s stanard of values for merino wools. That is the reason why we think growers will be wisely advised to keep the ball rolling and to sell.