AMERICA HELPS SOUTHLAND?

Southland Times, Issue 23734, 4 February 1939, Page 4

AMERICA HELPS SOUTHLAND?

EFFECT OF PROMISE BY MR ROOSEVELT FRENCH WOOL BUYERS VERY ACTIVE International affairs, and speeches for international consumption have thenrepercussions even in New Zealand. Evidence of this is the possibility that, because of a statement reported to have been made during the week by the President of the United States (Mr Franklin D. Roosevelt), Southland wool growers yesterday received s ey e sy thousands of pounds more than it the international horizon had been cloudThe wool market yesterday was definitely firmer than for several weeks and very strong competition irom French interests was ■ the dominating feature of the sale. The greater French activity coincided with cabled reports of the strengthening of the Fans Bourse and led to speculation whether the rise in stocks had influenced the demand for wool. . Earlier this week Mr Roosevelt is reported to have made a statement to the Senate Military Affairs Committee promising support for the European democracies in the event of aggression by the totalitarian Powers. The reaction in Paris was an immediate strengthening of the stock market. At yesterday’s sale, the French representatives made their presence ieit at an early stage and appeared to dominate the market in most sections. They were fully active in piece wools for which they are always strong competitors and also bid keenly for crossbred wools. Bradford buyers took a good proportion of the catalogue, but the continental competition was directly responsible for the firmer tone, estimated at from a farthing to a haltpenny a pound throughout the sale, compared with prices obtained at recent northern sales. An average rise of a farthing a pound on a catalogue of 24,000 bales represents an increase in the growers re turns of more than £7OOO and it is probable that the total value of the market improvement yesterday was about £lO,OOO. “It certainly looks as if Mr Roosevelt has been responsible for the buyers making a present to the Southland farmers of several thousands of pounds,” remarked one broker yesterday.