BRITISH TRADE

Stratford Evening Post, Volume I, Issue 88, 23 March 1931, Page 8

BRITISH TRADE

MORE HOPEFUL OUTLOOK

TURN FOR BETTER AT HAND

REVERSE IN BUTTER PRICES

LONDON, M«rch 21

A quiet but more confident tone is apparent on the Stock Exchange, al? though business generally is somewhat restricted owing to the uncertainty of what the Budget will bring forth. High-class investment stocks are well quoted, though some Australians have weakened sliglitly during the last two days, but considering that many of these stocks'recovered 1,2 to 19 points from the low level of a month ago, it is only natural that there should fye some profit-taking. This is responsible for the’ slight sct-bac'ka Which have occurred, but the position of Australian stocks is'certainly’much sounder than at any time since the bogey of repudiation was' raised, and timid holders are, no longer throWing stock on the market. Gramophone Merger.

The market for industrial shares has been somewhat hesitant, but there was a burst of activity yesterday following the announcement of a ! gramophone merger, and thousands of shares of the two companies, concerned changed hands. This was stimulated by a demand for shares from Wall Street'/'Thn closing priceof Columbia Was 56s 9d and Gramophones 53s 9d. As it is believed that the merger will result in such considerable economies that shares in the heW conipkny may eventually bo Worth 100 s. The rush for them is not surprising. That the Stock Exchange takes a more hopeful view of the outlook may be gathered from the fact that the number of candidates' for membership is well up to the average . Six weeks ago nominations for membership Were offered at £220. To-day’s price is about £4OO. Lord Kirkley, a well-known shipowner, struck an optimistic note in a recent speech at Newcastle. After describing the serious industrial position !n Brikin, 1 he said: If these conditions Were confined to this connfry there would be feason t 6 wring our hands and write ‘ ‘ Ichkbod ’ ’over the portals, but they are wdrld-wide, and reports from abroad show that the people of Britain are meeting their troubles with in6re fortitude, efficiency and cheerfulness than sortie other cortntries. The position *is almost an oxkct .parallel ! with what happened after the Napoleonic Franco-German wars.' There are far too many Jeremiahs about.” Ho was satisfied that plluik and grit would see the country through its troubles. The depression; fya's a mental. condition which must' inevitably hinder people from seizing opportunities when world trade made a turn' for the better. There Werk signs that the turn was coming, and Britkin must be ready to take her proper place in the. international wrestle 1 for trade, -i • " Butter Market.

Butter importers have been unable to maintain prices, ami all descriptions have fallen Several- shillings. The decline is greatest in Danish, which undoubtedly is feeling the com petition of Australian and New Zealand, thanks to the Empire Marketing Board’s efforts to' push Empire butters in ' the north of England. Fine warm weather is causing a slight increase in ptoduction on the Continent, and consequently the demand has diminished.' Among other causes of decline are the willingness of some holders of cheaply bought butter to accept q smaller profit, hml lower c.i.f. offers for shipments from Australia and New Zealand.

Regarding the Free State duty mentioned on March 7, the Tariff Commission has recommended a permanent duty of 4d per lb. The Economist's Dublin correspondent says that the alleged justification for the recommendation is that it will stimulate winter dairying in the Free State and remedy the old evil of irregular production, throughout tho year. Thc r immediate effect of tho tariff has been to raise the price and catise' much dissatisfaction among consumers in the towns. It is difficult to believe that farmers will be so altruistic as to resist tho temptation to cease butter production dur J iug the summer for a higher winter price. The Minister of Agrictulturc has' intimated that any such action would be considered a ground for revising or repealing the duty, but no machinery has been provided to prevent it. '■:?