TONE MORE CHEERFUL

Taranaki Daily News, 15 July 1929, Page 11

TONE MORE CHEERFUL

BRITISH.MONETARY TENSION THE PUBLIC NOT YET RECOVERED. NEW ZEALAND APPLE PROSPECTS By Telegraph—Press Assn.—Copyright. Australian Prow Association. Received July 14, 5.5 p.m. United Service. London, July 13. Business on the Stock Exchange is still restricted and accounts just concluded are said to be the smallest of the year, but signs of improvement and relief of the monetary tension through the recovery of the American exchange brought about a more cheerful tone early this week. Gilt-edged stocks recovered a portion of their recent fall, but industrials generally remained unresponsive to the better money conditions, although tinmining shares developed some activity probably due to the hopes entertained oi good results following the formation of the producers’ association. Discussing the situation a prominent financial writer says the outside public is not yet sufficiently recovered from recent losses to be ready to take a hand in speculation again. Moreover, the enormous amount of money tha*. would otherwise be available is tied up in rubbish shares which at the present prices could be realised only at a heavy loss. The investment demand for highclass industrials has continued to be sub-normal for a good many weeks, and in view of political uncertainties is likely to remain so until something occurs to bring home to potential investors the improved British trade outlook.

The formation of the tin-producers’ association has met general approval as it is regarded likely to have valuable results judging from the experience of other industries which have taken similar co-operative action. It is understood that foreign producers, notably Dutch and Bolivian,, will be invited to join the association, which at present is all British. The tin outlook generally is regarded as favourable. There has been heavy buying, especially in America. The Australian apple season finished with marketing of the Port Adelaide’s cargo this week, but there arc still about 180.000 cases to arrive from New Zealand, the last cargo not being due till the first week in August. ' This would be rather late, in the'ordinary Season as usually the demand for apples falls off greatly after the end of June, but this year is not an

ordinary one owing to comparatively small supplies and the demand for apples is still so keen that the Port 7elaide’s made about the top price for the season. Consequently importers of New Zealand apples anticipate that cargoes still afloat will realise satisfactory prices, always provided that the fruit is not over-ripe, which is a possible risk at this late period of the season. Reports from Hamburg brokers describe the market as firm so, as there will be no more direct shipments to Germany, probably some portion of the New Zealand arrivals will be transhipped to the Continent. It will be remembered that at the commencement of the season the Hamburg market was decidedly weak owing to heavy supplies of American- apples, but since that com- ■ petition has ceased very good prices have been realised. German importers are circularising freely, pointing out these good prices and asking shipments for 1930.

Commenting on the wool sales the Economist’s correspondent writes: — ‘Trices declined little more than anticipated, but in view of adverse conditions reported from France and Germany no one need be surprised at what has happened. All alike are seeking seriously after a new buying basis and until trade feels that bottom has been touched there can be no improvement. “The decline of 5 to 7£ per cent, has to a large extent been discounted in consuming centres like Bradford and Roubaix, where wool is still selling at values slightly above what can be made for tops to-day. “Whether holders of second-hand parcels decide to sell and accept the current valyes remains to be seen, but there seems little hope of higher prices even if the wool be held till September. Crossbreds have declined fully as much as anticipated and the fall should bring about free 'buying.”