GOLD BOOM PROPHESIED

Taranaki Daily News, 17 January 1931, Page 5

GOLD BOOM PROPHESIED

CONFIDENCE WILL FOLLOW REMARKABLE SUMS AT CALL BRITAIN HAS £2,786,000,000 FINANCIERS’ EXPECTATIONS By Telegraph—Press Assn. —Copyright. Rec. 10.45 p.m. London, Jan. 16A remarkable summary of the money at call available in Britain at the end of 1930 is supplied by the city editor of the Daily Express. The amount is £2,756,000,000, practically cash in pocket, which is a saving that the British public does not use fully. It includes £1,830,000,000 bank deposits, £229,000,000 savings in the Post Office and £480,000.000 in saving certificates. All can be drawn out on demand or short notice: it is therefore liquid money. The Daily Express goes on to say the city is asking whether a boom in gold-mining shares is coming. When commodity prices remain low for a long period the profits of gold mines must increase as gold is always saleable at a fixed price. It is believed South Africa, which obtains a big revenue from mines, will be compelled to encourage the industry. Recent rises in the principal shares suggest an early gold boom is probable. Past experience has shown activity in gold shares follows an intense industrial depression and a general revival of confidence then ensues.