ADVANCE EXPECTED

Taranaki Daily News, 14 November 1934, Page 16

ADVANCE EXPECTED

10 PER CENT. RISE IN WOOL. MORE FAVOURABLE TONE. Higher values for wool are expected at the London sales which will open next Tuesday, a week before the New Zealand selling season commences. The following private cablegrams regarding the sales have been received: Bank of New Zealand: It is generally expected that prices for Merinos will advance Id per lb, fine crossbred id per lb, and medium and coarse crossbred Sd per lb. . , _ Dalgety and Company Limited: The market is active; anticipate improvement about 10 per cent, all round, as compared with closing rates of September series. The range of values at the close of the September series was as follows: Merino, 8d to 12d per lb; half bred, 9d to lid; fine crosbred, 63d to 9d; crossbred, 6d to 6Jd; coarse crossbred, 5Jd to 6d. THE POSITION IN AUSTRALIA. The improved outlook in the wool trade is commented on by Winchcombe, Carson Limited, Sydney, which states: “Fears of wool values declining to the extremely low basis of depression years have been dispelled. Present indications point to the absorption of supplies at figures in the vicinity of recent values. Weekly averages of sales in Sydney have not varied a full Id per lb since the season opened. Catalogues with improved selections have latterly averaged lOd, with the best clips averaging from 13d to 14-jd. These figures do not give returns per sheep approaching those of last year, but the staple has certainly sold more freely and at better rates than looked likely a few weeks ago. In spite of accounts of probable loss of trade to competing fibres, wool is commanding its share of the world’s textile turnover. EUROPEAN DEMAND EXPANDS. “Recently, the demand from all European countries has shown expansion compared with earlier in the season, indicating that millmen can see prospects of finding employment for their machinery. On the existing basis a rise of 5 per cent, to 10 per cent, in rates does not add much to the cost of mill products. The development of the inquiry depends largely upon the outlook of consumers, and fortunately that influence has of late been more favourable. “Yorkshire and Japanese operations should certainly be credited with the establishment of a selling basis for the clip. In spite of the unsettlement which prevailed in Europe, Great Britain has experienced a slightly increased foreign business in fabrics and yarns this year. Her better overseas turnover of woollen textiles has been due largely to increased sales to the British Dominions, Canada particularly taking greater quantities and Australia being among the other quarters which displayed expansion. For a time buyers of goods for English internal trade were hesitant, fearing that prices would recede, but the absence of appreciable variation in the wool market has put more confidence into purchasers.”