COMMERCIAL.

Timaru Herald, Volume CXXXIV, Issue 18844, 6 April 1931, Page 11

COMMERCIAL.

THE LONDON MARKET. FROZEN MEAT. United Press Association—By Electrlo Telegraph—Copyright (Received April 5, 5.5 p.m.) LONDON, April 4. The weekly quotations for the undermentioned classes of frozen meat are based on actual sales of wholesale quantities of carcases of mutton or lamb or of quarters of beef delivered to Smithfleld market and/or ex London stores. They are compiled by the Quotations Committee, Smithfleld. To arrive at the equivalent ex ship values one farthing per pound should be deducted from the prices quoted below. Quotations given represent the average for the week and are not selected lines, but for parcels fairly representative of the bulk of the shipments now on offer. New Zealand Sheep:—Ewes, under 451 b, 33d; ewes, 651 b to 721 b, 2 5-Bd. New Zealand Lambs: —Canterbury, 361 b and under, 6 3-8 d; 371 b to 421 b, 6 3-8 d; selected North Island brands, including Downs, 361 b and under, 6 3-8 d; 371 b to 421 b, 6 3-8 d; 431 b to 501 b, 6 3-Bd. Other North Island brands:—First quality, 361 b and under, 5 7-8 d; 371 b to 421 b, 5 7-Bd. Australian Lambs: —Victorian, first quality, 361 b and under, 4 7-8 d; 371 b to 421 b, 4 7-Bd. Argentine Chilled Beef:—Ox fores, 1601 b to 2201 b, 2 7-Bd. REVIEW OF THE SHARE MARKET. The New Zealand Stock Exchanges closed for the Easter holidays on April 2nd, and will not resume until April 13th. The business done during last week was a fair average, considering the broken time. Prices were fairly well maintained, and the tone of the market was indicative of firmness. The political situation in Australia is a little brighter and this tends to make investors a little surer, but the depression has cut into the profits of nearly every company, and many have not declared their interim and annual dividends. An example, such as Howard Smiths Shipping Company illustrate the position. The capital is £2,250,000. The profits for the year were £IB,BOI, against £75,784 in 1929, and £161,348 in 1928. The profits of Caledonian Colleries, with a capital of nearly IS mil- , lions, were £675. In the previous year, due to the strike, the loss was £54,193. | It is plain that investors who bought [ shares in companies such as these are j having anything but a good time. In ' New Zealand the probability of increased taxation, which must necessarily be heavy on account of diminishing returns, has a tendency to make buyers cautious and concentrate only upon those investments which through a long series of years have shown steady profits. It is pleasing to note that the credit of the Dominion in London stands high. Notwithstanding the shock which followed the announcement of the default of New South Wales, stocks and bonds of New Zealand were very little affected and the shares of the local banks and financial institutions were bought and sold at prices showing very little alteration from those previously ruling. In the banking division, Australasias, ex dividend of six shillings per share, were turned over at £lO, at which figure the demand continued, but none were on the market. Commercial of .Australia fell to 14/9 but quickly recovered to 15/2, with buyers at the same money; sellers 15/9. The prefs were rising, buyers offered £5/16/6, but sellers required £6. English, Scottish and Australian Banks were quitted at £5/5/6, and £5/5/9, and were sought at five guineas, with sellers at 8/6 more. National of Australasia fully paids were wanted.at £lO/12/6, but £ll/5/was asked for them. The contribs were a little better at £5/4/6. National of New Zealand had a sale at £5/1/-, at

which price they were steady. New South Wales fell to £26/15/-, and were offered at £26/10/-, with buyers at £26/5/-. New Zealands moved up from 49/6 to 51/-, then back to 50/2, with buyers up to 50/6, and no sellers. The D Mortgage shares were firm at 26/3. Union Banks sold from at eight guineas to £B/10/6. At the latter figure buyers were waiting, but sellers raised their figure to £B/14/-. At the end of the week shareholders received a little over five pence per share, being the difference between the English and New Zealand currency on January 28th, the date on which the last dividend of five shillings per share was paid. There were few transfers of insurance shares. Investors are waiting to see how the legislation concerning earthquake risks is going to affect insurance companies. Doubtless there will be an accession of business due to insurance against earthquake. Nationals were firm at last sales at 13/-, more were asked for at this price, but 13/5 was required. Standards are steadily rising, and 46/6 did not tempt sellers to quote. New Zealands were a little easier at 41/6 and South British showed a fall of sixpence at 54/6. In the loan and agency section there w'as little business. Dalgetys were fairly firm, buyers £7/13/-, sellers at £B. Goldsbrough Morts showed little change at £l/0/9 buyers, £l/2/- seller. In order to conserve their finances, the directors of the New Zealand Guarantee Corporation have reduced the dividend. Sales were made of the shares, 8/- paid up, at 6/-. The market for coal shares was dull, and prices far from good. Westports show a slight increase with buyers at 25/9, and sellers asking 3d more. Stockton’s output for March was poor, less than the tonnage of March 1930 was despatched. Prefs were offered at 2/6. Renown prefs sold at up to half a j crown. In breweries the sales were not numerous. New Zealands moved upwards from 35/3 to 36/7, and were firm at that price. Tooths were weaker at 20/7 to 20/11. Timaru five shillings paid up, sold at 5/8 ex div. Little business was transacted in frozen meat shares, interest in which seemed dormant, save in the case of New Zealand Refrigerating. Fully paids dropped to 11/3, w’hile contribs. which a fortnight ago brought four shillings, fell to 2/7, but recovered to 3/- buyer, 3/1 seller, at which figure the market closed firm. In the miscellaneous section, British Tobaccos ex quarterly dividend of 6d per share were stronger, with sales at from 29/11 to 30/3. Colonial Sugars which had been selling at up to £3l/5/were wanted at £3l, but holders were firm at £32. Kauri Timbers fell rapidly the best buyers offered 5/-, sellers 15/-. Beaths sold up to 22/9, cum dividend of one shilling. They were asked for at 22/- ex dividend, but there were no sellers. Moturoa Oils on the strength or better prospects, sold at up to 3/3, while Taranaki Oils dropped to a shilling and 1/2. New Zealand Drugs did not maintain their price. They were available at 57/6, with buyers at 54/3 cum div. Wilson’s Cement were steady at between 39/and 40/-, and Milburns at 30/-. Robinson’s Ice Cream were quitted at 21/-. McLeod’s Soap were in steady demand at £2O, but none were being offered. Donaghy’s Rope and Twine were not so firm as they were; a seller at 33/6 did not tempt a buying quote. Mosgiels were the only woollen shares that held their price. Buyers at £6/8/were not supplied. The demand for Government stocks and bonds was very good and prices gradually hardened. Doubtless the suggestion of Increasing taxation is the cause of the run on tax frees, which are bought largely by financial companies as a suitable investment for reserves. Four and a half per cent tax free stock, 1938, reached £97/10/-, and the stock of both issues, 1938 and 1939, was sought at the same money. The bonds were wanted at 5/- more, but holders were evidently not keen to sell because none were offered. Five and a half per cent, 1933 stock, sold at £99/5/-, and the bonds realised £99 and £99/5/-. There was a keen demand for municipal and local body debentures.which will return 53 per cent or over. Any coming on the market were quickly sold at figures giving this return. Mt. j Roskill Borough, 53 per cents, 1950, brought £9B, Wellington Racing Club’s 6 per cents changed hands at £lO3, Mt. Eden Borough, 1950, 53 per cents, sold at £9B, Riccarton Borough, 1935, 5* per cents, were quitted at £97/5/-, Waitemata County, 53 per cents, 1963, were transferred at £97/10/-. The most active of the mining stocks was Mahakipawas, which had numerous sales, totalling several thousands, at up to lOid after selling at ninepence. The necessary finance for development is assured, and the latest return of 110 ounces of fine gold for 10 days gives promise of future dividends. Okaritos varied from 7/2 to 7/6, showing a rise of nine pence. As the dredge is nearing completion, speculation in the stock will likely become much greater. King Solomon, at 1/10 were a little lower than last week’s peak price. Golden Point Gold and Scheelite ten shillings paid up sold at par, while the contribs, lOid paid were sought at 1/-. This company was formed in Christchurch to work mines at Dunback, Otago. Prospects are good, and if the price of scheelit keeps up the venture should be profitable. The depressed state of the base metal market shows no signs of improvement, in fact the tendency of late to reach lower levels of values has become more marked. The demand for the shares of the great Australian companies was comparatively poor. Mount Lyells were the only shares that seemed to create much interest in New Zealand. They dropped to 19/6, but recovered to 20/3. Electrolytic Zinc and North Broken Hill remained unchanged, without sales.