SHARE MARKET

Timaru Herald, Volume CXLIII, Issue 20891, 22 November 1937, Page 16

SHARE MARKET

WEEKLY REVIEW STABILITY LACKING Business on the Stock Exchanges last week suffered in a similar manner to several of its immediate predecessors. The opening prices were nearly level with those of a few days previously and later news came to hand of a fall in base metals and a decline in commodity markets in America and Britain which was immediately followed by a drop in the prices of all the leading shares in Australia in New Zealand. It would appear that investors have lost all confidence in the stability of the market and it will take some time and strong evidence that there will be a steadiness of values before we will be able to convince many that stock exchange investments are worth while. There is ample finance available for sound securities but caution dictates that it will be wise to wait for settled conditions before launching out on a buying programme. Meantime values will remain uncertain and business will not assume large dimensions.

Banking Dullness characterised the dealings in bank shares. Bank of New Zealands were alone in making progress with sales up to 44/9. The D. Mortgage shares brought 29/6. E.S.A. Banks changed hands at £5/11/9 cum div. National Banks were inclined to ease with sales at 57/10 and 58/- to 58/6. Union Banks showed a slight fall with business down to £9/7/-. Commercial of Australia were lower at 17/3 to 17/-. National of Australasia, fully paid, brought £l4/12/-. New South Wales were lower at £32/10/- cum div and £33, with a weakening tendency.

Insurance Little business was done in insurance scrip. New Zealands were the most active of the group with sales up to 65/- and 64/9. Other lines were steady with few sales, including Nationals at 17/11 and South British at 97/6. Loan and Agency The outlook for good prices for wool is not nearly as bright as it was some time ago with the result that shares in pastoral companies are not very attractive. Dalgetys were up to £lO but weakened to £9/17/-. Goldsborough Morts fell to 33/- and 32/9, closing at 31/- to 32/3. N.Z. Farmers’ Co-op. 44 per cent stock sold at £9l/7/6. N.Z. Guarantee Corporation had sales up to 4/9. Breweries Brewery shares barely maintained their values and were not keenly competed for. New Zealands were turned over at 48/9 to 48/-, at which latter figure sellers stayed in, buyers 47/7. Dominions were sold freely at 40/6 to 40/-. Tooths brought 54/6. Queenslands were turned over at 26/9.

Frozen Meat Attention is being paid to the shares of the meat companies which have had a good year. Canterbury Meat ordinary went up to £lO/15/-. Southland Meat ordinary sold at 27/3. Gears are lower at 17/-. N.Z. Refrlg. contribs sold at 9/8 to 9/10. The paids brought 19,9 and 19/10. South Otagos changed hands at £5/15/-. Miscellaneous The shares of the Australian industrial companies suffered a similar decline to that of the base metal companies though it was not so severe. Australian Glass sold down to 87/9, the lowest price for a long time. Dunlop Rubbers made 22/4 and 22/5. Colonial Sugars were transferred at £46/17/6. British Tobaccos were fairly firm mid changed hands at 49/6 to 49/3, finishing between 48/- and 49/-. Wilsons Cement had a fall, : elling freely at from 17/- to 18/6. Reids Rubber is doing well and rose to 29/-. Kelburn Trams had a sale at 21/-. Woolworths (N.Z.) sold at £5/4/- down to £5. Woolworths (Sydney) had a sharp decline; after selling at 29/- they dropped to 27/-. G. J. Coles dropped from 92/3 to 86/9 at the close. Kauri Timbers were quitted at 22/9 and 23/-. .McKenzies rights brought 23/- and the shares, ex rights, were sold at 77/6. Whakatane Paper Mills brought 6/7. Hume Pipe (Australia) sold at par. Kaiapoi Woollens, 7/- paid, made 4/2.

Government Stocks and Bonds Holders of Government securities showed a greater readiness than usual to meet buyers and although sales were not numerous values kept near those lately ruling. Three and half per cent, 1939-43, realised £1 premium. 35 per cent, 1941, changed hands at par. 3i per cent, 1957, sold at £9B/17/6. Four per cent, 1946, brought £lO3. Four per cent stock, 1949, sold at £lO2/17/6 and £lO3, while the bonds of this issue realised £lO3/5/-. Four per cent stock, 1952-55, brought £lO5/5/- and £lO5/7/6. Debentures Local body debentures are very keenly sought after and the prices given for them are very satisfactory. 41 per cent Gisborne Borough, 1966, brought £lO5, Auckland Transport Board, 194449, changed hands at £lO3/10/-. Wellington Harbour Board, 1940, changed hands at £lOl/10/-. Mining Martha will probably have to dip into its reserves to pay its income tax which has been recently altered. Shares sold

from 14/- to 13/4. Taranaki Oils recovered to 6/4 at the final call after selling at 6/9. Grey l iver (7/6 paid) brought 9/5. The latest return from Barry town will help the West Coast dredging companies. Golden Crowns remained steady at 4/3. Australian Mining The vagaries of the base metal market caused a further decline in the values of the scrip of the Australian mining companies which reached at the end of the week the lowest levels of the current year. Mount Lyells finished with a sale at 33/9 after opening at 36/-. South Broken Hill sold at the beginning of the week at 38/6 and at its close at 35/9. North Broken Hill sold at 51/3 and closed between 49/6 and 50/8. Electrolytic Zinc prefs realised 50/6 to 48/3 and were a little lower at 49/1 to 50/6. The ordinary sold down to 46/-. Mount Morgan moved between 11/7 and 11/4. Rawang Tin dropped to 10/2.