NEW YEAR OPENS WELL

Timaru Herald, Volume CXLIV, Issue 20932, 11 January 1938, Page 7

NEW YEAR OPENS WELL

COMMENT ON LONDON MARKETS

United Press Association—By Electric Telegraph—Copyright

(Received January 10, 6.30 p.m.) LONDON, January 9

Even the pessimists admit that markets opened the new year well. Unemployment returns curbed the optimists, but the city took them well in its stride, and the excellent series of bank profits proved a welcome tonic. The aggregate published profits of the Big Five—Barclay’s, Lloyd's, Midland, National Provincial, and Westminster —totalled £10,099,000, compared with £9,680,000 last year, which was the highest since 1929, when the figure was £11,888,000. Profits of industrial companies continue to be satisfactory, and in some cases—for instance, Manchester Cotton —are surprisingly good. Commodity Prospects Commodities had a really good week, and there was even talk of inflation. The improvement started after President Roosevelt’s message to Congress, and continued without a set-back. Most commodities closed at the best level of the week. Wool, which was the exception among commodities, was disappointing, and lower prices since the reopening of the Australian sales checked new business in every section of the industry.

The “Yorkshire Observer” declares that some leading importers at Bradford attribute the decline In prices mainly to the action of Sydney brokers in offering their normal instead of their curtailed quantities. It is understood that officials of the British Wool Federation will meet shortly to consider the position.