WOOL TRADE.

Star (Christchurch), Volume LXIV, Issue 925, 21 November 1933, Page 3

WOOL TRADE.

Ci'GJS-breds in Demand on Bradford Market. (Special to the “ Star.”) BRADFORD, October 13. The London wool sales were brought to a conclusion on Wednesday, and although prices for some qualities fell below the opening level there was a satisfactory demand, and the total sales were 152,500 bales, of which the home trade took 76,500 and the Continent 45.500, whilst 2000 bales were sold to America. The quantity carried forward, mainly cross-bred wool, was only 30,300 bales, as compared with 45,000 bales at the end of the July series and 54,000 bales a } r ear ago. The best warp merino wool showed little change during the series, but average sorts receded about five per cent. The outstanding feature of the sales was the manner in which all cross-bred qualities sold at prices which varied very little from the level set up at the opening. At Bradford, there has been very little change in quotations for cross-bred tops, and especially in medium qualities, during a time when merinos have fallen Prices tc-day for merinos are something like twopence to threepence per lb. below the highest prices which were paid in the early part of last month, but there has been practically no change in cross-breds of 50s and below during the same period. It was quite obvious that the abnormal gap between merinos and medium cross-breds could not be maintained indefinitely. Either merinos had to come down or cross-breds to advance in order to establish anywhere near a normal relationship, and it is the former which has taken place. The temporary scarcity of the finer wools has caused crossbreds to come more and more into favour. The extent to which stocks of merino have been drawn upon was indicated bv the numerous offerings of old discoloured wools which were included in the London catalogue. It was evident that in many warehouses stocks had been reduced to bare boards and a good deal of the wool sold at Coleman Street during the past fortnight was sent up from Bradford. Speculators who had been holding stocks, were able to dispose of them at a good profit. Machinery Activity. There have been signs during this week which suggest that the downward movement in fine wools has about run its course. The market here has been distinctly firmer, and although there has been no advance in quotations topmakers will not make the concessions they would have been willing to give a week ago, and actual selling prices are up. A further substantial increase in machinery activity is indicated by the unemployment returns for the six principal centres in the West Riding—Bradford, Huddersfield, Halifax, Dewsbury, Batley and Morley. At the end of September the total number of applicants for employment in the woollen and worsted trades in the six centres named was 9081, as compared with 11,204 at the end of August, 13,220 at the end of May and 20,314 at the end of September last year. These figures illustrate the big change which has come over the industry, and the consumption of wool is now on a higher plane than it has been for some years. Output of tops from the combs is readily absorbed, and the stocks which have accumulated during the period of intensive activity, just prior to the increase in combing charges in July, have been substantially reduced. On the Continent. There is one aspect of the cross-bred situation which ought not to be overlooked, and that is the accumulation of stocks on the Continent. Low prices and a favourable rate of exchange have attracted speculative buyers in France and Germany, and in the former country particularly stocks are higher than they have been for many years. For example, in F ranee, at the end of September, stocks of cross-bred tops at the commission combing establishments had reached a total of 10 million kilos, as compared with rather less than six million kilos a year ago. In Germany, the stocks at the end of September were about. Gi million kilos, as compared with five million kilos a year ago. On the other hand, stocks of merino tops are about normal for the time of the year and are substantially less than they were in the first quarter of 1933. At the end of September, the stocks of merino tops in France were a little over six million kilos, as compared with seven million kilos a vear ago; whilst in Germany the stocks were a little oyer three million kilos, as compared with four million kilos a year ago. These' stor ks, however, appear to be firmly held and have been bought at

reasonable prices. In the United Kingdom the tendency has been for stocks to decline.

The followin S is on r usual table of quotations for tops:— Oct. Sept. Sept. 13. 29. 15. d. d. d. 70’s merino ,. 34 35 36} 64's merino 33 34 60’s super . . 31 32 33 58’s comeback 27 27} 28 56's crossbred 22} 22} 23 50’s crossbred 16 lo” 16} 4G’s crossbred 12 12 12 10’s prepared 11 11 11 32’s prepared 10 10 10