MUCH ACTIVITY.

Star (Christchurch), Volume LXVI, Issue 20281, 16 April 1934, Page 1

MUCH ACTIVITY.

Fortnightly Commercial Summary. “GAMBLE” IN MINING SHARES. United Press Assn.—By Electric Telegraph—Copyright. (Received April 16, 9.15 a.m.) LONDON, April 14. The Stock Exchange has shown surprising activity recently, which is quite unusual in the period immediately preceding the Budget announcement Undoubtedly expectations of tax remissions had something to do with the strength of industrials, many of which have been eagerly bought, but good \ trading reports are also largely respon- j sible. Gilt-edgeds early in the week j were somewhat irregular, owing to dealings in the new funding loan, opening at a quarter per cent discount, but this later rose to a slight premium, and British Funds closed quite firm. Among the shares lately attracting attention are rubber companies and South African and West African ; mines. In the case of the first-named, i activity has been due largely to the persistent rumours of the restriction j of raw material. No official confirm a- i tion is obtainable, but it is stated on ( good authority that Holland and the Dutch East Indies are now prepared to co-operate in an international plan for the regulation of supplies. Unhealthy Boom. In West African mining shares there has been what one financial newspapei describes as an “ unhealthy boom,” and another as a “ furious gamble.” Sensational stories have appeared in some newspapers of the colossal fortunes made by speculators in a few weeks, and there has been a wild rush by the public to pick up shares in mines which are, to say the least of it, unproved. The result will almost certainly be heavy losses. There are instances of some shares, of a nominal value of two shillings, standing at about 2500 per cent premium. According to one well-known financial writer, the present famine in investment stocks, with the miserably low yield to the investor, coinciding with the high income tax and high costs of living, is tending to drive the investor into undesirable speculative risks. Apples and Pears. The first fortnight of the Australian and New Zealand apple season has been disappointing. The prices realised cannot be regarded as satisfactory. This is largely due to the fact that a considerable portion of the arrivals from Tasmania and the Australian mainland were immature and lacking in colour, while bitterpit was noticeable in several varieties, especially Cox’s and Ribstons. Consequently, Infers have been holding off, especially as good American Winesaps are plentiful, and a fair quantity of excellent South African Dunns, Jonathans and Cleopatras have been marketed. The American supplies are, however, beginning to decline, and as the quality of the Australians in the last boat, the Moldavia, showed a decided improvement over the earlier arrivals, selling brokers are hopeful of getting better prices next week. Australian pears have been doing fairly well, but the quality has been ; variable. Some lots were very wasty, and here again severe competition has been met from South African and Argentine pears, which have been landed in good condition. Wheat. The latest suggestion of the British farmers to improve meat prices comes from the Central Associated Chambers of Agriculture. It is “the entire exclu- 1 sion of all foreign imports of preserved ' meats, chilled, frozen or in any form.” The Chambers will discuss this at the coming meeting. Another proposal made by the Chamber in a memorandum is that the Government should have the power to restrict imports, so that the tonnage imported will be adjusted to provide for the seasonal requirements of the British market, such adjustment to have due regard to the preferential treatment of the dominions over foreign supplies. The memorandum continues: “It cai.not too forcibly be stressed that the present system of unrestricted importation of meat and bacon from all over the world will inevitably ruin both Home and Dominion farmers. As the United Kingdom is practically the only country in the world importing frozen and chilled mutton, lamb, bacon, hams and beef to any appreciable extent, it holds r. unique bargaining weapon, and there is no valid i reason why it should not be used. Butter. “ The butter position shows little I change and prices are still terribly low 1 despite the large consumption, but j traders are inclined to think that the bottom has been reached, and, as Ausi tralian and New Zealand shipments 1 are becoming smaller, there may be a slight recovery. Consequently, sales are not being pressed.”