BRITISH MARKETS

Wanganui Chronicle, Volume 80, Issue 253, 25 October 1937, Page 7

BRITISH MARKETS

ALMOST INCREDIBLE WEEK OPINIONS ON FUTURE DIVIDED (By Telegraph—Press Association—Copyright) Received Oct. 24, 6.30 p.m. LONDON, Oct. 23. After an almost incredible week the markets finished firmly, but opinion is sharply divided concerning the future. There is little on the indusi trial side to account for the behaviour of Wall Street, as there is still ample scope for the development of capital in goods and industries. Commodities, like stocks, passed a wild week with few changes on the balance. When tin fell below £207 Bolivia requested an extraordinary meeting of the international committee, which assembles on October 25. Author?.... . observers are confident that the ■.... will be reduced as much aj lu per cent. Strenuous opposition lu restriction is voiced by Malaya, but most of the market men believe that the price will suffer a severe relapse if the quota is not changed. Other metals are uninteresting, trade buying of lead and . copper being reasonably good at the i lower prices. Rubber at the beginning of the week caused heavy selling from the East. The trade bought a fair quantity but it still refuses to follow any advances. The immediate outlook is not promising, but dealers are confident. Tou.’.y Street merchants are viewing the high butter prices ruling with mixed feelings, but there is an abst|icc of speculation, which makes the market sound in view of the strong statistical position. Imports showed a remarkable falling off in September and October. The total for September was 31,302 tons compared with 43.561 tons last year. Cold store stocks have been rapidly depleted, the latest figures being 11,910 tons compared with 24,670 tons last year. Prospective arrivals are light and there can be no relief until substantial New Zealand and Australian shipments are available at the end of November. Retailers report that the higher prices are beginning to slow down consumption. Germany continues to absorb larger quantities of Continental butter. It is difficult to obtain reliable information regarding future shipments from Russia, but arrivals recently have been negligible. The immediate outlook is for stable and even advancing prices. Nobody fears a recurrence of the low levels ruling during previous years, and though setbacks are inevitable, none expect the market to break thre figures this season.

Eggs are quiet and weaker, but in view of the prospects of a decline in Continental supplies more inquiry and a steadier tone in Empire eggs is anticipated. There is a distinctly better atmosphere at Bradford, accompanied by more inquiry for business. There is a growing feeling that Merinos are around what will prove to be the lowest point for some time. Many who sold forward at low prices are rushing to cover. Principals of the Wool Secretariat are at present visiting Yorkshire, which favours their concentration of research to widen the uses of wool. MARKET STILL UNSTABLE WEAK CLOSING AFTER HEAVY SELLING Received Oct. 24, 8.40 p.m. NEW YORK, Oct. 23. The stock market is still most unstable. It closed weak after heavy selling, 1,500,000 shares changing hands. Prices declined one to ten pionts in sympathy with Rails, which led the downward swing. The financial writer of the NewYork Times says that the prevailing view in Wall Street is that the deflation of security prices is a decisive test of some of the New Deal’s basiceconomic theories.