RECOVERY MAINTAINED

Wanganui Chronicle, Volume 80, Issue 67, 21 March 1938, Page 11

RECOVERY MAINTAINED

LONDON EXCHANGE GILT-EDGEDS ADVANCE LONDON, March 18. The stock markets maintained yesterday’s recovery. Gilt-edged securities in some instances were half a point up and gold shares and olis were also favoured. The decision of Imperia> Chemicals to increase its dividend by half per cent, was a timely tonic. The net profits reached a new record of £7,510,000 and the gross profits expanded from £9,000,000 to over £10,000,000, the defence contribution absorbing £1,000,000. An earlier message stated that the utter irrationality of City business men in the face of the present crisis is exemplified in yesterday's price movements, which were as violently upward as they were downward on the previous day,- though the full extent of the previous day’s heavy losses was not quite recovered. Sentiment is similarly better on the foreign exchange markets. France recovered to around 159. Refugee funds are finding their way to New York or into bullion, causing apprecition of the dollar. Gold touched over £7 an ounce. The commodity markets are also less nervous. Wool was well cleared at London sales in the face of active demand from the Home trade and the Continent, including Russia. There were few withdrawals. The Continent bought freely of good quality Merinos, and prices generally were unchanged on the opening rates. “NERVES ON EDGE” Received March 20, 5.5 p.m. NEW YORK, March 18. Heavy liquidation has sent the stock market down to the levels of 1935. Nerves are on edge, owing to the European situation.