BRITISH COMMERCE.

Waikato Times, Volume 113, Issue 18875, 20 February 1933, Page 7

BRITISH COMMERCE.

POSITION SUMMARISED.

GILT-EDGED MARKET FIRM.

BUTTER MARKET PROSPECTS. United Press Assn.—Elec. Tel. Copyright. (Received Feb. 20, 9.30 a.m.) LONDON, Feb. 18. The stock exchange is passing through dull times, the news of trouble from both East and West having damped the ardour which characterised the markets earlier in the year. Chinese and Japanese bonds naturally are adversely influenced by the threats against the peace of the Far East, while German loans have suffered as a result of political developments. Yet another disturbing factor has been the fresh banking troubles in the United States and their effect on Wall Street activity.

■ln industrial stocks prices generally are marked down. The boom in Kaffir goldmlning shares has apparently returned to its previous dimensions.

One satisfactory section has been the gilt-edged market which has succeeded in maintaining a firm front against all adverse influences. British funds have been very firm, while Indian and Dominions are equally strong, Australians being much in demand. There is a noticeable shortage of trustee stocks yielding much over three per cent., and any that come on the market are quickly absorbed. The prospects of this week’s issue of the Northern Rhodesia Loan are regarded as bright. This consists of £1,097.000 at 3J per cent., redeemable in 1955-Go. The issue price is £9B. Tile butter position is not improved. The consumption remains as good as might be expected when the best Australian and New Zealand butters are retailing at lOd a lb, and. even less in some quarters. This brisk consumption, however, is insufficient to absorb the available supplies and stocks here now estimated at approximately 20,000 tons, as one leading firm reports, with the production of Australia and New Zealand running well ahead of last year. Buyers feel there is no need for worry about the future. The report adds that owing to the restricted, quotas and high tariffs in foroe on the Continent, consumption there Is very bad, especially in Germany so there is praotically no export trade from this market. The question of the reduction of imports of butter is attracting much attention and many traders consider such action desirable. Their view is expressed by “Commission Agent" writing in a trade newspaper, who says there appears to be only one solution for the prosent low prices, namely that if Denmark would reduoe her manufacture by 10 per oent. and cease shipping the surplus quantities whioh are not required by the English market, prices would certainly be 10s to 15s a cwt. higher. The same remark applies to the colonies.