THE CHINA MAIL, WEDNESDAY, JUNE 10, 1953.
Confused Impression
Japan Trade
NEW TONNAGE PRESENTS THE
Given By Washington Report BIGGEST ANXIETY
Monetary Policy
(BY SYDNEY S. GAMPELL, REUTER'S FINANCIAL EDITOR) U.S. moncy policy, which dominates world markets, is extraor- dinarily confused. Despite recent appearances, it is authoritatively stated that the Federal Reserve has no intention of reversing its programme of making credit tighter.
Its line is that it will resume its deflationary funding programme "when market conditions permit," the recent shelving of the programme and the casier open-market policy having been merely technical smoothing operations to alleviate disorderly market conditions.
They have not sufficed even to remove all the disorderliness.
Wall St. Succumbs
To The Jitters
New York, June 9.
Wall Street succumbed to the tiers today with a shalte- out that slashed the total mar- ket vifuntions son $2,500,000,- 000 and gave rails their worst ression since 1940.
The volume was the heaviest In two months 2.200,000 shares.
Individun stocks lost $1 to $. Industrial and
were
Uilities
The ex of bond prices! Trentury bills has been hoisted almost every day, from $1,000 million to no less still cases There are many other signs of than $2,300 million. Even the strain, and they increasingly joriginal $1,005 million came as threaten some Jinris the a shock.
of business boom, particularly the
So for it has raised $700 Lie af expansion programme
million In this way. so that public utilities which are very the bulk of the effect is sill renilive to dearer and fighter te come instead of being inczey
most over. In addition, the
3
ді-
and
18,
For the remaining few weeks Treasury is offering $800 mil- of this thunciat year, Up' to lion
of 107-day tax anticipa June 30, the U.S. Treasury'stion bills dated
June position is far worse than was falling due on September expected.
to bring into the Treasury dur. He programine of new-noney ing Junc the borrowings
three-months which corporations have set aside for their mid-September tax payments.
Another
Slow Day
.
In Cotton
EARLIEST EVER
reserves
This is the earliest date which the Treasury has
nt
ever
bas
Tokyo, June 9.
Japan will be unable to increase the volume of her external trade unless the economy of other Asian na- tions is further developed, the Ministry of Foreign Affairs reported in a White Paper.
The document, dealing with economic rehabilitationi and the foreign commerce of Japan, said that for this reason Japan is making efforts toward assisting in the economie development of South- cast Asia.”
ない
"unceasing
at
a
|
There has been much comment in Britain over the recent shipbuilding returns which showed a substantial decline in the activity in British yards in the year to March last, while activity in foreign yards was on the increase.
P.O. Box 53. Queen's Bldg.
MESSAGERIES M
MARITIMES
Tel: 20051.
M.
PASSENGER/FREIGHT SERVICE
Qutwards "FELIX ROUSSEL"...
Homewards
Leaves Marbles.
June
makang.
"FELIX ROUSSEL"-D, July
Byngkong. 10-11 July
Far Manila
Die Maruchitra Via
23 August Yokohama vin Marseilles to all Mediterranenn & West Africa ports."
FREIGHT SERVICE
: via Djibouti to Madagascar.
QUIWAYA "MONKAY" "SILVERSANDAL“
This trend is no doubt due to a number of factors and several reasons have been put for- "MEKONG" ward. For one thing, the shortage of steel plate. Homewards which certainly was a big problem during 1952, "PEI-HO was blamed for much of the decline in British "MONEAY" shipbuilding.
Another reason advanced was the fact that orders for merchant
an order anel
the
and with
countries
as
pro-
One ominous reason is probable A. EUR light
d (3) heavy UK taxation.
These last three
meeting on May 28,
Cammiell
Laird Chairman's Warning
oosts
On the question of the present Mather, chairman
was expressed by M. J. C.
of Cammell Laini and Co., Ltd., at the com- pany's annual general meeting. at Birkenhead, when he told stackholders' that already new
dimculty in "was the scute and the fact
"GIALONG"
Leaver. **Europe
—Ralird
Ingkang For 17-19 June
Зарад
..Europr -Rel
·Hamburg—2) May
Leaves
29-20 Jun
Japan
18-19 July
Japa
itongkang
For
11 June Balgan, direct .- Keelung-13 June
13 June „Keelung-13 Juty 13 July SILVERSANDAL" * Keelung-20 - zlyze Jy "NIEKONG" .........Keelung— 8 August 10 August
י.
↑ Salgon, Marseilles, Alglers, Oran, Tangiers. Casablanca, Le Havre, Antwerp, Rotterdam & Dunkirk. Subject to change without notice.
MAERSK LINE
FAST FORTNIGHTLY SERVICE TO: NEW YORK, BOSTON, BALTRIORE & PHILADELPHIA vis SAN FRANCISCO, Los Angeles AND FANAMA.
NEXT SAILINGS
"LAURA MAERSK” Div. "OLGA MAERSK" m.v. "HULDA MAERSK”
June
June July
17
ARRIVALS FROM U.S.A.
MY. M.Y. m.v.
"CHASTINE MAERSK”
June 18-
"ELJE MAEUSK”
Juty 2
TREIN MAERSK"
July 10
were, at For Freight and Further' Particulars please apply to:-
AGENTS:
JEBSEN & CO.
Pedder Bullding.
cited the proposed con-ships are sensitive to freight rates and the fall in new biderz. struction of a blast furnace Orissa, India? erection of It was cald, prtbably reflected to
clinker magnesium
plant at farge extent the lower freight Madras and development of rates which prevailed last year.
and salt Among the other reasons put for iron mines in Goa fields in Thailand, all with the ward were: (1) Increasing costs: assistance of Japanese capital-
(2) the time-log between placing The paper· sald that
taking delivery; rature of Japan's trade Southeast
Aslan
points are changed after Worki War II, as
responsible for some of the dif- ficulties experienced not only by a result of the loss of prewar colonies. Another
shipbuilding industry, but by be the shi factor haa the fact been
that
the shipping industry as a whole. various Southeast Asian countries have
Hope that present demands for Hou About this Sir William Currie, further wage increases would be adopted economic development provided some new food for overriding duty to keep
** | chairman of the P & O Company
reconsidered in the light of the programme of their own, almed thought at the company's annual down to an absolute minimum
regional industrialisation, economic Independence, covery from war damage and balance of international debits high cost of fleet replacement,
MV. he said the cost of new tonnage and credits.
the board the
greatest "The development.- pro- Have grammes of Southeast Asian anxiety. The rise in cost in the had to offer inx anticipation.
countries generally give priority Ave post-war years had been s: normally it makes such to establishment of light Inuus much as 80 per cent. At present shipbuliding orders were scarce. offerings during July/Dec.
company try for the manufacture or bre
had to
to pay no less ibre the
"Our
greatest bring forward the March and products and the daily neces-1,900 ton cargo ship which they shortage of steel,
a standard 1052," he said, than £1,400,000 for a {June lax monies and so smooth
silics reasonul
of life, and abnormality
emphasisë re- out the
use in the Far Eastern tntde. that excel deliveries rail prices
covery of agricultural produc- between the Treasury's defeit tion, leaving large-scale Indus- New York, June 9.
Before the war that would have seven-month Jows.
times, out of sequence with the Cotton futures
surplus trialisation went through in July/Dec. and its reached back to May another slow
bought four vessels of the same work we had on hand. In addi schemes for indecisive in Jan./June. and 1, 1952.
future," the Paper said.
type. In those days £1,400,000 tion to this we ware also handi- session. Ring observers thought
would have MIGHT BE SERIOUS
been considered This year the leanness
capped by at
a deficiency of skilled The decline started shortly it was the slowest
excessive for a passenger liner engineering personnel, which her day of the
"These development before non p rumours cir year.. Prices see-sawed within appeared before the end of the
of two and a half times the normally surplus Jan./June gramines would appear to make
been common to most industrial culated in Wall Street that a range of 15 points but ma
tonnage.
undertakings In period.
reduction
the past 18 Korcan truce had been signed ed to keep even with the PTC-
e. a relatively heavy demand for of Japan's
INCREASE IN COSTS months. These difficulties had vious close most of the time. officially.
The Anal
re off 3 ta un cash payments-amounting prices were
which might seriously
which
we hope will be re- As an example of their problem, toreading effect on our produc- the $5,700 million of the Trea- [ affect
the
Japonese export St William said that out of medied. were up 2-10 off 3 points.
sury's June maturities,
situation." The market was the broadest
operating prod's of £70,000,000 Mr Mather said that as far as Techufclans attributed part of in two months with 1,234 issues the dullness
pre- This unusually large
But on the other hand, it said, market stock to the
over the past four years, no less the future was concerned, they linve traded,
of them
ference for cash must 1.000
lower weakness.
The sharp decline
because of "certain social and than £47,000,000 had been set had orders on hand "which should disappointed the and only 78 higher.
Treasury there did not react to hard on since the conversion terms
economic conditions" these aside for renewing the fleets keep us busy for some time to Analysis point out lirat the cotton prices but the speculative the one-year certificates which it
of countries "may not always and and £2,000,000 for improving come. he went on to add:-- overall plcture still is one very elem
advantageous to
All this depend staff pension funds.
abroad, high level business activity and busy with securities to pay too maturing issues were not only
element apparently Was top it offered to holders of lae entirely on Europe and America and more had been spent. Yet both here in Europe a favourable outlook,
for The the most generous in
capital, equipment,
In spite of this, 31 per cent of Japan, is growing fast. Freight lu collon. much attention Tha uncertainties have timidity
twenty
sharply, and on the part of both
materials and technical skills the group feels was over 20 rates have fallen years but also more. dragged on now for weeks and bulls and bears
generous necessary to the realisation cars reflected their than had been
of years of age last September and as they fail the apparently have made investors Intention to await the final out-
their "of
economic A gleam
shipowners to commit themselves is that the
development thus ripe for replacement, Jig Pected timid and ready to sell on any
programmes.
He said that ships delivered to building contracts diminishes. Theyarty find it come of the Korean
bill truce Treasury
rate cased excuse.
desirable to adapt some of the up to last year appeared cheap Already new orders are scarce. Most of the trad- slightly negotiations,
oni May 28, even Intralls, toasos ranged to $4 ing came from local professional though the Treasury on
results of Japanese research and compared with similar ships to- in Southern Railway, Amerada talent. They moved in and out occnsien raised $200 million at development, made, under social day. The final capital cost of
"In the face of these facis, it and economic conditions which new ships was unknown when moru closely resemble
and indeed, their they are ordered
Is your board's duty, both to the until own.
Mnation, to the stockholders, and delivered. The time-gap between to the workpeople, as ordering and delivery had been as ek people, to ensure t as much as Ave years and the
could do nothing to limit absolute minimum. I very much owner The possible Increase in costs
hope that the trade unions and during that time.
On the taxation problem Sir those responsible for the present demands for further wage In- William saki, amo
among other things, that of the operating profits of creases will reconsider them in
light
overriding £70,000,000 over the past four the years, £17,000,000 had gone to duty."
Apart from merchant ship During the seven years since work, Mr Mather said they were also busily engaged on a number 1946 taxation on company profits of contracts for the Royal Navy. had been well above the level and he was pleased to report that of 50 per cent, relieved only by steady progress had been made on the fitting-out of H.MS. Ark Royal,
to
It snined momentum with the 3 points. The opening prices $900 million by holders of products in Southeast
list closing nt its lows.
broke more than $7 in oils. Chryster fell $2.25 and General Motors $1. Bethlehem
down
was
that
new money on hills. of the market.
This was ascribed to the eas- The crop news evas still mixed
mostly but
favourable. ing effect of the Federal Re- still $1 und U.S. Steel almost Concern is felt over the persistserve's open-market purchase of much.
American Tele- ent dryness in the Far West 585 million of bilis in the fort
but elsewhere farmers reported night ending May 20. The New York Stock Exood progress. This change bond volume was 4-
Private estimates 001,060 and the American Stock Exchange volume was 698,000 Year's probable
phons fell more than $1.
⚫ shares.
Dow Jones averages al
end of the session
follows:-
30 Industrials
20 rails
tulilties
40 bouds
DS Spot
ол
--POSITION-CLEAR-
"the
The Paper said this is especially true in such fields as industrial techniques, Irrigation works, drainage, land reclama- tion feruliser utilisation,-im-
acreage range
provement of seeds and agri- For better or worse, however.cialturni 25,700,000 were between
implementa
and and the Fed itself does not attach methods of financing agricul 27,200,000 acres Prices closed
much importance to this, ture.Unlied Press, today as follows:-
34.10 nominal points out that if demand for eredit were great énough, mouey could become progres- sively lighter even if the Fed's open-market purchasca adding very substantial amounts to the supply of money. The Fed would then merely to braking or smoothing the degree the tightening. "That seems Ito be just what the Fed is do-
the
the
stood
Juty
203.39
October
00.28
December March
48.44 May
93.20 July
-United Press.
The Rubber
Markets
Singapore, June D. Prices of rubber futures closed today as follows: Number 1 rubber, per l
July
August
Setter
Number 2 rubber, July Number 5 rubber, July Number 4 rubber, July Spot rubber, unhaled Banket crepe
No. 1 pale urepe
$314-16
434-0014 823-034
5015-0018 73-10
-United Press.
LONDON MARKET
Lendon, June 9,
The rubber market was quiet
but steady. Priec
Tollows:
No. 1 rubber,
July
in pence per ib.
August
September
October/December
July/September
January/March
closed as
Orinixr
33.56-33.69
13.75 33.84
33.67-33.80
33.00 71.04 33.13 -United Preek.
NEW ORLEANS MARKET ·
33,10 33.54 33,72-37.73 33,85 1 33.04 bid 33.50 bid 33.00 bid United Press.
Spot July Ocloter Dvermber Starch May July Deliber
of
were
33,63 Mr Randolph Burgess,
key man In the Treasury, has made his position clear, Fo says that the Treasury must sell Its securities in the market at the going rate of interest and not at an artificially supported rate. Le, that it must meet the market and not rig it.
SAO PAULO MARKET
Sao Paulo, June 9. Prices of cotton futures closed today as follows:- July ferazeiros per kljo) Octaber December March
(Average price 15/16 4to designated apot anarket) 33.13 cents per
Sale 1.714 balen-United Press.
He adds that the long-term 10.42 market has been "over-loaded" 1975 because too many people were trying to borrow at the same lime
Delay of some projects would be "wholesome" both for the the business
Grain Prices market and for
situation.
ke makes it clear that the Treasury will not - bow itself
market to business. In ap- Chicago, Juneproaching the long-term market, Treasury will Grains, ran Into increased he rays, "the
proceed cautiously, 2016-19 realising and hedge-selling should not always be at the end though it rallies. Wheat, cased the Ince of an exporter demand of the queue, and so
inflationary into ngainst sales of U.S. red whent
In Chicago out for the sake of leaving the
ted Preis.
NEW YORK MARKET ·
in
HONGKONG SHARE MARKET
after they
taxation.
initial allowances.
have
•
FEELING OF ALARM
been
However,
ho confessed to al feeling of
olarm about the taxation burden in years to come,
from and in
readiness of
TO MINIMUM '
costs are kept down to
of
પા
the
In his carlier remarks, Me observed that the in- profit resulted la a increase in the tax, but they initial allowances" which they welcomed the reduction in In- Business done on the Stock were receiving now, there would come tax made by the Chancellor
(From Our Correspondent) when, through the operation of provision for
SHARES BOXERS SELLERS SALES
BANKS
1K Bank... 1825 East Asia. 14D INSURANCES
Canton
233
170
HK Fire XD 140 SHIPPING
Waterbent 15.30 DOCKS, ETC.
Whamet
N. PL. Wharf
XD
43
477)
2016 2016 100 @ 70
5.90 20.30 200
Exchange this morning amount be no annuai wear, and tear in his recent Budget as a step ed to $507, 825.20. Noon quota-allowances on ships which would In right direction. tions, and the morning's trans- still have one-third of their
ura
is a step and we are told pellons:--
useful lives to run.
that it is part of a three-year Counts of the company are not industry, and the individual, as The results shown in the ac plan towards the recognition of those of a passenger ship com responsible people, because it 1810 pany nor indeed those of the makes it a little caster for all of & Company Hatif. They us to put on one side the savings are the combined result of a by-which alone the future can great variety of trades and of be safeguarded. It is strange tonnages which ranges from a that in this country the function Email conster to a large passenger of profits should be so misunder- Because of the shipping stood. They should be regarded ship. Industry as a whole. They serve, in part at least as a means of 20.28 na it were, as a concrete example keeping plant and equipment up- observers keep to-date and so help to maintain of what most
Us In-geporal forms is employment."
Mr Mather recalled that lost tho
shipowners would year he gave
details of the way according to Sir in wh
in which each pound of revenue Wiliam,
1.1
Ilmed by the company was agi price stability. some stability of price could be counted
The compu quivalent achieved, he said. It would be this with the
Cat encouragement to for 1952. This year, ha cald, 23.30 000 € 23.30 shipowners to continue forward the Increased cost of materials Star Ferry -110
from Bs C. Light (0) 11.10 11.30 1200 11.30) programmes.
La achieve, Da Bd, leaving 10s 04 to pay 500-1150 price is difficult 7.20 20000 particularly when, as Searchlight these engaged in the business.
-500 sh
last week, shipyard put ...25.20 25.40 100 2015 noted
250023.48 managements are faced with new 300 à 25.30 demands from the union for
19.30
higher wages--Reuter,
Dock Provident
LAND, ETC. 2015 Ifotel
11.40 £115
Shizi Dock Wheelock
7.70.280 4000
forced bank
like to БОР
7.70 7.00
1 Land...
Humphreys..
Toally UTILITIES
Tram
51 600 4 201 2.45 2.55 6000 6, 21%
!
to Spain. At Chicago wheat financing."
He ominously repeats that closed off 14 to 1 cent and 50% higher Interest
Tates "beneat bears were up 2 to off millions families who have No by inflation and 3 was quoted today at 2.014 by inadequate return on their No. 1 standard rubber, futures conts a bushel. Prices of grain savings. Reuter
futures closed as follows:-
Wheat-price per bushel
Now York, June 9.
points higher
closed 15 to 25 with sales of 131 contracts. The foot *No. 3. contract, closed nominally July
23 points higher with no sales September reported.
December March The higher trend reflected the May higher London basis
Corn and the
relatively few high-price ship July ment offerings from the East, September dealers reported. Spot No. 1 December
smolłoda ribbed sheets,
quoted at 24 cents a pound.
Prices closed today; në follows:-- |July
Rozslietandard, Gar
July you Hook
September
December
Marcus,
May 2011 July
"Notes"
July
Rentami Decemb
March May July
21.30
23.0
20
2.03
2.0015-96 2.1211
were March
1.8016
Any
Hyo
Beptember
Fuly
Beptember
Boybeans
1.4331-32
719%-34
3.913; nothina)
Spot 29.58 bia
Joy 2.00 nominal August
September November January March
New York fuper 200 16% Back $1125 roninai-United Pres
Press.
JAPANESE BONDS
C. Light (N)
Electric
Telephone
INDUSTRIALS
10 10.40
London, June 5.
8214
500 g 10.20
Coment
17 17.20. 500 ...
STORES, ETC. THE
·Dairy
20.30 20.00
09
122
140(2
Japanese bonds
"A" (45, of 1090) *3" (45. 1910)
" 18 of 1907)
"D" (5s, of 1924) "E" (529, of 1830)
-Uniel Press
Tin Price In N,Y.
Now York, June §." Prices in the metal máritet closed unchanged with the following exception:-
Tin, grade A (99.80 por cent or higher) Now. "York, par, 15.
| 02,75 "gpata—United Press.
Watson
23.20 2331
24.00
L. Crawford XD
COTTONA
EWO XD
Texilla Corp. ang 30
Exchange Rates
..
But stability
of raised this Item
LONDON TIN MARKET
London, June 0. The tin market was easier to day. Turnover was 108 tons, including 55 tons for cash. Filter closed at the end of the ofcial "morning mozalon - n followe foot tin, buyers and bot tin, welfare, vide
Busthem was done in the Toeat atometal exchange marks in morning at the following rates us. dollar, (per $1)
(0,0335 | Ausiness donh`at. Sterling Hole (per" "23) JANUS 19.18 1. Uffiree-mo-- UN, Indonesian, gulders (per 100) 21.50 Three-months tin, walle Flam Ricala (per 100)
MIXTO Business ·dono Al Bigpore (Sirmita))
Bettlement FIG plastros" (per (300)
Toiled: "Press. '
100 to
447
on one side, and som:thing pay the
stockholders a dividend. this year accounted for Wages 5.10d
and overhead expenses and depreciation for 2s 20. Both these Items were relatively lower than last year, due to the inflated cost of turnover. The resultant gross proft amounted to 2a 0d, of which taxtition took slightly less at is 5d, ond the remaining Is 0%d was divided between
dividend savings (5) ant (d)
Copra Quotation
New Yoth, June 1. Copra was quoted today at $200
per: short
ton, neked; Coconut oil was quoted at 141⁄2 cents a pound, "asked.-United Preis.
Tel. Nos, 86008-9
Chinese Freight Booking Office 27, Connaught Road, C.
Tel. 20461
Dates and rotacion inbject to change without notice.. Al liberty to proceed via other porta lo load/dlscharge cargo,
EVERETT LINES
EVERETT ORIENT LINE Fast regular freight-refrigerator-passenger service to Korea, Japan, Philippines, Indo China, Siam, Malaya, Rangoon, Calcutta and Chittagong,
"NOREVERETT"
Arrives Salla
June 14- from Manila," June 15 for Singapore,
Rangoon
“BRADEVERETT”
Arrives
Sails
&
Penang. Calcutta.
June 24 from Singapore. June 25 for Kobe & Yokohama,
(Accepting carto for transkloment Kobe/Pusan and Kobe/Okinawa)
EVERETT STAR LINE
Fast regular freight-refrigerator-passenger service to Korea, Japan, Philippines, Indo- China, Siam, Malaya, Colombo, Bombay, Karachi and Persian Gulf Porta.
"THAI"
Arrives June 12 from Singapore, Sails
i
June 12 for Kobe & Yokohama, "STAR BETELGEUSE"
Arriv
June 27 from Tukuo
Solls
Juno 28 for Singapore, Port Swetten-
ham,
Mudras, Colombo, Bombay, Karachi, Khor- ramshahr, Basrah Bahrein,
(Accepling cargo for transhipment Kebe/Pusan and · Kobe/Okinawa)
EVERETT STEAMSHIP CORPORATION S/A
Queen's Building, Telephone 31206,
Chinese Department: Telephono 28293.
BUSINESS REGULATION
ORDINANCE 1952
Copies of the prescribed Forms 1:(a) 1(b), and 1 (c)).
Now On Sale at 5. C. M. Post, Ltd. HONGKONG AND KOWLOON
TEN CENTS EACH