Conversion Offer
To Holders
Of War-Bonds
(By Norman Crump, Sunday Times City Edito
per cent.
w Holders of the 4810 million of A
only temporary, however, National War Bonds, 1952-54, due to be repaid next March, are invited to convert their holdings into 21⁄2 per cent, National War Bonds, 1954-56.
the Japanese Government aims at buying back ren with pounds the press reports saldo
million
This action would be in addition ta thin £10 yen SWAD that Japan is trying to negotiate with Great Beftain, It was said,
The reporta maid officials of IMF : promised to fake. up the matter at a meeting of His Board of Directors, -United Presse ̧'
HONGKONG
SHARE MARKET
[From Our Correspondent)
Business done on the Stock Exchange this morning amount- ed to $774,857.50 Non quota. tions and the morning's trans- actions,
BUARES BOYERS SELLERS BALES
BANKS
Although the maturing bonds have now be come "a short." this operation interests many private investors, as well as the banks and other Institutions.
These bonds originally form- ed one of the wartime inp |issues," for "they first came ori offer in September, 1943. -- Un- doubtedly a sizable proportion of them were then taken up by the general public..
The present conversion offer takes the form of a straight- forward one-for-one. exchange into bonds carrying, the same rate of Interest; but reynyable. two years later.
Trade
Figures Analysed
of
A simple comparison the &
visible trade figures
Many holders may prefer longer dated security, and some for the first half of this are already switching into much year with those of the cor- Government stocks as the new responding period of last 4 percent. 1974-79 Electriclly Stock, now quoted at a fraction
over par.
This is one explanation Jast week's firmness in gilt-edged market.
CASH ISSUE 7 -
Holders, however,
of the
have an-
year, when the balance of payments crisis was at its height, makes a somewhat disturbing impressiba, saya the Financial Times.
same
re-
Imports have been reduced by a little over £200m, but, ex- poris have fallen at the time by some £120m. The other alternative. ́It is most overall visible trade balance is, unlikely that the whole of
the in fact, only £80m. better. 2810 million of 1953-54 bonds
Analysis of the actual trend" will be converted under the
over the past six months present. offer. Indeed it might inforces
the first impression. embarrassing be
Lo the autho Exports have rities if this happened. For the
in the second of the 1954-50 above the level of the total amount bonds would then be increased qua
|quarter-but
only to £1,236 million, which would age of £1m a mouth. Im- bo an unwieldy quantity of ports on the other hand show monthly increase between the two. periods of
ILK. Book .. East Asia
1620 201
25 @ 1530
INSURANCES
Canton... Linton
HKC. Fire
241 763 143
207971
SHIPPING
Waterboat .. 18.00 Asia Nav
1.45 1.5S
DOCKS, ETC.
21.60 2114 500 021.00 2000 140 12.40 12.50 600 07 12.10. 250 9 12.10
9,25 3,90 1000 @ 8,05 1000 à 8.90
bonds to be dealt with in three an years' time.
2300 2 0.00
500 -1.013
800
8.00
900
8.25
11000
0.85
8 8.05 1000 # #
133
K. Whart... 0016 Dock
Provident
Stial Dock Whealook
LAND, ETC. ILK. Hotel IX. Land S'hal Land
UTILITIES
Trem. Peak Tram
(Old) .....
Park Trom
(N)
Star Ferry
C. Light IN) Electric
Macao Elec
3500 @ 3.623
25.20 25.30 700
20
129
@ $5.20
C. Light (0) 12,40 1271⁄2 1300 64 12.40 1900 12.50 8,70 2727.30 900 21.10 Telephone...21.80 21 2000 62 27
4000 22.10 1000 - 21.00
INDUSTRIALS
Cement 297, 3811⁄2 18.80 1600 @ 1816 Hop
17.65
STORES, ETC.
Dairy.
22,10 22.00 8100 #22.50
GOB 12.30 Watson 24.10.24.40 | 400 19 24.30
L Crawford 24 COTTONS
EWO
2.35 2.60 - 300 @ 2.38 Textile Carp. 4.70 3.80 2000 @@ 67% MISCELLANEOUS
Yangten
07
1000.00
Sugar Prices In N.Y.
The extra taxes the Assembly had grudgingly. voled
New York, July, 21: World Number Four sugar cover only 60 milliard franes of a budget deflell of 700 millards. futures today closed three to However ruthlessly the eight points higher with sales of
484 contracts, powers to cut expenditure moy
Six Bugar Domestic Number were be applied, it is more than
closed two points lower to one doubtful whether they could do all the rest of the job, and in point higher with sales of 238 time.
contracts.
Cuban producers buying and reports
will that Germany shortly be in the market for ad- supply combined to the world contract. Domestic futures bolster
moved irro- gularly as traders
#walted clarification of the price situa- Llon for the refined article..
Meanwhile, the financing
of
the deficit by massive borrow→ ing from the Bank of France is inflationary as can be, and ly reckoned to amortise it in Dot the extra taxes are optimistical- Tess than throc years. The French State does its inda- ionary borrowing in haste, and not the fur of France's various repents at leisure. Whether or
deficits can be cured by
probable that they can be cured
Tokyo, July 21, China, which accounted for Sales for the day totalled orily. 40 per cent of Japan's pre-war 850,000 shores compared to dyestuff export trade, has taken 830,000 yesterday. less than ten per cent since the
ditional issues appeared Communists took over manu- facturers said today, calling for on the tope with 458 lower, 273 a boost in the dyestuff. trade higher and 284 unchanged.
The average losses of 75 conts with Communist China.
industrials, in rails Only nine
per cent of the and 15 cents in wilities we country's production WILS
the result more of small lose and rather bought by Red China
than any wide moves. Hongkong in the best post-war Brokers continued
the to list year--1052.
Korean uncertainties as the surgical operation, it is hardly outnumber one market deterrent. now that the Korean armistice They look for further irregular with one. Reuter. is in the offing. Japan should dull markets until truce terms prepare to resume full-scale are finally defined. trade with Red China.
Manufacturers pointed
·
Aluminium Company of
Auto slocks, which sharply declined yesterday on reports of a slow-down to 'come in that industry. behaved zomewhat
Economic Talks
In London
London, July 21. Anglo-Iraqi trado, financial
In 1939, 11,482 tons of America fell a point to $40, dyestuff were shipped abroad, | and: Aluminium Limited fell to but the figure dwindled to 899 $40% on news that the Govern- tons in 1931.
ment was acting to concef all The industry experienced a contracts, short export boorn immediately after the outbreak of the Korean war, thanks to speculative buy ing which helped roduce unsold stockpiles of 3,300 tons but a better today. slump soon vet in leading to the Nevertheless. Studebaker and economio talks begin today when the economia committee of present export stulanate..
point to a new low. Chrysler the two countries held its first Production
meanwhile had was down to $70%, General meeting. shown a considerable post-war Motors hold unchanged at $50%.
und -manufacturers |--United Press, 2 recovery claim they can saw compote with British and West German products..
The following
The committee ·will moet again at the Foreign Offes to morrow and then adjourn for s The committee was set up last July and the talks to expected
few days, UN.Y Cotton. Futuras
shown the
Fost-war production trend here: In the years from 1931 to 1937
Now Yost, July дi.
an average of 21,534 tona. In Prices of cotton futures closed
1839 (pre-war peak), 28,800 today as follows:
ton. In 1945, 652 toris, In
Spot
In 1949,
Maretz 1564 MACY
2.227 tous. Io 1947, 3,018 tons,
In 1948, 6833 tons.
0,737 tons. In 1950, 12,410, tona, In 1951, 14,721.toms and in 1952 17,821 (fone-Frane
2430-23
The 10-point riso announced by several leading refiners an Monday has not been followed by all companies, the dealers. pointed out. Prices of futures closed as follows!-
Contract No. 4 (world)
400 bld 140
Sept Oct.
Jan. 1954
March
May
Beyt.
July
Spot-fcents per ib.
1.0.b., Cuba)
Contract No. 4
gif, NY #z-dock)
Spot-(cents per ib.
Sept.
Nov.
Jan. 195
March
May July
Nav.
Bept.
3.39 bid
5.65 bid
200
and bid
1.83
0.35
1459
5.56
Де попы
5.00 bal. 6.80 nom. United. Prosi
2.
average
it is true, risen
calendar
quarter
first
by
an ever-
20m. Since the relaxation of It therefore looks us. If, even
import..testrictions Introduced after this offer, there will be in the spring has only recently
a substantial amount of bonda
to be repaid next March. This, its effect fell in deliveries of foreign gods, there is no in turn, points to the possiblity reason to expect an Imminent of a cash issue at this time. In reversal of the latest trend sugggesting this,
and so
next
am not ou
ovu.
on
looking the impending maturity the import side. Indeed, it may of £577 million of Serial Fund-In be accepted there is ind Bonds
On the export side November. These bonds are held mainly by one thoroughly sailsfactory do
by velopment in the half-year's the banks and other Institu
trade Ogures the rising trend tions,
their replacement
exports. Sales to by Hew bonds of a inter date of dollar
Conada and the United States will be EL simple. operation. In June at an annual rate which should not affect the £380m. were an all-time re- market or the private investor. card, and the previous record It follows that any new issue figure had been achieved in the needed to cover the repayment first month of the same calen
those
1052-54 bonds stil oul-dar quarter. The
monthly standing next March could bo
0 average of dollar exports for a separato operation. which
the whole quarter showed a riso could stand over until the New of no less than 20 per cent an Year. One course of action for the previous three months. holders of these bonds would be to wait and see what happens then.
of
GERMAN EXPORTS
This certainly does not sug→ gest that the failure to achieve ☎ higher total, "of "exports
is due to un-
GOVERNMENT POLICY ·
On the other hand, it is be-recent months coming clear that the Govern competitive British prices. The ment are conducting their re- main SUCCES has been in tho Onancing in a piecemeal fashion Canadian market, and it could and with
a certain spirit of only have been achieved, I opportunism. If
If so, they are British industrial right. Our gold and dollar serves continue to grow, and
rent US, level. It is tempting unlike the previous
therefore, to accept the alterna 1947, 1949 and 1951, wo tive popular explanation of the years, should escape a financial crisis fail in British exports
to the
costs
com
pared favourably with the cur
ir. 1953. This strengthens the non-dollar world-that there hope that the next move in mm absolute bar to expansion by interest rates will be down-Britain due to allclai import wards, It also means the Gov-restrictions. However, this ex- Uttle
a year or
walt
ernment would be foolish to planation seems Launch a large medium-term suspicious in the light of the loan today when, by waiting for recent Increase In German ex-
Jght be posse has ye they
No one has yet been, able to qble to borrow more
holder of Ought, then, the
explain fully why German until the
should at the moment the exporters 1952-54 bonds to
Is he running the be more successful than: British. New Year, or
abe It maybe that' the Germans risk of receiving tractive offer if he does so? To have been helped by the readi day that is anyone's guess, andness of theft, Government to
I would be the last to blame encourage
trade with some those who are now switchske Eynt end cortnin South the more risky export outlets, into Electricity 44 per cent,
other long-dated Gov- American market, where slock, or other
ment securities. They might British Government har boca Indeed go further and look at more cautious. some of the new issues. The
But there is no factual proof wholly responsible Standard Bank of South that this Africa shores seem very attrag for the contrast in the foreign tive,
for unlike many bank rude of the two countries. shares they are fully paid, and Until this, proof is forthcoming even at last Friday's price of there will be reasonable, ground Bås, dd, yield nearly 6% per for suspicion that part of cent. The impending issue of explanation, at least, lies in Q Earlish Electric debentures and relative lack of initiative on also the British side, concludes the
Дезу
Ordinary
shorts should
ault many investors. Another | Financial Times.
helpful development has been
the reappearance after many
the
the
years of new issues of Corpe London Foreign
tion sipeks. The latest example
is the Bristol 4 per cent, 1808-
71 stock, Low quoted a fraction
over par.
1
Exchange
these and other New York
attractive new issues, markels Montreal
Despite
generally
good.
Be
Amsterdam:
the Zurich
Blockholm
London, July 31,
2015/16-281 1/16
103343-19.34
reasonably Brusela remain No great excitement | neod expected during next few months, but with no Sophages and in musi
crisis, mar
-345035-14.8% · fear of an autum kels remain firm. One possible Deutsche Mork..
klocked Black ..... 1900–19.003% - cause of anxiety is that of the trual autumn crop of demands for higher wages, but there welcome
over.
to last for about a week Exchange Rates Those that have already beer
The conamitten) is examining
y concerning Iraq's ful membership of the sterling area. VIt will çalso raylow: Iraq's balanor of paymenta:/wiith thi Čerling inren, and, discurs trado razpocta tretween the two countring==Reuter,
3434.moen. 22/48 mom 23.48 bid- niled Press,
Beniciosk was doke in the *. Ideal imoćnicial: Exchange market - this morning at the following rates- US doline, (par. 336...IN CORD Sterling nota (per-slika TRÓL TÁM Indonesian gulders (per 1001: 20.30 Bam tlcale (per 100).. Bingapore, (Blesita)
•DIC), piastres (per 100).
put forward. In short, in dustrial Ordinary share pric now staral at a reasonable, and
-United. Pram
JAPANESE BONDS
London, July 21. Japaness bondagrypsta Į
of 1809) (B) (4%); (of 1910) «NCH (BHUTAN of÷1997): "D(6 of 1924)
(8 of 1930)
---United Press.
not at an inflated, level Prices, and stability::come bined with a gentle -- improvem 3159ment may be the keynote of Consola
the next few months,
99
$1487)