THE CHINA MAIL, MONDAY, AUGUST 15, 1955,
Page
+
TRADE
OMMERCE SECTION
Cure Must Be Found For Britain's Ills
WEEKLY INFLATION DISEASE HONGKONG
US TEXTILE
MARKETS
New York, Aug. 14. Domestic producers ship- ped a total 94,200,000 pounds of rayon and acetate fila- ment yarn sluple plus tow during July, down six per cent from the preceding month, according to Textile
EATING AWAY
STOCK
COUNTRY'S WEALTH EXCHANGE
From Our Economic Correspondent
London, Aug. 14.
If evidence was lacking before that Britain is in the
Organon, statistical bulletin. grip of a fresh inflation last week's news provided it in
However, July shipments, which comprised of 74,000,000 pounds of rayon and 19,300,000 pounds of acétate, ran nine per cent ahead of July 1954.
Shipments of high teneity rayon last month amounted to 35,000,000 pounds, four per cent below June, but 61 per cent above July last year. Producers' stocks at the end of July dipperi to 4,300,000 pounds,
Regular plus intermediate teneity rayon shipments were down 4 per cent from June to 14,500,000 [bg but held about un- chunged from a year ago.
July shipments of acetate yarn at 16,400,000 pounds were seven per cent below June and four per cent less than a year ago. Producers' stacks of both regular plus intermediate
rayon and acetate barn were up slightly at the month-end.
to
Shipments of rayon staple plus tow dropped six per cent from the June lovel 24,000,000 pounds, and were eight per-cent under July a year ago. Stocks increased to 10,400,000 pounds.
Organon also noted the United States imports of rayon staple for consumption during May set a new monthly
of record 18,447,000 pounds.-United Press.
N.Y. COTTON
MARKET
REVIEW
By William T Plunkett New York, Aug. 14. A super giant-sized Gov-} ernment crop estimate put cotton prices into a sharp re- treat last week.
Lasses ranged up to $4 a bale with the distant October and December
deliveries (1950)
plummeling to seasonal lows.
At Friday's close the list ruled unchanged to E6 pointa lower, making the second week of sharp declines; a reversal at Liverpool along with a slow- down in textile markels and lack of information of the Govern- ment programme for disposal of raw cotton surplus, were other handicaps on the buying side.
Traders thought an announce- ment was iniminent on whether or not the Government would sell cotton overseas at cut-rate prices.
The first crop estimate of the season on Monday proved a surprise as the crop was only
Beven per cent less than last.
PRICES REACTÈD
Prices reacted around $1.50
of the was
|
|
ample measure.
No one regrets the fact that unemployment in Britain is the lowest ever recorded in peacetime. But looked at from a slightly different angle this simply means that there is a shortage of labour. And from there it is one short step to a rising national wage bill.
to the national wage bill, nearly twice the rise in the same period
last year.
ان
Distorted
These figures are of course clis- forted by the dock strike. For example, during the strike all available labour was turned to unleading
perishable
Imports. Moreover, the Interval between movement of ship- ments and, the time of recording them is longer
(From Our Correspondent)
Busincas done on the Hong- kong Stock Exchange this morning amounted $600,000 Noon quotations and the morn- ing's transactions:
BHARES BUYERS BELLERS SALES
BANKS
IK Bank...
1703 207 1770 231740
SHIPPING
Waterboat.. 22.00
DOCKS, ETC.
Dock
2500 $7 Provident (0) 16.20 1815 300 or 15.50 Wheelock ... 830 1.50 1000 1.60
1000 1.50
LAND. ETC. 3 Hotel UK Land
Humphreys Realty
RUBBER
701
10.60 72
20,10
100 11,50 200 or 11
2007130 100 21.00
2.225 230 3000 og 2.28
A. Rubber 2.174 2.22% 19003 6 2 20
7000 of 2.1734 Trust
3.40
UTILITIES
Tram
Star Ferry
mat Ferry
C. Light (0)
C. Light (N) Elect in the case of
Telephone
It is the old, old story of the workers demand mare pay they the June. Agure to £330,800,000. Laflationary spiral of wages in are not merely seeking to com- Exports improved by 204,000,000 fruitless pursuit of prices. At
pensate far past mercases but to £231,000,000. The gap be- home it caused the cost of living also to get a larger share of thetween imports and exports was index to
another three wide array riye
tempting foods thus £107,800,000 compared noteles. in June, Abroad that the shops have to offer. with £120,000,000 in June. added another one per cent to "When all the world Is mad it British export prices,
is folly to be sane" was never And still it goes on. in the
more true than in the middle of first six months of this year an inflation. Wages added
over £20 million
Unthinkingly, however, they
them are doing Britain and selves, immense harm. Their But more is to come.
It the actual Last higher pay has two effects. week three million shipbuilders adds to production costs, thus decided not only to ask for more pushing up the price of British pay, but fewer hours and three exports, And it ercates a de- exports than of Imports. Some inslend of two weeks with pay, mand for goods. if these are exports therefore, were shipped 11 granted their wage claim British it depives the country cf too late in the month to by in- would cost the shipbilding and exports. If they are foreign it cluded in the July figures, but
swells the nation's imports bill-Imports were not affected to the STORES, ETC. engineering
industries £00 million a year. And some a bill which in the circumstances, samo, extent. of that extra cost would nevit | cannot be met with carnings But even on the most optimis- ably be
to the from exports. passed
tic view of distortion in the consumer including
All this of course, is true even figures directly foreign
attributable to customers for British goods.
if wage demands are conceded the-strike the fact remains that; without a struggle. But if they Britain is Not Alone
buying from abroad. are accompanied as they were much more than she is able to recently by a wave of strikes-pay for with her exports, the situation becomes even more And this, of course, was the sombre.
fact that was uppermost in the mind of the Chancelier when he ordered
a general
will be
ΟΠ
INDUSTRIALS
Cement
145 113
200 140
50 110
Ceylon Rubber Analysis Of World
Grain Trade
Prices
Colombo, Aug, 15, Fremler Sir John Halo- Inwald today directed` that negotiations för price row. visions of the rubber-for- rice pact between Ceylon and China "be carried but with full confideration for
world market
Ile said the considera- ilons should look to the future and not be based
on
the desire for" im- mediate, but unstable pro- Пt.
has
to
The rubber price revision is expected to cover the period from last June the end of the year, whlie the rice revision will be for next year.
Ceylon asked one pebny more than the world' price for the country's rubber, and it is expected to ask for a smaller quota of rice than the present- 270,000 tons contracted for.
United Press.
CHILEAN
COPPER
SALES
Santiago, Aug. 14.
Washington, Aug. 14.
The Foreign Agriculture Service of the Agriculture Department, in an analysis of world trade grain during 1954-55 (July to June), said today that the United States recovered its position as the greatest exporter of grain and grain products.
In the previous year, Canada had ranked first, due to a large wheat trade.
The FAS estimated that world "It is doubtful whether ira- total grain exports (exclusive of porters can look to the iron cur- rice) In 1954-55 were 38,282,000 tain countries for appreciable long tons compared with 30-exports (of corn) in the years 435,000 In 1958-64 and an all- Immediate ahead. While ArgenTM. time record of 42,550,000 in tine corn export may be *x- 1951-52. Tho total includes pected to show * gradual wheat, flour, rye, corn (maize)vival, in no year zinco the end oats, barley and grain sorghums, of World Wor II has that Features of the 1954-55 grain commanding position it former- country been able to regola the marketing year included:
ly held as a com exporter."
1. Larger exports of wheat and flour from the United States, Argentina, Australia and
France:
• 2. Galus in relative shore of world wheat imports. from the non-dollar suppliers such 09 Argentina and Australla, rather than from
dollar coun- tries, as United States and Canada; and
as a
displaced
3. Gain by France wheat exporter;
"France definitely Press and parliamentary circles today criticis the Australia from fourth position, being exceeded only by the 1740 Government for leged United States, Canada and Ar- 41.30 failure to dispose, of Chile's | gentina," the FAS said.
output in the European market at 40 to 45 2214 cents a pound, compared with 150 a 22.89 the 30 cents per pound re-France may not only again dis
2.60 ceived for sales in the United
States.
33.23
100 kr 32.30 Copper
32 3214
33 300
33 about
But
the engineers are not aloe in the wage queue: Wood- workers, railwaymen and miners are giving an ominous ring to Oliver Twist's famous request. No wonder the economist was moved last week to remark that on a long view this may be the worst economie news of the year. But this is only one side of the inflationary situation. When
The most serious of the strikes was the six weeks stoppage in the dock."
This renders futile of credit last monthatening up}
any attempt to analyse the recent trend of overseas trade, In July-which included only the last three days of the strike imporis rose £44,800,000 over
British Investors Unimpressed
Credit Squeeze
By
From Our Own Correspondent
London, Aug. 14.
The London stock market staged a spectacular recovery last week after the sharp decline set in train by the credit "squeeze" which knocked industrial share values by eleven per cent in a fortnight.
some time, however, before the affect of this will be seen in: overseas trade figures; and if it fails to bring imports closer into line with exports, fougher measures can be expected.
Bright Prospects
On the longer view prospects for overseas trade are made | brighter by the news that Britain
Is one of the first in the field of
atomic" exports.
Dalry
Watson
21.00
L. Crawford 376 COTTONS
Textile Corp Nanyang.... MISCELLANEOUS
Yangtze ....
15.50
5.80 8.70
CULTURED
PEARL TRADE
The Ministry of Mines today was reported studying a deflufte decree which it was hoped would clarify provisions of the new copper mining low recently placed in effect. The producers have maintained that they had the right of ceiling the metal; but three days ago they accept ed and signed an agreement with the Government, whereby two thirds of their output would be disposed of in Europe, and the
remainder Ini the US, the
Chilcon Government had ex- pressed the desire that Nortli American buyers pay 40 cents per pound, and until they do so sales will be limited in that
*and
market.
New York, Aug. 14. Sales of cultured pearls) Both the Anaconda
This is less important from the will top all previous records Bracer companies, principal point of view of any benefit it in 1955, according to Mr producers, reported that prior to will bring than from the fact
agreement they thod Joseph Goldstone, President the new that Britain's exports of manu
maintained more or less tho the factured goods will decline as of
Pearl Imperial
proportion stipulated. It was other countries learn to make | Syndicate.
estimated that US buyers will them
for themselves. This
take 135,000 tons of the 420,000 theory, as last week's news In
statement released tons to be produced this year. showed, takes no recount of coincident, with the opening United Press. technological progress In the Sunday of the American
advanced countries.
National Retail Association
Statement
London, Aug. 14. The Bank of England state-
more a
Opportunities are vast; but annual convention, Mr Gold The Bank Of England bigger prizes in the new industrial stone said that imports of revolution wili
to the cultured pearls for the first slx countries that
fre the most months of 1955 exceeded ali af successful in holding down pre-1954. ductions
costs. For Britain this means investing on a large scale
Goldstone .' Mr
18 olsement for the week ended Aug. The reason apparently is that investors doin
in factorica capable of producing President. of the Importers 10, reads us follows: goods that will be required in Association of
Не Chicago. not believe Government's disinflationary measures the coming atomic age. But recently returned from will work. They believe on the contrary, that before she can do that she must to Japan, where he conferred Private deposits... And a cure once and for all- with peari growers and Government securities inflation will continue. And they know from
the disease of In Government officials, experience that in times of inflation, industrial dation that is cating away the
country's wealth, shares are a better store of value than money in the bank.
overseas
a bale on the news, although the bearish impact
Their attitude is summed up July's disappointing figures, traders felt,
in remark by the Stock Ex- trade figures were published and
"It is not many
of the shares which had cushioned by the Government change Gazette.
The altogether fanciful," it says, "to previously risen including pilee support programme. Average
middling see the connecting link between stomie power and all shares price
for 15/16 Inch cotton at the 14 spot (the) revival in equities and the reacted sharply. Despite the set.
weekend markets average around 33.50
announcement of the back, however, prices generally Intest step In the disinflation in both the industrial and oil cents a pound compared with the average loan rate for those campaign, a civil service wage share markets were on balance markets of 33.75 cents a pound award that will cost the country higher on the week.
£15 million a year." In
other
Traders felt the figures focus-wo sed attention on the need for words, investors feel that Gov-
ernment lacks courage to carry
Gilt-Edged
for
Burma May
Seek Loan
To Bolster
Economy
Rangoon, Aug. 14. Newspapers here widely re
situation, some felt, might be in to market on Monday and from Electricity 4 per cent
€ 200 million of now British mant will be "virtually com-
a
of
000 bales more than a year earlier since 1946-United Press.
and the inrgest stock
new
Well Spread
Was
country,
im-
a trip
Note, in elreulation Pubtle deposite
Other securities feceipis fallo
He said in his statement that there was a great need to main- tain higher standards in the quality of cultured pearls for export. The dollar value of cul- tured, pearls could be greatly increased if the standards for quality of the pearls were raised, He said. Jopars sold more than 25,000 pounds of pearis abroad in 1954, 54 per coil of them to the US. Earnings from this source have_climbed steadily in the
past five years.-Unlled Press.
Sterling
1,834,003.105
20.294,010
298,160.441 247,560,629 41.135 203 43.137.078 132 United Press.
Exchange Rates
"While it is too early to make
firm prediction, current int- dications are that in 1955-50
place Australia for fourth pince among the exporters, but might crowd Argentina for the third place."
com-
World corn exports in 1054- 55 were tentatively estimated by the Foreign Agriculture Service at 4,800,000 long tons pared with 5,149,000 in 1953-54. Exports from the United States declined while those from Ar- gentina Increased.
EVERETT
with
World exports, of burley * int 1954-05 were estimated at 5,007,000 long tons compared
in 6,340,000
previous year. Exports from the United States gained substantially, but declined from Canada, Austra lia, and Argentina, and from Russia and the Danube, basin,
World'exports of outs in 1954- 56 estimated at 1,281,000 long tong, compared with 2,187,000 in
the previous years,
reduction being due chiefly to smaller
from Canada exports
and Argentina,--United Press.
U.S. RAW COTTON EXPORTS
New York, Aug. 14. Row cotton exports by destination as reported by the New York Cotton Exchange for the 1955-56 season to Aug. 9 were as follows:
Britain Continent. Orien
Conada
Total for sCARON" Samo period 1st year* ***
⚫ excluding linters-United
LINES
·EVERETT ORIENT LINE
Fast Regular Freight Refrigerator Passenger Service
Leading for Alugapore, Penang, Rangoon, Calcutta and Chittagong:
"REDEVERETT"
"NOREVERETT"
»DRADEVERETT"
"LENEVAREIT"
Arr. Bept. 11
Balle Sept. 12 ~im Oct.
~~~~ Oct. - Oct.
13
20
-- Sept. 30 Oct. 12 Oct. 25
Loading for Kobe, Osaka, Nagoya, Yokohama
**NONEVERETT“
"DRADEVERETT"
"LENEVERETT"
"REDEVERETT"
Arr. Sept
2. Salks Nov.
---Sent. 14
--Sept. 27
- Sept. 15
-- Sept. 27
- Nov. 3 -- Sept. 3
LIMITED PASSENGER ACCOMMODATION
All the above subject to alteration without notice.
EVERETT STAR LINE
FAST REGULAR FREIGHT REFRIGERATOR SERVICE
Loading for Singapore, Port swettenham, Colombo, Bombay, Karachi & Persian Gulf Ports,
"STAR DETELGEUSE” Are. Aug. 17 Balls Aug.
Loading for Kobe, Graka; Nagoya, Yokohama
"STAR AUCTURUS"
Business was done in the local unofficial exchange market morning at the following rates:- 19, dollar (por $1)
"TRAL"
-thie
"STAR ALCYONE" "LAON
5.01
23.50
→STAR ALCYONE"
*THAI
"STAR AUCTURUS”.
OLAO"
"STAR NETELGEUSE”
Sterling notes (per 1) Australian noles (per £1) Indonesian rupiah (per 100). Sam ticals (per 100) Bingapore (Birni(a) Indo-China plastres (por 100)
Commerce Secretary
Issues
A Caution
Washington, Aug, 14. Secretary of Commerce Sinclair Weeks cautioned US businessmen today against over- booming production records. confidence and undue speculation in the face of
new legislation to deal with the through their disinflationary problem 里
01 tin ever-growing
In the gilt-edged market, the measures to logleal' conclusion, surplus. An upshot of the In any event, buyers returned mala feature was the issue of port that the Burmese Govers
reduction
stock.pelled" to seek a foreign loan Government then until late on Thursday, in Prices
were marked down supports next year.
dustrial share
the The International Cotton ahead
prices pushed initially to bring the market in an effort to overcome vigorously. In the Advisory Committee indicated first three days of the week, the
into
line with the terms of the present pancial criels facing the the "free world carryover of Financial
Tho Times Index gained new Issue. But this
comunit Government's collon on August 1, 1956 us nearly eleven points to 210.
mediately followed by sharp rements in its eight-year welfare covery as buyers moved in to state plans are reported to have about 400,400,000 bales or 1,000,-
take
OL advantage
cheaper made such
a step necessary, quotations. Thereafter the mar-
The Demand was well spread, but ket remained quietly steady as informed circles for their
newspapers quoted well- special Interest was taken in the a result of the new issue was ports.
class of "atomic power" awaited. But by the time
They sald tho Burmese shores on reports that Britain became known that it had suc-
He told a news conference that the gross as Indice Immense strides in ceeded investors, were wearying Government would rock a loan
from neutral countries" such as national product, the value of all goods and peaceful application of nuclear about the possible implications Yugoslavia or India. Burma had services produced, rose to an annual rate of energy and has started an ex-of Monday's Cabinet meeting, port drive based on Atomic and gilt-edged dipped again tak no desire to embarrass herself
from either the Eastern $385,000,000,000 in the second quarter of this year. products.
with the new stock with them. Ing.
for Western doubts, crept in
This is $2,000,000,000 highac cautioned against speculation in for the week ended Aug. 5, again during the closing hours of Though the electricity · Issue
BurnPloc
exchange to than the rate which President Housing or plan expansion. He 'reads on follows;
business on Thursday, when re- was technically succesful, it is BEVES have dropped steadily Elsenhower's: Couficit of Econo-:; 1974 them, to "keep their feet 'on
the Tour of Burma's mid Advisere betimated only to ground and employ simple, “LAOS” holdings 201,011,436 ports began to circulate that a believed that a substantial part owing to #old Total over currencies 15:245,113,337 Cabinet meeting had been called of the stock had to be taken up overaces rice market--the coun-weeks ago. It was 10,000,0
10,000,- commonsense in the operation of on Monday'-''to' discuss the by Government departments.
des of foreign ex-go higher than the brut quarter their day-to-day affairs. try's mailt source 200,000,000,000 economid 'situation) This “bátined Souls African gold inres change
rate" and $16,000,000,000 /higher with heavy fun withecond quarter of earning against over-optimism
The Cabinet amornis weld - h 0.200.000.000 fears that tougher measures | were Atropu in tite porly.
Murt bos stemmed from the same liigenalan sl
that prompted the Goudestriant": Guión Vila V Lightening:☺housing
The Bank Of France
Statement
Parls, Aug. 14.
The Bank of France statement
Total
Sight balanco abroad
In EPU, KALEN. Advance to Station
Tund
Bank notes in circulas
Fiion:
deposits
Francs
However,
Total blite discounted, 2,00 chitt365 would be taken to root out in- the week helped by, Confhentajil
Current accounts and
dation, and prices began to lose buying HINTA
4,000 ground
5.900
The downwards moyandant i innants whichis was a um fy gathered pace on Friday when better were cha
Ican
Weeke
to banki United Press,
*88**
→→→→ Sopi,
Sept.
- Sept. 17
***, Sept. 20
www.Ct. 24 -- Nov. 7
Oct.
15
Nov.
Aug.
Bept.
Sept.
20
-,-, Oct.
24
In Port Loan
Art, Sept.
4
Sept. 19
- Oct., 15 - Oct. 27
--- Oct. LIMITED PASSENGER ACCOMMODATION
All the above eubject to alteration without notice.
EVERETT STEAMSHIP CORPORATION S/A (Incorporated in the Republic of Panama with Limited Liability) Chinese Department: Telephone 28293, Queen's Building, Telephone 31206.
MESSAGERIES MARITIMES
FIO. Box 53 een a Bullding giTRAT FAST PASSENGER/FREIGHT SERVICE ELE
VIETNAM"
sailing Sept. 10th sailing Oct. 18th
SERVICE
MMDINAM
sailing Aug. 19th sailing, Sept. 21st