THE CHINA MAIL, MONDAY, MAY 14, 1956.
COMMERCE - SECTION
TRADE
Attempt To
Whittle Down
Page
US MOTOR INDUSTRY HIT Banking Polley New York Cotton
HONGKONG STOCK EXCHANGE
Business done on the kring Btock
Hong- Exchange thin morning amounted 10 B proximately $5 13,000. Noon quotations
the morning's transactions:
and
THARES BUYERS KELLERY SALES
BANKN
1K Bank Ear Atta
INSURANCES
tininn
Lumbard
SHIPPING
Waterboat
..
DOCKS, ETC
K What -Duck
www
175 20 ban
ن اللع
21
UZ'
1
142
38, 39, 2000 & 304;
171300
200075
500 382
Provident (0) Wheelock
14
20
1 AD
2000 875
LAND. ETC
HK Hot
UK Lan
Humphrey Really.
RUDBER
A. Rubber
UTILITIES.
13 70 13 80 900 a 13.80
2001 02 132 (
1740
143) BU
140
Tru... 22.00 22 10
Star Ferry
140
Y'at Ferry 107 110
Electrie
Buntin
Telephone
INDUSTRIALS
Ceipent
Rope
BTOKES FR
Dairy
Wasson
COTTONS
Nanyang
Number
NY Industrials
Of Unsold Cars Suffer Wide
Makes Little Headway
By JOHN MORKA
New York, May 13. US auto manufacturers scheduled new production cut- backs and layoffs last week and appeared to be making little headway in whittling down to more manageable levels the huge and cumbersome stocks of unsold cars.
Decline
By Elmer
Walzer
New York, May 11. Industrial shares this past week auffered their widest decline on the stock market since the week ended
|January 20, Asido from that
section the market showed strength among the mafor groups. The rails lost a trifle. Utilities rose 0.72. their widest weekly guin since March 9 when it was 1.36.
Production is down 22 per cent from a year ago, with Dealers are com- the so-called independents hit the worst. plaining about dwindling profit margins and bigger operating costs. Layoffs in the automobile industry are mounting. Latest arst three days of the estimates place this total at 137,000 in the week ended April 28.
this year's Stocks of uneali eters are at weck
in the likeably changed from and 172,067 near-record levels. As of March | penod in 1955.
models, with some new mechaal- some 903,800 mulos cluttered Meanwhile, General Motors cal features. The Industry al
pared somewhat in March
since
WWIN but
climbed
for a
Rails were the stars for the
weck Demand for the rails reflected favourable statements 07
the earnings this year would match thong of 1955 despite higher operation costs.
scen
Utilities which are hard money up salesrooms of dealers all over said it would close down its auto is expecting that 1057 will see a
[investment issues reflected the the country. This total
assembly plants tomorrow untliboost in price.
tight money market which is to Art its production Meanwhile, Waller Routher 1. cliry
as good for utilities but more in balance with customer President the United Suto bad for industries,
Workers Union, called derwad
Il 'was tight mey and a The mitomobile glut has cut int labour-management vun horde of disturbing news from dower sa auto earnings this year.
to deal with ferenco
what he the automoblie industry that lift mate the best described General Motors
05 an "alarming"
the industrial shares "big situation in the auto and showing of any of the
farts three" during the first quarter.
Reuther equipment industries. its net income during the first | said his own estimates show that
ceal, | 60,000 have been laid off quarter declined 8.6 per
100 22 70
the gure has
| during April.
300 m. 108
82 20.20
|
E
lot
With time running out before 2014
the new 1957 models go into pro- duction late this summer, 22 40 24 000 - 221
1801 11 90 of people aren't so sure the in-
(dustry isn't heading for trouble
22
345
300 33
{
1020 2010 10
This
10.00 11 100 10:00
Textile Corp $36 535 1000 at 20
MISCELLANEOUS
Allied
1.K. & FE
Invent
30 3 10
345
LO GO 11 10
Exchange Rates
Indonesian miplati (per 100)
Blom, tical (per 100) Singapore
(Strait)
10.00
10.10
0.40
GM Best
past week
€2,000
Laying off
priced oul companies which
and
with 127,129 in the preceding tremendous profis.
Uncertainty Affecting London Tin Market
Rumours Rampant
And
up
Timing Review
Mn
ol
Before
Challenge
Canberra, May 13,
A 2.unyate member': bill to amend the Govern- merit's banking cofitrol has been introduced In the Australian House of Representatives
Policy
Government member, Mr. H. Bato Political ob. gervers sto his bil
challenge to the Goyern- ment's bank control polley. 537 Bate said the bill was desighed to separate the Commonwealth Trading Bank con
completely from the Commonwealth Bank and place is under Independent policy management ny well ALA Independent scoprical management.
The curent banking legislation, which sponsored by the Menzies Government, provides for single control of both the Commonwealth Bank and the Commonwealth Trad- Bank by A Board under the obairmanship of
bank governor, China
Mali Special
U.S. Textile
Now
Market Review
New York, May 13.
business in grey and finished cotton textiles dis. at developed
WIDE GAINS
the market
ran into trouble on Thursday, there had couragingly slow pace last been some very wide gains at week. tained by Issues outside the group
tu calculato the averages. Even after the selling, sume of these issues managed to seve good gains.
LESCXx
Futures' Late Rally
By William T. Plunkett
New York, May 13,
Cotton futures climaxed a week of extra-slow dealings with a smart closing rally. At Friday's close the list ruled unchanged to 45 points-unchanged to 2.25 a bale-higher than the preceding week.
Nearby July contracts came the outstanding leader on the recovery. Buying in that moreth was encouraged by ita discount of more than $8 a bole under the spot May delivery,
will
whore
dealings
supposed
Monday.
Technicians July contract would some of the strength
end on
the inherit
apparent
in May for some time. The spot month has held at the season's best level of 35.08 cents a pound for more than a week. Open
in May at the week end
estimated werc 25,000 bales, stock totaled 12,428 bales,
contracts
around
SLUMPING
TEA PRICES
Colombo, May 18. Slumping tea prices has caused Commerce Minister R. G. Senanayaka to allow the shipment of medium teas directly
London to the
The certificated Auctions without any restric
tions.
Uncertainty
The
This concession will be valią until June 30, it was announced today. Shipment of high grown teas will continue on
present basis, the government allowing 32,000,000 pounda to be ship ped directly to London. There in the earne are no restrictions on Tow
growns.
Until late Thursday afternoon, trading moved along at an ex- tremely quiet pace,
daily average of sales ranged around 60,000 bales, the volume done period a month ago.
The belated buying spurt co- incided with reports that few, if
10
about half
a1
The government has been par mitted shipments to the Minoidų Lane
auctions of 05,000,000 pounds yearly, divided equally between high and medjum grown teas.
The minister's decision
was
tens
U.S. SUGAR BILL TO BE PASSED
compared with declines of 28 General Motors, 18,000 at Ford crat and 08 per cent, re- and 46,000 ist Chrysler this year.
any, additional sales made dur- spectively, for Ford Motors and Studebaker has laid uff 7,800
ing the week out of the govern→ Chrysler is Chrysler.
this year, with D,200 out of work
Mill executives said the buy- ment's surplus stock от ruw udditional The terrine competition in the at American Motors,
ing boom in print cloths under cotton. [ workers Since mid-December | industry lips laken the tall of the
way at the end of April, shrivel. Uncertainty Over govern the company has dropped some major producers as well as the
led to near a banishing of events ment policy for handling export 37.200 of its hourly rated em-so-called independents, with the
Industrials at 501,25 off 15,10 on | included: 1. The slow-down in sales of surplus raw cotton ployees, And Chevrolet-berelo- | latter hardest hit General fore the only one of the low-Molors accounts for 55 per cent
Reuther called for a review of the week and rails at 177.07 of consumer buying in the wake of competitive world prices, and a prompted by a virtual collapss 0.20 were at their lows of the persistent UniSeasonably cold- disposition to avalt congression of prices in the Colombo ted of auto producitos, Ford taking the auto industry by municipal, week at the close on Friday, rainy weather; 2. Haw cotton al action on the farm bill, were sales on Tuesday when prices of maintained productions #2
1956 20 per cat. Chrysler has about company and union representa-
registered Examples of the weekly losses price uncertainties; 3. Curtailed factors acting to shackle market most grades | levels-announced a 10 per cent 16 per cent, and indications are tives. He suggested a review of in the industrial department demand for industrial fabrics: 4.activity in the forepart of the drops due to
the decline cullset in May compared with that it will ing even more this current inventories as they relate give a clue to the biz average
The
stook markot reversal, with wook.
quality and the pressure dis-decline. in the
to normal market needs, a tocat | April Busines
It has meanwhile luid off year. That leaves only about 4 Was don
Du Pont fell
Some traders werė confused huge stocks offered for sale. 74, securities losing nearly all of the unofficial exchange market this 5,500 workers
cussion on unemployment in the Bell the past per cent for the two indepen~
Bethlehem Steel 0
decision made from the April tow over the market reaction of the The Allied gama
government's morning at the following tulong-
and 5.00 three weeks. The auto industry's Studebaker-Packard and lodustry, automation
its Chemical 632 U.S. dollar (per $1)
reports of small sales made so
· Chrysler ·-2%, point.
means that dealers will thus ke Sterling notes sper £}}
car mulput hit the lowest levels American Motors, both of which effect.
General Motors
able to withhold medium "Poor weather" can be blamed for under the export programme. 14. General Australia notes
12.40 of the year last week. (per 1.
He suggested also a discussion Foods, 3, Texas Co. 7 and US more than anything case for the Limited Output lost money in 1955. General
sales, they felt, are from the Colombo sales for totalled" 114,047 units, compared Motom
Ford rolled
of possible measures aimed at Steel 2%.
the shipment to London without present shadowy business picture contrary to the object of stablising production and
plan which is to move out the restrictions-United Prest the Aston ployment and a review of the Pacifle gained 84 on the week.
rails, Missouri for textiles, one observer felt. timing
The outstanding business done surplus with expedition. of the Introduction of
the Guins in the speelals ranged to | last week involved
Some traders explained males DI new models as it affects the in-more than 6 pointe in Hertz, around 15,000,000 yards of stimulating market effect of the dustry. United Press. last week the spotlight
Food Machinery, Owens Corning tobacco cloths for third quarter smail sales as a technical maritet Fiberglass, and International delivery to the U.S. govern-situation. The buying spurt was was on Studebaker-Packard with
credited to traders who had put Machines United Press.
ment. Apart from that, other its disappointing flist quarter
out hodges in the futures market
Washington, May 19. useg of tobacco cloths moved in anticipation of being among the House and Senate conferees carlugs report * disclosed
slowly while loss of
they watched the 14.3 million for the
successful bidders for govern- | agreed last Saturday on a gom-. uncertain course of raw coltonment cotton. When March quarter. That's double
the mer-promise gar bill expected to New Delhi, May 13.
prices. the deficit a year ago. The com-
chant failed The UN
to get the cotton speed through both Houses of Economic Cominis- ware of some 30
expected pony's sales
he presumably im- | Congress within tiils week? sion for Asis and Far East re-
PRODUCTION CUT
mediately bought back his per cent from the 1055 level.
vealed last week its Mineral
The May 13. By Laurence Meredith
conferees adopted Meanwhile the
has Resources
The darkest
the hedges.United Press. portion of сотрону
Development Sub- been having trouble raising new committee will hold its second
After business being done at
formula which would strike over 86 cents mark carlier in picture centred in the market for
the extresnICS millions for its future operations session in Tokyo on June 12-17. the morning
*wide Industrial makers, London, May 13.
US RAW COTTON on Saturday, the and company sexecutives have The session will The tin market continued to
consider market sagged, on lack of trade mills working on wide goods cut
EXPORTS be been huddling la New York to mining development in Asia and support. At lower levels trarle production from dv
find a solution for his financial the Far East, make a preliminary came in again and the market certain what types of fabrics will But with Detroit still un- days
New York, May 18. wracked by uncertainty and its prolonga- plight.
survey of legislation governing closed slightly better. Futures: be used in 1987 cars, some tination as reporter in bales Raw cotton exports by des- tion has reduced investment interest in tin
No. 1 rubber per lb. May - further curtallment may be put by Rumours have been rampant mineral developments
June 815-0942
the New York Colton Al! week that Studebaker region, and discuss a report mining shares on the London market to a
a group of geologists and mining No. 2 rubber per lb, May 84-8415
July unquoted into effect shortly.
Exchange for the 1955-56 season Puckard was seeking mong engineers from the region who
Yam spinners repeated the to May 8 were as follows:- non-automotive Arm. have been visiting in with low ebb.
No. 4 Europe
story told by the weavers. With Britain Mentioned
frequently is and it will also make a study of
the slow trading pace in asics Continent aeroplane Curtiss-Wright, оп
the fuel economy of the region.
yarn for the past two months, wine, wanaying a
manufacturer. Curtis- United Press.
southern manufacturers have been able to catch up on back- sin the offing, acknowlatges
lage booked during, the fist that it has
has been
negotiating
with
spurt. quarter buying
Some Studebaker - Packard. There's tak
spinners thought market activity also that Studebaker-
will resume in a few weeks, but with the probablity of slightly lower prices.
Tin circles here said that the United States Administration's decision to continue operating the Texas City Tin smelter for the time being has not completely resolved the present uncertainties that exist for the industry since US reports say the national stockpile objective for tin is likely to be completed by June 30, whereafter the Federal Facilities Corporation have power to offer tin on the open market.
|
4
most
merger
Packard is seeking new defence
orders to bolster its credit posi- tion or else some new sources of working capital.
Now the
company mys that whereas it once had planned
conTM
The market here is anxiously would rise to £800 per major changes in its 1957 models awaking now some public state-ton If the international agree-12 is now thinking more ment on the amount of intake ment should be followed by a servative lines. Changes in the
now modals will of ones which the Texas Smelter 25 per cent cut in production.
be "more ecn-
UN ECONOMIC COMMISSION
in
Singapore Rubber Market Singapore,
No. 3
Spot rubber unbaled Blanket crepe No. 1 pale crepo
LONDON MARKET
H
81-82
85-65%
..... 101-100 United Press.
STOCK
QUIET
By C. T. Hallinan
London, May 13.
BITC
to four
In rayon grey good, dealers the prolonged period of slow business has been com- plicated this spring by cold weather. Millions of yards of goods remained uneokt that normally have moved into spring
Slammer and
stocks. Price caskiess has been noted at the
The stock market was rather quiet this past grey goods level as well as on will take. To avoid any dis- Bolivia has the highest tinned it announced, disclosing turbance in the market this production costs in the world. A that it would clase down 6 week. Now and again a good company report bas some print cloths. United Press.
£1,000 per tansembly plant in Detroit about
would have to be in the region figure
of
of 12,000 to 15,000 tons annual- has been quobodi. This is chiefly June 15 for model changeover
The trade here say this is to the difficult types of de-No resumption date has
the amount of surplus expected posits in Bolivia plus the fact given.
03.
been
Less Pessimistic
by the end of 1080 and any that the mines have to be
greater uptake would create a worked at on altitude of be- shortage.
Production Costs
tween 13,000 and 16,000 feet,
On Bolivia, Strauss has this to
employed istically
say: "However, as she will want Industry louders talk optim
Statement
aroused buying or a disappointing one has inspired selling but in the main people seemed to The Bank Of England be preoccupied with tidying up their positions,
But the trend was downward in British. Government stocks and in the leading industries. The biggest movement was the decline in oil to keep her mines
about the future. (under any conditions, and since They're counting on a big pick-shares. Meanwhile, Indonesia's rati- she needs the foreign exchange up in sales as the weather turns fication of the International Tin derived from her din ore ex-seasonably warmer. They insist This section was apparently penco and the oll shares were Agreement is onxiously awaited: ports, she da unliicely, to cut pro- the cold weather so far has very much upset by British up 8s 6d. The intentira - commitee of the duction, even if there were hampered sales efforts, International Tin Council
met substantial tall in the price," this past week to complete its Nigerian mines are spid preparatory. work for the now agreement. Once Indonesia rati- des, the agreemTICILE can come into force,
¿
Petroleum'e
"phantom divi- Unilever lost 4s, Marks and. dend"! erroneously announced Spencer lost 2s. 6d and a long are last week by a news agency list of familiarice Imperial not the United Press and Chemicals, Courtaulde, the two apparently' В good many tobacco glonts and Woolworths dustomers of all shares cleared lont is or 18 6d. out at least for the time being.
British Petroleum,
British Government apart despite
by the excellent real dividend, lost B
to Auto dealers, however, show a profk if the producers less confident about the future
can reb betweŠTI. £700 and They're complaining about the £700 per long ton for their tin, profit margin" is being narrow
ed, they say. Many dealers haye No Estimates
already had to close up.
..
:
The
news
London, May 13, The Bank of England state- ment for the week ended May D, rends as follows:-
ster Has Note in circulation.. · 1,336,001,1 Public deposits.... Private deposits.
Government securities Other securities Recepita Ratk
10,723.044
307906.638 238,561 829 40,272,071
0,7 -United Press,"
Statement
Paris, May 18. The Bank of France state-
No cost estimates are" avoti, dustry turned out 2 million and a with the sector, is the accomuditing", tapidly a rehly 3, reads as follows:---.
tranic
A. Strantes and Company, Limited, the London metal mer- chanta have
interesting
The less pessimistled in the in- oll's Ocellent reports and Its were certainthet-dated on The Bank Of France the Siamese industry emphasise that by any shillings, closing the week at seem to display a sensitiveness In Slam, things to say in this month's re-
each day,They often production standard other than the record 1338, while Royal Dutch fell to news of any port that sug port on the tin industry about eyndicate estimates production costs in tin minon in caste varying betw.com 2350 1055, this year will be a good 1 1/8 sterling to 11 1/5) stereosts train. melation to the price ranges in and £000 per ton.
fony for the Industry, /
iing, Canddian Eagle lost 5 North America in April were the exports to the deuubational tin pgreement,
"Burman Oll 18. Ona which were Inld down "almontable for Indonesia but. Strausa cata in 1955, and estimates are
encouraging Gat first glancement for the week ended May done as similar to that will certainly out prices pre high and the ins acopiate Supply of gold and a gold hole 2014302, 126 three years ago.
estimates the now agreement | Malay,"
In Malaye produc more than 6,000,000 this year Vestors current return on dollars for the autumn month fetal piher currebaer there is a price span Of 2720
Dosta
are the lowest with sales expected to be pretty dovidends is low, likes as War Loun-ended the Week Arhi infance abroad
18,004,000,000 u, kon to £800 a ton within | dem the word art thủ mạch in tng with production courage to sol than: "buy"""" down, 17% 6d in more normal US 102,110,000,000 which the burer stock manager best Bunopen
l not operate. Below he can panies
The industry also hopefull bug and above, sell: Steven after government royalties about selling 21958 amaiah Now a
Etroues poitred out that the have been paid. But faith the lot of people who won't, Howie, amicoot the upcoements country a whole, including the be paying Silgh men pricin
priop
• PRIMER, ALE MEDALI, Kubinase minus, # 300 (de/30krype. | 1957-mpdelayn Thane abadi dati sly, dover costs, while corte,, United PromG
to
Blue
qla Kiumea, movements of Biz de UD ASYance to Stabilis
for down, would ban anough for Toomi bitta qiacolir
and
191,700,000,000.
∙1,305,000,000,00
2,8TH,080,000,000
gf the nationalisation stockca
Current RODOLATER RIG
1
Orient Cinada
Tetal for season Same period last yea
• excluding inters
modium between
the Dominican
of trustments for Cuba Mexico, Peru, Republic and other suppliers.
Coreign
which would go into effect next Under the compromise formula, January 1, Cuba would market an estimated 11,854,000 toris of in the United States over sugar 100,710 4073 the next sour years.
During the $64,501
same period, Peru 117.400 would be permitted to market 1,551,970
2,031,500 some 291,000 tons; the Dominicom Republic, 221,000 tons, Mexico, 152,000 tons.-United Press,
-United Press,
TYPHOON MAP
$5.00
codes in force as from 1st April, 1956.
100
$4. UNMOUNTED
South China Morning Post Ltd.
HONG KONG & KOWLOON