THE CHINA MAIL, TUESDAY, DECEMBER 11, 1956.

TRADE and

COMMERCE SECTION

Page

Chancellor's Surprise Move Wall Street Hit London Stock

APPLICATION FOR WAIVER

ON DOLLAR LOANS HAVING DESIRED EFFECT

From RONALD BOXALL

London. Dec. 10.

The average Briton's knowledge and interest in the gold and dollar reserves is scanty to say the least. But there must have been few people who did not immediately sense the gravity of the situation in which no less than one-eighth of those reserves disappeared in a single month.

#f

The Chancellor's alatement, | mnatically and that could bring) that fals would demage rather

of $238 than enhance the prestige arising out of the Suez crisis, up a "cenforcement" had one instant effect in Bri- milfliek.

Brain's sterling. In addition

franche" 41 the Lain. It quietened party political" credit

IMP, comprising 25 per cent of Wrangling in a way that caly a

cariler would have seemed a quote, could be drawn with little formality. So Biogether impor.be.

$581 million are available from to supplement the the Fund

day

But the statement war dirrel- ed chiefly at a foreign audience, and it is with this in mind that It should be judged.

to

WES

not

The arst thing that weds be clearly understond ។ last month's gold los

u result of a weakening Britain's economic pillon.

TV

Made It Clear

The effect of Mr Macmillan's statement abong pauseibilities for supplementing the reserves was to make clear that his pru- mise les maintain the sterling exchange rate was twcked by more than good intentions, And since

largely psycho- logien Iactors That brought about the presture on sterling

rek il

11

Win

Secondly, the British Govern- | psychology inust be used 10 ment in a large holder of dollar It securities and these could be war alined entirely caused by pledged as coiluterul from thei

Sinter pressure on the pound brought | United

Export-Import abual by Jenes that w <H Dank of up to $1,000 million. shortage and aternal political

Irletion would. between them, bring Britain to such a pase economically Lหม่!

wan

It may be, therefore, that the

that Mr Mac- reinforcements milion paraded foreign inspec- tion will never be thrown into action. As he himself Dut "how far we shall have to draw or how long depend upon the future course

Thudly, unter The original agreements on the United States

4 Barn in fuel devaluation and Canadian loans Britain had

seek walver the right

would be unavoidable. Me Mac- millon's task

to show foreign holders of sterling that these fears were unfounded,

Dollar

Securities

But an avowal of the Gov- ernment's intention to maintain the sterling exchange preity by itself would hot have been enough. Nor would the parad-

t

AL-

US COTTON

CROP

Washington, Ded. 10.

The Agriculture Depart- ment today entitled the 1956 cotton crop at 13.308,--. oso bales,

This is up 180,000 bales, or about one per ceni, from the November exti- mate.

HONGKONG

STOCK EXCHANGE

By Late Profit-Taking

New York, Dec. 10. Profit-taking hit the stock market hard in the last few minutes of trading today after indus trials had risen again to new highs since early November,

(From Our Correspondent) Prices turned down swiftly, | Pacific One & Elec.

Pan. Americnes, Alewayn Steds, which had been leading Paramount Pictures The

Business done on the Hong the early upturn, were the first report thin

Parco Davis Co. kong with 1055 rear compares

Stock Exchange this to go. Practically all of them production of 14,721,000 morning amounted to approxi-

made new highs for 1950. Then balts,

mately $400,000. Noon quota-selling spread to other depart tions and the morning's trans-

ments Chemicals registered actions:

This year's crop, added 14.1 carryover of million bales, wil meet domestic and foreign con- #amption demands for

than two прого

УСАГА United Press,

WORLD RUBBER MARKETS

Shares Buyers beliers BANKS

XL k

INSURANCES Lombard SHIPPING Wheelock

tik Jktol

RK Land

RUBBER

Amalg UTILITIES

Вафа

1570 1063

20 a 1075

41

Penny J.C. Co.

Penn. Salt Co. Procter & Gamble Cu Philip Morris Pittsburgh Plate Glass

Publicker Industries

several losses, Oils were depress- ed from their bighs, Shipbuild-Furt ing shares were hard hit.

The decline came after the Industrial averago had been in a steady

rise since Nov, 20. It gained nearly 29 points up to the close on Friday, a gain that 500 4515 Would have done justice to o full year-end rally carrying into the new year, traders said,

1.35 17,000 e 1.30 1.874% 20.000 de 1,826

(0) 0.06

7

(N) AD

DOCKS, ETC. K. Wharf

Dock

01

45

LAND, ETC.

14,90 18.20 1000 » 18

01 011

135

1,40

162

Tram

23.30 201

Yaumati

100 104

C. Light (0)

XD au 00 123,00

EN 123 BU

Electric ...

321,

3000

Macao E.

$20

Telephone

400 g

IN 20.70 23.90 1000

280

30 70

30.65

30 23

30.35

31.55

INDUSTRIALS Cement..... Hope STORIES, ETC. Dairy

30

1800

New York, Dec. 10. The No. 1 Rss rubber futures points lower closed today 05 with sales of six contracts,

December

.... 30 83 The rex contrae: closed 75 to 00 points with males of 246 con→ tracts.

January March

May July

September

réserves does not mean that one

necessarily mast

sall upon them "

November

the annual interest Instalments | of" events. To strengthen one's avrxarLakx circumstances.

though conditions have changed Kince the agreements were drown up Britain has submitted a ciam for the waiver as they consider than that under

the terms of the agreements they ve entitled to "

The American State Depart- ment Is now to put the maltor ing of the fact that up to the before Congress "with the de- time of the Suez criak Britain's | finite recommendation that ap: capital

position

being propriate modification Was that strengthened

reserves present language be made while sterling rising

out The spirit of liabilities were falling.

were

The central theme + the Chancellor's silement WAG demonstration that the reserves

not were

Da weak tipares acemed to sugTOMI,

07

the 11e

did this by drawing attention to the additional resources which

"mobilised" as rela are ta forcements for the reserves, in 43 A the first place Britain. member of the International Monetary Fund, has access to a considerable amount of dollars tide her over temporary balance of payments difßeuties of Britain's quota The portion

with of $1,300 million dollars

10

the Fund that was subscribed

in gold could be available auto-

רויות

original intention."

If the walver is Britain

of

the 10

the

granted

The Chancellor's hint that in- come tax may have to be raised in the next budget (due In April) could also have been in- tended to have its main impact on foreign opinion about the pound. The Economist deducen an ingenious argument to show how why this may be so.

In

The Reverse

that In-

and

the

January

Standard contract closed 75 to

95 points lower with no sales reported.

Dea.

March

May

July. September January

Bar Ferry

COTTON

Textiles

io 24.70 24.90

Floor & Ceiling

When the industrial average neared the 300-level the selling developed na it has in that orfa in several previous attempt 2214 trials to cross the figure. The market made its record high on 24 03 April 0 at 021.05. According to 230 mari.et men, there is a floor for the market at 164 and a ceiling 38, al 500.

23.10

Bethlehem

A

3045 32.00 13.30

Steel touched 15.30-18.30 400 et 16.20

6000 16.30 high at $101% and closed at 1920 13,00 2013: $188% off point.

4.35

720 740

6.00 LO

Nou mig

18.50

30.09

INVESTMENTS Yangtze Alliest

39,89

34.30

W

Speculative liquidation in

B

Du Pont lost 14 points in ite picked up chemicals trading

1000 4 4.40

with

Singapore

Stock Market

Singapore, Dec. 11. Brokers today quoted the following stock prices:

Opening

Lid, British Borneo Petroleum

Syndicate Consolidated

Ord.

thin market kept prices on the defensive today. Lower London cables, along with the continued the slow consumer interest in

und the

more spot market, favourable view of

the Middle East situation, were the com- influence, The Journal points out

bination of bearish which acted to offset the cut- is relieved of the 1- the Chancellor referred 10 instalment of

tinued high-price shipment offer Batu Lintang Rubber $104 | come lux as "the traditional tax terest

For East. In ing from the upon which the country relies million due at the end of this though nol, of course,

difficulties limes

the delivered murket, howeYCT, month. the repayment of the principle "rials." Nol true,

factory interest continued slow. says amounting to $72 million.

Economist: The "traditional" | Spot No. 1 Res was quoted t

30% cents a pound. Britain's claim for

weapon by the bank rule. But if the Chancellor had "warned the waiver was the only "external"

House and informed the world mensure which came as u sur-

Most

that he would observers

not hesitate เพย prisc.

"the bank rate of the "call up"

the Increase anticipated

why resourcer available additional

world would have asked

cild not increase il on from the IMF and the Govern-he

bul Thursday.' ment's dollar investments. they had considered it most un likely that Britain would invoke the waiver os it was thought

the

New York Cotton

Futures On Downgrade

New York, Dec. 10.

A slight higher government crop estimate joined with December liquidation and hedge sell- ing in keeping cotton prices on an irregular down. grade today.

Doc.

...

MRT.

Clolog alightly above the day's lows the list showed net May losses of 3 to 12 points, Opening Total prices wars up 3 to off 4 points.

New Orleans closed to 50 points lower with spot Decem-

18,000 33,300 3,700 21,600 1.000

7300 112,200 1,201,100 baies NEW YORK

Prices of futures closed today

ber showing renewed workness, as follows:

Boot

Continued dullness in the textile trade, uncertainty over government cotton policy next DEDEON, and question of the

curb

Dec.

Mar.

May

July

*50

Dec.

Mar

new

May

probablo toan rate on the next crop, also acted to market interest,

The Government final crop estimate of the season put the December 1 yield at 18,803,000 bales, up 180,000 bales from the previous estimate and compared with last year's crop of 14,721,- 000 balos.

The report sttracted ilito more than routine interest since it was roughly in line with ex~ pectations.

NEW ORLEANS

54,800

34.14

33.94

33 80-81

33.47

12.08

22.04

22.53

Prices of futures closed today as follows:

Дес...

Spot

Mar.

May

July

Out.

DeG

Mar

May

LIVERPOOL

Future closings, in pence per

Most of the crop increase came in California, the Agricul-lb. were as follows:

ture Department reported "where harvesting ahead at an

usually rapid

rate

November and yields

Old sainet

exceedut. parlier, expectant New contrdel

during

Evming-up operations pros

oooded quietly, in December

Dec./Jan. MAT/ACT

20.00

/June ...

Oct Nov.

Mot/Apr.

May? June JEYALE.

because of his expiration on Eaysina Karnal Kas, Drec Wodna-day: No delivery notices

BAO BI LI Future closings, – in. cruzolrõs,

tenders. Have been made to date, ber kilo were, na Zollows;

oppeared today, and only two

The open interest at the start of trading today totalbed 8,400

balos.

Dea.

July

The Gathe

unquotes

10

Be could have Increased purthuse tax immediately, says The Economist: although if he had merely given a warning of a readiness to do so the result wentid

of have been a rush forestalling purchases which is the reverse of what he wants.

But, argues The Economist, by declaring instead that income lax is the "raditional" anti- crisis weapon the Chancellor picked on the one tax which for technical reasons could not be raked until next April by which time the use of It may be seen to be unnecESSUTY,

Let World Know

'The Economist therefore that "there may be suspects more incantation than economics

HINGAPORE

The market opened steady on better overseas advices and il ruled quiet throughout the day. Futures:

Smelters Tin

Fraser Neave Lid Ord... Franer &

Neva 75

Camera (Malaya) Limited Hongkong Shanghai Bank-

log Corp.

Hongkong Tin Lid,

sales totalling 2,600,000 shares, most Ence Nov. 7.

Industrial lost 1.01 points in average, rails the Dow-Jones

0.37 utilities 2.14 points and point.

There

1,202 Issues were traded, most sirke last Tuesday. 458 Aside the issues traded, advanced, 560 declined and 244 were unchanged. Forty set new highs and 39 new lows.

Curpuration Republic Stool Reynolds Metal

Shell Oil Co.

Baint Reg, Papa Sinclair Oil Bocory Mobilai

Bouth Puerto Rico Bugor Bouth National Gas ... Southom Railway (Com.) Sleep Rock Torontoex) Standard Brands

Biandard 01 at Cal. Standard Oil ut Ind. Btandard Oil of N.J.

Prices Lifted

London, Dec. 10. Buyers rushed into the stock market in a big way lifted prices around 2 shillings or more today and in most sections.

C A. Parsons, LB domic Issuo, kicked off the session with a jump of 4 shillings to s [new high, Higher by more than 3 were Raleigh Industries and 451 Tate & Lyko.

B3

4

933%

201

443%

03.1

8415

45

20%

37

48

02%

69

Bloring Drug Co.

515%

Blakely-Van "Camp,

10

Studebaker-Packard Corp

?

Swift & Co.

Texas Co.

50%

Tide Water Asen, Ol Twenty Century Fox Film Union Carbide

Union Pacife Railway

United Aireraťt

US. Toll "B"

V.B. Gypsum

us Lane Co.

S. Rubber

US Smelling

L.S. Stoo!

Warner Bros.

Westinghouse Electric

71%

20

4%

United Presk.

West Va Pulp & Paper Woolworth

*

Olla were active but falled to establish eny trend. Royal Dutch, British Petroleum and Burmah Oll closed unchanged; Shell nåned 1 sħillis g pence.

Suez Canal met pst-taxing and yielded £1.

Dollar Blocks had an erratic- limo with gains and losses seat- fered over the section.

Foreign bonds Improved. Japanese were active with some lasuce up as much as £14.

Governmenta

mot

British demand. War Loan rose £0/10 and others were up £3/16-- United PreSA,

NAMESAKES

Answers:—i Laughter, 2 Shirt, 3 Song, 4 Metre, 3 Blame, Verse, 7 Humour, 8 Nonsense, 9 Jokes, 10 Doggerel.

Thomas Hood.

4

P&O B•I E&A

COMPANIES

PENINSULAR & ORIENTAL S.N. CO.

PASSENGER/FREIGHT SERVICE

Outwards "CORFU" **CHUBAK" "CANTON" "CORFU"

Leaves London Sallad

Fith Decorüber 12th January

11th FebruRTY

Due Hongkong

10th December 2nd February 22nd FebruTY

Via Bouthampton, Colakão, Penang à Blagapere.

Co.

$1.00

New

291 $4.20

American

CULTI.

prel

York Stock Exchange bond volume was $7,680,000.

Stock Exchange volume was 020,000 shares,

Dow-Jones closing averages

8040

were:

da

Kempas "Latet.

30 industrials ..

493.18

Lainas Rubber Estates Lid.

20 ruilo

158 24

Malayan Breweries

$2.90

16 uten

07.58

New Serandah

Rubber

EKI

stocks

173.10

Id

2.10

43 bonda

10.41

Petaling Tin Lid,

$3.3€

Comm future price index

J02 74

Haffles Hotel

Bungapore Cold Storage

31.832

South British Insurance Co.

Closing Prices

118-110%

Ltd.

"COBLU" "OHULAN" "UANTON" *CORPU”

Strait Trading

25.50

Straits Steamuhip

$14,75

United Engineers Ord.

Wearne Bros, .............

$9.80. $2.09

Akton Inc. Boy,

Alised ChemPools

exdivi-China Mali Special.

Allied Mills Inc.

No. 1 rubber per th Dec. 113-113%

Jan.

111-112 Feb. unquoted No, 2 rubber per 1b. Dec. 4114-113%

108/5-100 No 3 No. 4

10445-1053 12-94

No. 1 pua rubber unhaled Blanket erep

No 1 pale crepe

LONDON

The market wis oney with spot quoted at 32% pence per ib. Prices:

No. 1 Res spet

Settlement one term:

January

Feb. Mar. Jon/Mar

Apr/Jarv

July/Sept.

Oct/Dec.

Dec.

Jan.

20%-20%

General markets, cif basis, ports:

3141-22

New York Sugar

Market

New York, Dec. 10.

4

World No. sugar tuture closed today 2 points higher to

1 point lower with sales of 250 contracts.

Domestic No. 6 sugar futures Estate crepe thin Dec. 40, Jan, 40: clored 2 points lower to 1 point

thick unsquoted.

AMSTERDAM

The market was casy today. in all this." But the important Prices closed today in guilders thing, it says, is to be ready-per kilogram, cit. December as and to let the world know that follows: Brilain is ready to take pleasant measures

un No. 1 rubber of deflation No. 1 rubber it speculation against the pound No a rubber

No. 1 crepe persists-London Express Ser.

vice.

New York Foreign

Exchange

9.10 paid 3.07 nom.

3.03 nom.

higher wit

with sales of 33 contracts Absence of fresh news from the raw market, and the more favourable view of the Middle East situation, quicted specula live interest and encouraged scattered selling in both con- tracts after earlier steadiness.

Contract No. 4 (world)

3.04 peld

March

United. Pres.

NEW YORK METAL FUTURES

May

Slope, March

4.79

Allia Chalmers

American Airline American Cable & Radio Corp. American Cranamide Co.

Power

Amer, &

Am. Mach. American Metal

dry

American Smelting Atn, Sugar Het. American Tel. & Ter American Tob Anaconda Copper Armeo Steel

Armour

Atloa Com. Mhuông Heldwin-Lárno-Ham. Baltimore & Ohio

andix Aviation Corp. Beret Cons Bethlehem Steel Boeing Airplane Borden (The) Co... Burroughs Add Machine Case (J. 1) Co. Cat. Tractor Celanese Corp. CIT. Fidencial_Corp. Chase Manhat. Bank Chrysler Molors.... Climax Molybdenum

Canadian Pacific R.

Colgate-Palmolive Ca 4.18 Commercial Credit 4.75 Cottonwealth Dec.

418 Consolidated Edison 440 Continental Oil of Del.

Bpot (conta per fb. fob Cuba) 4.75 Crane Co Open Interest: D/3D contracta.

Contract No. 9 (domestle)

Crown Zallerbach

Cuban Amer Sugar

Diamond Alkali

Das Dow Chemicals....

RomewardI

*SUBAT"

Lanyes Kangkong Doe Lotàm

Aird December

18th February

both FebruaTY

4th April

Jat FebruMIT

To be

Adilson Laker

Via Singaparo, Penang à Colombe.

FREICHT SERVICE

loads 14th Decfor Singapore, P. Swet- tenham, Havre, London, Hamburg. Hotterdam, Antwerp Oz Greoge mouth

"SHILLONG” due 8th Jan. "PINJARIA” don 7th Jan, "SUNDA" due 17th Jon,

"BALMAWĄ” dus 28th Jan. "SHILLONG” ¡dads 28th Jan.

from UK.

from UIL from U.E.

Brown 107.35.

for Singapore, P. Swet- terham, Favre, London, Hamburg. Rotterdam, ADEWITE d mouth

ALL VESIKLS outwardS AND HOMEWARDS WILL PROCEED BY THE CAPH OF GOOD BOFE UNTIL FURTHER NOTICE.

BRITISH INDIA S.N. CO., LTD. |

LIFE --- A HUNDRED YEARS OF BÉRVICH 1a 1900 /

"BANGOLA” dus 18th Dec.

mille 18th Dec.

“SANGOLA” due 4th Jan, salis, 5th Jani

"ITRIA"

Ervas Singapore, Penang, Rangoon Caloutta för Japan

from Japan

for Singapore, Pedang, Rangoon & Calcutta

P. & 0./B. I, JOINT SERVICE

"KAUÑA

New York, Dec. 10. Prices of metal futures closed today in cents per b, as follows:

Lead Deo.

18,200

March

Jan.

10.100

MAY July

J84

3.78 Dupont de Nemour

astman Kodek

Tin

Dec.

104.000

Sept.

3.80

El Paso, National Gas

New York, Dec. 10. Closing rates were: Canada England oficiai

JRI

103.26b

Zinc

13.58b

Jan. Copper Dec,

H

unocietal ...... 30-day futures 90-day futures

Port

Pakistan

Others werd unchanged--United Prem

2.72-11/32 2.8-4.M 2.77% 2.7541 22-11/10 -00190–11710

Dam 2090

11.306 32.900

United Press.

Spot-cents per lb. elf NY

[ox-duty)

Eria Railroad vege

Res

Family Finance Corp,

Open interest: 4,923 contracts.

Ünlied Press.

Ford Motor

| Ceneral · Electris

General Foods

"TTRIA"

Australia BUCKET

London Foreign Exchange

1.10.

LONDON METAL

PRICES S

London, Doc., 10, Prices of metals closed-todný

In sicular per long tỘI ĐƯA follows:

küyorú melléri 813810

Titi-spot

3-month

Copper, spot

•Land 1st hate' Zind-it haut

CHICAGO LARD FUTURES

Chicago, Doc. 10s Prices of lard Faturas

General Motors Gòn, Pub. Wil

N.Y. COTTONSEED day

OIL

New York, Dec. 10. Prices of cottonseed oil futures closed today in cents per lb. as follows: December March MAY July October December January

DIGES 645

16.25

16.47

10.43

1642-01

10 20

15.00

1000

16.25

Exchange Rates.

Glidden Co.

Goodrich (B. F.) C. Goodyear Tyre Høyden Cheinical Homstake Mining Co.

·Ingersoll-Rand inland Steel Co. Int Business Machines Int'l Harvester 20 Internation). Nakel International Paper

Johri-Manville Co, Kansas. C. Power & Lig Rennacoff: Copper Liggett Mayerə Tob. Lockheed Aircraft

Jane. Blet Gerventi Louisville Nivin H Lewinsoniy aylons, Maabi Iron, Corp.

"Mission: "Developříébé

Moronto Chor Montgomery Ward Motorols. To

National Casti

National

National BEAUT

sw York Central

dne: 20th Dec.

Alle zna Deo,

dte 3rd Jan. Bth Jan.

tre, Karachi de Bonibay For Japa

from Japan

Fat Bingapore, Bobbay di Harché

from_Japan

for Singapore, Boobay. Karachi. Bderab Kowalt

EASTERN & AUSTRALIAN. §.S. CO., LTD.

"EASTERN" TM Por

H/W HO, 3 "NANHIN” -- Nails 19th. D.

from Austrália

for Baridakan.” Kabrisl. Belabano...... Bydody, - Mɛes -

All vemale have Uberty to 0611 23° này borts on

torekingỡ' or 'intentdmeti with dy withdui naties.

For full particulars apply to. MACKINNON. MACKENZIE & CO. OF HONG KONG LID. Telephone Now: 977914.

Sales, totullod United Press.

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