Page

THE CHINA MAIL, TUESDAY, DECEMBER 24, 1957.

TRADE and COMMERCE SECTION

World's Confidence In Sterling Depends On

Britain: The International Banker

Dow Chemicals LONDON STOCK

MARKET

To Push Ahead With

Two Ways Of NEW YORK New York Stock SINGAPORE Expansion

Minimising The Risks

By RONALD BOXALL

London, Dec. 23.

COTTON MARKET

New York, Dec. 23.

con-

Market

New York, Dec, 23,

Stocks steadied today after last week's decline. Trading was more active, bringing the 1957-1956 total closer together.

Cotton trading today

tinued a two-sided affair,

Du Pont ran up 2 to feature Pan American Airways featuring strength in now the major industrials,

Union Paramount Pictures

Penny J. C. Co. crop months while nearby Carbide niso provided strength Penn. Salt Co. deliveries turned reaction-for the industrial average as did i Plip Morris

United Aircraft. The aircraft, Procter & Gate Co. ary.

Pittsburgh Pinto Gines group generlly moved higher.

Fublicker Industries Pure O......... Standard Oil (NJ) developed

Radio Corporation strength late in the day in its

Tadle Corp, Prof. sectiun. U.S. S.rel and Bethic-

Republic terl hem Brined in the steels on the

Reynold Metal theory the worst is nearing an end in alcel production cutbacks.

Bui overall activity the quict side

as the

Although the bank rate, increase of throo- months ago halted the flight from sterling in its tracks, it did nothing in holiday spirit increased. itself to remove the underlying causes of the autumn crisis.

was on pre-

The New York and New Orleans exchange will operate for only a half-session to- morrow Christmas Eve.

cotton

"P

The world is now watching and waiting for the Closing prices ruled off 18 to 12 points. The market "follow-through" and its reaction will be

opened unchanged to up 3 reflected in the willingness of foreign points. New Orleans closed of businessmen to hold their working balances 20 to up 10 points. in sterling.

Confidence can, as the Economist remarked in a penetrating series of articles on the sterling system, make or mar the whole picture,

New

NEW CROP

сгор

.

months opened

higher and adding to the gains on short covering from various

by directions, encouraged

any legislation growing belief

e- And FACERILAN ut Britain's more then is sufficient to eaver) miopica when Congress dependence in the attitude

expected withdrawals and the convenes should not

become foreigners for the tulite

fluctuations 54 Portal

which operative before the 1959 erop. the sterling system, like

Buyers also counteu 011 2 other monetary system. must bigher loan rate for the new expect to occur.

crop. Based on the last Buy

of

of

any

Its currency, the question is now being asked more seriously them ever before whether it is out thne for Britalo to get nut of The reserves," It concludes.erament crop estinate, plus

business the sterling

alle not big enough to make testunuted amnestic consumption together.

easy for Britain to Landle ull and export requirements, suus- If this country were to aban- the world banking transsellons ticians figured the supply situa un it position as banker too which it is committed, Nor on indivated it may be aroun 85 per cent of party computu the world, the might be tit of me they so hopelessly low

on the JEDI the sort of caitis that occurred

with 79 per cent crop. hree the go. But me set be of problems would merely exvisaged for another, and the national

be #hattered.

the

Perfect?

|

ik

to make it impossible to handle them ull."

Month

the

be

UTILITIES

Railroad issues moved fractional area with Baltimore Uulltles & Ohlo a firm spot. were little changed on average.

The best and the worst results

Sears, Roebuck & Co.

Bam Ref. Poper

Sinclair O

RUBBER MARKET

Singapore, Dec. 23. The market opened higher do overseas advices and eased on profit-taking. At lower levels there was a fair interest for lower sheets but the market generally quiet. Operations were largely confined to squaring off before the

Christmas holiday,

2325

30%

Was

7015

Jig No. rubber por Ib. Jan. 231-1324 Feb. 891-832%

0-0 70-074 7855-7055

נו

The rubber market was steady

New York, Dec. 23.

London, Dec. 23..

Stock marketa had a rather nervous day today, digesting in unexpected crack in the Tokyo | clock market, sharp falls in American buying of motor card, nd other lesser signs oí strain abroad,

un-

Chlet effect was drying up of buying, visible cheifly in im- Dortant industrials, most of Dow Chemical Company an-which closed virtually

nounced that it plans to changed. Most price adjust- no mbre thon & push ahead with its ex-ments were

Unilever Was almost pansion programme of Pence.

along in"moving steadily down. more than $300,000,000. ward and in closing with a loss The Outiny for the pro- of a shilling.

the 1988 financial cramme in

Oils were inaclive but Shell managed in rise of 2/-, Royal year ending May 31 next will Leach the $102,000,000 originally Duich WAS unchanged while planned. The company added British Petroleum cased a few that it planned to spend another penco.

Brish Governments were an $175,000,000, although probably not all in the financial year unspectacular exception to the 1059, as had been hoped,

general lethargy: they showed gains of £1/10 or £4.

These planned expenditures would follow nearly $600,000,-

Despite the news from Tokyo, on expansion since Briush-owned Japanese bonds 000 spent 1848,

were generally steady-United Press.

projects now

Among the under construction is a $50,000,- 000 basic chemical plant in Louisiana, expecled to get into production next spring.

London Metal Prices

London, Dev. 23,

ginia, where zefcan, a nitrile Prices of metals closed today alloy. wili be manufactured,

with spot quoted at 24-13/16 This substance is woven within sterling per long ton as fol- pence per 1, Prices:

wool fabric, and can be dyed.- China Mali Special.

Fulurc closings were:

2014

40

Sneosy Mobile!!

Bolor Aircraft

Youth Puerto Rico Sugar

1014 2012

Southern Co. (The)

20

No. 2 rubber per 16. Jan. No. 3 No. 45% Spot rubber unbaled Blanket crepe No. 1 pale crepe .. LONDON

3312-137 74-76

Another big project to be completed early next year is a synthetic fibre plant in Vir-

in a

Southern National Gas

30%

Standard Brands

Standard Oil of Cal.

Standard Oil of Ind.

30

Standard Oil of N.J.

4942

Ma. 1 Respot .........

2434-247.

Sleep Rock (Toronto Exge.)

Bettlement house termi

Jan

Stokely-Von Comp. Studebaker-Packard Corp.

Feb.

101

MAY

2

Jan./Bfar.

Sunshine Mining

Awiti & Co. Texas Co.

Apr./unn

1

*

Oct./Dec.

Genara) markets, cif basis, portat

Textron Inc.

10%

Dec.

Tide Water Asso. Olj

AD

*

e Inc...........

Jan,

22446-247

Twentieth Century Fox Film

2534 thick Jan.... 20 AMSTERDAM

Union Oll of Cal.

4035

241

23

123

cr follows:

30%

No. rubber

30

No. 2 rubb

1816

No. 3 rubber

non-

Union Carbide

There came outside the groups whtelt Sterling Drug C make up the averages. were good gains in the aircrafts Boeing with the exception of

There were wide Alplane. loases in suing of the average issue ells. The special issues furnished a range from a 7 point Koin in Coca-Cola International to a loss of nearly 3 points In Libbey-Owens-Ford Glase.

The rise in Aircrafis stemmed Com Jeports the Government was stepping up its spending on aircraft und missiles. Bocing fell reflecting loss of a contract for a chemical bomber.

A DROP

Union Pacific Raliway United Alreraft

United Co Corp.

S. Fail "3" B. Gypum UB, Rubber .. steel Warner Bros. Western Union Tel. C. Westinghouse Electric

West Va, Pulp & Paper Woolworth

52.1.

Estats arepe thin, Jan.

Agreed Merchant Rates

Maxbrum 2336-257%

Selllug: Stylis 212-2311 | Franes 75-6/10, West Deutsche

4.RS 724.

The rubber market was very

quiel. Prices closed today in guilders per kilogram, cit Jan.

001 No. 1 crepe

1424

33

Unlied Prem.

A drop in stev! production to IMPORT POLICY

Britain's position us on Inter- Selling a nevabỳo zeflected banker make, her another sharp rise in the ceru- painfully built-up system of vulnerable to crises of the re-icated stock and renewed spot International trade and pay-ent kind, but this disadvantage house selling presumed to

Christmas for any menia hused

virtut must be weighed against the hedging against recent purchases the lowest

1946

adversely lown week since government Britain benefits that accure to jeut cunvertibility of sterling would

affected the steel shores but Britain and the world in general stock. through the existence of the Cotton avaliable for contract didn't bring any wide declines.

delivery totalled 23,418 sterling system,

bales, Further talk of difficultles in from

1058 models brought There are two ways in which up 1,483 bales

the pre-sales of This is not to say, however,

the autos into new low ground The risks that

can be minimised.vious posting on Thursday, sterling system

V dume open interest on minor losses. perfeel, ue that nothing can be One is by limiting holders' free-

Mar.

10.000 254,000 dune te miniraise the effect on domi to withdraw thele ac-May cumulated sterling balances-July the l and Sollar reserves of

Oct. by requiring them to fund prat Dee: a suaden breakdown lider.co in sterling-oflen, as 'in of their holdings-and the other Mar the autumn, due to circum

by restricting the uses to stances beyond Beltain's control, | which" sterling nay

be put Tofol The reserves represent the which would mean putting an meet Bri- end to the system which makes assets available to toine Babilities as n interna- sterling virtually convertible in

These liabilities the hands of non-residents.

Balances have

constant New Problems

til banker.

-the sterling

remained remarkably

of co-

al about £3.500 million since

The

Muy

17,200

341, KK

26,703

215,100

1300

1.3.200

$1,900

70,300

24,000 2,000 Nike 47,000 5,081,300 haben NEW YORK Prices of cotton futures closed today as follows:

Spot: 36.650; Mar: 30.19-20; May: 20.20; July: 35.97; Dt: 36,10; DVC: 34.30; Mur: 34.56. May: 34.43.

NEW ORLEANS

Prices of cotton futures closed as follows:

Spot: 33.40;

36.20; May:

Karachi, Dec, 23, Pakistan's import policy for January-June, 1958, announced here today, follows the previous pattern

with emphasis on in- dustry.

The

import polley

gives Aviation led special attcution to the needs of Bethlehem the agricultural and shing in- Boeing Alr custries

the and

peculiar requirements of Pakistan, such Tite closing Dow Jones averre tea, and raw cotton-United ages showed industrials up 0.88 Press. 10 428.08; rails off 0.92 to 00.00; utilities of 0.02 to 07.03. Sales for the session totalled 2,790,000 shares.

North American with in turnover Steel second and plane third.

Of the 1,202 Issues traded, 602 Jeclined, 303 advanced and 237 hold unchanged. New lows were set by 320 issues and new highs by 2.

The Economist rejects both these possibilities on the groutnias.201 July: 30.00: Det: 34,00; Dre: New York Stock Exchange that they would merely create, 34.50; Mari 34.48 Max: 34.44. a new set of problems. Part of

Dec/Jan.

Mar:

LIVERPOOL

the end of 1953.

there have been im- Bul portant changes in the owner- ship of these balances, biggest change has been the the answer to the vulnerability Cotton future closings, in holdings of the Colonial terri-

o sterling might be found in a pence per lb. were as follows: tories (Including newly-inte-

Tanitation of Britain's overseas Old contract pendent Malaya and GhinOJ investment-she must stop bor- £200 million in the past three rowing short and lending long- on the sterling and the stoln and a half years to just over

system might be alleviated by £1,300 million.

an expansion of world liquidity Pruellenly every culony

But the real Toup of colonies hus Increased as a whole. its holdings since the end of remedy must be sought in the polletes of the British Govern- Hongkong's balance has ment itself,

These have gone up by over

the war.

cr

risen from £31 milion to £132 million. But by far

been in the balance held by

In the end confidence in sterling depends on ability to pay her Way

July/Aug

New contract

bond volume was $5,010,000.

American Stock Exchange volume was 930,000 shares.

Closing Prices

Alden Inc. Acy.

20.25

26.70

26.01

20.87

$1335

Oct/Nov.

20.00 Alited Chemisila

Allied Mills Inc.

Deo/Jas Mar/Apr.

27.14

Allis Chalmers

211%

Am. Brake Shoe

3311

May/June

21.77

American Airline

143

July/Aug. Oct/Nov,

American Cable & Radio

27.70

Comp.

43%

United Preca

American Gyanamid

namid Co.

403

113

373

12

Britain's London Foreign

Exchange

the biggest Increases have the world with suffelent 10 Malaya (£374 million at the spare to repay old and new

debis, build up the reserves an invest overseas.

end of last June

compared with

£87 million just after the war) and West Africa, comprising newly-independent Ghana and "emergent" Nigeria (489 million against

£93 million),

The holdings of independent Commonwealth countries have

fallen in the meantime, while

those of all producing Middle East countries have risen.

Not All

Not all of these balances, however, are regarded by their

2.80 7/10-2.50 9/10

London, Dec. 23. Closing rates were: And that den pends on the success of present measures to stop inflation at home.Express Service,

HARSH COTTON

Washington, Dec. 28.

牌 The Tariff Commission In

Notes Montreal Amsterdam Brussels Cupenhagen Frankfur Millars

Paris

Stockholm Vienna Zurich

PUNRE AIDET, & FOTRIL 1 Am. Gas & Electric American Metal American Smelting Am. Bugar T©2 American T & Tot American Tob. “B”

Anscooxia Copper Arapur

Allas Con

Mining

|| Baltimore & Ohis

3.76 1/16-2.70 3/10 Beneficial Finance

10.5036-10.69

139.0754-139 031 10.349-19.34 11.743-11.7535 1740-17481) 200.00% 20.00% 1177216-1173 14.401-14.47 2175-12.80 123494-12-2435- -United PTOMI,

report to President Eirenhower New York Foreign

today

recommended termina-

tion of the annual Import quota

on shot harsh potion.

owners as quick assets. The The quota, established Feb. 1. bulk of them would not be 1947, Brited imports of rough withdrawn except in the direst cotton having

Exchange

New York, Dec. 23,

a staple of less Closing rates were:

emergency. But whether they than 4 of an Inch to 70,000,000 | England ometal". stay or go depends in the last lbs. a year,

1.01

Canada

+

unaДiclaj

p0-days

0016

Others unchanged United Press

resort on the degree of con- The report cald that eco- Adence felt in sterling-and nomie conditions requiring R New Zealand that in turn 1a dependent on quota no

South Afrion

the size

Wolg'or

exist.

The

werd

findings of the reserves avail-commission's

able to back the balances. And based on a specint Investigation

hus on the ability of Britain it conducted.-United Press.

tis discharge her duty as an

International banker..

It is the size of the rosorveg

which et présent gives

most

RICE CROP

Washington, Dec. 23.

Bethlehem Steel

US

2.33 meni.

7.33 m.

2. nom.

"54 not. Unted Pres.

New York Sugar

Market

New York, Dec. 23. Contract No. 4 (world) Jan; 5.97; Mar: 3.81; May: 3.80;

July: 3.81; Sept: 3.01; Oct: 3.78;

Mar: 3.53 May: 3.20.' Tulat Kales 303 contracts,

Opot-(prices in cents per lb. fob Cuba): 320

Open interest: 0,203 contracts,

Contract No. 6 (domestlo) Star: 0.64; Meny: 5.00; July: 0.70: Total sales Sept: 6.03: Novi 6.12.

30 contracts; Spot-tants per ib. cif NY ex-duty); 6.00.

Open

interest: 1,074 United Tre19.

contracts.—

Face 1958 With Determination

Washington, Dec. 23.

Events in 1957 compelled the 172,000,000 people of the United States to reappraise their do- mestic problems and international responsi bilities, but the U.S. faces 1958 with a deter- mination to vindicate a position of leadership in the free world.

Veteran diplomatie observers | lowed the incentive of greater think that the United States in competition.

When

the past year was giant half- asleep, but they expect a wide- missiles

production of gets under

way the nwake effort to restablish tree | world may be astounded by the world confidence in American | volume of output: technological, ilustrial and Secondly, both the free world 10 military power in the months to and the Communist bloc

Dome.

23

1031

Borden (The) Co.

Burroughs Add Machine

24x

Campbell Boup Co.

2613

Canadian Pacífe R.

Cal. Tractor

Ocianess Corp.

C. L. T. Financial Cory, Chrysler Motors Climax Molybdenum Colombian Carbon Co. Commercial Crolit Consolidated Edison Continental Oll of Dei Cuban Amer. Bugar Diamond AlKNJI Diamond Match Co. Douglas Arcraft bow Chamilcala ........ Dupont de Nemours Eastman Kodak.............. Xi Pano National Gas natice Corp:

Firstone Tyre & Rubber 2304

Ford Motor .... 170-15/16 General Kätetrie 1.794 General Foods

Motor Ges, Pub. Cl. Goodyear Tyre Heyden Newport Com. faterchemical Corp. ... Int Business Machines Int Harvestor

New York Metal Futures

New York, Dec, 23. Prices of metal futures closed today in cents per b. as fol- lows:

Load Dec: 11.80b; Jud: 11.350. Zitle Dee: 6.370: Jun: 0.768. Copper Den: 21.67h; fan: 23.700. Tin Dec;- $1.50b; Jan: 01.000.- United Prere.

cause for concern. Including. #cond and third line assets- the dollar securities owned by The Agriculture Department the British Government and publication Foreign Crops and those owned by private British | Markota reported today that investors -- but excluding the Burma's 1987-58 rico crop will working balance kept in dollars | be considerably lower than was by British banks, the tinal expected earlier in the season. como to.. £1,030 million after It said the lack of rainfall in allowing for amounts due to the October reduced this erup as Export-Import Bank and the much as 10 to 15 per cent, and Writer, 9 Holland, 4 Scholar, International Monetary Fund": exportable supplies of rice will Scheme, 6 Desiderius,

FAnd reserves of this size, sare bo 1000 tlikit last year,—United University, the Economist, are corialbly no 'Press.

Frannus

NAMESAKES

Adwor

Knowledge,

2

International Nickel

Jati Tel & Tel Kannéesti Copper Liggett Meyors Tah, Co.

| Lociasked Aircraft Low Incorp....

Lone Star Cement Co.

Donnel Aircraft Bloak-Exgea

(Am.

Minnesota Mining Mission Development Monsanto Chegitea) Co. Montgomery Ward National Cash Rog. "A*** National Lead

Nalongi-Steel Corp.

New York centrali Norfolk & Western. By-

Olin Mathieson

City Marghitap

Cord Paper Co Pacino dial * Bloc,

may have under-estimated Little Rock, inflation, the the total technological unforeseen illness of the Preal- strength of the United States, dent and Russia's satellite quc- Russian recent cesses were among the sobering | notably, the satellite dlghts, 23 events of 1057.

were in the field of physical sciences,

MOOD

successes,

The international Geophysical

The Washington. mood at Year, which started on July 1, year-end is marked by "quali- | 1957, and is participated in by

453% Tied optimism" concerning 67 countries, naturally turned

economie outlooks

500

caution concerning

and deep world attention to research in the course the

physical sciences, and

tra" give

of international "events. But Interest in the advent of the the mood was generated by the "space

a dramatic disillusionments and disappoint- setting to progress in this field. ments of 1957 rather than a lack

DIVIDED of confidence in ability 10 meet

the problems of the United Plates selence and re- futuro.

search programmes have been The eyes of the world will divided "among the entire tango focus upon the United States in of physical and biological the early part of 1958 to watch sciences, with the ultimate pur- the congressional response to pose of raising the standard of the Soviet Union challenge. living for all the people. With Experienced observers think administrative' Improvements that Washington will bave and concentration of attention some aces to play in thereupon relatively urgent tech- balancing of free world strengthnological tasks, the ascendancy 65 galost the Communist bloc.

United of the

States wiii GENIUS

rapidly be re-established,

Thirdly, for the first me b First, they think that the history there are imperative. Fundamental instinct of the reasons why the United States American people is to welcome) must adopt a permanently überal

is challenge which calls for an international trade policy. Until *2a); | Increasing use [of industrial] recent months," "the" "protec=

power and inventive gentian,” tiontel" tide seamod

bo

The United States' hos met | rising." In the new situation, pest economie und International the folly of a restrictivo im 82) crisis in its history by a switi | porté policy is self-evident, di Wirebound to unprecedented · pro- | it would obviously) weaken tied 414

ductivity. Chowth of the no- | with free world allies-United tonal economy has always fol: * Press.

*

*

lows:

Tin spot D-month Copper spot

Buyers Sellers

733

73045

73124

182

1782

201

163

Lead 2nd Half Dec.

Zine 2nd half bbc

Jay

United Pra,

PO BI EA

COMPANIES

PASSENGER/FREIGHT SERVICE

PENINSULAR & ORIENTAL S.N. CO,

Jbreg wards

"BOMALF" “SINGAPORE” "CARTHAGE"

“CHUBAN"

"CANTON"

"SOUDAN"

Homewards "SUNDA” *

"CARTHAGE" "CHUSAN” "CANTON"

"CORFU

Leaves Loadom

Baud 21/11 Salled 4/12 Belled 11/12 Salled 17/1

Dne Kangkong

20th

1st Jan

JunTY 12th January

Igih Jamssty

Tik January

5th FebruRTY

Lelis January

20th February

Leaves Hongkong Dne London

7th Jamiary 17th Janua 30th JuneTY 11th February

10th March

12th FebruNT?

17th FebruaTÝ

17th Februar

14th March 14th April

Via Singapore, Paning, Colombo, Dombey à ́ àdan.

* “BUNDA” omita Colembo à Bombay,

calla at Pors Budan, Jeddah, Havre à extends Hamburg, Rotterdam & Antwerp

BRITISH INDIA S.N. CO., LTD.

"8ANGOLAӊ# 27th Dec.

for walls 28th Dec.

"BANTIA" due

"OLINDA"

9th Jan,

salla 19th JaIL.

Due 30th Jan. Emil 31st Jan.

from Jap

Singapore, Penang, Rangoon de Calouste from Calcutta, Rangoon, Penang & Skigapore for Jupes

from Japan for Singapoutis

itangon CHILLE

P.&O./B. I. JOINT SERVICE

"TTOLA"

due. 6th Jan,

7th J

"ITRIA"

due

S

Tth Jan 1th Jan

*

*

*

dus 10th Jan.

"OBRA"

"ITAURA"

anila 17 Jan

dua 41 Mob.

gate th Tab.

from Japan

Penang

for Singapore, Coakin, Karachi, Kuwait, Baarth & Khosiančiakr

(rum Jaden3

for Bmpore, Badran Colombo, Bambay Bhavnagar de Edarachi"

from Karachi, Bomber. Cochin & Singapore for Japan

from Karachi, Dombay, Cochin & Singapore for Japans

EASTERN & AUSTRALIAN S.5. CO., LTD.

"EASTERN** Londa 3/4th Jan. salis 5th Jan.

“ABAŞURA” (us 8th Jan,

for Labuan, Bandeken, Rabaul Brisbane, Brd hay.

Adelaide

from Australia

All venda have liberty to call så any porty on or of the route de ika rezis à mullings aan zuhject 'to change or amankusini viis er wihemi mettos.

For full particulare apply toe. MACKINNON, MACKENZIE & GO. OF HONG KONG LTD. Telephone Nas: 27721 m

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