THE CHINA MAIL MONDAY, JUNE 27, 1960

Weekly_survey of American economy

རིན་སྤྱི 1:| རིཙྩ

OUTPUT SLACKENS IN PACE Alg

HONGKONG

STOCK EXCHANGE

Summer slump appears to be approaching

COTTON Credit squeeze

New type British

reactor will be

Our Own Correspondent

Business done an the Hong-

kong Stock Exchange this

New York, June 26.

morning amounted to approxi- There was a slight slackening of pace

mately $1,842,000. Noon quota-

tions and the morning's transne tions:

Shares Buyers Sellers Sales

1195 100

HK Bank..

Unich Ins

Whart Cu...

7.10

Waterbost

Wheelock

1205

306 1205

05

248

20

7.15 2000 7.15 2000 @ 7.13

3000 @ 1.10 10007.10 1000 710 4000 7.15

115 300 115 1700 115

200 in 114

50021.40

HK Dock.. 113

Provident

HK Hotel

21.30 21.00

માગ્ય

HK Land..

Yaumall

HK Tram

68 0815

in the U.S. economy this week as steel continued to be depressed, car output slipped somewhat and retail sales lost some of the earlier impetus.

The economic summer

is just around the comer.

slump

metals are up 10 per cent, non- electrical machinery up three per

MARKET REVIEW

unsettles

London market used next year

London, June 26. Thursday's credit squeeze move lifting the Bank Rate to six per cent and requiring the clearing banks to "freeze" two per cent of their assets with the Bank of England caused stocks to end shakily in an unsettled week. Friday produced some cheap | Friday. Coppers had an un- industrials easy week and mainly shared baying of leading

Tins

New York, June 26. Cotton futures plodded through another week of extremely slow and un- eventful dealings," With an estimated volume of even only 20,000 bales for the Ave close ruled 5 higher to 13 poliks sessions, the 1st at Friday's lower, or up 2 cents to down 65 cents a bale from the pre- ceding week.

Apart from evening-up in As for steel mills have just cent, electrial machinery up 41/ nearby July, and the other old with the big operators sald to the sentiment in golds.

crop deliveries, anticipating first per cent, transportation equip notice day on Friday the ment up 17 per cent and instru-market was devoid of a trading ments up six,

feature.

Open contracts remaining in Rail July at the weekend approxim- up their mind on what the wards higher levels but the

ated $1,200 bales. The certi ficated stock totalled 5,405 bales.

New crop deliveries were Chancellor's decisions came as neglected as traders took an in- shock. The City was ex creasingly dim view on the pro-pooting one spect for new, cotton legislation before Congress adjourns in divided on whether further July for the national political braking will be required later conventions,

In the year, with some saying the Government has apparently

itself

for denied manoeuvre when more restraint might be

In necessary

the autumn.

about written off any improve- ment in July and pegged all 100 21,20 their hopes on early new model orders from the automobile in- dustry in Augus!.

42 3000 i 3134 500 3194

30 ( 58 2000 5815 1200 $8 $5358 500 5842 500 i 58 200 38

Ats. 32

163

319 3244

Ch. Light 22.43 215

HK Elec... 23.70 29.10

HK Tel. 38

Dalry

Farm 28.80

39

109 Sat 100 381

200 or 182 300 or 182

2500

200

2215

- 22.00

2800 28.70

500 28.70

6528,00

300 #383

99 2350 64 28.80

Watson 201 20.90

Allied Inv.. Textile

Nanyang

6.03

10.80

50 $ 16.00 4000 6.30 11 1000 w 10.90

400 411

3000 11

2000 à 11

.. 17.40 17.40 2000 17.20

Amal. Rubber

1000 17.20 7.30 8.40 10000 (+ $20

200 kr 37 571%

400 57

300)

51

1.85 1.873 54000 1815

Rubber Trust

to

Taikoo Duck 58

Realty

Lane, Craw,

Int'l Inv

8.65 8.70 3000

Asu Nav.

1000

95

GI Cement 31%

2

35

H8 Gas ... 14.70 14.83

HK & FE

Invest. Ats. 305

Gliman

Humphreys

2.05 2.10 24.80

Star Ferry 100 173

10

Ripes

.....

Macso Elec. 12.60

Entertain-

ment

24.90

The steel depressant has had other curious influences. Schedules for steel production roads in the Eastern half of the this week suggest output will US-where most of the iron ore, show little change from the 52.3 coal and other concomitants of per cent of operating capacity set the steel industry are carried by fur Tast week Steelmen rail-have had to defer plans for generally expect July operations raising freight rates in order to to be at a lower level than those offset higher wages until at least in June, due to further liquida- after next month. If they raised tion of steel inventories and rates now, they fear the loss of vacation closedowns at constuner even further business. Pennsyl- plants.

|vania Railroad, for example, re- ported it earned last month only one-third of what it carned in May last year and its profits for the first five months of this year are down 69 per year ago.

Prediction

GOOD CROP

London, June 26. THE prototype of what may be the next genera

tion of nuclear power stations is now taking shape and is expected to be working next year.

Known as an advanced gae cooled reactor, it is being bailt

at Windacale on the Cumberland Measuring

coast. a short distance from Calder Hall, the world's first commercial scale atom power

station.

Calder Hall, which come inte operation

in 1956, was the forerunner of nuclear power stations now being constructed throughout Britain.

be in the market but second stayed firm with buying more rank counters stayed weak, selective. The market still has to face n

Oils saw a mid-week bid to real test when Investors make

credit squeeze action upset them on Thursday. British Petroleum

The advanced gas cooled reac- Burmah ended downside but over the week Shell showed for is a major step in reactor

small gain.

development and should keep Britain in the lead in this field, Rubbers and teas were casier. With a gross electrical output of -UPI,

true outlook is.

The dual nature

of the and

form of curb but not two. Opinion now is

room

The crop picture continued mixed, but mostly favourable. The Government's weekly sum- mary said development ranged from excellent in the western mostly satisfactory cent from a portions to

Over the wock the Financial elsewhere. Insects

were be Times' industriais index drop- coming seasonably more pre-ped 9.4 points to 308.3 against valent, but damage continued the year's low of 295.8 after light.

Friday's buying had moved it

Coal production, also affected by the steel slump, was 8,730,- 000 tons in the week ended June 11, as against 9,124,000 tons in the same week a year ago. But total output so far this year still stands above year-ago levels-season 194,545,000 tons as against 193,- 608,000 tons.

Curtailments

year,

GILT-EDGED DOWN

Gilt-edged took a

Interest in

new British jet airliner

London, June 26. The technical director of

33 megawatts, it is likely to be a model for other civil stations from 1985 onwards.

FEATURES

radioactivity

London, juae 24. NEW radiation monitor for detecting and measuring extremely – weak radioactivity in the human body has been developed by a British firm of instrument engineers, Nuclear Enter- prise (GB,). Ltd., of Sight- hill, Edinburgh.

„The firm describes the monitor as an invaluable device for nuclear energy establishments where it is now essential that personnel working in "hot" areas should be

considered

The principal features of the advanced gas cooled reactor are the use of ceramic compounds monitored at regular intervals

instead

for possible contamination. uranium oxide

of metalle uranium as fuel and

The study of human absorp- the replacement of magnesiumtion of "fall out activity from alloy cans containing fuel by nuclear explosions is also pos- beryllium or htainless steel sible with this monitor. Yet an-

'cans.

other use of it is in the field of medical research where radio Temperatures of up to 650 de- isotopes are used to diagnose Air India, Mr A. C. Gaz-grees Centigrade can now be various reactions in the humau dar, said at London air achieved. This means that six body. port today that his air-times the power can be produced

same size asFIRST ASSEMBLY line was "very interested" in a reactor the

Calder Hall. This meɑna in the VC-10 airliner. turn that the costs of producing

With this monitor, the makers The jet was recently or electricity will be further say, tracer research at very much

reduced.

lower levels of activity is made dered by Boac.

possible.

gay

The prediction for July is an operating rate below 60 per cent. Some even think it may bottom ¦out near 30 per cent of capacity. | Tron Age magazine reported July written off" by the steel in- dustry. An uptrend in steel

A Memphis spot firm, in alup two points. buying by the car industry for

statistical analysis of the raw 1981 models is expected to it

cotton situation estimated the production again in August.

total supply for the 1859-1900 Orders for new model produe-

beating at 23,631,835 bales

with short- 100tion are already beginning to

against 20,373,476 bales last the squeeze 500 (3 appear, giving some idea of early

dated stocks the main sufferers 500 43 Detroit schedules. Some new

Estimated totel

was no selling disappear- although there 9.05

models may start leaving as-

ance for the season was placed by the bonis. War Loans 3 300 54sembly lines in late August.

at 13,900,000 bales. If this per cents dipped to an all-time 500 542 Last week's car output re- Republic Steel joined other figure is reached, the carry over low in its 28-year history but 300641gistered a drop of 1.2 per cent steel companies this week in an- next Aug. I would approximate finally held steady at 60 steri- 33014 from the previous week with nouncing plans for production 7,750,000 bales versus 8,881,000. ing. 300 14.40 137,817 passenger car units. curtailments. It said it Was bales carried over into the pre- 1250 145 Compacts again had a sizable considering a shutdown of its sent season.

In foreign bonds Japanese He said "We have been most The advanced

cooled The first assembly ever made ended with losses over the week impressed by the Rolls Royce reactor can be regarded as being commercially was shown to the 500.1.3028.8 per cent share of that total. Warren, Ohio, Steel plant next

The Department of Agricul-despite pme recovery, but Conway engines which power mid-way between power stations Duke of Edinburgh before it 14.70 In the previous week the output week, that would extend through

ture announced an agreement | Grecks looked passenger units. the July 4 holiday weekend. The with Spain to buy 64,000,000 of stocks were mainly better.

immer. Dollar 139,557

Boeing 707 and we at present under construction went into use al the Atomic 14.50 Was

should be very happy to use employing about 6,000 14 80 However, last week's output was plant,

and the high temperature cas Energy Authority's establish- ing $27,700,000 worth of cotton surplus ferm products, includ-

the development of these en-cooled reactor which is now the meat st Windscale. Gold shares made a bid to gines in any future equipment subject of intensive research in Machine tools and mining or 150,000 bales.

leave their low levels, but the we may obtain. We are con-Britain. equipment orders are slipping Raw cotton exports for movement failed to develop sidering now replacement air- The US. buill car market re-

Instead of improving. These are season through June 21, accord. through lack of solid support. craft for our Super Constella- corded its three-millionth

two sectors in the

raise huge ing to the New York Colton London followed the Cape in ❘tion fleet and of course we must car registration in mid-June. raising hopes once again that the machinery-making industry that Exchange, totalled 6,505,685 vs small mid-week buying but always plan for future require-elements to beyond 1,000 de Welfare at Ottawa, for a reactor

the 2,609,798 bales, the same time are particulary exposed to

there was predicted total of new

Do follow-through menis." he added: and

WBS the drift gistrations in the United States steel depression. But even in last season.--UPI.

resumed this year might still possibly other sectors, manufacturers are reach seven million. Many ob-beginning to wonder when servers agreed, however, that government predicted record 6.5 million would be more like spending for new machinery Is Manufac- 1. as very few realistle analysis going to materialise. expect current high sales of auto-rers say that while inquiries are numerous, orders are hard to

500 14.50

250

90 14.50

200

100

200 14.50 still 0.5 per cent above the 125,-men, is Republic's fourth largest. 200 / 14.70 270 units produced in the curres-

ponding week a year ago.

Dividend announced

The Directors of China Underwriters Ltd., at the forthcom- ing annual general meeting will recom- mend a dividend of 60 cents per ordinary share in respect of the year 1959. This is the same amount as that distributed for the year 1958.

More Australian

coal to Japan

new

car re-

the

mobiles to continue throughout get and in a competitive market the year.

the prices quoted leave much to be desired from the seller's viewpoint.

Retail sales

One of the things that bother One thing, apart from the low economists in this country is a rate of steel operations, which very recent slackening of pace may be exerting its depressing in consumer goods retall sales. infuence here, is the fact that

It has been evident all year long profit margins of many

cor-

in certain lines like appliances.porations have gone down in the For example, factory shipments first half of this year, leaving of refrigerators were down five less ready capital for purchases per cent from a year ago in the of new equipment. The smaller Arst we months of 1950, while profit trend has been developing automatic Washer shipments for some time, but this year if dropped some seven per cent. has been most pronounced so far, Now other lines of consumers in view of rising costs of produc goods are beginning to complain,

flon and labour.—--UPI, notably furniture which came to the fore at the current Chicago. summer home furnishings mar- ket. Two out of three merchants, queried reports of a recent drop of sales although the overall level is still slightly ahead of a year ago.

19

The question asked' is whether Sydney, June 26. New South Wales coal exports this retall sales downturn

to Japan should be trebled by typical of a broader general cut- 1865, the New South Wales back by consumers. If it is, the Minister for mines, Mr J. B. optimistic predictions of Simpson told reporters on his "golden 1960" would indeed be return by plane from Japan | rusty. today.

11

British car output up

the

New York stocks in week of

trading

gain

active

New York, June 26.

Stocks gained irregularly during the past week in

the second largest weekly trading of 1960.

All the leading groups had same time, selling came into their off days and some of the Brunswick, which also makes recent favourites such as the these items. vending issues, electronics and boat stocks suffered from time to time en realising selling.

Old line leaders enjoyed a somewhat better market, aided

more by hopes for the future than performance of their indus- tries for the week,

For example, steels firmed on

NEW HIGHS Many food stocks muse' to new highs.

Many department stares an Sears reached 1960 highs in the drugs also reached new high mercantiles. Many utilities and

Buylova Watch reached its best of 1980 on news it is pushing

London, June 20.

a staterment by the president of watches with big agures on the Cars produced in May totalled Jones & Laughlin that 138,544 compared with 120,690 inventories

steel dials for aged personS. would reach a the previous month, the Board of minimum level by August and lows for the year were National Among the stocks making new Trade announced today.

news that Republic has received Tea, Outboard Marine, Checker

orders goods enough

50 Borestall Motor, Columbia. Gas, Continen

A total of 38,403

our new

STUDYING

1

Since then further contracts have been signed to provide The latter, it is hoped, will monitors for the Canadian De- temperatures of fuel partment of National Health and

grees Centigrade. It already establishment in Germany and forms the basis of the Dragon for the Royal Hospital at Ade- project in which the experi-laide in Australia.

"We need aircraft with good mental reactor is to be built in performance both on eastern Britain as part of the joint five-This last assembly will be on in display at the first medical elec- sectors and on our new trans-year research programme

tronies exhibition in London atlantic routes" Mr Gazdar said, collaboration with the European, "We are

Atomic Energy Organimation, rext month, studying carefully American aircraft as well as

known as Euratom, and Austria, other British types.

Denmark, Norway, Sweden and Swatzerland-UPS.

"We shall probably send

3

team to the United Kingdom to evaluate the VC-10 before the end of the year. We are parti-

"

cularly concerned with delivery 'Do it yourself'

dates," Mr Gazdar said the VC-10

seemed to sult Air

India's route pattern. He was

on his way home after attending electronics outfit

a conference in Switzerland."

AFP.

London

money market

London, June 26. Money was kept on a very tight rein in the London money market for most of the week and the market was forced twice into the Bank of England.

London, June 25.

Requirements of the indivi- dual customer vary considerably and monitors can be modifed as required

The makers offer a consulting service on human body monitor- ing, and claim extensive ex- perience in the design and pro- duction of such equipment,—— LPS.

THE teaching of loc-¡ New anti-biotic Tronics has been sim-

plified in Britain by the introduced production of the first "do

it yourself" electronics con-

structional outfit. PARKE, Davis and Com-

This enabler

puply

pany have announced to the introduction of a new assemble for themselves a large oral anti-biotic which is high- number. of experiments and

demonstrations illustrating manyy effective for the treat- of the fundamental principles of ment of smoshic and bac- electronics.

|terial infections of the in-

testinal tract.

The outfit in the result of co-

IL

operation between an d'ectronics

is called Humatin and will company, Clarke-Smith Man shortly be available throughout tacturing Company, and arm the world, according to Mr. W with over a century's experience Richari Jeeves, vice president in educational scientific require- and director of the day's over- ments, Griffin & George Ltd.

seas operations.

In steel, this situation has al- Mr Simpson said: "Steel In-ready led to a decline in capital dustry, expansion plans in spending plans.

It marred an vehicles and 1,502 Buses and closing its Warren Ohio, plant tai Can, Goodrich, Ingersoll- Japan should greatly benefit otherwise bright outlook for coaches were also produced. on Independence Day.

Rand, Kennecott, Reynolds coal production in New Southplant and equipment spending by

Steel operations sank to a new Metals, Texas Gulf Sulphur and kept the market out of the Bank

The authorities could have EASY WORK Wales.

the metal working industry as a

Exports totalled 70,273 cars 1960 low at #1 per cent of rated Union Bag Camp. whale.

compared with 63,321 in the pre-capacity and further declines are

but it was evident that a signal vious month; 12,721

goods expected as industrial vacations investment vehicles against 12,430 and 639 spread.

buses and coaches compared Iron Age magazine reported with 491 in April-China Mail that the industry as a whole cur-

Special. rently plans to spend $1,200 mil-

"If our mine owners can pro- duce shipping

coals economically and Capital

facilities improve,

these benefits should be of a

most permanent mature”

Mr Simpson sald that one on for capital, goods in the million tons of coal, worth about three months ahead. This is ten £(A)4,000,000, would be ex-

ported to Japan, this China Mail Special.

year-aside for the same purpose in the

per cent less than the amount sel

Exchange rates

unofficiat exchange

market

rebening at the following esten:

U.S. dler (per 81)

Bering note (per £1) Australian cover (per 11

Indonesian rupiak (per 100)

Singapore (Strife) |

let Bowls (per 100)

last quarter of 1959, and 25 per

cent below the same period a

year ago. The drop-off is al-

most entirely due to the slacken-

kag pace of capital appropriations

In the Dow-Jones calculation, was being hoisted for the banktronies" apparatus the industrial average closed the rate rise on Thursday. seek at 847.01 of 388 points.

}

Humatin, was first prepared by using a culture isolated from- 1 soil sample collected frám ‘a) root. Griffin-Clarke-Smith "Mech-of Chuinen Grass grown in Colodi-

makes leia, South America. demand on the manual and

In tests carried out by Parke technical skill of the user ce Davis, the new drug was found OILS UP

Railroad and utility averages This was not unexpected, bui Oils were helped by im- each gained exactly 1.07 points the fact that the banks have got soldered joints are eliminated to cure more than $5 per cent provement in their inventory to, 143.79 for the rails and 93.20 to make a further one percent

are screwed or of all cases adequately treated situation.

for the utilities, the latter a new deposit to the Bank of England tipped together on a pebond within five days Selling in the boats reflected high since April 8, 1950. The was a little disconcerting, espe Layout. an article la Barron's, a financial 65-slock average closed the clally es it will affect their bond

and assemblies

Bank of England weekly, that bost orders so far week at 212.63 up 0.307 points, positions in view of further for both qualitative and quan- tor, has found that the treatment

statement

London, June 20.

Moreover: Dr K. Q. Courtney, The equipment can be used parze Davis clinical invértiza

Individual of acite enteric infections with pupils or groups. The qualita Huntin has been generally tree Drugs enjoyed demand from 0.59; utilities, up 0.51, and 500 hoped that the latest credit mein supply

However, it was generally live experiments do not require from side effects.

4.5-volt time to time.

stocks up 0.24.

Recently he reported “än M- Individual news items helped their stocks. American

Sales for the week totalled squeeze measures would prevent and 120-Volt batteries.

the need for any autuma moves.

outbreak ship- | 18,279,530 shares, daily average

plugastro- The complete set, tope 97-100, enters in $.US., hospital in- this group alone a 59 per cent ment for the week ending building mined 4 of 3,066,906 The only The high rate of 14% paid contains valvás translators|volving 100 patients, they were

Jane 27 this cut in capital spending is being reads as follows split. Great Western Financial larger week this year was the for non-regular money de transformer loader, any treated with sulfand

effected. The drop is so severe Public depastis

12.800.458 Up-00 a 100 per cent wlock one ending May 20 when the the old percent bank rate was circuit board, a neon tube, babe, antibiotics but failed to raspand, 312011500 dividend. American Distilling volume was 19,725,360 shares. A adjusted upted to 614 5% after holders swild racial sterial and the outbreak spreid. 1360.com made a new histh on a 2-3 molit. week ago makes a tolalled Thursday while, the new belle connectors, wires, valve holders, mu

50000 Otis Keraton some on Desks it 17,701,100, the adaily minimum level for clearing bank resistors, and espacios and Or

this year have fallen off. Cop- All the Standard & Poor's expected selling of gifts by the ditative work by pers had days of Armness on indices closed with gains banks. better prices for the metal. | Industriale, up 0.18; rails up

in the basic steel Industry.. In The Bank of England state

that increases in other sectors of Private deposits

5.

the metal-working industry are Goverment our ter unable to offset Ik pr

Other securides Receipts

2002 For example capital invest-

180ment spending plans in fabricated

PA

| will: malce .... wutomatic ginaatters avṛings: DË: 3,540,000 shares, money _La_4%% China, Mali | other stabdard, compos [RE. | for · Bowl-Mor Camp, AS, the 2-XPX,

LPS.

th

152 rasionded

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