1953-06-10 — Page 9

THE CHINA MAIL, WEDNESDAY, JUNE 10, 1953.

Confused Impression

Japan Trade

NEW TONNAGE PRESENTS THE

Given By Washington Report BIGGEST ANXIETY

Monetary Policy

(BY SYDNEY S. GAMPELL, REUTER'S FINANCIAL EDITOR) U.S. moncy policy, which dominates world markets, is extraor- dinarily confused. Despite recent appearances, it is authoritatively stated that the Federal Reserve has no intention of reversing its programme of making credit tighter.

Its line is that it will resume its deflationary funding programme "when market conditions permit," the recent shelving of the programme and the casier open-market policy having been merely technical smoothing operations to alleviate disorderly market conditions.

They have not sufficed even to remove all the disorderliness.

Wall St. Succumbs

To The Jitters

New York, June 9.

Wall Street succumbed to the tiers today with a shalte- out that slashed the total mar- ket vifuntions son $2,500,000,- 000 and gave rails their worst ression since 1940.

The volume was the heaviest In two months 2.200,000 shares.

Individun stocks lost $1 to $. Industrial and

were

Uilities

The ex of bond prices! Trentury bills has been hoisted almost every day, from $1,000 million to no less still cases There are many other signs of than $2,300 million. Even the strain, and they increasingly joriginal $1,005 million came as threaten some Jinris the a shock.

of business boom, particularly the

So for it has raised $700 Lie af expansion programme

million In this way. so that public utilities which are very the bulk of the effect is sill renilive to dearer and fighter te come instead of being inczey

most over. In addition, the

3

ді-

and

18,

For the remaining few weeks Treasury is offering $800 mil- of this thunciat year, Up' to lion

of 107-day tax anticipa June 30, the U.S. Treasury'stion bills dated

June position is far worse than was falling due on September expected.

to bring into the Treasury dur. He programine of new-noney ing Junc the borrowings

three-months which corporations have set aside for their mid-September tax payments.

Another

Slow Day

.

In Cotton

EARLIEST EVER

reserves

This is the earliest date which the Treasury has

nt

ever

bas

Tokyo, June 9.

Japan will be unable to increase the volume of her external trade unless the economy of other Asian na- tions is further developed, the Ministry of Foreign Affairs reported in a White Paper.

The document, dealing with economic rehabilitationi and the foreign commerce of Japan, said that for this reason Japan is making efforts toward assisting in the economie development of South- cast Asia.”

ない

"unceasing

at

a

|

There has been much comment in Britain over the recent shipbuilding returns which showed a substantial decline in the activity in British yards in the year to March last, while activity in foreign yards was on the increase.

P.O. Box 53. Queen's Bldg.

MESSAGERIES M

MARITIMES

Tel: 20051.

M.

PASSENGER/FREIGHT SERVICE

Qutwards "FELIX ROUSSEL"...

Homewards

Leaves Marbles.

June

makang.

"FELIX ROUSSEL"-D, July

Byngkong. 10-11 July

Far Manila

Die Maruchitra Via

23 August Yokohama vin Marseilles to all Mediterranenn & West Africa ports."

FREIGHT SERVICE

: via Djibouti to Madagascar.

QUIWAYA "MONKAY" "SILVERSANDAL“

This trend is no doubt due to a number of factors and several reasons have been put for- "MEKONG" ward. For one thing, the shortage of steel plate. Homewards which certainly was a big problem during 1952, "PEI-HO was blamed for much of the decline in British "MONEAY" shipbuilding.

Another reason advanced was the fact that orders for merchant

an order anel

the

and with

countries

as

pro-

One ominous reason is probable A. EUR light

d (3) heavy UK taxation.

These last three

meeting on May 28,

Cammiell

Laird Chairman's Warning

oosts

On the question of the present Mather, chairman

was expressed by M. J. C.

of Cammell Laini and Co., Ltd., at the com- pany's annual general meeting. at Birkenhead, when he told stackholders' that already new

dimculty in "was the scute and the fact

"GIALONG"

Leaver. **Europe

—Ralird

Ingkang For 17-19 June

Зарад

..Europr -Rel

·Hamburg—2) May

Leaves

29-20 Jun

Japan

18-19 July

Japa

itongkang

For

11 June Balgan, direct .- Keelung-13 June

13 June „Keelung-13 Juty 13 July SILVERSANDAL" * Keelung-20 - zlyze Jy "NIEKONG" .........Keelung— 8 August 10 August

י.

↑ Salgon, Marseilles, Alglers, Oran, Tangiers. Casablanca, Le Havre, Antwerp, Rotterdam & Dunkirk. Subject to change without notice.

MAERSK LINE

FAST FORTNIGHTLY SERVICE TO: NEW YORK, BOSTON, BALTRIORE & PHILADELPHIA vis SAN FRANCISCO, Los Angeles AND FANAMA.

NEXT SAILINGS

"LAURA MAERSK” Div. "OLGA MAERSK" m.v. "HULDA MAERSK”

June

June July

17

ARRIVALS FROM U.S.A.

MY. M.Y. m.v.

"CHASTINE MAERSK”

June 18-

"ELJE MAEUSK”

Juty 2

TREIN MAERSK"

July 10

were, at For Freight and Further' Particulars please apply to:-

AGENTS:

JEBSEN & CO.

Pedder Bullding.

cited the proposed con-ships are sensitive to freight rates and the fall in new biderz. struction of a blast furnace Orissa, India? erection of It was cald, prtbably reflected to

clinker magnesium

plant at farge extent the lower freight Madras and development of rates which prevailed last year.

and salt Among the other reasons put for iron mines in Goa fields in Thailand, all with the ward were: (1) Increasing costs: assistance of Japanese capital-

(2) the time-log between placing The paper· sald that

taking delivery; rature of Japan's trade Southeast

Aslan

points are changed after Worki War II, as

responsible for some of the dif- ficulties experienced not only by a result of the loss of prewar colonies. Another

shipbuilding industry, but by be the shi factor haa the fact been

that

the shipping industry as a whole. various Southeast Asian countries have

Hope that present demands for Hou About this Sir William Currie, further wage increases would be adopted economic development provided some new food for overriding duty to keep

** | chairman of the P & O Company

reconsidered in the light of the programme of their own, almed thought at the company's annual down to an absolute minimum

regional industrialisation, economic Independence, covery from war damage and balance of international debits high cost of fleet replacement,

MV. he said the cost of new tonnage and credits.

the board the

greatest "The development.- pro- Have grammes of Southeast Asian anxiety. The rise in cost in the had to offer inx anticipation.

countries generally give priority Ave post-war years had been s: normally it makes such to establishment of light Inuus much as 80 per cent. At present shipbuliding orders were scarce. offerings during July/Dec.

company try for the manufacture or bre

had to

to pay no less ibre the

"Our

greatest bring forward the March and products and the daily neces-1,900 ton cargo ship which they shortage of steel,

a standard 1052," he said, than £1,400,000 for a {June lax monies and so smooth

silics reasonul

of life, and abnormality

emphasisë re- out the

use in the Far Eastern tntde. that excel deliveries rail prices

covery of agricultural produc- between the Treasury's defeit tion, leaving large-scale Indus- New York, June 9.

Before the war that would have seven-month Jows.

times, out of sequence with the Cotton futures

surplus trialisation went through in July/Dec. and its reached back to May another slow

bought four vessels of the same work we had on hand. In addi schemes for indecisive in Jan./June. and 1, 1952.

future," the Paper said.

type. In those days £1,400,000 tion to this we ware also handi- session. Ring observers thought

would have MIGHT BE SERIOUS

been considered This year the leanness

capped by at

a deficiency of skilled The decline started shortly it was the slowest

excessive for a passenger liner engineering personnel, which her day of the

"These development before non p rumours cir year.. Prices see-sawed within appeared before the end of the

of two and a half times the normally surplus Jan./June gramines would appear to make

been common to most industrial culated in Wall Street that a range of 15 points but ma

tonnage.

undertakings In period.

reduction

the past 18 Korcan truce had been signed ed to keep even with the PTC-

e. a relatively heavy demand for of Japan's

INCREASE IN COSTS months. These difficulties had vious close most of the time. officially.

The Anal

re off 3 ta un cash payments-amounting prices were

which might seriously

which

we hope will be re- As an example of their problem, toreading effect on our produc- the $5,700 million of the Trea- [ affect

the

Japonese export St William said that out of medied. were up 2-10 off 3 points.

sury's June maturities,

situation." The market was the broadest

operating prod's of £70,000,000 Mr Mather said that as far as Techufclans attributed part of in two months with 1,234 issues the dullness

pre- This unusually large

But on the other hand, it said, market stock to the

over the past four years, no less the future was concerned, they linve traded,

of them

ference for cash must 1.000

lower weakness.

The sharp decline

because of "certain social and than £47,000,000 had been set had orders on hand "which should disappointed the and only 78 higher.

Treasury there did not react to hard on since the conversion terms

economic conditions" these aside for renewing the fleets keep us busy for some time to Analysis point out lirat the cotton prices but the speculative the one-year certificates which it

of countries "may not always and and £2,000,000 for improving come. he went on to add:-- overall plcture still is one very elem

advantageous to

All this depend staff pension funds.

abroad, high level business activity and busy with securities to pay too maturing issues were not only

element apparently Was top it offered to holders of lae entirely on Europe and America and more had been spent. Yet both here in Europe a favourable outlook,

for The the most generous in

capital, equipment,

In spite of this, 31 per cent of Japan, is growing fast. Freight lu collon. much attention Tha uncertainties have timidity

twenty

sharply, and on the part of both

materials and technical skills the group feels was over 20 rates have fallen years but also more. dragged on now for weeks and bulls and bears

generous necessary to the realisation cars reflected their than had been

of years of age last September and as they fail the apparently have made investors Intention to await the final out-

their "of

economic A gleam

shipowners to commit themselves is that the

development thus ripe for replacement, Jig Pected timid and ready to sell on any

programmes.

He said that ships delivered to building contracts diminishes. Theyarty find it come of the Korean

bill truce Treasury

rate cased excuse.

desirable to adapt some of the up to last year appeared cheap Already new orders are scarce. Most of the trad- slightly negotiations,

oni May 28, even Intralls, toasos ranged to $4 ing came from local professional though the Treasury on

results of Japanese research and compared with similar ships to- in Southern Railway, Amerada talent. They moved in and out occnsien raised $200 million at development, made, under social day. The final capital cost of

"In the face of these facis, it and economic conditions which new ships was unknown when moru closely resemble

and indeed, their they are ordered

Is your board's duty, both to the until own.

Mnation, to the stockholders, and delivered. The time-gap between to the workpeople, as ordering and delivery had been as ek people, to ensure t as much as Ave years and the

could do nothing to limit absolute minimum. I very much owner The possible Increase in costs

hope that the trade unions and during that time.

On the taxation problem Sir those responsible for the present demands for further wage In- William saki, amo

among other things, that of the operating profits of creases will reconsider them in

light

overriding £70,000,000 over the past four the years, £17,000,000 had gone to duty."

Apart from merchant ship During the seven years since work, Mr Mather said they were also busily engaged on a number 1946 taxation on company profits of contracts for the Royal Navy. had been well above the level and he was pleased to report that of 50 per cent, relieved only by steady progress had been made on the fitting-out of H.MS. Ark Royal,

to

It snined momentum with the 3 points. The opening prices $900 million by holders of products in Southeast

list closing nt its lows.

broke more than $7 in oils. Chryster fell $2.25 and General Motors $1. Bethlehem

down

was

that

new money on hills. of the market.

This was ascribed to the eas- The crop news evas still mixed

mostly but

favourable. ing effect of the Federal Re- still $1 und U.S. Steel almost Concern is felt over the persistserve's open-market purchase of much.

American Tele- ent dryness in the Far West 585 million of bilis in the fort

but elsewhere farmers reported night ending May 20. The New York Stock Exood progress. This change bond volume was 4-

Private estimates 001,060 and the American Stock Exchange volume was 698,000 Year's probable

phons fell more than $1.

⚫ shares.

Dow Jones averages al

end of the session

follows:-

30 Industrials

20 rails

tulilties

40 bouds

DS Spot

ол

--POSITION-CLEAR-

"the

The Paper said this is especially true in such fields as industrial techniques, Irrigation works, drainage, land reclama- tion feruliser utilisation,-im-

acreage range

provement of seeds and agri- For better or worse, however.cialturni 25,700,000 were between

implementa

and and the Fed itself does not attach methods of financing agricul 27,200,000 acres Prices closed

much importance to this, ture.Unlied Press, today as follows:-

34.10 nominal points out that if demand for eredit were great énough, mouey could become progres- sively lighter even if the Fed's open-market purchasca adding very substantial amounts to the supply of money. The Fed would then merely to braking or smoothing the degree the tightening. "That seems Ito be just what the Fed is do-

the

the

stood

Juty

203.39

October

00.28

December March

48.44 May

93.20 July

-United Press.

The Rubber

Markets

Singapore, June D. Prices of rubber futures closed today as follows: Number 1 rubber, per l

July

August

Setter

Number 2 rubber, July Number 5 rubber, July Number 4 rubber, July Spot rubber, unhaled Banket crepe

No. 1 pale urepe

$314-16

434-0014 823-034

5015-0018 73-10

-United Press.

LONDON MARKET

Lendon, June 9,

The rubber market was quiet

but steady. Priec

Tollows:

No. 1 rubber,

July

in pence per ib.

August

September

October/December

July/September

January/March

closed as

Orinixr

33.56-33.69

13.75 33.84

33.67-33.80

33.00 71.04 33.13 -United Preek.

NEW ORLEANS MARKET ·

33,10 33.54 33,72-37.73 33,85 1 33.04 bid 33.50 bid 33.00 bid United Press.

Spot July Ocloter Dvermber Starch May July Deliber

of

were

33,63 Mr Randolph Burgess,

key man In the Treasury, has made his position clear, Fo says that the Treasury must sell Its securities in the market at the going rate of interest and not at an artificially supported rate. Le, that it must meet the market and not rig it.

SAO PAULO MARKET

Sao Paulo, June 9. Prices of cotton futures closed today as follows:- July ferazeiros per kljo) Octaber December March

(Average price 15/16 4to designated apot anarket) 33.13 cents per

Sale 1.714 balen-United Press.

He adds that the long-term 10.42 market has been "over-loaded" 1975 because too many people were trying to borrow at the same lime

Delay of some projects would be "wholesome" both for the the business

Grain Prices market and for

situation.

ke makes it clear that the Treasury will not - bow itself

market to business. In ap- Chicago, Juneproaching the long-term market, Treasury will Grains, ran Into increased he rays, "the

proceed cautiously, 2016-19 realising and hedge-selling should not always be at the end though it rallies. Wheat, cased the Ince of an exporter demand of the queue, and so

inflationary into ngainst sales of U.S. red whent

In Chicago out for the sake of leaving the

ted Preis.

NEW YORK MARKET ·

in

HONGKONG SHARE MARKET

after they

taxation.

initial allowances.

have

•

FEELING OF ALARM

been

However,

ho confessed to al feeling of

olarm about the taxation burden in years to come,

from and in

readiness of

TO MINIMUM '

costs are kept down to

of

પા

the

In his carlier remarks, Me observed that the in- profit resulted la a increase in the tax, but they initial allowances" which they welcomed the reduction in In- Business done on the Stock were receiving now, there would come tax made by the Chancellor

(From Our Correspondent) when, through the operation of provision for

SHARES BOXERS SELLERS SALES

BANKS

1K Bank... 1825 East Asia. 14D INSURANCES

Canton

233

170

HK Fire XD 140 SHIPPING

Waterbent 15.30 DOCKS, ETC.

Whamet

N. PL. Wharf

XD

43

477)

2016 2016 100 @ 70

5.90 20.30 200

Exchange this morning amount be no annuai wear, and tear in his recent Budget as a step ed to $507, 825.20. Noon quota-allowances on ships which would In right direction. tions, and the morning's trans- still have one-third of their

ura

is a step and we are told pellons:--

useful lives to run.

that it is part of a three-year Counts of the company are not industry, and the individual, as The results shown in the ac plan towards the recognition of those of a passenger ship com responsible people, because it 1810 pany nor indeed those of the makes it a little caster for all of & Company Hatif. They us to put on one side the savings are the combined result of a by-which alone the future can great variety of trades and of be safeguarded. It is strange tonnages which ranges from a that in this country the function Email conster to a large passenger of profits should be so misunder- Because of the shipping stood. They should be regarded ship. Industry as a whole. They serve, in part at least as a means of 20.28 na it were, as a concrete example keeping plant and equipment up- observers keep to-date and so help to maintain of what most

Us In-geporal forms is employment."

Mr Mather recalled that lost tho

shipowners would year he gave

details of the way according to Sir in wh

in which each pound of revenue Wiliam,

1.1

Ilmed by the company was agi price stability. some stability of price could be counted

The compu quivalent achieved, he said. It would be this with the

Cat encouragement to for 1952. This year, ha cald, 23.30 000 € 23.30 shipowners to continue forward the Increased cost of materials Star Ferry -110

from Bs C. Light (0) 11.10 11.30 1200 11.30) programmes.

La achieve, Da Bd, leaving 10s 04 to pay 500-1150 price is difficult 7.20 20000 particularly when, as Searchlight these engaged in the business.

-500 sh

last week, shipyard put ...25.20 25.40 100 2015 noted

250023.48 managements are faced with new 300 à 25.30 demands from the union for

19.30

higher wages--Reuter,

Dock Provident

LAND, ETC. 2015 Ifotel

11.40 £115

Shizi Dock Wheelock

7.70.280 4000

forced bank

like to БОР

7.70 7.00

1 Land...

Humphreys..

Toally UTILITIES

Tram

51 600 4 201 2.45 2.55 6000 6, 21%

!

to Spain. At Chicago wheat financing."

He ominously repeats that closed off 14 to 1 cent and 50% higher Interest

Tates "beneat bears were up 2 to off millions families who have No by inflation and 3 was quoted today at 2.014 by inadequate return on their No. 1 standard rubber, futures conts a bushel. Prices of grain savings. Reuter

futures closed as follows:-

Wheat-price per bushel

Now York, June 9.

points higher

closed 15 to 25 with sales of 131 contracts. The foot *No. 3. contract, closed nominally July

23 points higher with no sales September reported.

December March The higher trend reflected the May higher London basis

Corn and the

relatively few high-price ship July ment offerings from the East, September dealers reported. Spot No. 1 December

smolłoda ribbed sheets,

quoted at 24 cents a pound.

Prices closed today; në follows:-- |July

Rozslietandard, Gar

July you Hook

September

December

Marcus,

May 2011 July

"Notes"

July

Rentami Decemb

March May July

21.30

23.0

20

2.03

2.0015-96 2.1211

were March

1.8016

Any

Hyo

Beptember

Fuly

Beptember

Boybeans

1.4331-32

719%-34

3.913; nothina)

Spot 29.58 bia

Joy 2.00 nominal August

September November January March

New York fuper 200 16% Back $1125 roninai-United Pres

Press.

JAPANESE BONDS

C. Light (N)

Electric

Telephone

INDUSTRIALS

10 10.40

London, June 5.

8214

500 g 10.20

Coment

17 17.20. 500 ...

STORES, ETC. THE

·Dairy

20.30 20.00

09

122

140(2

Japanese bonds

"A" (45, of 1090) *3" (45. 1910)

" 18 of 1907)

"D" (5s, of 1924) "E" (529, of 1830)

-Uniel Press

Tin Price In N,Y.

Now York, June §." Prices in the metal máritet closed unchanged with the following exception:-

Tin, grade A (99.80 por cent or higher) Now. "York, par, 15.

| 02,75 "gpata—United Press.

Watson

23.20 2331

24.00

L. Crawford XD

COTTONA

EWO XD

Texilla Corp. ang 30

Exchange Rates

..

But stability

of raised this Item

LONDON TIN MARKET

London, June 0. The tin market was easier to day. Turnover was 108 tons, including 55 tons for cash. Filter closed at the end of the ofcial "morning mozalon - n followe foot tin, buyers and bot tin, welfare, vide

Busthem was done in the Toeat atometal exchange marks in morning at the following rates us. dollar, (per $1)

(0,0335 | Ausiness donh`at. Sterling Hole (per" "23) JANUS 19.18 1. Uffiree-mo-- UN, Indonesian, gulders (per 100) 21.50 Three-months tin, walle Flam Ricala (per 100)

MIXTO Business ·dono Al Bigpore (Sirmita))

Bettlement FIG plastros" (per (300)

Toiled: "Press. '

100 to

447

on one side, and som:thing pay the

stockholders a dividend. this year accounted for Wages 5.10d

and overhead expenses and depreciation for 2s 20. Both these Items were relatively lower than last year, due to the inflated cost of turnover. The resultant gross proft amounted to 2a 0d, of which taxtition took slightly less at is 5d, ond the remaining Is 0%d was divided between

dividend savings (5) ant (d)

Copra Quotation

New Yoth, June 1. Copra was quoted today at $200

per: short

ton, neked; Coconut oil was quoted at 141⁄2 cents a pound, "asked.-United Preis.

Tel. Nos, 86008-9

Chinese Freight Booking Office 27, Connaught Road, C.

Tel. 20461

Dates and rotacion inbject to change without notice.. Al liberty to proceed via other porta lo load/dlscharge cargo,

EVERETT LINES

EVERETT ORIENT LINE Fast regular freight-refrigerator-passenger service to Korea, Japan, Philippines, Indo China, Siam, Malaya, Rangoon, Calcutta and Chittagong,

"NOREVERETT"

Arrives Salla

June 14- from Manila," June 15 for Singapore,

Rangoon

“BRADEVERETT”

Arrives

Sails

&

Penang. Calcutta.

June 24 from Singapore. June 25 for Kobe & Yokohama,

(Accepting carto for transkloment Kobe/Pusan and Kobe/Okinawa)

EVERETT STAR LINE

Fast regular freight-refrigerator-passenger service to Korea, Japan, Philippines, Indo- China, Siam, Malaya, Colombo, Bombay, Karachi and Persian Gulf Porta.

"THAI"

Arrives June 12 from Singapore, Sails

i

June 12 for Kobe & Yokohama, "STAR BETELGEUSE"

Arriv

June 27 from Tukuo

Solls

Juno 28 for Singapore, Port Swetten-

ham,

Mudras, Colombo, Bombay, Karachi, Khor- ramshahr, Basrah Bahrein,

(Accepling cargo for transhipment Kebe/Pusan and · Kobe/Okinawa)

EVERETT STEAMSHIP CORPORATION S/A

Queen's Building, Telephone 31206,

Chinese Department: Telephono 28293.

BUSINESS REGULATION

ORDINANCE 1952

Copies of the prescribed Forms 1:(a) 1(b), and 1 (c)).

Now On Sale at 5. C. M. Post, Ltd. HONGKONG AND KOWLOON

TEN CENTS EACH