1953-08-19 — Page 99

Sterling Area's Reserves Of

Gold & Dollars

London, Aug. 18.

Every month the Treasury publishes, rather solemnly, a huge figure in dollars. They describe it as the "Sterling Area's total reserves of gold. and dollars,"

A "reserve" suggests something that is very steady and comforting, but this, alas goes up and down all the time.

on

For the benefit of the public requiring the United Kingdom the Treasury also gives the ster to convert inio dollars, ling equivalent of this large and demand, any current Oversone. reffier unreal deure, but since clalms to Sterling - "current

ore the they By talking about is calms"

essential nchinlly dollars, owned by the words. member countries of the Ster-

Excluding stockpiling, the first dollars, instead of the past prior team in die das Reconvenedng to slick to dottare.

half-year had a surplus output of natural of only 33,000 tons over

une.

trade.

with

Other recommendations, which, The group recorded output was will be linked

Cement: Manufacturing сом- 135,000 tons, against 142,500 tons pressure for relaxation of import their annual production from strong ponies are planning to increase In May and 130,000 tons in June restrictions by Sterling Area 200,000 tons to 300.000 tons. last year. For the six months

countries, include:

U.S. SPENDING production totalled 827,500 tons. Tong. Consumption ol 125,000 tons in

Tokyo, Aug. 18. 1-Automatic extension of the June (including Russian imports current one-year Anglo-Japanese Trade and Industry sold

The Ministry of International of 750 tons and Chinese Imports payments

that agreement (which of 4,250

some $60 million_of United 2-A request to

the United construction will be spent here tons in May, 1952. In the first Kingdom

for friendly con- half year consumption

for the purchase of cement, was ferences with the 792,500 tons, including Russian Government before any changes machinery, 1 well as harbour Japanese machine tools; electric intake of 40,760 tons and Chinese are made in British exchange facilities this fiscal year. imports of 32,750 tons.

control policies.

Tons)

$30,000 tons, in compared with expires at the end of this year): 1 States funds for Korean re-

and 117,500

STOCKS DOWN

Stocks declined to 100,000 tons at June 30, comprising 240,000 tons in producing areas, 335.000 16/15 (excluding Coverment-held rubber) in consuming areas, and 105,000 tons dllgat.

Offelals added that of the $130

the mere

an-

clalma

ing Area and credited to them Briinin and America "both

the New York and Montreal assumed that banks, as well as gold bars held nouncement that such in the banks yaults for them and could be freely converted to glued in dollars, it is less con- claimants; ains, for the flat dollars would satisfy most

ime in histy the loan furnish Recently the Treasury an-ed a yardstick for measuring the Although no public announce-nounced that this figure stood, non-dollar word's urgent need ment has been made, there is

on July 21, at $2,456,000,000 an for dollars. Federation of Malays Govern per vent, since June 30. every reason to believe thot the Increase of $80,000,000, or three NEW PHENOMENON

transmitted to has

the

metal omce in London a re-

commendation that the United Nations tin conference be re- convened.

The Government has not yet rejea for publication the summary of the discussion It hud with the

Industry at Kuala Lumpur on July 18, as requested by the Industry.

As 74 per cent of the producers recommended reconventien of the conference it is felt that the Government has no piternative but to make mlar recom- moudation.

the

Is that good or bad? Perhaps the drain by the end of 1947 and The entire loop went down the casiest way to approach it left the Sterling Arca's gold and is to memorise a single figure-dollar reserves still decilning #4,000,000,000. For the pundits

until say

Icast say-at

respectable

low of 28 per cent. the postully they reached do that number

when

of that target Sterling Area's gold and dollar The area's lack of dollars is reserves

20ach

$5,000,000,000 remedied by all sorts of devices there will be no more "erlace". but various forms of "American more trouble with the aid" from Marshall Ald to "dollor gmp", and the Elz- Mutual Ald.. have been bothan Age will be as placid as paramount. Now they are to Victoria's

be gradually discontinued.

no

In the meantime, the latest

3 Individual negotiations for the formulation of inde plans mon UNKRA budget for the Arc 1053754 scal year some $40 Sterling with various

million will also be used for

If we take this lotest figure nations, including especially

purchasing various construction Australia and African territories. inaterials in

of $2.450.000.000 and match 11 Monthly Bulletin of Statistics". of the United Nations, reviewing in Japan.

Further discussions between against

the target gure of world trade from pre-World War TALKS PESSIMISZE

wo get 40 per Anlied Nations put

Goyonment officials and the in- $8,000,000,000, survey by the

1937-to underlines the

1052 Ministry,

took place ut dustry's leaders

cent

now phenomenon, the growth of . Indonesian exports during June

--Expansion of exports on a chases In Jogan between April, | Kuala Lumpur in the past week,

Again, is that good or bad? | American exports from 13 per e estimated at 55,536 tons, Sterling basis to non-Sterling | 1952 and March 1983 amounted

Well, after nothijs has been released.

sight years of cent of the world fotal in 1937 moking 331,420 tons for the half countries.

to some $211 million.-China.

effort, it is only so-so, But it to 21 per cunt in 1952, while her It felt In Singapore that the усаг

5-Diversion of Sterling hold- | Mall Special.

Steertig

Committee must decide has been worse. While world consumption of ings, 26 they accumulate, to

whether reconvention is desir

reconver synthetic rubber was unchanged investment in developmental

able. If so, the conference la likely to assemble in November, possibly in London.

in June at 30,000 tons comparednese authorities are pessi-August to August 19.touched

and 72,500 tons In With May. June last year, production fell to 87,500 tons against 93,320 tons in May

but was still well up on the 70,515 tons last year.

world output was Half-year $10,000 tona and

A NEW HIGH

Omako, Aug. 10. Exports of cotton cloth during

mistic about benefits from the new high for the year, forthcoming Southeast Asiatic reaching 20,800,000 yards, BC- trade conference, sponsored by cording to a Cotton Splaning the Dalled Nations.

Association survey.

consumption gates to the conference, it is Jola) exports of the item from

485,000 tons. Stock at 162,500 tons

The wishes of Japanese dele-

feared, will be outweighed by

ed ord up 25,000 tons on the half- other delegations whose In-survey added.

terests confict with Japan'a,

PRODUCTION PEAK

year.

New York Stocks Decline

New York, Aug. 18.

A weakening rail list in the final minutes of trading today led the

in its stock market

three worst shake-out in weeks a loss which cut some $750,000,000 from the value of all listed stocks

The

was

to August 10 amount to 494,607,000 yards, the.

Compared with tho Samo period last year, the Agurs, however, thowed a decrease of 17,250,000 yards. But the AssO- Japan's mining and manufac- ciation predicted that Japan turing production registered a would attain the 800 million-yard

€

postwar record high in June, goal get far the current dscal chiefly as a result of continuing year.—China Mall Special.· strong consumption power, un- impeded imports and a

$184m. increase in U.S. procurement demands in the past six months.

With the 1949 production level the -100 base,-the-index manufacturing for mining and

June stood at production In 218.0, a 1.5 increase over May.

The index for the six months ending June is 208.2, a 14 per cent rise over the corresponding period in 1952.

Principal production gains

deeline, coming after were recorded in textiles, oli dull irregularity,

products, paper pulp, chemicals, accompaniedited

by an upturn in leather and rubber. volume

Eules for the dily to

from 10.00day.

on average.

doclineding brought

.1455

SHARES BUYERS BELLRUŞ SALES

06/201

2375

GOVT. LOANS

.2015

(1845) 891 00 10,000 2 90

.0001

.1403

BANKS

0330

HK Bank

1540

in

.0233

Fast Asia

123

.1835

21341

Canton

Middle-East-

Im Te

100 BJC 150

SHIPPING

Exypt

2.801

Waterboat

1920

Iron

DOCKS, ETC.

Iraq

K. Whart

Turkey

-Dock

Latin America

Wheelock

Argentina

.0725

Brazil

0550

HK Hotel

Bolivia

00:20

733 7.04

IIK Land. 00% pi

Chile

Columbla

Cuba Mexico Peru Uraguay Venezuela Far East India Paklitan liongkong Indonesia Singapore Japan

Provident

LAND, ETC.

84%%%

shares

KOREAN ORDERS

Japanese Industrialists heavy

Foreign Buying On The Tokyo Exchange

Tokyo, Aug. 10. Tokyo Block Exchange trading was featured by the emergence |" of "fortimera slock investments report and marked declines in shares demands for materials of pompanies which issued or and equipment for Korean 3-planned to issue convertible de- construction, following the un-bentures. nouncement that at least half

Απ

Foreign

Investors

bought

The New milling machines have been re-untion of assets and

but

DREDGES CLOSED In the Brat half of the current

three

Malayan dredges

year

prior

closed down, but in only one caso because production was unecono- ina mic. The other two are beina to their re- dismantled moval to other sites leaving 77 dredges operating.

Some 04

up to June 30, and several others have been closed down cince than

IN 1045

When Labour took over

01

shore of world imports has rizen

only from 12 per cent to 15 per

ceni.

This, says the report, explains

to'o great extent the present lock

1045 the reserves stood ap of equilibrium in world trade.

proximately where they stand United Press.

today,

at 48 per cent of that target Agure. Then lige began slip and slither downwards

when they reached postwar low of 28 pir cent "in"

and

Sep 1949,"

This

to

Bir.

their

Sr. Stanford cheapene

made Britishund

Graye) pumps were closed downers

Koops

for

the

Black Market Rates For

Pound Increase

to buy, hya on- exports, and couraging At the end of Jume the Industry monthly hours turned around employed only 44,000 in January.

99,390

slowly climbed to a post- Wor Deak of 77 per cent compared with

The Industry has been further ($3.807,900.000) in June, 1951

Paris, Aug. 18............. hit by an increase in fuel ail (whillo Labour was sin in

The black market rale for the pound sterling and the dollar Eaton with the power). prices by grices of all other plls and petrol

to slide: continued to rise today as the "Aguin it started also raised,

Labour went out and the Con number of tourists In Preliminary reports indicate a servatives came in, and Artrike-bound capital-fell. lower output in July than in JuneR. A. Butler, the Chancellor of but no serious decline, part of the

surveyed it the drop due to gravel pumps In April 10% thy the Sterling closing down being offect by othery stimulating qutput in order to meet cons of production.

The Rubber.

Markets

EOIC

Singapore, Ang, 18. The market opened steadier this morning

advanced and throughout the day on trade and factory buying. Prices of futures closed as follows:- No. 1 rubber per th

ACE. ... દા.

Exchequer,

cent. In

Area's reserves had fallen more: than $2,000,000,000.

the

The pound sterling went to 1,085 on the black märket, ċom».

bars with 1,000 yesterday and

a week ago. Corresponding rates for the dollar were 410, 402 and 399. But it turned around at 88.per The domand' was small on an cent, and in the following year Exchange half emptied by toil and three months it slowly days, but. the amount of climbed in July's hayre of 40 currency offered was · smallor

still. cent.

If we fum from this useful, trut home-made Index to the actual trade statistics, we find a remarkable situation,

TRADE WITHIN AREA

is mainly The Sterling Area the British Commonwealth, oluding Canada, which is in 12

"doliny area". It Includer, the United Kingdom, which is the

Before the strikes began there had been a shorp drop in free market rates, normal in the holiday season when tourists Back to France.

Today's

arise was accentuatett.

by pessimism following Premier Joseph Lantel's announcement that he would not negotiate with the strikers, and the posibility of Parliament's recall and the

unquoted banker of the area, Austrail of the Government

No. 2 rubber per tb. Aug. 03-04 No. rubber per ib. AL

jo. 4 rubber per

Epot rubber uribaled

Blanket repe

No. 4 pada "crape

Az

BA-08

2011-2014

a

New Zealand. Union of Africa" (which, however, les to pay is gold direct to the United States" in exeliange · för United Pro

American goods, and has only LONDON MARKET

rather special set of member- London, Aug. 18. The rubber market was very ship), India, Pakistan and Ceylon and very important the steady. Prices clares today aplonies of which several, liko Malaya, are good carners of dollars.

In a healthy international trade stailities are very

follows:-

No. 1 188 kpot Settlement House Bept-

Jan/Merch

Det./n 1964

101-15

United Fress."

Apri/June

NEW YORK MARKET

Mall Special.

Grain Prices

A.

In Chicago

་

Chicago, Aug 18, Prices of grainy futures closed. today as follows

Wheat-Ng. ped., per hushal, in

mes. They move slowly centi)

The selling spread to indus- trials where high-grade issues such as Du Pont and Genemy Electric lost heavily.

Only the utilities managed the U.S. orders for this purpose shares over a broad field, i small gain on the dor-Ave cents will be placedle of $200m, has Yawnia Iron and Stee

in Japon.

cluding the Anglo-Continental the Market men were unable to been requested by President Nippon Steel, the Kawasaki Iron

out point

the reason

and loy Eisenhower for Korean uid, and & Steel, Sumitomo Meial, all down

the blame for the decline Mr Henry Tasca, the President's for 10,000 shares each. Fuji Iron on any single development, gconomic adviser, is reported to and. Steel 9,000 shares, and Avo They noted that the market have recommended a three-year thousand each of Iwaki Cement has suffered from a jack of in-plan of rehabiliation totalling and Chinisu Chemical

D prest for many weeks now and $853m.

Troding on the Tokyo Stock explained that the dueling to- Korean ardors and Inquiries Exchange, moreover, was minck-

was the day

result of a "thin received in Japan recently ined by considerable fluctuations market" where a slight increase clude:—

with war Industry stocks show- Machine tools: Inquiries

Ing declines by

and buying senu- e sharp

the U.N. Korean Rehabilitation ment strong in depressed glit

capital is 11.074 issues traded today, Agency for more than 200m: yen expected to be oricand follow- there were 259 higher, 634 lower worth of lathes, drilling and

ing and 283 unchanged. York

Okuma Iran Stock Exchango bond parted by the

fluctuation was reflected Volume was at $1,040,000, and Works, at Nagoya, and two other

averages,

Spot up or down, leaving millions of the American Stock Exchange concerna.

In the Dow Jones

New York, "Aug. 18. people plenty of time to Thus, there was a yen volume wis JAP,000 shares.- Chemicals: Inquiries for

Rubber futures closed today adjusted to them.. About one. drop on Monday, and a celluloid plant capable of pro- rise on Tuesday, and United Press.

6.23 to 60 points higher with sales half of the Sierling Arca's trade ducing 300 tons of cellulald

is within the area and is mainly and for two alcohol ise on Wednesday. At wook or 00 contracts,

Firmness

ness was coupled with of that stodgy but wholesome end, the average stood at yen

the bicher trebet in London and 302.11 which was a 6.77 decline

Singapore. Continental in- from the previous week to go

terests were dccredited buyers under the ven-499 level onco

in the Eastern markets; Localisthat is, the trade of each of more.

the merpoer countries with West in which an improved demand on spet

Europeis full of eccentricities. FIRST OF MANY?

buy the stocks

was accredited to domestic con sentiment was strong Canberra, Aug. 18.

Heavy electrical machinery: Company, the Musubishi Rayon,

svero those of Asahi

cumers and possibly for Britahu it to not really difficult. Or

far. Gins

not Japan, Italy and France have The Hitachi Works, one

DOLLAR AREA GRADE the Tokyo Rayon and asked Australia to take action

Dealers Indicated spot No. 1 Tokyo

But when we turn to the manufacturers

er ribbed smoked sheets at 22 Steel Holwa estate register to correct the imbalance at Japan's leading

of electrical equipment, has re:

the cents a pound. Prices of futures Btarling Area's trade with the 18200918.00 Tratle between them and Aus-ceived an inquiry for two 30,000 for travelling of

"dollar brea-mainly closed as follows:-- tralia,

some 1,100,000 shares on August authoritative: sources re-

and Canada- kilowatt hydro-electric

United States ported today,

genera-

We find that the Sterling Area In

sach caso the balance of tors. This is expected to be the 11 and 13.United Press.

Hos consistently forerunner of many orders," na trado heavily favour

equipment generation trolla.

Although Australian Govern-destrayed in Koren-north and ment Ministers or sympathetic south of the 30th Farallel-wat

can be done because made in Japan, Australia does not depend on

21.00 11.00 12.10 500 13

8.00 8.59 400.00

S'hai Lanki.. 1.40 1.34

Humphreya..

UTILITIES

Tram

Peak Tran

5003

(0)

1700

1283

300 yen to US$1 -United Press.

London Foreign

Exchange

New York Montreal Amitentiam Brumela Orlo

Zurich

London Aug. 18.

2319/16-2.01 11/10 2.78 16-1.78 13 10.576-102T *4 140.00-180.20 19.98 16-18.91 12.37 13-12-17 14 1930-19.34:45

Copenhagen PART Stockholm Lilbon Deutsche Mark' Blocked Mark

Others

Wore

16.65 24-7648 15. 79.33-50.10 15.00-11.6pki 17.43-17,53 +

7.95

19 16.40 200 0 10.40

23 23.10 1700 13 23

Star Ferry XD 120

C. Light (0) 138, 19.70 300

C. Light (N) B5 20 2002 133

Electric

... 27.10 37.70

21.00 23 252 @ 31,20 ....10.20

Miagao Elec Telephonr INDUSTRIALS

Cement Rope STORES, ETC.

Batry Watson

17.30

..... 22.20 22.40

1. Crawford

ong

21.70

12 230 Textile Corp. 3.45. §.50 7000 e 530 MISCELLANEOUS

6.00 6.00 3000 @ 10.05. Yangtze

(N) 0,00 10

Exchange Rates

Business was done, in the local unofficial exchange market this fmorning at the pickering ekSE...

|Sterling noten ¿pte" £11

Indonesion guildars (per 100) Earn tonie (per 100) unchanged-Untied. amgapore (Siraita)

| Indo-China "plastren

Approach Toients, verih 200m.

Canberra

Aus

#

yen and

with monthly capacity of

40,000 gallons, have been received.

of

0.44

0.02

40

LONDON TIN MARKET

Spinyine machinery

London, Aug. 19, The Importa from these countries, Teyoun Automatic

The tin market was stendly. Weaving! the sources said.

Machine Company is reported to] Spot tin was marked up 410 Japanese, Italian and· French have received an infifal order: 4017-and three-month in toeg Government representatives have for 10,000 textile spindjes, wifi que, point 19 EBI34. Prices

With

were: "Austamilan an inquiry. for prother 4,000. Government and with Australian

Spol sin buyers Hellers sheet glas: The Asahi Glass Hustness hudo. representatives in theit own countries, It was reported, and Nippon Sheet' 'Oldís com- Thres monina tin, buyers although the matter has yet to panies, two, major" concerns, Cómo before, the Australian have received, an... Inquiry for Cabinet United Press,

8,000 boxes.

But

Settlement

#eliers

-Unlled

account.

Sept.

Dec.

March 1634

May

July

Bept.

21,65

23.00 bid

23.03

23.00

223.85

2367 nomi United Press.

JAPANESE BONDS

Japanese bonds

624

London, Aug. 18, (48 of 1899) "13" (48 9(*1910) VIĆ” (BK OF 1907)

"D" (65 of 1921)

• "E" (4tha'of 1930)

(“F”! (Toky6-B1%502

"G" (Tokyo 68-of 1912 Consola

-United.

get

Its trade with post-war Europe

Doc. GA Merola 4004 May

Come No. 2, yellow, per dostiel

cents)

Spot

Bept.

March 1554

Ry(Prices per bushet in

Bept

Soybear *Prices per

cents)

Spot

Sept.

Nov.

- March

MAY

Barley-Price per

in bonts)

failed

New

enck

#ll doll

the end of the war to enough exports the

to

ared to pay for the goods it has been forced ip: import from t forced to Import because In a wor-broken world, it could but get them anywhere clac or could, not got them

The

$1$.10 Cape (Prices Der pushel iskeynką)

Dec.

-Daited Press,

Tea Stocks in UK

London, Aug. 18

1950 figures show, of a stocks in London and pyy #234 course, the stimulus given by vincial worehouses on. Augus 120% the devaluation of Sterling butoailed 92,000,784 10112 aid hot last very lorig

with

Before that, back In 1948-47, previously, Al

was the triglo debacle “of tha Lendings during the persed hugo American loan to the mounted

to 7,139,358

and

er United Kingdom, amounting to deliverice 7,385,148,-Chica

$3,600,000,000,. It had a clause Mail Special,