1955-09-27 — Page 9

TRADE

THE CHINA MAIL," TUESDAY, SEPTEMBER 27, 1955.

COMMERCE

SECTION

Page

BIG NEW YORK MARKET CRASH HONGKONG STOCK

Loss $11,000,000,000

Follows News Of Eisenhower's Illness

New York, Sept. 26. Stocks had their second sharpest break in market his tory today-an $11,000,000,000 loss on the heaviest trading in 22

years.

President Eisenhower's sudden illness, and the many uncertainties it gave rise to, hit the market in all sections.

Declines of 5 and 10 points were common and there were losses of almost 16 points in Du Pont, 14 in Bethlehem Steel and of 33 points in higher-priced US. Gypsum.

There were signs of strength at intervals when the market rallied briefly on increased turn

over.

The industrial Issues fell back to the Aug. 22 level and ralls to the Aug. 10 level.

Industril stocks were off 31.69 on average, their heaviest loss since the big break of October 20, 1929, when the average cracked 38.33 points.

Worst Decline Rails slumped 11.15 points in their worst decline on record.

Of 2,397 lestias traded today

1,242 managed to close higher while 1.155 were lower. The market was the broadest since June 7.

Turnover of 7,720,000 shares was the most for any sessions since July 21, 1933 and dwarfed Friday's 2,540 030-share total,

Wall Street brokers said the decline was largely an emotional öne-based on the bollof that President Elsenhower would not run again and the Republicans would have to seck another candidate. Many felt the market. would meet support after B setback of b

of 5 to 10

cent and per one expressed the opinion that "those that sell will live to regret their impulsiveness."

On the other hand, Mr Roger Babyon, an economist who pre- dicted the 1929 stock

market

Company Notice

|crash, sald today's brosks "may be the beginning of the end of the bull market." He said the

market had got very high and top heavy, and "It only needed something like this to knock it down."

one

The early market performance was

of huge parcels and sharp price drops-but only in the lesser lights.

At 3 p.m. Dow-Jones reported

unable it was

to compile its market average because only 11 of the 30 sticks in the dustrials component

had peared and only four of the 20 leading rails had sold.

Philips Petroleum

Republic Stal

53%

Rumours Push US CONCERN AT

Gold Price Up

Paris, Sept. 26,.

Rumours of a possible increase is the interna- fionaf gold priso, which was now $85,85 per outica, resulted in a boom on the goli market today.

Other factors contribut- ing to the rise were persistent inbour untest in Franco And the North Africau crisis, which was reported to be threatening of the French

the

GOT

one-kilo The

Ingot soared to $31,000 francs against 427,000 last Friday and compared with around 425.000 franes for woINIO time previously.

British Support

Brussels

Mr Erle

Louw, South African Foreign and Finance

Minister, said today that Britain had supported bla sugacation that the prico Igold should be raised made during the recent meeting of the Interna- tional Monetary Fund in

of

7136

Piltsburgh Plots Glass Publicker Industeles Pure Ofere

0%

Radio Corporation Hteo Matora

48

27%

IA

Itoynolds Metal

206

|

Shall Qu Co. Sinclair Oil

GOY

Зосолу Улдним

South Porto Rico Sugar Southern National Gos

Standard Oul of Ind.

Southern Railway (Com.) Standard Brands Standard Oil of Chl

4912

Sterling Drug Co.

GOL

in- ap-

Stokely-Van Camp.

173

Buudebaker-Packard Corp.

Swift & Co.

4714

Texas Co.

104

Tide Water Assn. Oil Twenty Century Fox Flim Union Carbide

30

-2035

1031%

Union Pacific Hallway

1021

5112

U.S. Gypsum

28215

45

10

00

The first major transaction in a leading issue was 75,000-share Steel at $55, olt block in U.S. 7% and this remained the largest.

Fantastic Losses.

Sicels were among the hardest hit issues, U.S. Steel closed off National 5%. Bethlehem 14. 7%. Armco 4%. Inland 7%. Youngstown Sheet 11,

General Motors lost 06. Chrysler 84.

Du Pont slumped 15%. Allied Chemical. 8%. Union Carbide 8%.

Jersey Standard Oil lost 8%. Gulf 7%. Lion 6%, Soceny 5. Callfornia 44.

skamped 22. Reynold Metals Anaconda 84. Kennecott-12.

Macon

Doudas Aircraft lost 4%. United News 46. Beralix 54% Boeing 6% among others.

New York Block Exchange

THE GENERAL ELECTRIC COMPANY bond volume was $12,430,000.

American Stock Exchange

LTD. OF ENGLAND volume was. 1,850,000 shares.

Dow Jones closing averagos

Record Sales

were:

1 utilition

30 industriais 20 rally..... Tho 55th annual general 65 stocks meeting of the General Electric 40 bonds

Comm. future price index Company Limited was held on September 22 in London.

$55.00

183.13

00,04

102.78

08.30

114.03

Closing Prices

Alden Inc. Aay. Allied ChemIERUM

Allied Mills Inc. Allis Chalmers American Airline American Cyanamide Co. Am. Mach, & dry American Motal American melting Am. Sugar Rof. American Tel & Tel Anaconda Copper

Sir Harry Railing (Chrn) in the course of his speech, sald: The Directors' Report shows a gratifying increase in the com- pany's profits in spite of re- duced selling margins in many lines. The good results are due to the increase in our turnover, and to greater emciences arising from our plant moderni- sation. Both sales and produc- tion established new records.

After allowing

Depreciation. £105,000 more than last year, and other Provisions, wo showr a pront Bethlehem Steat

for

€1,485,000

Armco. Stoel Armour

Baldwin-Lina-Ham. Baltimore & Ohio Bendix Aviation Com Bengunt Cons

Bosing Airplane

of £7,530,000 before taxation Barden (The) Co.

compared with £3.778,000 Burroughs Add Machine

K

in the previous year. Taxation Canadian Pacift t

Case (1, 1) Co.

absorbs £3,004,000 as against c.1 T: Finncial Corp. £3,358,000 and, after providing Cat. Tractor

for

Profit

attributable

to

Minority shareholders in sub- sidiary companies, we are left with a Consolidated' Net Proit of 3,452,000

ELS

Cotoner Corp. Chaco, Manhat, Bank

Chrysler Motors Colgate-Palmolive Co. Commercial Credit

Pak | Commonwealth Elae

against £2,360,000. During the lost eight years the company has in taxation seid

somo £20,000,000. The directors have recommended

increased

an

dividend on tho Ordinary Stock of 14 per cent. for the

Continental Oil of Del Continental Steel Com Products Crane Co Crown. Zelfbach Cuban Amer. Sugar Curtle Wright

| Diamond Alkall

Dow Chemical. Dupont de Nemours

Essimen Kodak

year as against 1214 per cent. Pano National Cas

Jast year.

Erie Radiroad ......... Fully Finance Corp. Your company's uninterrupted georgt belie

har | General Fooda progress, since the war

Ganemi, Matom

continued both in the capital der Pub. Utli. goods fold and the consumer difette Safety Razor

Clicken Co

field.

in spite of a slowing-up Goodrich (B-) Co. of rearmament output. The in Goodyear Tire crease in the output of capital de Chemica goods has been maintained over Homake Mining Co. the whole period and applies to Inland Shed Co.

Ingersoll-Bacat all sections. Our record, turn-erchemical Corp. over was accompanied by Beer. Mačices

Int Harv

record in orders. This again. Intereine Nickel applies to capital goods as well Internationed Paper

as to constumar. goods;

The reported was adopted. The General Electric Co. Ltd.

of England known throughout

John-banville Co.

Kane C.. Power & Light. Kennegots Copper Piggsit Mayers. Lob. Sockheed Alterati

Loews Incorp. the work as the CEC 18 Lene Star Cement Co represented in Hong Kong by Boulwine & sinhvile The British. Qeral Electric Merkel Iron Corp,

Bowenstain de Bour, Co. Ltd.

Mission, Dovalopment The consoliainted accmints of Monsanto. Chernial Ca.

mantemnery Ward The General Electric : Co.. Lida koprola Ins. show that the capital employed Nations Cash Big WAN

Daley Frad, DE Blat March 1956 amounted

to approximately?

and that the profit for the year Halloni Best Corg

that date

for

ther

York Chatrang

approximately wan liner. Olem The dividendi, pubes para Chik capital

14

tax. The company Bar Protu. Balt 60. 70,000mployees

United Aircraft:

U. S. Line Co.

Ü.3, Rubber

U.S. Steel

Warner Bros.

Westinghouse Electric West Va. Pulp & Paper Wentworth

43

4816

United Press.

WORLD RUBBER

PRICES

Singapore, Sept. 20. The market eased an lack of support and liquidaifan Future closings were:

No. 1 rubber per 1b.

October November

No. 2 rubber per là. Oct.

No. 3 rubben per Ib. Cat, No. 4 rubber per' lb. Oct. Spot ubber unhaled ... Blanket erETIO No. I pale crepa

Istanbul.

prico bt-

Ho said the gold should be increased tween 50 and 100 per cent "as a means of consolidat-

ing the world coonomia

equilibrium".-China Mai)

Special.

AMERICAN

COTTON MARKETS

RISING PRICES

Fear Of Runaway Inflation

New York, Sept. 26.

EXCHANGE PRICES

Stock

Businesson the Exchange this morning amount- od to $532,000, Noon quotations and the morning's dealings:-

EBARES BUYERS BELLERS SALES

BANKS

#KC Bank INSURANCES

Daton Lombard DOCKS, ETC. K. Whart

Dock Provident (Old)

1780

83

72 7436

C., Right (26)

Electric Mo Elec. Telephone...

INDUSTRIALS

Coment Itope STOLES,

Dalry COTTONS

Textiles 23 15. 100 @ 29.30-MISCELLANEOUS

Allied

18.00 135 10.00

2 ở tu 500 15.00-

Wheelock

LAND, ETC.

IK Hotel

9.00 9.90

10.00

041400

150000

* Land

Humphreys 20,70 21-000 20.00 Realty

Trust

2.35

16.30 000 # 18.30

421%

37 37.76

** 450 € 21,40

$21

CA'N

Montreal Stock

Market

Montreal, Sept. 20. Am Truster 200 24 30000 240 Industrial stock prices regis 10000 4 235 tered their

sharpest declines 40000 2.2215 ...... 3.20 3.221⁄2 6000 33,ince the Korean War, as the 4000 to 3.220 uncertainty of President Eisen- 5300 3.30hower's running for re-election

affected all

of sections

the market.

American businessmen are showing increasing concern at widespread price rises in various con- RUBBER sumer and industrial products, and raw materials. There is no lack of confidence however; busi- ness is booming. People are spending more money than ever before. And big business is spending a record amount for plant expansion and rehabilita- tion in expectation of continued prosperity,

But despite these manifestations of overait coo- Adence, businessmen were still looking for danger signs in the economy. The big fear; runaway indation.

that

So far, government offelala, their international operations. and observara are confident there Exporters are being encouraged will be no runaway inflation. by the boom abroad, which is They insist

prices the present increasing competitors* credit restrictions will help in some cases-more than they ceduca untoward excesses have been Increased domesti- in the economy.

cally-while many companies But this week, there way pre talking advantages of the through renewed interest in the almost liberal terms daily

export-import bank. announcements of price the exp increases on a wide range of

Thero

to be on in- appears items.

creasing willingness

to put up plants in foreign countries,

For

Exports Risc

now

American parters hope they can set new records for overseas sales this year.

Commercial, shiponents the first seven months during of this year are running 10 per above the comparable 1034

example: Sicel prices were marked up oven in those whose history of in July following a round of currency convertiblilty has not wage increases; some copper been good. It appears that the

abroad producers, hard hit by shortages, | move

may further strikes and higher labour ccata, accelerate in the next 12 raised their pric

prices to the highest months. lovels in

a century; new upward made for products such as fürm in television machinery

sets. plate and Industrial fabrics,

Some car makers are quoting higher

prices, ranging to about 10 per cent on 1050 models; one cement company has raised its prices by 25 cents a barrel Cotton futures today

These

only

few staged the best_recovery for

examples. In addition, prices any session in three months of many Industrial products are all parts of the globe, especially

Hetige selling and realising in the cost of living which

to Europe. market in the

Even

Thus, upset the

it is folt here, much few. minutes of trading,, al- has been steady for many will depend on Europe's BUCCESS though most deliveries showed months--is showing an upward in centrining Inflationary pres- net gains

trend. For almost two years thesures, which all too often bring cost of living index moved in a on new curbs on imports and narrow range, It stayed be- currency

restrictions United 1142 (1947-49 equale Press. tweet 100) and 115.2 from November, 1953, until last May.

New York, Sept. 26.

1484-146

on the day. 145 1454

Flaal prices, were up 13 to off 14014-140 130-130% 4 points. The market opened up 1324-133243 to 5

to 5 points. New Orleans closed 145-1451 1105-11232 up 4 to

4 to 8.

polnition 17-148 Active

houses, United Press. local and trade buying found contracts in short supply after last week's slow but persistent side to seasonal town.

NEW YORK MARKET

New York, Sept. 20. Rubber future today closed 175 to 210 points lower" with sales of 308 contracts.

Active liquidation and hedge selling

found trade buyers 1073% reserved. Weakness the stock market could have been an indirect factor, some traders

$22

**D9

300

1771%

67

cents,

of

44.35

40.50

30.30

DI

On

in

Br Wik

Living Costs Higher

In mid-June is showed a 0.2. per cent rise, the first in seven months. In July the Index moved up another 0.3 per cent. While these developments are not considered alarming, some observers attach Importance. to them and consider that they deserve careful study.

of

"If this pace continues, these shipments will total about $74. bullon by the end of the year." Exports have risen to almost

London Stock Exchange

London, Sept. 26. News of President -- Elsen- hower's lilness and lie affect on the U.S. Stock markels sent American dollar stocks reeling on the Landan Stock Exchange inday,

Issues also

Foremost among a

a combination factors

causing the turn about traders sald, was the growing in pression that political, pressure hereafter

will increase to keep

Inventories farm products on a rigidly sub- sidised basis.

Economists are also watching Contributory Bo thought.

influences in the build-up of inventories. cluded: Issuance of Dullness prevailed in the spot

During the second quarter, market, with reported sales in-expectedly small total of 400 bales according to the Department of Canadian issues shared in the October notice, 2. News of Commerce, total stocks of manu- decline, with Canadian Pacific cluding a small amount of December one sheets at 4615 booming business late last week facturers, retallers and whole- a major loser. All dollar stocks

Spot No. 1 Rss

salers were 20 milion yards of print cloths annual rate

werd building up at a closed under the British 151 quoted at 47% cents a pound. alone were booked for delivery compared with $1.5 billion in the Wall Street prices,

$4.5 billion, equivalents

of last Friday's Into the first quarter of 1958.

first quarter. The actual book

Mary

Baltish Trading volume and open value of inventaries on June suffered, although some sections interest in the Exchange today 30, through $10 billion higher mustered strength. Government than tho December 1954 low, bonds attached support under was about $1.4 billion

under

the influence of the stengwien- the record high in September.

ing in bawling, and some issues Meanwhile, while omcimis bollave the

boom will not get rose 51/- or more.

Rubber Issues also showed ļout of hand, American business-

glibs. men are apparently resigned to

Virtually all industriala closed the prospect that the boom will

and lower, ast at least another year.

But for the more Immediate drustica. are equally con future, they cerned about a similar against indation being waged in had losses of 21/- or more,

Foreign, bands were Ustless. other parts of the world

GAFOO Argentine issues

a bit. Japan,

Coopers recorded wide declines, number

disturbed countries.

the setback in the by: Industrial output in Western price of the metal and the Europe has

bean

making alump in dollar stocks,

Gold shares. attracted · Utre spectacular galas, and in some ecuntries, demand appeses to be attention, and Orange Free outrunning supply, particularly State Issuer showed scattered

Great Bellain. Recent

| lesson-Xaited Potes.........

213,400 2,003 500 bates

123

403%

4B1

Futures:

Dec.

40.35

Mnr. May

43.30.

July

41.70

Sept

Doc.

United From

were: Month Det

Volume 30,000,

Open interent

109,500,

12.300

120,500

LONDON MARKET

Mar.

20,300

JB1.000

London, Sept. 20.

May

33,300

409,800

July

10,100

207,000

The rubber market was un- certain with spot quoted at $2%

Oct.

10.000

128,900

Fence. Prices:

Dec. Mar. Total

500

Er,000

No. 1 I SPOR

42-4244

900

NEW YORK PRICES

2,700

ན

Settlement house term:

Oct.

42-4235

302 Nov

Dec.

Oct./Dec.

Spark

New York, Sept. 20. 4137-4214 Prices of cotton futures closed 414-4194 today as follows:- 4176-42

13.7

Jun Mar.

Apt./June

July/Sept.

381-38% 3614-36

Och

32.63

Dec.

22.73

Mar,

13.40

Nou.

4075-4551

MAY

33.60

Estate arcpe:

July

United Press.

Oct.

Doc.

32.17

AMSTERDAM MARKET

Mar

37.10.

United Press.

General markets, cif basis, parta:

reps thick Deh

Amsterdam, Sept. 28. The rubber market was.cary, Prices closed today in guilders: per kilogram, cit act, as follows:

No. 1 rühber

No. 1 rubber

No. 2.rubber

No. 1 crepe

NEW ORLEANS PRICES

New Orleans; Sept. 26.

Prices of cotton futures closed today as follows.

Spat

Oct.

Dec,

4.02 nom 3.07. .3.69

United Press.

Mar

May

July

New York Sugar Market

New York, Sept. 26. Werkr• No. 4 Bugar Dures closed" unchanged, with sales of *2 contraata,.

Domestio No. 6. magne Mbres closed 2 to 3 points highter with

Oct

Dec. May,

in

battle

oila tell back Royal Dutch fall Others including Burmahs and British Petroleum,

Indonesia,

and in West European. of

A

show the following

production gains in 1959 over London Foreign

1048:

Western Germany, 202 cent; - Japan 270; United Kingdom 120; - Conada

1207

33.10.

32,68

22.75

32,72

por

33.340

38.34

31.00

tinized Press.

Other Cotton Markets

LIVERPOOL FRICKS

Liverpool, Sept. 20. Cotton future closings, Ameri- can. midilling in pence per ib. were as follows: Oct/Nov. Dec/Jamh Both market cuina quiet Mar Auc with trade interente, on both a/June Köy | sidos, kn/rautina: operations.

65 sales of 102 contracta

Out,

Belgium 124, Sweden 131,

Exchange

Overseas Trade New York

With the emphasis these days Montmel on sparring East-West trada med international trada Ameri-CoachE CITE businesanda are mak|LANKENN log a new appraisal of over

seas. business goshliltims | Tor

.. London: Bapt.

example Geneset Matous Corp NEW YORK

bass autorisat

寄送

1 non-strategic cata-to-Bavlét:

Капорец

3945 goods-cspectateh

mail satellites. The U.S. Gaver

xpected tor

final decision in the mattan.

Buoyed by: pmspexity idi bourbet,

Exchange Rates Amerging

Now

129.2

UTATIS

Trans Alar Torry Yniali. Férry C. Light (0)

24.03 100 113 110

23 23.30 500 @ 232

1000

Trading was active throughout with losses ranging as high as xitio inima dollars-United Press.

P&O B.I. E&A.

COMPANIES

PENINSULAR & ORIENTAL S.N." CO.

PASSENGER/FREIGHT SERVICE

Outwards "CARTHAGE"

"CHUSAN" **CORFU"

"CANTON"

Leavea London Due Hongkong

Balled

30th September

12th October

0th November

17th October

29th October

14th. November

12th December

Via douthampton, Fort Said, Ade, Bombay, Colombo,

Pemng & Singapore

Nomewards "CARTHAGE"

"CHUSAN" "CORFU"

"CANTON"

Leaves Hongkong · Due London

Zist October

2nd November 10th November

10th December

21 November

29th November

101 Desember

16th January

Via Singapore, Penang, Colombo, Bombay, Aden,

Fort-Bald & London..

FREIGHT SERVICE

"SHILLONG" das 1st Oct. #alls 2nd Oct. "SUNDA" dus 14th Oct.

sals 16th Oct. "SHILLONG" tondu 25th Oct.

from U.K. via Straffe for Japan from UK via Straita Тог Зарап

for S'pore. P. Swetten- ham, Penang, Colombo, Aden. Port Baid, Genom Maronilles, llavis, Lan- dan, Antwerp.

Katter. dam. & Hamburg

With liberty to call at Belawan before or after straise Forts and at Bombay if inducement offers. Tanks avaliable for carriage of Oil in Bulk. Space for refrigerated ascxa. Limited Passenger accommodations

BRITISH INDIA S.N. CO., LTD.

*SIRDHANA? due 4th Oct. Kalla 5th Oct.

from Japan for Singapore, Penang Rangoon & Calzuita "SANGOLA” due 5th Oct. nom Calautta. Penang

„VULTALA”

Yokohama.

Nagoya & Kobe

Mails 6th Oct.

& Straits tox Moll.

8th Oct. sails ftis Oct.

from Japan

due

for Singapore, Rangoon & Chittagong

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

"QRDIA"

“OZARDA" ·

“"OBNA"

in Port

from' Karachi & Bombay sails 20th Sopt for Kabs: Csaka" Yoko-

hama & Nagoya

dae 29th Sept.: frank Japan. tails 30th Sept, for singapore, Colombo,

Karachi, Basrah, Khor ramehair & Kuwait fzan Karachi & Bombay- fer Japan

dao 9th Oct. RAUH 9th Out.

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

"NELLORE" duo ard Oct." from Auruvalla

lords 4th Oct. Los Javan “ARAFURA” – fonds 9/8th Oct; for, Sandakan, Bristianit

Bydney, Melbourna Adelajdo

All vessels, havn. liberty: to- call as any ports an or off the toule à, the zonin à saliing are subject. so, climago on- aziendment with or without notice.

For full particula, s applu lo- MACKINNON MACKENZIE & CC. OF HONG KONG LTE, Telephone Nus. 27721-4.

MESSAGERIES

MARITIMES

PO Box 53.94 Queen 35

VIETNAMIN.

DUR"

China Mal

FAST PASSENGE #FREIGHT

8th