1956-05-14 — Page 9

THE CHINA MAIL, MONDAY, MAY 14, 1956.

COMMERCE - SECTION

TRADE

Attempt To

Whittle Down

Page

US MOTOR INDUSTRY HIT Banking Polley New York Cotton

HONGKONG STOCK EXCHANGE

Business done on the kring Btock

Hong- Exchange thin morning amounted 10 B proximately $5 13,000. Noon quotations

the morning's transactions:

and

THARES BUYERS KELLERY SALES

BANKN

1K Bank Ear Atta

INSURANCES

tininn

Lumbard

SHIPPING

Waterboat

..

DOCKS, ETC

K What -Duck

www

175 20 ban

ن اللع

21

UZ'

1

142

38, 39, 2000 & 304;

171300

200075

500 382

Provident (0) Wheelock

14

20

1 AD

2000 875

LAND. ETC

HK Hot

UK Lan

Humphrey Really.

RUDBER

A. Rubber

UTILITIES.

13 70 13 80 900 a 13.80

2001 02 132 (

1740

143) BU

140

Tru... 22.00 22 10

Star Ferry

140

Y'at Ferry 107 110

Electrie

Buntin

Telephone

INDUSTRIALS

Ceipent

Rope

BTOKES FR

Dairy

Wasson

COTTONS

Nanyang

Number

NY Industrials

Of Unsold Cars Suffer Wide

Makes Little Headway

By JOHN MORKA

New York, May 13. US auto manufacturers scheduled new production cut- backs and layoffs last week and appeared to be making little headway in whittling down to more manageable levels the huge and cumbersome stocks of unsold cars.

Decline

By Elmer

Walzer

New York, May 11. Industrial shares this past week auffered their widest decline on the stock market since the week ended

|January 20, Asido from that

section the market showed strength among the mafor groups. The rails lost a trifle. Utilities rose 0.72. their widest weekly guin since March 9 when it was 1.36.

Production is down 22 per cent from a year ago, with Dealers are com- the so-called independents hit the worst. plaining about dwindling profit margins and bigger operating costs. Layoffs in the automobile industry are mounting. Latest arst three days of the estimates place this total at 137,000 in the week ended April 28.

this year's Stocks of uneali eters are at weck

in the likeably changed from and 172,067 near-record levels. As of March | penod in 1955.

models, with some new mechaal- some 903,800 mulos cluttered Meanwhile, General Motors cal features. The Industry al

pared somewhat in March

since

WWIN but

climbed

for a

Rails were the stars for the

weck Demand for the rails reflected favourable statements 07

the earnings this year would match thong of 1955 despite higher operation costs.

scen

Utilities which are hard money up salesrooms of dealers all over said it would close down its auto is expecting that 1057 will see a

[investment issues reflected the the country. This total

assembly plants tomorrow untliboost in price.

tight money market which is to Art its production Meanwhile, Waller Routher 1. cliry

as good for utilities but more in balance with customer President the United Suto bad for industries,

Workers Union, called derwad

Il 'was tight mey and a The mitomobile glut has cut int labour-management vun horde of disturbing news from dower sa auto earnings this year.

to deal with ferenco

what he the automoblie industry that lift mate the best described General Motors

05 an "alarming"

the industrial shares "big situation in the auto and showing of any of the

farts three" during the first quarter.

Reuther equipment industries. its net income during the first | said his own estimates show that

ceal, | 60,000 have been laid off quarter declined 8.6 per

100 22 70

the gure has

| during April.

300 m. 108

82 20.20

|

E

lot

With time running out before 2014

the new 1957 models go into pro- duction late this summer, 22 40 24 000 - 221

1801 11 90 of people aren't so sure the in-

(dustry isn't heading for trouble

22

345

300 33

{

1020 2010 10

This

10.00 11 100 10:00

Textile Corp $36 535 1000 at 20

MISCELLANEOUS

Allied

1.K. & FE

Invent

30 3 10

345

LO GO 11 10

Exchange Rates

Indonesian miplati (per 100)

Blom, tical (per 100) Singapore

(Strait)

10.00

10.10

0.40

GM Best

past week

€2,000

Laying off

priced oul companies which

and

with 127,129 in the preceding tremendous profis.

Uncertainty Affecting London Tin Market

Rumours Rampant

And

up

Timing Review

Mn

ol

Before

Challenge

Canberra, May 13,

A 2.unyate member': bill to amend the Govern- merit's banking cofitrol has been introduced In the Australian House of Representatives

Policy

Government member, Mr. H. Bato Political ob. gervers sto his bil

challenge to the Goyern- ment's bank control polley. 537 Bate said the bill was desighed to separate the Commonwealth Trading Bank con

completely from the Commonwealth Bank and place is under Independent policy management ny well ALA Independent scoprical management.

The curent banking legislation, which sponsored by the Menzies Government, provides for single control of both the Commonwealth Bank and the Commonwealth Trad- Bank by A Board under the obairmanship of

bank governor, China

Mali Special

U.S. Textile

Now

Market Review

New York, May 13.

business in grey and finished cotton textiles dis. at developed

WIDE GAINS

the market

ran into trouble on Thursday, there had couragingly slow pace last been some very wide gains at week. tained by Issues outside the group

tu calculato the averages. Even after the selling, sume of these issues managed to seve good gains.

LESCXx

Futures' Late Rally

By William T. Plunkett

New York, May 13,

Cotton futures climaxed a week of extra-slow dealings with a smart closing rally. At Friday's close the list ruled unchanged to 45 points-unchanged to 2.25 a bale-higher than the preceding week.

Nearby July contracts came the outstanding leader on the recovery. Buying in that moreth was encouraged by ita discount of more than $8 a bole under the spot May delivery,

will

whore

dealings

supposed

Monday.

Technicians July contract would some of the strength

end on

the inherit

apparent

in May for some time. The spot month has held at the season's best level of 35.08 cents a pound for more than a week. Open

in May at the week end

estimated werc 25,000 bales, stock totaled 12,428 bales,

contracts

around

SLUMPING

TEA PRICES

Colombo, May 18. Slumping tea prices has caused Commerce Minister R. G. Senanayaka to allow the shipment of medium teas directly

London to the

The certificated Auctions without any restric

tions.

Uncertainty

The

This concession will be valią until June 30, it was announced today. Shipment of high grown teas will continue on

present basis, the government allowing 32,000,000 pounda to be ship ped directly to London. There in the earne are no restrictions on Tow

growns.

Until late Thursday afternoon, trading moved along at an ex- tremely quiet pace,

daily average of sales ranged around 60,000 bales, the volume done period a month ago.

The belated buying spurt co- incided with reports that few, if

10

about half

a1

The government has been par mitted shipments to the Minoidų Lane

auctions of 05,000,000 pounds yearly, divided equally between high and medjum grown teas.

The minister's decision

was

tens

U.S. SUGAR BILL TO BE PASSED

compared with declines of 28 General Motors, 18,000 at Ford crat and 08 per cent, re- and 46,000 ist Chrysler this year.

any, additional sales made dur- spectively, for Ford Motors and Studebaker has laid uff 7,800

ing the week out of the govern→ Chrysler is Chrysler.

this year, with D,200 out of work

Mill executives said the buy- ment's surplus stock от ruw udditional The terrine competition in the at American Motors,

ing boom in print cloths under cotton. [ workers Since mid-December | industry lips laken the tall of the

way at the end of April, shrivel. Uncertainty Over govern the company has dropped some major producers as well as the

led to near a banishing of events ment policy for handling export 37.200 of its hourly rated em-so-called independents, with the

Industrials at 501,25 off 15,10 on | included: 1. The slow-down in sales of surplus raw cotton ployees, And Chevrolet-berelo- | latter hardest hit General fore the only one of the low-Molors accounts for 55 per cent

Reuther called for a review of the week and rails at 177.07 of consumer buying in the wake of competitive world prices, and a prompted by a virtual collapss 0.20 were at their lows of the persistent UniSeasonably cold- disposition to avalt congression of prices in the Colombo ted of auto producitos, Ford taking the auto industry by municipal, week at the close on Friday, rainy weather; 2. Haw cotton al action on the farm bill, were sales on Tuesday when prices of maintained productions #2

1956 20 per cat. Chrysler has about company and union representa-

registered Examples of the weekly losses price uncertainties; 3. Curtailed factors acting to shackle market most grades | levels-announced a 10 per cent 16 per cent, and indications are tives. He suggested a review of in the industrial department demand for industrial fabrics: 4.activity in the forepart of the drops due to

the decline cullset in May compared with that it will ing even more this current inventories as they relate give a clue to the biz average

The

stook markot reversal, with wook.

quality and the pressure dis-decline. in the

to normal market needs, a tocat | April Busines

It has meanwhile luid off year. That leaves only about 4 Was don

Du Pont fell

Some traders werė confused huge stocks offered for sale. 74, securities losing nearly all of the unofficial exchange market this 5,500 workers

cussion on unemployment in the Bell the past per cent for the two indepen~

Bethlehem Steel 0

decision made from the April tow over the market reaction of the The Allied gama

government's morning at the following tulong-

and 5.00 three weeks. The auto industry's Studebaker-Packard and lodustry, automation

its Chemical 632 U.S. dollar (per $1)

reports of small sales made so

· Chrysler ·-2%, point.

means that dealers will thus ke Sterling notes sper £}}

car mulput hit the lowest levels American Motors, both of which effect.

General Motors

able to withhold medium "Poor weather" can be blamed for under the export programme. 14. General Australia notes

12.40 of the year last week. (per 1.

He suggested also a discussion Foods, 3, Texas Co. 7 and US more than anything case for the Limited Output lost money in 1955. General

sales, they felt, are from the Colombo sales for totalled" 114,047 units, compared Motom

Ford rolled

of possible measures aimed at Steel 2%.

the shipment to London without present shadowy business picture contrary to the object of stablising production and

plan which is to move out the restrictions-United Prest the Aston ployment and a review of the Pacifle gained 84 on the week.

rails, Missouri for textiles, one observer felt. timing

The outstanding business done surplus with expedition. of the Introduction of

the Guins in the speelals ranged to | last week involved

Some traders explained males DI new models as it affects the in-more than 6 pointe in Hertz, around 15,000,000 yards of stimulating market effect of the dustry. United Press. last week the spotlight

Food Machinery, Owens Corning tobacco cloths for third quarter smail sales as a technical maritet Fiberglass, and International delivery to the U.S. govern-situation. The buying spurt was was on Studebaker-Packard with

credited to traders who had put Machines United Press.

ment. Apart from that, other its disappointing flist quarter

out hodges in the futures market

Washington, May 19. useg of tobacco cloths moved in anticipation of being among the House and Senate conferees carlugs report * disclosed

slowly while loss of

they watched the 14.3 million for the

successful bidders for govern- | agreed last Saturday on a gom-. uncertain course of raw coltonment cotton. When March quarter. That's double

the mer-promise gar bill expected to New Delhi, May 13.

prices. the deficit a year ago. The com-

chant failed The UN

to get the cotton speed through both Houses of Economic Cominis- ware of some 30

expected pony's sales

he presumably im- | Congress within tiils week? sion for Asis and Far East re-

PRODUCTION CUT

mediately bought back his per cent from the 1055 level.

vealed last week its Mineral

The May 13. By Laurence Meredith

conferees adopted Meanwhile the

has Resources

The darkest

the hedges.United Press. portion of сотрону

Development Sub- been having trouble raising new committee will hold its second

After business being done at

formula which would strike over 86 cents mark carlier in picture centred in the market for

the extresnICS millions for its future operations session in Tokyo on June 12-17. the morning

*wide Industrial makers, London, May 13.

US RAW COTTON on Saturday, the and company sexecutives have The session will The tin market continued to

consider market sagged, on lack of trade mills working on wide goods cut

EXPORTS be been huddling la New York to mining development in Asia and support. At lower levels trarle production from dv

find a solution for his financial the Far East, make a preliminary came in again and the market certain what types of fabrics will But with Detroit still un- days

New York, May 18. wracked by uncertainty and its prolonga- plight.

survey of legislation governing closed slightly better. Futures: be used in 1987 cars, some tination as reporter in bales Raw cotton exports by des- tion has reduced investment interest in tin

No. 1 rubber per lb. May - further curtallment may be put by Rumours have been rampant mineral developments

June 815-0942

the New York Colton Al! week that Studebaker region, and discuss a report mining shares on the London market to a

a group of geologists and mining No. 2 rubber per lb, May 84-8415

July unquoted into effect shortly.

Exchange for the 1955-56 season Puckard was seeking mong engineers from the region who

Yam spinners repeated the to May 8 were as follows:- non-automotive Arm. have been visiting in with low ebb.

No. 4 Europe

story told by the weavers. With Britain Mentioned

frequently is and it will also make a study of

the slow trading pace in asics Continent aeroplane Curtiss-Wright, оп

the fuel economy of the region.

yarn for the past two months, wine, wanaying a

manufacturer. Curtis- United Press.

southern manufacturers have been able to catch up on back- sin the offing, acknowlatges

lage booked during, the fist that it has

has been

negotiating

with

spurt. quarter buying

Some Studebaker - Packard. There's tak

spinners thought market activity also that Studebaker-

will resume in a few weeks, but with the probablity of slightly lower prices.

Tin circles here said that the United States Administration's decision to continue operating the Texas City Tin smelter for the time being has not completely resolved the present uncertainties that exist for the industry since US reports say the national stockpile objective for tin is likely to be completed by June 30, whereafter the Federal Facilities Corporation have power to offer tin on the open market.

|

4

most

merger

Packard is seeking new defence

orders to bolster its credit posi- tion or else some new sources of working capital.

Now the

company mys that whereas it once had planned

conTM

The market here is anxiously would rise to £800 per major changes in its 1957 models awaking now some public state-ton If the international agree-12 is now thinking more ment on the amount of intake ment should be followed by a servative lines. Changes in the

now modals will of ones which the Texas Smelter 25 per cent cut in production.

be "more ecn-

UN ECONOMIC COMMISSION

in

Singapore Rubber Market Singapore,

No. 3

Spot rubber unbaled Blanket crepe No. 1 pale crepo

LONDON MARKET

H

81-82

85-65%

..... 101-100 United Press.

STOCK

QUIET

By C. T. Hallinan

London, May 13.

BITC

to four

In rayon grey good, dealers the prolonged period of slow business has been com- plicated this spring by cold weather. Millions of yards of goods remained uneokt that normally have moved into spring

Slammer and

stocks. Price caskiess has been noted at the

The stock market was rather quiet this past grey goods level as well as on will take. To avoid any dis- Bolivia has the highest tinned it announced, disclosing turbance in the market this production costs in the world. A that it would clase down 6 week. Now and again a good company report bas some print cloths. United Press.

£1,000 per tansembly plant in Detroit about

would have to be in the region figure

of

of 12,000 to 15,000 tons annual- has been quobodi. This is chiefly June 15 for model changeover

The trade here say this is to the difficult types of de-No resumption date has

the amount of surplus expected posits in Bolivia plus the fact given.

03.

been

Less Pessimistic

by the end of 1080 and any that the mines have to be

greater uptake would create a worked at on altitude of be- shortage.

Production Costs

tween 13,000 and 16,000 feet,

On Bolivia, Strauss has this to

employed istically

say: "However, as she will want Industry louders talk optim

Statement

aroused buying or a disappointing one has inspired selling but in the main people seemed to The Bank Of England be preoccupied with tidying up their positions,

But the trend was downward in British. Government stocks and in the leading industries. The biggest movement was the decline in oil to keep her mines

about the future. (under any conditions, and since They're counting on a big pick-shares. Meanwhile, Indonesia's rati- she needs the foreign exchange up in sales as the weather turns fication of the International Tin derived from her din ore ex-seasonably warmer. They insist This section was apparently penco and the oll shares were Agreement is onxiously awaited: ports, she da unliicely, to cut pro- the cold weather so far has very much upset by British up 8s 6d. The intentira - commitee of the duction, even if there were hampered sales efforts, International Tin Council

met substantial tall in the price," this past week to complete its Nigerian mines are spid preparatory. work for the now agreement. Once Indonesia rati- des, the agreemTICILE can come into force,

¿

Petroleum'e

"phantom divi- Unilever lost 4s, Marks and. dend"! erroneously announced Spencer lost 2s. 6d and a long are last week by a news agency list of familiarice Imperial not the United Press and Chemicals, Courtaulde, the two apparently' В good many tobacco glonts and Woolworths dustomers of all shares cleared lont is or 18 6d. out at least for the time being.

British Petroleum,

British Government apart despite

by the excellent real dividend, lost B

to Auto dealers, however, show a profk if the producers less confident about the future

can reb betweŠTI. £700 and They're complaining about the £700 per long ton for their tin, profit margin" is being narrow

ed, they say. Many dealers haye No Estimates

already had to close up.

..

:

The

news

London, May 13, The Bank of England state- ment for the week ended May D, rends as follows:-

ster Has Note in circulation.. · 1,336,001,1 Public deposits.... Private deposits.

Government securities Other securities Recepita Ratk

10,723.044

307906.638 238,561 829 40,272,071

0,7 -United Press,"

Statement

Paris, May 18. The Bank of France state-

No cost estimates are" avoti, dustry turned out 2 million and a with the sector, is the accomuditing", tapidly a rehly 3, reads as follows:---.

tranic

A. Strantes and Company, Limited, the London metal mer- chanta have

interesting

The less pessimistled in the in- oll's Ocellent reports and Its were certainthet-dated on The Bank Of France the Siamese industry emphasise that by any shillings, closing the week at seem to display a sensitiveness In Slam, things to say in this month's re-

each day,They often production standard other than the record 1338, while Royal Dutch fell to news of any port that sug port on the tin industry about eyndicate estimates production costs in tin minon in caste varying betw.com 2350 1055, this year will be a good 1 1/8 sterling to 11 1/5) stereosts train. melation to the price ranges in and £000 per ton.

fony for the Industry, /

iing, Canddian Eagle lost 5 North America in April were the exports to the deuubational tin pgreement,

"Burman Oll 18. Ona which were Inld down "almontable for Indonesia but. Strausa cata in 1955, and estimates are

encouraging Gat first glancement for the week ended May done as similar to that will certainly out prices pre high and the ins acopiate Supply of gold and a gold hole 2014302, 126 three years ago.

estimates the now agreement | Malay,"

In Malaye produc more than 6,000,000 this year Vestors current return on dollars for the autumn month fetal piher currebaer there is a price span Of 2720

Dosta

are the lowest with sales expected to be pretty dovidends is low, likes as War Loun-ended the Week Arhi infance abroad

18,004,000,000 u, kon to £800 a ton within | dem the word art thủ mạch in tng with production courage to sol than: "buy"""" down, 17% 6d in more normal US 102,110,000,000 which the burer stock manager best Bunopen

l not operate. Below he can panies

The industry also hopefull bug and above, sell: Steven after government royalties about selling 21958 amaiah Now a

Etroues poitred out that the have been paid. But faith the lot of people who won't, Howie, amicoot the upcoements country a whole, including the be paying Silgh men pricin

priop

• PRIMER, ALE MEDALI, Kubinase minus, # 300 (de/30krype. | 1957-mpdelayn Thane abadi dati sly, dover costs, while corte,, United PromG

to

Blue

qla Kiumea, movements of Biz de UD ASYance to Stabilis

for down, would ban anough for Toomi bitta qiacolir

and

191,700,000,000.

∙1,305,000,000,00

2,8TH,080,000,000

gf the nationalisation stockca

Current RODOLATER RIG

1

Orient Cinada

Tetal for season Same period last yea

• excluding inters

modium between

the Dominican

of trustments for Cuba Mexico, Peru, Republic and other suppliers.

Coreign

which would go into effect next Under the compromise formula, January 1, Cuba would market an estimated 11,854,000 toris of in the United States over sugar 100,710 4073 the next sour years.

During the $64,501

same period, Peru 117.400 would be permitted to market 1,551,970

2,031,500 some 291,000 tons; the Dominicom Republic, 221,000 tons, Mexico, 152,000 tons.-United Press,

-United Press,

TYPHOON MAP

$5.00

codes in force as from 1st April, 1956.

100

$4. UNMOUNTED

South China Morning Post Ltd.

HONG KONG & KOWLOON