1956-08-06 — Page 1

London Exchange

Had Most

Trying Week

By C. T. HALLINAN

London, Aug. 5. Stock markets had a very trying week. Outside the old building-which dates from 1801-the winds blew and the rain pelted down and inside it the jobbers and brokers buttonholed each other and An conadderable

of plywood explained what the Government should do Chests, aluminiura linings, cotton

about the Suez Canal and "that from

Nasser."

Colombo

sald

importing Arm

company

surcharge

eto

Japan, and the

would inevitably

CALIMO

price rise.

#

Increase prices for ply wood chests and aluminium linings, he mid,

could detri-

eventually have a mental effeos

the Lea Indtistry-United Press.

un

West Germany

Reduces Steel Duty

man

One unpleasant feature of the Potash bonds which both gained week was the continued selling 2 sterling; the Young Loan was of British Covernment securities unchanged and the Dawes Loan, which are traditionally regarded both assented and non-assented,

"the safest investment Woa down A

low

shillings. Japanese to the world."

were certainly weak. On Wednesday the FinancialThe 1930's assenied fell 4 sterl Times Index of the market value ing while the non-assented wos

here os

of government stocks tell 83.84, the lowest 11 bern shee it was started 100) in 1926,

to down 44; Tokyo Electric has ever 21. the 1924's lost 2 and

(ut others from to sterling. Chinese bonds became active

lost

the

Govt Losses

in spite of what looked on Thursday ke some institution- al buying. the medium-term and long-termi government stocks week closed 1.0

with ranging

shillings

Luxembourg, Aug. 5. A temporary reduction pence:

to 8 up Old Consola losi

losses

that

were some further froe- | Řising coststed as the cause tlon. The basic economic situa-i in West German duties on much and War Loan lost 6s 3d.

Hannal losses on Wednesday.

Strong Showing

the previous year, the Departxpert observers was the over-

The total of 450.000 ment saki. baleset a recorti,

Most of LEM- was exported! Kingdom

Sudan's

collar

the

on

But more important for many

xtrotur

ut showing make desile the pressure on The is Al market-clase Wethesday, The Dew-Jones in- United striat The

average WAN 518.09, Smaller

only 38 points from the high or 521 05 set on April 18.

Stock prices ate thus left to { have

week's last regnated

now that the initial buoyancy. shock of the Suez Canal meident has been Kolonnie factors polities thetors-will

to and India

Ger- onlies went to West many. Haly and France,

volume 'St. record export

poble partly was murde Carryover sliek, the report sukd.

Vuitend PrUAS,

ورا

largely discounted.

so than thus re-

Jabour were

for the increase

the

Westinghouse Electric Cor- poration, a major manufacturer, last week, announced that company would raise prices

except bousehold appliances ..

equip automatic home laundry ment--$1 to 10 per cent August 15. The expected rise in

on

tion does not seem to have been

pre-

hin past week but closed with net losses of about three-fourth sterling-United Press.

Can Production

Hits 40,000,000

Taking the week us a whole, impaired by the steel shutdown, imports of iron and steel Suez Canal shares Tell sterling

New York, Aug. 5, been ap- £534. This may be viewed

in the Production of cons High Au- against last year's high of 112 United States will, for the first

sterling and 1947's high of 137

time, exceed 40,000,000 units in European sterling. National Bank of Egypt 1955, it is estimated by Ameri

Com-

fell 2 sterling to a low of 13% raci Can Company President, sterling.

W. C. Stolk. 1955, output the Olls were incessantly in

He based 89,200,000 cans.

WALL STREET INDUSTRIALS

JUST MISS

the case 01 from

Was

ה!

has To many the US economic ple- products ture looks essentially unchanged proved by the

with ofhy comparison

the great many thority of the strike period.

Coal and Steel others, the strike has provided o

for a big second- | munity. strong busc half 1950United Press.

West Germany may now picture on the theory that any his peak figure on the estimated on ordinary Egyptian interference with their production of No. 2 cand-the reduce her tariffs

would Industry's standard. stoel to a level of two per cent use of the Suez Canal

corresponding Bene-cut unto their profits. Shares of above the

Mr Stolk sukdd the actual pro- or Royal Dutch fell 1% sterling to rates. In Aux

82% sterling and those of Bri-duction figure would probably be strels imported speciai

betish Petroleum. Burmah Oil and larger because of increased use third countries, tariffs may

"B" all lost of aller

cans, such as those lowered by one to two per cent, Anglo-Egyptia

around 6 shillings. On o per- for concentrated fruit juice. The West German sirces close to centage basis these losses were American Can official said the

and did consider really moderate

not continuing increase in production High Authority

reduction alter the fact that these are still of neat containers reflected the the authorised

industry research, are expensive shares. although they adequate,

the Among

Industrials the which had developed many new lower than those originally re-

movements were highly erratic types of cans and new uses for quested by Germany.

Friday but by

they were existing containers.-China Mail The MOBL Special. New York, Aug. 5.

Exporte here feel that no un-virtually all down.

interesting

exception The stock market just missed setting favourable repercussions on the Vickers which rose I shiling to economics of other ECSC coun-43 shillings 3 pence, just under 1956 peak of 44 shillings; be- new high record in the Dow-Jones tries need be feared. However,

hind the

buying was apparently should the réductions cause the conviction that the clash 2003 are frankly concerned over the industrial average during the past week.the position will be reviewed

Benelux, which with Egypt would

iron and steel Government Community-scheme

The Bank Of England

Statement

ast themselves in the future. according to the experts.

Much of the pressure on the Nie 1 viewed as technical- ly inspired after weeks of al- most steady gains, although no one overlooks the Suez Canal market de. development as a sterling ! prONSEAL, 1970.215.01Ó

Londen, Aug The Bank of England state- twent for the work endel Ang 1. pois as Millows

Take г

virculation

Politby stepmintis

Private dejavila

Dover ametit meebrities

Quer ecurities Heipts

14,3472.1130

274,642,099 re

11

on the vil front. CONDOTT with 249,311,623 hexy Mudle East commitments

#

23.106.043 70 Listed HAL

risug They uppern

Middle East

tensions.

tu be making 13

The

for

Replanting Rubber

Kuala Lumpur, Aug. 5.

Re- Industry Rubber The ndustry

the planting Bourd raid in a report dan view" of

The Journal published today 84,977 nere Mexican proposal,

United Malaya had been replanted with

rubber-Reuter,

לנו

Commerce atlet...

Press.

Mexico Retaliates

Against US

Cotton Subsidy

average

SETTING NEW HIGH

Dow-Jones

industrial

came

plans, however,

rerouting

Thursday the tankers from the Suez vis

within one-tenth of me point of They are Cape of Good Hope. watching closely the diplomate squaling its record set on April 6. Actually that's my average vi moves at the London

shore for less than two cents the 30 induudriole on the busisR of the weighing of the average.

Anyhow, the market shot for e peak of the average.

conter. »nce of the foreign ministers of the rent Britain, France and Dosted States, for clues as to what policy to adopt.

Toll Question

Ure

the

When the sore was tallied at the chee of the fast session i was found

Industrial that average had scored ils best weekly

gain satce July 6, that the rails had done more poorly but

And Koined nonetheless

As to the controversial ques- tion of toll payments, American jou) compaNIES were understood to have adopted a "business as usual" policy. Payments, it was expected, would be made, as nuties at their high set a new

in ofther

London, the past,

quarter century inak. Paris ur in Cairo in local cur- rency. Theron mu

much concern in

Picked Up the United States that should the Canal be closed to naviga-

tion, there would be a new pinch Tracing picked up too with shipping sales averaging 2.331,375 shares

on cargo mace facilities.

and

If Egypt should raise the tolls daily, best since the week ended

then

40

Jn

May 11.

on

to

ou

#1

11 Metals hai good markets several sessions. A strike cutting

haif aluminium production

the ardour for didn't dempen

Jurninum issues Coppers rose as prices firmed for the metal.

Better Gains

the

difficulties

the lowest has

M the tariffs China Mall Special.

in

US RAW COTTON

Raw

EXPORTS

New York, Aug. 5 cotton exports

its

Was

Fucres

ہو؟

Russian Cotton

force

for

to moderate

reducing defence

the its

Production To

|expenditures.

Be Increased

Japanese Weak

Moscow, Aug. 5.

of about plain

But some of the well-known A barren unes were down about 2 shill-2,450,000 acres in Uzbekistan, Ings-Woolworths and Imperial in Soviet Asia, will soon pro- Tobacco-and the others like duce up to one million tons of Courtaulds, Imperial Chemicals, cotton, Tass reported.

Ford Motors Rolls-Royce and

were down about a shilling.

by

North American demand

was

Large-scale work to put much of the area under culti».

Among the better gains in the xeneral list were Bethlehem up 7%: Alcon 64: Amerada Oll 6%. Boeing Aeroplane 0%, Chrysler

Douglos Aircraft S, Great destimation as reported in bales reflected in Borax Holdings de-vation will also result in the Northern Iron Ore 5%. Inter by the New

Ex-ferred shares which rose 1 steppe producing great quenti- national Nickel, 9, Kemmecott change for the 1883-66 season to sterling to a new high of 16% ties of meat, dairy produce, 7. Magna Copper 5.

Gulf Oil lost 3% points on the week. International Business Machines were down 17. Inter- national Harvester feli 3 further cutbacks to bring inven tories into line.-United Press.

Cotton Move

on

York Colton

July 31 were as follows:

Britain Continent

Orient

Canada

Total for season

Same period last year

"excluding inters,

sterling, International Nickel, up fruit and grapes, Tasa sald.

Three Irrigation capals, a 18% points to 200, approach-

compared rallway line, roads and power 087.077 ing to 204 shillings 1,218,034 with its high of 208 shillings.

170.806

supply lines will be built on re-

2,102,020 3,445,473 ground.

agency added.--China

138,123 Foreign bonds in general lost claimed desertland in Uzbekis

Almost the sole ex-tan, the ceptions were the two German Mail Special.

-United Prem.

Futures

Higher

New York, Aug. 5.

Cotton futures moved higher last week in

quiet dealings.

At Friday's close the list ruled 19 to 42 points -95 cents to $2.10 a bale-higher than the pre- vious week's closing prices.

or should it be necesary to use

There were many favourable route. the the longer African

notably Some developments, In price of many commodities

excellent carporation reports, the US would move sharply

There were a few bad ones, toc, higher. Manganese, lin and rubber, New York, Aug. 5.

umong others. would tably Chrysler's which showed All of these cum-drop in the first half of 13 per to the Useen in carnings compared with Tariffs, subsidies and quotas occupied the cost more.

modities are vital

the Wall 4 year ago.

The Suez Canal incident ap- attention of the textile industry this past week. economy. According

00 per about

ap- of the

Agriculture Street Journal,

the parently was forgotten until the Following

Department

used of all tin cent

States comco

from Friday session when it was re- announcement several days ago that it would Used

working

plans of its be per cont subsidise export cotton products to the tune of Malaya-though the Bucz. More vived by reports the Arabs might

Western-irald rubber ComTs through the nationale

fields now that Egypt of out 6.58 cents a pound there were loud and immediate

waterway. Thirty-five

100 every

coup. tons of manganesly has succeeded in its complaints from abroad.

The

were sold ol

Eastern oils which comes from India, Canada, best US customer, The cotton grey good market about 99 per cent comes through again on Friday after their break cde week before when Egypt "chmping", and Mexico wallowed in the usual summer the Canal. crlod

But acted to take the Cansi.

Most of the advance reflected | expectations. One survey, placed Lime retaliated by informing Chrys- doldruma, relieved only slightly

The US economy meanwhile this

more domestle and foreign price fix-the prospective production Arst

they were ter. Ford and General Motors by moderato fourth and

has emerged from the long steel

ari came back from Ing which met only light hedg-12,722,000 bales and the other at ing despite heavy ginnings. 13,200,000, as against 13,000,000 that beginning on Nov. 1 all parte quarter tices, mot strike with no apparent damage, the lows.

steady prices Small lots of the country for at

although there is less certainly brought into

Steela mounted to new highs' The advance early in the week anticipated by the trade. sheetings, print cloths and about the niter

effects, To

Last year's production as Assembly in Mexican plants

Specialty fabrics made up the he

the the contracts were drawn to mainly reflected the increase of the National City Bank

The 12 points in the July parity 14,721,000 bales and the average would have to be paki for by

for the end the long steel strike. economic prospects barter arrangement for Mexico bulk of business done last week,

now are being readied price, which sot the official loan over the past 10 years 13,008,000 to Mills continued to operate at 4 fourth quarter "look better mills cotton that would amount

full-time price for middling Inch cotton bales,

The low estimates were, suid-l now than before the mid-year, for resumption of roughly 60 million a year and reduced rate, most of them

despite the steel strike. It now production. US Steel Issued its at 32.74 ct (o 40 points

minimum to reflect drought conditions in tako up a third of the Mexlean four toys, two shifts,

finds the economy on an evan first half report showing record above the tentative

loan price set earlier this year), parts of the western boll where keel, with many of the uncer-sales and earnings.

substantial acreages have been the first half tainties during

Routine Sessions taken out of cutïvaljon.

crop.

Meanwhile a battle loomed between importers and domestic mills over the rising trend of foreign twine Imports with US spinners demanding a tariff.

Tariff Plank

was

Break Even

at

This past weeks reports from cleared up. It sees fewer

goods manufacturers inventory worries, knit

In-

improvement

for stoel pro- awestern, underwear, and other strong demand

items. Colton knitted

yarn iducia, es a factor making for a markola were quiet but steady, fourth-quarter business gain.

Poised with prices holding firm..

dicated a good season ahead for in the auto Industry, continued The Bank Of France!

Chuso

Statement

Paris, Aug. 5. The Bank of France statement Bank,

steel for the week ended July 20, Inflationary reads as follows: 1.

At the samo Ume there talk of recommending a tariff

The Chase Manhattan The man-made fibres market however, вруз that the plank in the Democraile plat form that would add the Amari was in the worst shape of all. strike, may can textile industry in its night Depreered for months, rayon trends in the United States. The against Japanicee Imports.

wenver and producers alle US economy, I said, appeared to Tot sold holdings

TOMM other And to further intensify the look with a minilead aya, on be delicately poired between in-

Imcles and deflation. This Bight belative abroad tarlit issue, 34 textile and ap the future. The autumn nodson Ration

In EPU tho fabric balance could, be upset, parel industry tradio pesciation for man-matte

Advance to Stabilise- tion Fund, PA270 lendices made plane for a now tolly begins within a few Bank added.

most

Among the factors which Total bills discojarted campaign this autumn lo combat weak, busi even mara strongly the throat optimistic market men hoped might work in the direction of Notes recirculation posed to the domatte feduetry only for a break-even Beacon, astadion 21or shoal peloos, Durrent abordstar and

deposit by Japan.

United ProONE.

pressure for higher wages in

Abre

even

Export Needs

at

The Wednesday and Thursday sessions were only routine with

Market men pointed out that moet traders dwaiting the Clov ermanent's first trop estimate of bullish implications of the pro- the new, sensor on Aug. Bspective reduction in the crop.

On Friday, however, the dia wore minketilmed by the already tant deliveries moved up more burdensome supply and the fact than 5% at one time on short that the indicated output is still frane obvering Brolight about by a largo in, relation to anticipated 301,204,302,20 Department of Agriculture an domestic needs of around nine nouncement that a total of millions bales in the 1963-5? HOLL- $1,003,000 peres of cotton land | Hot 197,818,100,000 had been deposited in the poll

rbanic, acreste rywerve for 1950. out of Commodity Credit Corp. The drum brivate crop estle stocks they, ad, and the only mates on Thursday had very us. In coof home needs is apparent lodáite piece for the 1ittle effectódź the market Though they were below - trade, the loan, United

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