1957-01-09 — Page 9

THE CHINA MAIL, WEDNESDAY, JANUARY- 1957.

TRADE and COMMERCE SECTION

Sterling Appears STANDARD OIL

To Be Saved

AMPLE MEANS TO

DEFEND IT

London, Jan. 8.

Whether or not (as some believe) Britain has sold her birthright to suve sterling, it does definitely look saved.

The With the IMF's relaforcement !

fact remains that the át the reserves, Britain scredit squezze, an indiscrimin

her determination shown

deflationary in- ate triternia) to

ffuence, is wildly inappropriate defend it; far more important, the US Treasury has shown that i te a crisis, which derives from not, an external accident and il regards the defence of sterling

like all previous postwar crises, as a matter of worldwide im-

from Internal inflation, portance; and drople means in defend it have been provided.

the Arrangement Together, with the IMF and the projected borrowing from the US Expor!- Timport Bank just about double the reserves, and possible dollar 1 costs several ilmes over.

covor

Other Ways

nny

At a pinch, the storing aven as a whole could find other ways of augmenting thom by ns much gain. The bears cannot in- dofitely orgue with that kind of money.

If, as is probable, the IMF arrangement would have sufficed, the Ex-Im Hank loan is redun- dant.

Still more so is the pledging of the British Government's portfolio of dollar securities as collateral for it: that Bank is so accustomed to making political

Stagnation

Already

1105 the squeeze enused eighteen months" singna- tion of industrial output. If the external

on sterling pressure bas licen tackled as thoroughly ns appears, the internal defia- tion is overripe for reconsidera- 1lon,

is that

EXPLORATION

San Francisco, Jan. 8.- Standard oll Co. ofl California yesterday an nouneed plans to apend 400 million dollar in 1957 for "ckpital and exploratory purposes

tlie Western lemis phere."

more

In

win exoced the record 305 million dollars spent for similar objectiven in 1956, according to Board Chairman R. G. Foilla.

Mr Follls said more than 250 million dollars would be spent this year for ex-· ploration

atlon and development of

oll producing crude propertien with 75 to 80 per cent to be sxpended in the US and the rest in Caneda and Latin America.

United Press.

WORLD RUBBER MARKETS

New York, Jan. 8. The rex rubber futures con- tract today elnsed 36 to 45 points higher with, sales of 356 contracts. has to be

11 must be carried on a bit

Assurance longer. made doubly sure on the costs- Inflation front no less than on the reserves front. But the evidence is

both the in- evid fationists and the sterling bears have lost, If their dofcal enn be rubbed in during the corning winter, sierling and the British economy can go places. China Mall Special).

locars that it does not usually New York Sugar

bother about collateral.

However

would

look

logical: using the Ex-Im money for dollar oll snd othe: Bucz costs so as to keep as much as possible of the IMF money in The

shop

window of the reserves, It might take a fair time to came through, Other countries' ndgotiations with the Ex-Im Bank have been known to take up two years. - -

Little Head-Room

Market

Now York, Jan. 8. World No. 4 sugar futures to- day closed seven to 13 points higher with sales of 850 con- tracts,

Domestic No. 6 sugar closed Shree to DOVET points highor

with sales of 822 contracts,

January March May July September November January

25.40

35.18-20

34,40

34.09

33.05

33.20

32.75

Standard contrael closed 35 to 45 points higher with no sales reported.

Alarch May

July

September November January

35.10

34.30

KUDA

23.55

53.10

32.69

WALL STREET IN ROUTINE MOOD

New York, Jan. 8.

Stocks moved in pretty much routine fashion

HONGKONG

STOCK

as Wall Street held to the sidelines feel for the EXCHANGE

most part that the list is in basically strong con- dition, many belleve it will take some surprise

piece of good news to generate demand enough to (From Our Correspondent) penetrate the 500 resistance level in the industrial, average.

WORLD TIN PRODUCTION

INCREASED

Business done on the Hong- kong Stock Exchange this morning amounted to при proximately That average closed at 498,-quotations and

$800,000. Noon 86, off 1.34 points on the day transactions: reflecting losses more than 2

the mornings

Britain's Cotton Industry In Better State

London, Jan. 8. Britain's cotton industry entered the New Year in a much better state of health thần it was a year ago.

Production is

now pressing against the ceiling of available manpower and has been rising steadily since the industry turned the corner of the recent recession in Auust.

points in Bethlehem Steel, Shares Buyers Sellers around a point in General Foods, Goodyear Tyre, Standarą K Bank..

DANKS Oll of California.

Bales

1070

15 A 1635

INSURANCE

The underlying promising

Motors moved in HrTow

283 020

range

7.03

7.15 3000 7.10

S

very. Union

SHIPPING with Chrysler Wheelocks.

and Ford A fraction higher. Docks, Etc. General Motors off a bit.

K. Wharf..

Provident

000

13.00 250 13.06 Among alle, Standard Oll of LAND, ETC. HK Hotel.. California and Gulf lost around K-Land

14.90 15 10 1500 65 13

Oily 2100, 0125 climbed feally a point while Barber

1,40 .... 1.323 over one. In aircrafts, Chance-RU

Washington, Jan, 8. The United States Bureau of Mines reported yesterday that the world point. production of tin during Of a total 1,184 Issues traded, 1955 was 179,400 long 518 were higher, 417 lower, tons, (content of oro) | and 249 unchanged, compared to 178,000 in 1954.

Vought and Boeing both fell Amalx.

The Bureau issued a world- wide compilation of compara- tive statistics, Including Com- munist China but not the Soviet Union.

New York Stock Exchange Electric band volumie was $4,580,000.

American Stock Exchange Mitoo E. volume was 1,100,000.

Dow-Jones." closing averages

were:

30 industriale

20 rakie

the

15 utilities

65 stocks

The annual

average in five postwar year 1946-50 was 137.300 tons.

Postwar gains in un produc- tion have been largest in Asia, and the chief continental decline was in South America,

40 bonds

Triephone

(O

+

factors are nine months of 1996. But the October figure of 49 million The British Colton Board, for square yards compared thyour-

statcs example,

that

the ably with the monthly average stabilisation of American-type of 37 millions in the third raw cotton prices has "substan-quarter. in eliminated the price This figure was at least main-

eid- vantage ofjoyed by Indian mills." tained in November and trade

of Imports

Indian

piece-sources believe some improve. have foods

been more ment in the rate of shipments Embarrassing to Lancashire may be expected in the dear

than imports of future.Chino Mil Special,.

-1.50 1.0255 20,000 a 1.525 producers

34.100 1.50 1.00

10573114 316 6 311%

Japanese cloths,

The fact that British woven cloth is now more competitive

Is a significent

Domestic Demand

demand has been

on by Sucz

THERE

UTILITIES Tram,

23.70

Star Forry

ouma

200 .143

12

C. Light (0)

103

23:00

with Indlan Kuin.

31 31

1400 312

9.35

24.40 24.70 235 23.00

Domestle spurred the

Cement

30.75

493.00 Robe

13 13.30

167.11 STORES, ETC.

00:20 | Dalry

174.23

Watson

1914 15.40

60,00 COTTONS

supplies

+ 7.03 1000 ar 7.00

5,00

Asiatic

4.90

(N) INDUSTRIALA,

Comm. future price index 101.09 Newyang Comm, apot price index....105.00 INVESTMENTS Moody's index

$35.30 Yuriglaze

Alised

Closing Prices

Allied Chemicals

ABI Chalmers

Amer, Cable & Radio Corp. pro-Amer. & Fren. Power

American Metal American Smelling Amerten Tei & Te American Tab. "I" Anaconda · Copper

European production made its ulled Mills Inc. largest gain in Portugal. futures The

market was Total African continental featureless with prices moving duction has been approximately up slightly on scattered covering stable In the postwar period, which was brought about by the but it doubled in the Union of failure of overseas markets to South Africa. fully reflect yesterday's declines here. Spot No. 1 rubber snaked sheets was indicated nominally at 351⁄2 conta a pound.

SINGAPORE

World futures strengthened on The market opened sharply heavy trade and commission off in sympathy with overcas house buying. The raw world | but heavy liquidation which Until its Bush tax revenue

the U3 price, according to dealers, was ensued were well absorbed at In mid-March, comes Treasury has very little head-indented around 5.25 cents a lower levels. There was a fair pound, fob, today, seven points demand for lover sheets. Toom left below the ceiling on

above yesterday,

Future closings were: the national debt.

No, 1 rubber рег 10.

Jun. Feb. No. 2 rubber per lb.

Jan,

Vatil then, finding what Britain wants from the Ex-Im Bank, On top of inding the dollars for British and probably also French drawings from thờ IMF, might take too manels of the Small remaining margin.

The rise in world futures in- Buenced domestic prices which

Futures: scored good gains.

Contract No. 4 (world).

Murth May

Spot rubber unbeled 101-100

1033-1037/ 701-4-1024

101-10115

No rubber per .

Jan.

B014-007;

No, 3.30-31

4 rubber per lb,

8.30

9436-942

330

6.30

Blanket crepe

83-64

4.30

No 1 pale črepe

122-124

.4.00

Spirent: per lb. feb

Cutraj

AMSTERDAM

0.30

The

market was steady at

Contract No. 6

1.60

5.50

eif Jan, as follows:

5.80

No. 1 rubber

0.91

Ne, 2 rubber

No. 3 rubber

5.90

No. 1 crepe

***United Press.

July If and when Britain does get

Sept the Ex-Im loon she will bo in Mareli curring come...avallable interest | May charges so as to pile on the agony for the bears.

As there is no longer even a sporting chance of sterling being devalued within the period of dny forward foreign exchange contract, the bears stern bound to get tired of Incurring heavy changes for nothing and peeing} the rate, run away from them,

Still, the bears are taking a jot convincing. Making sterling's may be assurance doubly sure good for internal policy.

of

Once the external position is asured-and, more important. when it is seen to be assured— it will be both necessary and safe to seek ways of taking up the deflationary slack in the internal economy.

Depressed Areas

At the moment the two most depressed arcits, motors and rgad haulage, could hardly be revived by any monetary means.

March May July Sept Spot-cents per lb, eff NY'

'ex-duty)

DOUBLED

.!

In North America, México's fin production has doubled since the second world war.

Molaya in 1955 continued to rank as the world's largest pro- ducer of tin, with output

of 01,500 toms compared to 00,090

previous year and in the annual average of 38,544 tons in the postwar years 1948-50.

Indonesia ranked second, with 33,308 i

compared to annual average of 22,775 tons in the period 1940-50.

an

Bolivia, formerly the world's second largest in producer, had tin' exports in 1950 of 27,921 tons compared to 234,710-ton annual" "average" in 1940-50.

China's production of tin 'was lower level. Prices closed 10-estimated to have increased day in guilders per kilogram, from 6.080 tons annually in 1940-50 to 11,500 tons In 1955. 2.00 buyers East German production in- 2.54 buyer creased in the Fame time from

70 to 800 tons-United Press,

2,04 buyer

3.40 nom.

United PreAK,

Singapore

New York Cotton Stock Market

Futures Fall

New York, Jan. 8.

Singapore, Jan. 9.

Armeo Stéel Armour

Baldwin-Limo-Hati. Baltimore & Ohio Bondik Aviation Corp. Benguet Con

Bethlehem Stool

Boeing Alpane Borden (The) Co. Burroughs Add Machine Canadian, Pacific R. 0.1) Co. G. F. Financlat Corp. Chrysler Motors" --**** Climax Molybdenum

Colgate-Palmolive Co. Consited dison Continental On of Del. Crown Zellenbactu Cuban Amer, Supor Plamond Alkali .... Dupont de Nemours Eastman Kodak,

Paso National Gas General Electric General Foods

General Motors

Glidden. Co. Goodrich (BF.) Co. Goodyear Tire Heyden Chemical Homeslake Mining Co. Ingersoll-Rand Interchemical Corp. Int'l Business Machines Int'l Harvester ... International Nickel International Paper Int'l Tel & Tel John-Manville Co

National Câuh Reg. "A" National Lem

.....

National Steel Corp. New York Central

Olin Mathieson

Otis Elevators Pacille Gas & Elec.

Brokers today quoted the fol-Pan American Airways

lowing stock prices:

Opening Boiu Lintang Hubbar Co, Ltd. 21.76 British Borneo Petroleum

Byndicate

the closure of

Canal, although depressive under-ordering by wholesalers and merchants 100 or 39o could not have continued even with the Camal open.

The prospect of

MODEST SELLING IN LONDON

London, Jan. 8. Lower prices Were the Interrupted general rule on the Lon. Japan and don Stock Exchange Today centres galvanised but the selling was modest

from

buyers

and

of

wavering strengthened the decision with much of it apparently. others

stermining from profit Imports of cotton piece-goods taking on last week's Inta Britain in November tha

CHICAGO GRAIN Arst month in which the effects airs.

MARKET

Chicago, Jon, 8. Most grain futures moved lower on the Board of Trade today.

square

of the closure began to be felt

were down to 14

British Governmèrits lost million or little more than or 4

monthly previous for the year. Indla has suffered more than

half

average

sterling each but all seemed to have a defnite hoor under them.

Declines in industrials rih Japan in this reduction, with around a shilling. only part of her losses attribute Egyption "B" off 5 shillings six Oils were heavy with Anglo- able to the longer, haul.

Soybeans showed some their strength following a small rise 674 made in soybean oile:

183

80

101

33

1814

Her experts dropped from pence and Royal Dutch down previous level of around almost as much while SNOU), 10 million square yards to four British Petroleum and Burmah Wheat million whereas declined mainly on forecast of

Japanese Oll lost lesser amounts, refecting British

exports to Britain dropped from

A Bttle above to a line from uncertainty over Esypt's hititude

} snow while corn dropped 100%

quidation

commission by

houses,

once the

the two million mark.

Suez Canal is This was a reversal of the Suez Canal held steady.

Diamond earlier in 1956,

shares

were flim In the export, Formosa pur-trend evident

been of US When Japan had chased 700,000 bushels

loeing reflecting price Increases 03- more rapidly than nounced for rough gem stones. soybeans. It was reported to ground day that France is presently in India. the market for some 4,000,000 bushels of US wheat,

A

י

Exports Dropping

Germons were virtually in- active and Japanese idle except for a jump of 1 sterling in the question that is being Tokyo 348 non-assented. Wheat closed off % 10.1% asked

now in

Dollar stocks were marked the booming soybeans unchanged to domestic Industry cents;

is now far lower with the premium

of dollar issues off 7% cent.

purchase exports will be affected by the the Canet's closure. Exports were off one quarter per cent to

the first per cent.-United Press, dropping steadily in

Prices per bushel in cents:

Wheat, No. 2, red

Soybeans, No. 2. yellow

243401

Mar. 24112(11) 2304(L) 2402

May

July

$2277%

Sept.

Nov

Corn, No.-2, yellow ... ·

Kansas C. Power & Light Keunecott Copper

381

Spot

Lockheed Alternft

Loews Incorp.

201

May

Lone Star Cement Co.

July

Louisville & Nashville R.

Sept

Nov.

Monsanto Chemical Co. Montgomery Ward

Kye

Mar.

May

Data

Mar.

Presiount Pictures

May

Parke Davis Co.

Penny J. C. Co.

Penn. Bult Co.

Procter & Gamble Co

Spot

51/-

Radio Corporation

Jan.

36C7|

March May July October December Morels

31.15

33.19

33.10

Smelters Ord. Fraser & Neave Ltd. Ord. Fraser & Neave Lid, DES

cum, pref.******* Dammonia (Malaya) Limited.. Hongibor & Shanghai Hende

ing Corp. ............ Hongkong Tin Ltd.

Repubile Sterl

Mor

Shell Oil Co.

May

$2.00

Sinclair Of

July

Bocony Mobi

Sept.

$4.00

Southern Radway (Com.)

$3.07

Steep. Rook (Torontoex.}

Barley,

Standard Brands

$360

Standard Oll of Cal,

Spot

8/31

Standard Oil of Ind.

Kempas Ltd. mooming

$1.45

Standard Oll of NJ.

Luna Rubber Estates L20.

6.60

Studebaker Pickard Corp.

Malayan Breweries ........

$2.90

Swift & Co.

10

New Serandah Rubber Co.

Treza 'Co.

May

53.06

"Lid.

Union Carbide

Petaling Tin 114.

NEW ORLEANS Prices of tulures closed today

follows:

ames Hotel

Singapore, Cold Storage

South Brilah Insurance Co.

$1.00

U. B. Line Co.

$22.50

Siraia Tru Chirog",

*27.25

Spot March

Straits Steamp

$15.40

34,20

United Engineers Ord.

10.60

*34,30

Wearno Bros.

$3.97

24.00

-China Mall Special.

33.12

23.17

23.7

33.00

Cotton futures fell more than what had been coated Tin gained gradually for the last four straight sessions today.

At the closs, the_list ruled Spot Short term, the needed trick three to 21 points lower. The not to revive consumer goods | market opened unchanged to in much ways as relaxing the 19 points lower, New Orleans hire purchase restrictions closed five points lower.

of

though that will be a high Most of the day'a activity priority eventually: the out- took place in the morning with standing volume consumer the new crop months the heavy credit in Britain is no longer too | losers ΟΙ commission house High even in the emergency; it selling, and nearby deliveries Is for too low for the longer rue, easing on liquidation which

The more urgent trick is to offset seme trade buying.

stimulus perhaps by

The The casing of new crop May me general relaxation of the months was attributed to a re- credit

squeeze to divert some port from the Department of inderemployed resources Into Agriculture that the Government March the capital investment that is so

price supports combined with an May desperately needed, emergency export subsidy, would be more beneficial to cotton farmers thốn

or no

emergency tin

July

October December

ZETO

33,00

LONDON METAL

PRICES

LIVERPOOL Every day of continued under-airy other programme that las Prices of finures, closed today krivestment in Britain is one

London, Jan. 8. been used or planned.

In pence per lb, as follows: more day of important gain by Trading quieted down in the Old contract Mar/Apr.

Prices of metals clound today Germany and important loss by afternoon with some contracts

May/Julie

2550 in sterling per long ton as I- Britain. The announcements on holding around their early low

bukiterm "deffers

580 201 760 709

defence burden, the atomic levels. tommé, má higher steel | prices to to the heart of the problem. They are as encourag- kig as they are overdue.

No Chances

Más no charieds "dare be taken

at

- July/Aug Oct/Nov. Dec/Jan.

sports for the season to New contract Mar/Apr. January 3 were reported 2,092,737 bales, against 080,000 in the Hike perlod last acason.

LESK

20.30 Love:

25.10

Tin spot

2875 | 1-monday-

Hay/June

20.00

Juleffa

2003

Coppie społ 3-month

Oct/Nov.

Dec/Jan.

15.30 Lead. ame hale

Zine 1st half;

21814

SAO PAULO

Futures elöwings, in“ eruzeiros pen kilo were fis followe

The certificated stock held | Egyptian Karnak Jan/Feb. unchanged at 3,037 bales.

Month MATCH May July

With sterling, the credit squeeze October

Volume. Open Interest

$25.000 301,900

18, 200 411.000

0,900 100000

Has told to continue, in spite of December 2,400 9700

its being 26 Inappropriate and March

M

of its serious impact on invest. Total

Koht: Liskusketa butput, tho

Eriklook, the interest debt is the balance of payments, and ́ ́tid natomía future.

800

0,800 193,100

$1,000 1,100-110,000 00500 1,140,800 balen

རྞ │

NEW YORK

Match anglistik

MAY

JURY..

Dolober:

December

In the US the pribo was urtavailable;

Exchange Rates

Pricos af hulurds closed today failed: 45,081 baina, M. UNITAA | Encangkan

jah (pár 150)

this

Union Perine Railway

United Alterati

V.8. Gyr

.9. Rubber

Breulting

Warner Bros.

Westinghouse Electric

West Va. Pulp & Paper Woolworth

-United Pres),

New York flour

200 b, anck

130-145m

$13.400

United Press,

New York Foreign Exchange

New York, Jan. 1.

Closing rates were:

| NEW YORK METAL Condo

FUTURES

New York, Jan. 8.' Prices of metal futures clošča today.in cents per tb, ns follows:

Jan

Load

Feb. Copper Jan.

Tia

Jan.

NAMESAKES

Houyimbrimis,

Selentišta: 1 Horses.

1635b

10.300

19,20p 13.00b

England 30-day futures

Australia

1.03-15/18 2.701% 2773 90-day futuros

New Zealand

South Africo

2,70-3/14

Z.79-11/10

United Pros,

London Foreign

Exchange

London, Jan. (B2),

Closing rutes véré

New

2.70

Liutpat

72.70-2101

Zurich

United Preg

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