1957-07-08 — Page 9

TRADE and

THE CHINA · MAIL, MONDAY, JULY 8, 1957.

COMMERCE SECTION

Pagë........Y

SCIENCE AL ENGINEERING

US ECONOMY BECOMES BEARISH SADDLE PLANE

Disarmament & Steel

Boost Upset Bullish

Trends In America

By JOHN MORKA

Now York, July 7.

HONGKONG

STOCK EXCHANGE

Our Own Corespondent

Business done on the Hong- kong Stock Exchange this

ACTION CALLED FOR

IN CONSUMPTION

OF COTTON

Washington, July 7.

SYSTEM FOR

PAVILION

French-Swiss architect Le Corbusier, Inter- nationally famous for his most unconventional. buildings, will soon be adding a new and stunning design to this series. It concerns the plans for a

1958 Brussels World Exhibition.

A leading American Textile manufac-pavilion to be built for Philips on the site of the

moning amounted to appro-turer, called last week for a "positive and courageous course of action" by and the morning's trans

government and industry to step up consumption of cotton products.

The $6 a ton steel-price hike by major Americanximately $175,000. Noor producers and reports of a possible Big-Four disarmament actions: agreement combined this past week to impart a bearish overtone to an otherwise bullish economy.

The steel boost was expected to trigger similar advances on all front, and virtually will affect every American consumer and business-

man.

a

by the at curbing over-expansion and Reports of progress United States, Great Britalos, a possible let-down in ceononfe France and Rumia toward an activity, will be continued. The

toward arms control pact spurred new emphasis will be fears

serious dislocations in further Lightening rather than an economy geared 10 a 38 any relaxation of culven) credit billion defence expenditure.

curbs, Mony experts have But the big news-and most charged, that the auto, housing disquieting in its implications and appliance Industries have was the 4 per cent rise in steel been lagging because

of the prlees announced by the US tight money situation.

3. With retall

BANKS HKC Bartk INSURANCES Union Lombard***** SHIPPING Wheelock DOCKS, ETC.

K. Wharf.. Dock

Prevident LAND ETC. lumphreys

Amalg

Land

clauses ticing prites to the cost of steel. On this basis, therefore, the customers will have to pay the new costs.

the Mernwhile,

steel

price RUBBER hike.came under heavy attack from many circles. In Congress, UTILITIES there was the charge that the steel industry is laying basis for situation which will require

and price Electric government wage mainly on ita tight money policy and is not inclined to consider any such drastic move.

ก

prices

At

Steel Corporation, the industry record highs in all but one lender, Other companies, in-

Steel Corp., or the past 15 months and with cluding Republic und Lukens Steet Corp. - the dollar at 49.0 per cent of lis nounced similar price increases. 1040 value, labour, unions are Jones & Laughlin, No. 4-pro- expected to key their new wire ducer, termed the advance as demands to purchasing power. "adequate".

Many look for a. set-up by labour for contract provisions linking wages to cast on wage

re-opening of For n

Repercussions

Guarantees

Buyers Bebera

1000 1600

20

7,75 1,90

Salce

10 6 1000

this design looks totally different from any Equally daring as several of his previous works,

existing building-form,

The Idea Philips had in mind By means of a system of to bring the visitors into a weights and lovers the various world in which the fascinating loads that can be excried - by

or les and

The manufacturer, C. A. Cannon, President of Cannon Mills Co. of Kannapolis, North 500 m 7.50 Carolina, said domestic consumption of cotton has technical possibilities of modern new

acoustics and lighting are com- winds were reproduedd, become "stagnant" compared with the great bined to offer a unique spectacle also the Fonda due to the architect to weight of the structure itself growth in population. He recommended-inspired the

create an equally unique space, were examined, expanded cotton production, lower market prices

his design Le Corbusier Strain gauges

to were used 400 a 10% and a hands-off government policy in cotton

bus broken with tradition and reveal any deformalions of the distribution to allow it "to move through normal | convention. It would be wrong, skin, all results being recorded

however, to channels."

see this break by a battery, of measuring in- merely as an escape into ab- struments, stractions.

This intensive research The revolutionary

In chape of the Philips pavilion we Delft has produced a wealth of owe to the fact that the creator information. To bulld the

2013.00

100 29.00 to the House Agriculture Com- 1000 29.70mittee.

100

100

44

4512

13.JD

3515 354

1.53

Fram YouThat! C. Light

23.10 23.30

100 104

GG0 150

23.20 103

H

13.00 13.50 13

100

20.60 29.90

100 or 20.00

Itape

...

Macao E... Tel.

27.30 20.10 INDUSTRIALS

32 13 STORES, ETC.

14.60 14.80

$115

10.20

1655 m

400 13

500

14.10

760 e 14.70

4,75 4,00

Bl

15.30

4.Cu 4.75

Textile Nanyang MISCELLANEOUS Ch. Ent. INVESTMENTS Allied

Vibro

Canon made his remarks inj buyers, at the same cut-rate 12.00 testimony prepared for cellvery price. Halo complained that the government-owned dleposal of cotton aequired under the price to foreign support programma He also indicated his opposi inuyers at cut-rate prices is tion to a so-called two-price copodising jobs of American system for cotton, recommend-textle workers. Ilo said the ed by come Congressmen, where- foreign mills process the cofion by the fore would be sold at into textiles which compete on world prices abroad and a' bigh- | the American market. United

er price in the United States. Prass,

FUNDAMENTALS

this year.

COTTON FUTURES LOWER

Labour on the other hand is Delry

inflation- watson becoming more conscious and the steel hike will COTTONS only add to new demands for further. guarantees agains! The sicel Industry's announce | Issues,

further erosion of money values. ment--coming thorlly after long-term labour pacts on wage

Cannon listed there as funda- Management, on the other hand, President Elsenhower appealed issues.

mentals needed "for our whole insists that the inflationary trend for restraint against wage-pricecelerate it is exported, the in prices due to were advances 4. Higher steel prices will ne has been caused by a steady rise

Law coiton Industry lo be advances as an anti-inflationary

vigorously alive and growing": curbis expected to have wide-drive for new substitules for not warranted by increased

-"An immediate and signi- spread repercussions. Many see steel, wherever feasible. The worker productivity. In the case NEW YORK RAWant Increase in the 17% 11 new wage price splint getting industry self gearing itself of steel, President David J. underway as a result, threaten for higher prices for wages and McDonald of the United Steel- COTTON EXPORTS cotton acreage allotment ing to push living costs cyên services, materials, likewise workers said big steel could have

-"A clear cut procedure for higher. The Government's cost-expected to step up its efforts reduced their prices by $6 and

New York, July 7.

New York, July 7. c-living index has hit a new for production cost-cutting-

still enjoy its best pront year. Raw cotton exports by destina-improving the net income post-

tion of the cotton farmer."

Cotton futures moved lower in all-time high for nine cone-5. Many Industries- part!- Another Inbour leader insists tien as reported in bales by the

"A sizable reduction in the quiet treding this holiday week, tive months, refeeting persistent cularly those which are that since 1946 the steel industry New York Cotton Exchange

straight weeks of Inflationary pressures, probably more competitive, such

as has had 21 rounds of price - tor the 1958-57 season to July 2normous cost" of the govern- ending four

ment's present.coton programme rising prices, The mos Serious économie appliances will find it incress-cleases Price hiker, he added, were as follows:` -- problem facing

United Ingly difficult to avold a further have yielded 3 in revenue for

DOZ.077 with further reductions in the Britalo Continent

3382,071 future, Slates today.

price squeeze or their profit every $1 wage increases and

Orient Living costs have thus inargins.

fringes benefits, The, US Heel Canada advanced 3.6 per cent over the į

Corp. on the other hand, points Total for reason********

Same period best years* past year, and the endi

out that its price hike soreltding inters-United Press.. nowhere in sight.

age hike effective since July 1. prompted by a 21 cent per hour Meanwhile, the Senate anti- committee has scheduled a 10- fuust and monopoly sub-

vestigation for July-9-11 of the recent steel prices advances.

the

is

The steel price hike expected to have the following long and short range effects on the US economy:

1. With money tight and *

interest charges at 25-year praks, the new element of price uncertainty is expected to have a dampering effect on business sentiment. Ou the ather hend,

clrcles some out that one of the

for

reasona

record

L

The Customers

10

their

One thing is generally certain most fel users plan to pass along their new steel earls their customers, although some

e openly worried about ability to do so, Accordingly some sicel companies may have to selile for lower profit-mET- gins, and there are even indien- Lions that others may hike prices disproportionately to the price

pola hike. prime So far the price picture is break somewhat uncertain. Some auto ing outlays for new plant and makers are treihed to mini equipment Is the desire to offse

mise à possible price hike for 1950 models. One auto these leader, figuring that each eireles ylst euch expenditures takes 1,5 tons of steel, will continue heavy clthough at

the pressure of higher labour the Cos16. On this theory,

2,404,041 The exclusion of any form

470.520

7,200217 of processing tax on the manu- 2.0045 factured product."

Exchange Rates

at

At Friday's close, the list ruled two to 29 poluts-10 cents to 1.15 # bale under last week's

close,

Nervousness anong traders

I have

of

acreage

into come

the

the

In

i bis

of

to be

Rep. Robert Halo said in a

statement acparate

that the over the coming government Department had estimate Monday Agriculture been "misleading" Congress under cultivation to cotton was about the cost of his plan to sell the main factor behind surplus governinent cotton lo decline. Business was done in the local domestic mills at below domestici

Private estimates on acreage uno Belal exchange. market Reporte of slow but steady

the market prices. The Department morning at the following rates:

in cultivation to cotton as of of "La Cite Radiante" in Mar- Philips pavilion in the manners estimated the cost 6.02 has

church at the London arma, U.S. dollar (per $1) ........ progress

at Roa- contemplated was found July 18.40 $37,500,000 annually. Hale said 13,598,000 and 13,905,000 peret

ranged from scille, of the

champs and of an entire town completely justified, and one is 'conference depressed major air- Sterling notes (per #1), craft issues on the stock market Australian notes (por £1) 12.43 t wouldn't cust anything be-

that this ualque and compared with 10,833,000 in the Punjab knows how to convinced 13.30 tadonkolan zupinh (per 100)

cause the government otherwise acres under cultivation

building. which Such bell sam seal per 100) past week.

28.0

at the deliberately choose new roads melhcd wether issues as Douglas. Lock- | Singapove [Ķtrails)

would sold the cotton to foreign some time last year. 1.00

again and again, and is the be- Philips are the first to employ, heed and United Aircraft, had losses pathing prices fo

Liquidation

sult of an ingenious play with will arouse a world-wide in

terest. 1957 lows.

market prior to and after the mathematical possibilities.

Particularly In South America, fourth of July holiday and erased i

The construction is essentially

advanced gain achieved

designs in a system of saddleplanes. It looks as if three hills with building are more favoured than anywhere else, this experiment The Commodity Credit Cor- harmonically merging slopes are will be closely watched." poration reported withdrawals | rising up before the visitor's from the 1956 cotton loan last eye. The highest of the peaks week at 21.032 bales, bringing lies some seventy feet above the total taken out for the season to 1,021,102. Entrics into the loan for the season were placed nt 4,820,762 bales, leaving a net stock under loan of 3,808,000 hales. -United Press,

new

Another disquieting feature of the new drive for economies in} стог arms expenditures has been the esti- administration play for stream- motes car prices will carry at Ining its defence forces in the least

$10 advance because of | light of an improved strategie

position using new weapons.

Reduction

the steel burst.

a somewhat reduced rate from Uie 1958 in the first nine months of 1957 are expected to be a per cent greater than last year, compared with the 22 per cent be Increase registered in 1858 over all the full impact has been the previous year.

studied. Some major contracts,

Tho. Immediate effect of the steel price boost will probably deferred for some months

2. The tight money pollesuch as for big construction jobs

of the Government, aimed and railroad cars, have escalator

WALL STREET

HAS NEW HIGHS

By ELMER WALZER

New York, July 7.

A grist of favourable news on business sent the stock market to new highs for the year during the past week.

At the close on Friday, the industrial average was eight-tenths of one per cent under the record high set on April 6, 1956 at 521.05.

con-

Mentioned also in this nection is this possibility that the US decision to withdraw troops from Japan might result in a general reduction in US

seme

ALARMING WEEK

ON LONDON EXCHANGE

proposed stretch mystification

and despair

London, July 7.

in

week.

conservative The

Another alarming week. British Govern- manpower. Cuts military perments continued their historic fall causing ronne! and civilian payrolls, njong with outs in milltary spending, might investors. War Loan closed the week at 69 9/16. conceivably affect the earning power of hundred of thousands sterling, lowest ever since 1921. War Loans of Americans dependent on de- tall this past week was 27/6d. and that of Old fence, work.

Consols 17/6d.

Elsewhere in the US, econom-

situation. In late 1950, the US economy added to stocks

earlier in the

Bank Of France

Statement

Paris, July 7: The Bank of Froncé statement

as follows;.

inc

the base.

where

By a revolutionary use of new mans, Le Corbusier, ħas obtalo- ed a highly interesting result, and, what is more, opened up construction completely new possiblities.

This method of permits a free span across the entire space. With a floor arta of about 5,400 sq. . . total space of about 140,000 cub. ft. is obtained.

You

After construction experts of

ALUMINIUM

1

international contracting VESSEL ON

firms had studied the atsign-

ment, the most interesting sölu-

Lioz,

a

construction in pre- stressed concrete, submitted by Dr H.C. Duyster of the Societe do

en Beton .et

decided

PONTOONS

Dingages (Strabed) of Belgium, THE Ancient Mariner Elven by the ferry, “Arrow of akin. Two thou

203,208,503,420 was ek

isla are encouraged by im- But there had been much buying in leading for the week ended July 4, reada provement in the inventory industrial shares which lifted Financial Times.

but index from last week's 204.8 to 206.4. From the low Tot gold holdings this year business has been of 178.9 January one this popular index has dipping into stocks and the economy is consuming more than enjoyed a rise of fifteen per cent. it produced. According to the National City Bank of New York

•

two

fences

Tetpl other FUT-

Sight, balance kbroad

În pu Advance to Etabiliza.

tion und

deposits

struct won. The whole would be outraged

1220330.00 thick

11,771,000,000 1 rand

zero

building

be

lab,

together the South," which plies

weighing about 250 tons, each

having a different shape and an between Messinn, Sicily, area of about 10 sq. ft. will be and the Italian main- 10,000 sus bandes between 4 ateel land.

330007,720,731 United Press.

cabler. A total of 10 miles cable will be employed.

of

<

Not exactly "shipshapo" by During four months a 1:25 conventional standards, there

The Bank Of England model of the building was test- are good reasons why the new

Statement

Feature the week was de-{ Olls looked rather cheerless Total bills discounted 2,030,470,333,028 so, far the gap between output funce of the owners of tobacco most of the week but Royal Bank note in eit- and consumption "has been a shares in the face of highly Dutch naertheless rose £I back Current acounts and

1957 high of £23% narrow one," amounting in the alarming, official report on the to the first quarter to only about dangers of lung cancer from sterling, Canadian Eagle gained bulion out of a gross national exonsive

use of élgarettes. 6/3d. and Anglo-Egyptian "B" up. product of 427 billion (season Shares ...of British-American | 5/-, Suci. Cinal gained £3 ably adjusted annual rate).

Tobacco

üre stubbornly to. £50. This implies, the Bank noted, bought and Valuation of all Hated leques, foreign copper output that may the now familiar pattern of off-shillings to nearly forty stallings

Germans were active, Young rose nearly 6 billion and trading raiso prices here; estimates that setting individual adjustments compared with the recent low of Loan non assented gained 1 increased to a daily average, off steel Gutput for 1937 will at rather than general liquidation. thirty-six shilings. Imperial and assented: 10/-. However, 7 2,314,365 shares from the pre- least equal the 15 million tons Others point out that the volume Tobacco vious week's 1,070,000 and was of 1830; outlook for a spurt in of buying in the US has in compared to its low at 37/- the polling and tell

improved to

suffered from 40/3d. pér cent Potesh

£2 both

London, July 7. the highest since the week end-adto production late in the year eroased steadily since 1955 be- previous week.

schradd and non-assented. Tokyo The Bank of · England, state- ing June 14,

or early in 1958 and a reduction cause of combined consumer,

|31⁄21⁄2 por vents non-assehted meat for the week ended July This uplum carrie In a holi- | in geoline inventories..

government and business spend-

jumped £3,

11. renda as follows: day week cut short by In- pendence Day, The market's The drags got a lift when it ing. This has helped keep the

Dollar stocks strength and activity murprised W Loarried a group of drug economy on an even keel. Na- the experts who had looked for companies had produced a new tional inventories, it is stressed, a dull, holky week,

+

INFLATION

-BU

"

both United Notes in circulation ...

Public depanty * .... Private deposito Government is securitiEU other securities ............. Brcepta

Unded

+

shares

2/- and Ford Motors up 2/00) have been unpopular. for the

NAMESAKES

But the market these days States and Canadian had a los drug

have dropped from the fourth impressed by official statistics of tron advertising this past week quarter of 1950 through early and these tend to show produce and premium rose

ale to ten Best going came into the 1957 trom & plus 4 billion dollare on in 1657 after o blow, start per cent, metals, streis, druga, olls to a minus 1 billion, creating and an upward trend. Demand South Afrian, gold come when building James chemicals, and situation similar to this start of holid shares life Courtaulds up

bliaing office equipments.

the 1953-04 recession.

FIRST PUSH

The Best Duits

·Congress · pesood u the housing ultimation. Moro Out of the 1,382. issues trud- According to the Federal Re-Bomb buging Intation was due last several years and they are thon, 1.5 billion of federal money | eð 191 advanced, bust, ainon Jan. skivė, Buik of Chicago, there is to inflation, conscious. ... v would be injected into showing (which 300 issues amined, Zhem) no: recession now because gov-

ed in every conceivable way in Vesel looks like a cross between (a space ship and a stuplane.. It tite Iaboratories of the stitute

for Building Materials has a remarkable fura of epced

12h of the Research, a department

Madé largely of aluminium, It Central Organisation for Apolled conilke of a keel resting on two Physical Research (TV.0.) and structures resembling zooplane In the Stevin laboratory, of the põhiome. Only the rear of the Technical University of Delft, kad and the propellen touch the The T.NO. Iaboratory, under the water.. supervision

Prof. C.tal

there is an unusual Inte Vreedenburgh, the enildent

petional devour in this vessel. plonem in the search; for

in Germany, 2-war-designed methodu and the op developed in Russia, patented in building plication of nev materials,

new

carried out all the theoretical at a cost of about 200,000, The Switzerland, and bulit in Bledly. and experimental work nects ferry, which is claimed to be sary for roughly analysing the practically unsinkable, provides stresses that will occur in the accommodation

for 72 people, ban a cruising speed of 40 miles, and down payments would be was only Báp lesbel and. 161 verlyndi spending has been on Hongkong and Shanghai Bank-light of evidence that sothe

Answer Exploring, z'Like, The behaviour of separate hour and top speed of |pproximately 62 mile per hour. cut under the bill, expected to its unghangod. A total of the upewing consumer Income Log Corporation mares kousines of gold and uranium a Paintings, 1, 4. ChameĎjoven Breslauseed-coronely com

lngineers are convinced that Both negathighs, bes continusa 62 gala and cor- | £74 beyonu: kaki.

khubad – Jin: Sá atavis. Lärger “vessels bt the mine de £101% on Towelp that no going to. "not" rich.- Anglo nerves, t. Clooney 7. Embctualy. B Then in mold succession game) užitie, 118 wkt now down al-Unitka počko Tuohta have held their the dividend cum proky, Will ER DER Jumped hearty bine zon Nwar, 16, 201 other marjort muoviué; - Cută în Phés,

DOL "PER PARšnited Press,

400 PRIA ADd 100 for

pigerne poti tradually returning toʻliques