1958-01-14 — Page 9

China Mail 德臣西報 中國郵報 All

THE CHINA MAIL, TUESDAY, JANUARY 14, 1958.

Page U

TRADE and COMMERCE SECTION

More To Resignation Than Meets The

The Eye

Thorneycroft: A Man Of Courage

Why__The_Treasury

Treasury NEW YORK The

Team Split

With Government

By RONALD BOXALL

London, Jan. 13.

Peter Thorneycroft is a man

admirers more

easily than

who wins friends.

RUBBER

MARKET

New York, Jan. 13. Rex rubber futures today closed 28 to 45 points higher with sales of 14 contracts.

Jan: 27.50; Mar: 21.00. May: 71.00 July: 27.05: Sept, 27.00, No: 27.0

21.10.

points higher with no-males Standard contract closed 28 to reported.

R

Jun: 27.50; Max: 27.00: May: 27,05: Jaty: 27 : Sept: 27.00: Nov 27.10 Jan: 27.00. After

dull and listless session, prices improved toward

dealer

bidding by Indications of factory

I close ou encouraged

Kendiness

interest were re-

Whatever he lacks, it is not courage, That was amply proved last September and confirmed in his resignation. Had his personal popularity matched his courage; had the point of principle involved been better understood-among MPs as well as the general public; had there been no one of Mr improved domestic

spot mark1, Heathcoût Amory's integrity to succeed him aquiry in the

at London, where -then Peter Thorneycroft's resignation continental would have shaken the Government far more than it did. As it was, there were only a few sardonic smiles at Mr Macmillan's euphemism-"these little local difficulties"--for the resignation of the entire ministerial team at the Treasury. But more much more-than this was involved. The point of principle at stake may yet affect everyone whose livelihood depends on a stable pound-and that includes millions who do not live and vote in Britain,

the

red moderate buyers. Shipment offerings here were reported on the light side. Spot

No.: Rs was quoted at 27,

cents.

SINGAPORE

The market

narrow

opened slightly wer on overscas advice and

within It fluctuated

mits in quiet trading.

There was some covering on reports that Djakarta would at- tempt to sell

011

New York NEW YORK

Market

Stock

New York, Jan. 13.

Utility shares rose at around their best levels since mid-1957 today in an irregularly higher,

quiet stock market.

n

Rain

Procter & Gurable Co. Pittsburgh Plate Glass Publicker Industries Pure Ou........ Radio Corporalian Radio Con

Pret

Shell Oil Co. Saint Reg. Paper Sinclair O

Investment demand carried Penn. Bat Co, American Telephone and West-Philip Morri inghouse Electric up more than a point each. US. Steel led or better than a point, its section higher with

Alrerafts strengthened. Chry- TOSU nearly point to oler feature a firm markel for the Autos.

Small Kata appeared in the automobile, aircraft, and metal sections. Steels moved higher under the lead of US. Steel. Oils registered several modest advancto.

Railroad shares managed to gain and so did score Amat

were around utilities which their best levels in a half year. The market opened irregular and moved irregularly most of the session with a lemer tane developing late in the day.

Last week the industriul and railroad averages declined while the market advanced. Trading today was light in most sections as the market tried to apprais

Traders the budget situation. her rubber concluded that there will be a Ceficit despite the administra- burter for about half of her total production, but that thelon stress on a balanced figure, New York Stock Exchange rumour was shortlived,

bond volume was $4,200,000.

Stock American

Exchange volume was 170,000 shares,

New York Stock Exchange volume was 1,860,000 shares.

1.104. or a total of

Lasuc traded, 538 were higher, 336 lower, 230 unchanged.

Futures:

No. 1 rubber per 1b. Jan. 7816-702,

Feb. 70-74

735-732

No. 2 rubber per . Jan. 70-70% No. 3 rubber per 16. Jan. No. 4 rubber per lb. Jan. 71-72

70-76 Spot rubber untated.....

08-700 AIS

LONDON

The cabinet crisis that 3rd up money value of the benefits that to the triple resignation has are received in kind-such as been represented as a unere medical prescriptions - has £50,000,000 of additional {suffered the same inflationary Guverunent expenditure. The rise as everything else

These are plain facts; one enanket rese facts appear to be these: during

accepl the annual Cabinet discussions either

the {nkuill No. 1 pale crepe on the estimates of depart-rising cost of maintaining mental expenditure for the com- welfare state--and provide for ing Bnancial year, Mr Thorney-i-or call hail and risk the

total side effects. croft insisted

Mr Thorneycroft that the should not exceed the current was all for calling a halt; the This, he main rest of the Cabinet could tot year's fure, ioined, was

the accept the risks,, both political accessory to success of his anti-inflationary and economic. polley which involves the treez- ing of credit in the private and nationalised sectors economy.

The Break

the

That was the situation if one looks no further than the lin- medinte chuse of

of the quarrel. But no one really believes thut was all there was to the row.

to be that The truth seems Mr Thurneycroft and his Trea- sury colleagues began to part company from the rest of the plea; Government before the esilmater

DAT-

werd

Mr Therneycroft Witx tially successful in his

estimates departmental trimmed by about £100,000,000. was then already The total below this year's level in real terin that is, after allowing

The rubber market was very. quiet with spat 1/10 pence higher at 23-1/10 pence. Prices: No. 1 Rea pot

Settlement house terin:

Fel.

MAT.

Apr./June

July/Sept.

Oct./Dec.

23-23 2035-2312

231-24

1-24%

Dow-Jones closing averages

were:

indutrials

utülüks

20 falls

16

40 bonds

430,71

100.67

70.35

140.36

00.20

Coun. future price index

153.03

Closing Prices

£ 7435

Allied Müle Inc. All Chaleners

Pitate crepe thin Jan. Estate crepe thick Feb.

2315-231% | Am. Brake Shoe

25%

Amoricon Airlie Arnerican Cable & Radio Corp.

American Cyanamil Co.

70%

Amer. & Porn. Power

Am. Cu & Electric

General markets, elf bars, ports: Allied Chemical Jan. Feb. Mar

AMSTERDAM

The rubber market was quiet. became an imunediate issue, Mr | Prices closed in guilders pep Thorntycroft made a stond last kilogram; clf January as follows: September: it was that in future No. 1 rubber the inflationary strain would not No rubber be taken on the pound.

No. 3 rubber

The N. crepe

for inflationary price increases. value of sterling was to be Only another £50,000,000-one | maintained whatever the conse- per cent of the tolal-had to be pruned to bring it level in

20oney terms 100,

This is where the Treasury team departed fron

quences for the home economy

in terms of unemployment or anything else.

That policy was supported at the rest of the the time by the Government and Government. Mr Thorneycroft by the majority of people who stuck to his principle. The rest understood the situation. And of the Cabinet disagreed. They it saved the pound from dis- aided with the Prime Minister | aster.

who wrote to Mr Thorneycraft

afterwards: "The rigidl applica-

tion of this formuin to be carried

out immediately and without re-

gard to any other consideration

of

Uneasy

But since then come members

Am. Mach. & Fdry.

American Metal

American Smeel

American Tel American Tob. "B" Anaconda Copper

2.20 nom. 2.17 kom. 2.18 nom. Armco Steel 2.45 nom. Armour

United Pres.

SINGAPORE

STOCKS

Singapore, Jan. 14.

Brokers today quoted the fol- lowing stock prices;

Bott Intang Rubber Co.

Ltd. British Borneo

Syndicate Consolidated

Attan Cona. Mining Baldwin-1am-1am.

COTTON

MARKET

Now York, Jan. 13.

Will US Recover From

Economy

Skid?

Washington, Jan, 13. President Eisenhower confidently assured the U.S. today that the current business skid would be followed by a vigorous economic recovery within a few months.

Не predicted that the ❘ was based on the asumption the momentum of the upturn would expected' boom would produce be enough to producO a pre- an extra two billion dollare in carlously balanced budget intexes next year" the now focal year although Brundage thought the decline be followed by “a sub- the Treasury now expeels to would

PREDICTION

go 400 million dollars into stantial recovery" before sum- the red this year.

iner. Eisenhower conceded in his Budget Message to Congress

In the

Cotton futures today re-that "readjustments" were tak-

sumed last week's

re-ing pince

In this connection, Anderson economy predicted that US, personal in- come would rise to 352 billion nine dollars in calendar 1958, losses up to $1.50 a balee past several FOLTS

billion dollars higher than in before the market favalled

1597, while corporate profits But he said "there are strong would remain

at 42 stendy ccbillion dollars.

Asked why he expected per-

actionary trend, suffering following the rapid growth of

GROUNDS

4512

naky

off.

the

70

Farm legislation uncertainties grounds to support my 50% overturned

new crop fdence that the expansion of deliveries while nearby months our economy will soon be re-

of sumed, bringing higher levels sonal income to outstrip busi- weight the

the profits this year, reflected

headging, of receipts with present taxes ness

Treasury Secretary sald only

accumulated

scane of it report against rates),"

recent purchases out government stock,

competitive"

of the The President's' optimism was that he expected business to be and the echoed by Trourury Secretary "more

would come Robert B. Anderson and Budget business recovery

F. Brundage too late to cause significant Director Percival

After extreme opening losses up to 30 points, the market closed net 8 to 19 points lower. Now Orleans closed off 6 points. Most of the action crowded After that into the first hour.

34

Republie Heel

401

Reynolds Meta!

33

Bears, Roebuck & ✡s.

2511

27%

4

40

177

leo Sugar

24%

314- 411.

34

4034

207L

12

3 message,

003,

agony Mobiloil Boier Alcerati South Puerto Southern Co. (The) Buthern National Gas Southern Bellway (Com) Standard Brackis Standard Öll of Cải. Standard Oil of Ind. Standard O of NJ. Steep lock (Toronto Exge.) sterling Drug Co. Stokely-Van Camp.

Studebaker-Packard Corp. Svetilno Mining Swift & Co.

Texas Co.

Textron Inc. Tide Water Aen. Oll Time Inc.

Twentieth Century Fox Funt Union Carbide Tinion Dit of Cai, Union Pacific Heliway United Aircraft United Gar Corp. U.S. "B" U.S. Gypsum

U.S. Line Cu. U.S. Hubber U.B. Smelting 0.8. stcel

Warner Bros.

Westinghouse Electric Western Union Tol. Co West Va. Pulp & Paper

Woolworth

who aw no long-range dunger changes in 1958 corporate pro- In currently rising unemplay.ts.

also said he fore- Anderson ment and dropping profits.

Anderson told reporters he saw another increase in the which did not expect the current gross national product,

between the market quieted with traders readjustments to last too long. WAG

430 and 440 and to read

study

billion dollars in 1957. recent casing in President Eisenhower's Budget He cited a

credit, 5 "revival" in home But he declined to say how the increaPO "growing con- much he thought building and The President recommended idence" in the future.

would be.

pausing

"Important farm programme Anderson 1190 said the

The gross national product is

11 revisions intended to save the President's record pearrtime the sum value of all goods and

taxpayer $348,000,000 in fiscal budget of 73.9 billion dollars services-United Press.

233

4124

1959. The recommendation, he

sold, will be spelled out short-

ly in a special message.

House Agriculture Commilice Chairman Harold D. Colley's that there statement recent

ü be better than 20 seemed to

50-50 chante for enactment of 33 new farm price legislation this year Increased recent buyer hesitancy.

30

-United Presa,

HONGKONG

STOCK EXCHANGE

Our Own Correspondant

Dmounted

Dullness in the textile market, the quiet demand for spot coltor and the reactionary swing to and most other com- prains

markets WC2B

modity

factors.

added

Atlanta irade reports noted for spút scattered inquiries

cotton, in the past week But interest said mill Memphis continued clow, although some sales were made in high grades Very for nearby shipment. few inquiries were reported for spring and summer shipment.

Volume Open laterust

0,500 231,600

Month

March

May

July

Oct.

Dec.

Mar.

May

Tata)

2,000 179,000

10,000

342,000

6,300

25,900

3,200

00,100

1:00 38.000

1,800 $6400

28,800 1,117,000

NEW YORK

Prices of coitin futures closed this today as follows:

Spot to appro-

39.5: Noon quo-

Business done on the Hong- kong Slock Exchange morning ximately $230,000. Lions

the transactions were:

UK Bank INSURANCES

morning's

4000

7D%

4035

and

131

8

Shares

10

Buyers Schlern

Kales

Baltimore & Ohio

2A

Beneficial Finance

10%

BANKS

Bendix Aviation Chrp.

61

Benguet Cons.

16/16

Bethlehem feel

Boeing Airplane

HELPING Wheelock

6.40

645 UG0

76

0.50 1,000 1

Borden (The) Co,

63%

Burroughs Add Machine

74

0.40 500 AF 0.45

DOCKS. ETC.

Campbel Soup Co.

K. Whart.

123

Cannulan Pacific R.

Dock

Co.

15%

Cat. Celance Corp. CIT. Financial Corp.

B01

12%

44

Chase Manhat. Bank Chrysler Moloss Cluett Peabody. Colgate Palmulve Co. Colombian Carbon Co. Commercial Credit Consolidated Edison Continental Oll of Del. Crown Zellerbach Cuban Amer. Sugar

Diamond Alkali

Diamond Match Cu.

Provident

LAND ETC.

RL 305

11.70 11.00

HK Hotel 15.10 13.40

HK Land

48 really

200+ $16

44, Tram 23.00 24.20 1100

(0) .... 10.70 0.00

10.49 Mar: 35.67; May: July: $3.00 Det: 34.00-82 Dec: 24.07 Mar: 4.57; May: 34.37. NEW ORLEANS

Prices of cotton futures closed today as follows:

Spot: 33.10; Mar: 35.08; Mlay: 35.83; July: 3584: Det: 34.78: Dec: 24.00 Mar: 34.50; May: 14.6,

Cotton

LIVERPOOL

In future closings, pence per lb. were as follows:

Mar/Apr: 20.38: Old contract: May/June: 29.60; July/Aug: 20.77-80; Oct/Nov: 26.86: Dec/Jan: 26.37.

New contract: Mar/Apr: 27.32: May/June: 21.60; July/Aug: 27.70; Oct/Nov: 27.76; Dec/Jan: 27.71.

SAO PAULO

Prices of cotton futures closed today in cruzeiros per kilo as follows:

Match: 42.20; May: 42.40; July: 43.30; Dt: 42.20.

In the United States, the

everage price of one-inch cotton

at 14 designated spot cotton mar- kets was not available.

Total sales at these 13 mur- 10.00 kels were 53,890 bales-United

Press, 26.70

32!

Opening

200

Petroleum

Smelters

Crd

Hongkong Tin Lil.

ve Lid Ord. Fraser & Neave Fraser Neave 75% cum.

pret Gammona (Atalaya) Lid... Hongkong Shanghai Bank-

ing Corp.

$1.70

41K

20% d 12.70

$4.00

135

33% RUDBER

40 Amalg.

1.50 1.329 0150 A

1.50

4714 Trust

41 UTILITI

SA

101 Star Ferry

3

C. Ligh

201

2007 16.30

$5.30

Douglas Aircraft

7185

100 28.40

$450

Dow Chemicala ....

2000

Good

Dupont de Nemours

1784

500

18.PO

Kumpas l.....

Kuala Kampar Tin

$1.05 32% 6d

Eastman Kodak

El Paso National Gas

215

Stacy E

ho

Maloyan Breweries

$3.4216

Firestone Tyre & Rubber

BU

INDUSTRIALS

New Berandat

Co.

Ford Motor..

$2.45

$3.421

General Foods

12.00

General Motors

30.03

Gon. Pub. Ut

1.Dass

Getty Oli

404 Sement

ETC. STORES, Dayə

30.40 18.09 40% Watson 1.70

COTTONS Textiles

200 @ 24.50

+

$10.00

Cildden Co...

33%

NAIJADA

4.50 6.40

4.00

$1.30

Goodrich (B, F.) Co.

MECELLANEOUS.

Goodyear Tyre

$3.10

Heyden Newport Corp. Homoglake Aining Co.

Lunas Rubber Estates Ltd. $1.05

"Tiubber

Petaling Tin Lid,

would do more harm than good. of the Government have shown For, as became clear In our dis-signs that they were becoming o to apply it terally lo uneasy. Risks that seemed cussions, must involve cute la vital ser- necessary when the pound was

the

surface vices including those especially sinking beneath affecting

looked definitely alarming once certain aspects

the Immediate danger was past faraily life."

One does not know what was Issue between Mr said In the privacy of the The Thorneyorol! and his colleagues Cabinet mom, but Mr Nigel is plainly not one that can be Birch, who was economic Stere discussed in terms of black and tary to the Treasury until

There is a white.

certain resigned, has gone on record amount of right on both sides; thus:

The

oul to win euully there is wrong.

the Katties Hotel the other difficulty for the observer is in battle of inflation;

was more right were not." deckiing who un balance.

This is the heart of the mat- ter. For whatever the rights.and

of wronga

the £50,000,000 question, the fact that the Gov- ment appears to be weaken- inst in its resolve to press Mr and-inflationary {Thorneycroft's

lengtha measuree to whatever are necessary to protect the pound, must have an adverEC effect on foreign opinion,

*We were

Singapore Cold Storage

straits Trading........ Straits Stenmanly

United Engineers Ord. Wear Bros.

exall-Cluna Mall Special.

Exchange Rates

is

18.00

Business was done in the local uboficial exchange markets morning at the following males; U.S. dollar per $11 Sterling notes (per £1) Australian Botes (per £1) Indonesian rupiah (per 100) Siam tical (per 100) Singapore (Straits)

Family Finance Corp.

General Electric

and

Steel Co. Int'l Business Machines Int Harvester International Nickel

International Paper

Int1 Tel & Tel

John-Manville Co.

Karas C. Power & Light

Kennecott Copper...... B. Likhed Aircraft

Mayers Tob. Ca.

1281 | LUCWs Incorp...... 1300 Lone Bar Cement Co. 21.30 Lowenstein & Sons.

1.41 McDonnell Aircraft

Block ATTY.)__ Masal Iron Corp. Minesota Mining

Cost Of Welfare

The Government's case is that Mr Thorneycroft's culs would luve meant reductions in cer- Quite tain welfare services. apart from the fact that these a political services are from point of view well-nigh SICTO-

It has been argued that this them sort any reduction in

was a matter that would have would involve the risk of a

beon botter kept private within bitter struggle with the trade the Cabinet. But the damage Is unions at a time when the cone, and it is now up to the new country simply cannot afford it.Chancellor and the rest of the

Lion Development Wage claims would have been Government to reassure holders

Monsanto Chemical Co. Intensified and any hope of a of sterling by their actions that ment continue to tolerato

Indation that lie lax control over Moterol ine. ....

Montgomery Ward eniente between the Gover-tile pound still cames firet.

National Chin 142. "A" ment and the trade union move- The Importance of the Gov-The quality of money allowed

have

nearly four years | National Dairy Prod. been ernment's example cannot be to develop

National Lead underestimated. The following 280. Its previous notions were

National Steel Corp. partly because

New York Central end inflation failed to Norfolk & Wastern y Despite increased clutges, the words of economist HB. Rore, Ineffective

from an article written before will to

Olin Mathieson cost of maintaining the welfare Mr Thornycroft's resignation carry conviction. T. at last, the

Otis Movators Gloyeen- services. has increased every and published last week in determination

Owen-2linola Gilaas the number

In uf Lloyd's Bank Review, abouldnt la platri, ita latest beneficiaries at each end of the hang in every Minister's offlea: suren carry the substance of an

scale the. old 1:200

Bective pollar where their pre- "It is now clear beyond doubt | dicemern throw only on the pensioners and the children

Moreover, has grown.

poklically nor shadow."--Express Services.

ment shattered.

year

08

would

The What

neither

economically can

the Govern

of the

the

Oxford Paper Co Paella tām & Bec. Pan America Ameraya Namemt Evoturan ka.. Porte Davis Co. ... Peony J.C. C.

(Am.

9416

Electrie... 20 20.00 1395

10.60

Telephone 20.10 20200 New York Foreign

INVESTMENTS Yanxtaza.. 1,025

Allied

New York Sugar Market

New York, Jan. 18. World No. 4 sugar futures closed one point higher to one point lower with sales of 281-contracts.

Exchange

New York, Jan. 13. Closing rates were: Canuda

England official

..

Australia

30-days

00-days

New Zealand Bouth Africa

Belgium

Kandim...

Pakistan

1.01 5/10 211 16/17 2.80 11/18 3.79 5/16 2.96 180 13/32 241 13/10

2111

Others unchanged-United Press.

London Foreign Exchange

London, Jan. 13. Closing rates were New York ........

ontwal

Analerdam Copenhagen Milan Paris

Domestic No. 6 sugar futures closed unchanged to 2 points higher with sales of 25 controrts, Zurich

World contract traders evened

021 up position today.

1435 Contract No. {world}: March, 6614 3.79; May, 37: July, 3.19; Sept., 3.79

3111 | Data 2.35; March, 355: MAY, 350; 8pol-crits per ib. fob Cuba), 380,

401

20%

161

Open interest: 30 contracts.

ockholm Vienna

*25165/70-4281 V/10

177 10/10-3.70 1/18 139.30-13.00

19.30-19.30 17511-179312

1170-11784

14.5095-1400%

10.26-12.301

Others unchanged United Press

NAMESAKES

Character, Answers-i Queen, 3 Films, 4 Exploits,

Contract No, domestic): March, Leech, Adventures, 7 Hiness, 8

585: July, 0.70: Hept., 5,75; Hollywood,

Steamboat, 10

6.3 Ophi--(cents per lb. eit Tough, 11 Gangsters, 12 African,

NE ADVERF), 8.00,

Open Interest: 1,429 contract. 18 Peirified, 14 Maling.

United PreO

Humphrey BogMt.

*

*

*

*

POBIE.A

COMPANIES

PASSENGER/FREIGHT SERVICE

PENINSULAR & ORIENTAL S.N. CO.

In Port

*

Outwards "CARTHAGE"

"CHUSAN”

**

PEINGAPORE” "CANTON" *BOUDAN** "SUBAT"

Leaves London Beiled 11/13 24 17/12). Balled 4/11 Sailed 7/1 Saied 11/1 Salla

Due Hongkong

20th JanuarTY

20th JanuRIY

Bh February

Zund Februscy

1th March

Leaves Hongkong

Dus LondAR

E

»

*

*

E

Kayward "CARTHAGE" 17th January

"CHUSAN” "CANTON"

"OORFU"

30th Janasry 11th FebruNCY 14th March

"SUBAT"

30th Match

"CARTHAGE"

11th April

17th February 27th Februar 24th March 29th Apri 10th May

Jain Max

Via S'pore, Penang, Colombo, Bombay; Aden & Ps. Bud

• "BURAT” omile Colombo & Bombay,

calls Genou Blareville.

BRITISH INDIA S.N. CO., LTD.

"SANTHIA” du 30th Jan.

"OLINDA"

Mika Sint Jan.

dus 10th Feb. sails lith Feb.

“SANGOLA”dua Itih Feb.

all 15th Feb.

front Japan For Singapore, Penang. Itangoon & Caisutta

from Japan?

for Singapore, Panang, Hango, Calcute LAILAKONE

Cross Calcutta, Rangoon, Penang & asigure tor Japon

P. & 0./B.. I. JOINT SERVICE

"ISMAILA" due 17th Jan.

*OETA"

*TTAURA"

"IKAUNA"

falls 18th Jail.

das 17th Jan.

salts 18th Jan, Tue 29th Jan.

sajis 27th Jan.

đơn tính Tôn.

ME 10 Feb.

fruen JacL

Kuwall

for Singapore, Borshry. Karachi,

Khorramshahr, asrah, Dubait de Muncat.

from Karachi, Bomber. Cronin & Singanoru for Japan

from Karachi, Bombay, Cochin Bingapore TOT Japan

from Japan)

tor Singapore, Penang, Cuchin, Bombay, Kare-

"Museas

Kuwait Death 6 Khorramshahr

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

"ARAFURAӾtlir 2nd Feb.

“NELLOLE" 0 đưa Anh.

for Labuan. Sandakan, Brisbane, Sydney, Adel- alde de ataldorne

From Australia

All vessels have Mberty to sali at any porta au ar off the route à the rente à satings arb subject to ekkage or amendment with or without notice,

For fal perdealur, minh da MACKINNON, MACKE IZIL,& CO. OF HONG KONG-LID Tebetone Me- 277214

*

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