THE CHINA MAIL, TUESDAY, MARCH 11, 1958.
TRADE and COMMERCE SECTION
"LESS EMPLOYMENT, STRONGER POUND"
Mopping-Up Step
Budget Day Only Five Weeks Away
By RONALD BOXALL
London, Mar. 10.
With Budget Day only five weeks away, there is still no indication whether the Chancellor of the Exchequer will have to do a mopping-up operation against 'fla- tion or prepare defences against the on- come of deflation.
In Inflation?
New York NEW YORK Stock Market
HONGKONG The
STOCK EXCHANGE
Our Own Correspondent
Business done on the Hong- kow Stock Exchange tlus
mately $55,000, Noon quotations
morning amounted to approxi- and the morning's transactions were:
Bales
Shares
DANKS
Buyers Schlozm
500 elu
10
505
INSURANCES Union...Y
70
SHIPPING
There have been other occasions since the war when the forces of inflation seemed to be held in check. But it always turned out that they Wheeluck were merely gathering strength for a new assault. This time there is, at least, an even chance that the next attack might come from the opposite direction.
Since the deep shock of last Autumn's sterling crisis, the emphasis of British economic policy has shifted subtly but significantly away from the maintenance of full employment to the maintenance of the currency.
The result has been, as one larger output will might expect, less employment culled for." aril n stronger pound.
There a slightly more u employment than there was a year ago, and fewer overtime hours are being worked. The effect of this has been twofold:
54
0,03
0.20
DOCKS, ETC. Dock
(0)
LAND, 'Inc.
K
12.10 12.40 1120
15.00
10
Jay Hotel,
Land," pus
D.....
Realty RUBBER
Am
*Tran
UTILITIES
soon
be
Tram XD Star Ferry Yaumati
..
C. Light
(0)
*** 3250
14.00
1.36 1375
1.25 1275 10
100 70.00
New York, Mar. 10.
A small group of selected stocks gave the stock market a bit of a boost today by rising 1 to 8 points, some to new highs.
But the main list held to a narrow groove with last prices around the day's best. Trading lighten- ed substantially from last week's pace.
Two photographic isatten. Bell & Howell and Polaroid--- were the stars, They gained thore than 3 points and each Fet a new high. Eastman lost
a fraction..
up
Paramount Pictures ....
Parko Davis Co, Penny J.C. Co. Penn, Sail Co. Philip Morris
Procter & Gamble Co.
Pittsburgh Piste Glass
Publicker Incisatulice Pure Oil........
Itadio Corporation Republic Sten Reynolds Metal
Sears, Roebuck & Co,
Step 1 Co.
Saint Reg. Paper
Sinclair Oi
Hocony Mob
Solar Aircraft
The main ist fluctuated nar- 300 70.50 rowly with changes mixed.
Business news continued drab but there were several favour- able items for the market in- cluding meves to
speed government spending, further
South Puerto Rico Sugar tax cut talk, some improvement 1a demand for copper,
#smali Southern Co. (The)
Southern National Cas rise in steel operations, and Southern Railway (Com.) BOMU favourable corporation Standar Brands
Standard Oil of Cal. reports. Plitsburgh Plate Glass Standard Oil of Ind. featured the latter with 1057 net Standard Oil of NJ. equal to 5.86 a share againsttering Drug C $5.2 in 1956.
160 a 91.00
23
118 *
30 13
17.30 17.40
20.50
Telephone.
X 20.10 15.40 INDUSTRIALS STORES, ETC. Dalay
Britain can only watch and Electric XD hope,
But in the meantime, there is a budget to be planned. should the Chancellor stilt re- gard inflation as the enemy, or should be be taking up a post- tion of defence agains! the postpone posable new foe?
I has checked the upward rise of, production (but not reversed I) and caused
ment of plans to increase in- dustrial capacity (but not the
J
Some economist, and the governor of the Bank of Eng-
is
of a
our
our they
cancellation of work already innd-take the view that in- underway or commissioned). flation should still be
enemy. it On the other hand, the palley sidered the
fortuitous currency -alded
by certain
strong and circumstances has dramatically costs and prices stable, atrengthened the gold reserves,
will say Britain will be in a February's outturn WAS en- better position to counter either couraging from several points a renewed spurt of inflation or
strains of view. The surplus with the the
recossion, European Payments Union was whichever it may be. the biggest since October 1050 And and the second best ever.
Others remembering past gov- *00 little and too if the EPU receipts are allotted ernments'
this mantha in which they late" actions, mistrust 10 the
"Hold your fire until were earned, the February old view.
Lheir see the whites of Koln
was the best for eight you -years.
eye may be as good (conven- tional) military facties, they say, but it is dangerous econo- mic policy.
The Pity
of it is
that the
08
200 20.40
16.70 10.00 300 1600 Waton 11.50 11.00 15.70 Lane, Crow
COTTONS
4.00 4.075
3,50
Textiles INVESTMENTS Yangisze
New York Sugar
Market
| Stokely-Van Camp,
Studebaker-Packard Corp. The molors managed to Sunshine Mining
establish minute
a
definite trend- gains in the leading issues, Steels ruled steady to firm with Lukens up 2 points at Its best, Copper news helped sustain the coppers where Nennecott rote
thon more
point.
New York Stock Exchange bond volume was $4,949,000.
American Stock Exchange volume was 500,000 shares.
New York Stock Exchange volume was 1,980,000 shozco,
Of a total 1,128 issues traded, 487 were higher, 397 lower.
Dow Jones cloce were:
20 Inila ...............
30 industrials
15 utilities
US stocks
40 bonda
averages
Com, fufüre price index..
Closing Prices
New York, Mar. 10. World No. 4 sugar futures
closed today 4 to 6 pʊints | Allen Ing. Acy, lower with sales of 398 Allied Chemicals contracts.
Domestle No. 6 sugar futures closed 1 point higher to i point lower with no sales reported.
the
Trading feature in the world contract was the posting of 200 The pity
September The academies who write the contracts In shift in policy may have come London and Cambridge Econo-position against business in spot too late to do any lasting good.
mic Bulletin are as puzzled as sugar contructs in May. The chances are that new
Otherwise shortly anyone. But they would appear,
traders policy decisions may
situation of different kind.
moved
Allis Chalmets An Brake shoe American Airline American Cable & Radio
Corp. Americas Cyanamid Co. Amer. & Fork Power Art Gas & Electric Am. Mach. Fairy, American Metal American smelting
Am. Sugar itet. American Tel & Tri American reb. "B"
Anaconda Copper Armco Stoc
Armona, Mini
455.00
104.31 73.00
162.00
כע.פ
187,07
Swift & Co.
Texan Co. Textron inc.
Tide Water As, OIL Time Inc. Twenteth Century Foot Film Union Carbide
Union Oil of Cal ... Union Pike Railway United Aireraft
United Gas Corp.
U.A. FOR ""
U.S. Gypsu V.8. Line Cu
US. Rubber US. Smelting U.S. Steel ... Wamer Bros.
Westinghouse Eleclife Wen Va. Pulp & Paper .... Western Union Tel. Co.
Woolworth
COTTON MARKET
Boston Federal Bank Cuts Rate
Pago B
Singapore Stocks
Washington, Mar. 10.
Singapore, Mar, 11. The Boston Federal Reserve Brokers today quoted the fol- Bank cut fls discount rate to lowing alock prices: 24 per cent today in line with A similar
decrease put into Batu Lintang Rubber Co. effect last week by the Federal Ltd. Roserve Bank In New York British Borneo Petroleum
Byndicate Philadelphin, Chicago and Consolidated Tvs Smelters Atlanta, The Boston reduction Onl
goes into effect tomorrow, Tho | Fraser & Neave Ltd Ord... previous rate was 2% per cent. Fraser & Neave 1 cum.
pret
Opening $1.623¿
28, 0
$2.05
$2.371
Bs 3d
The big decrease approved Emmons (Malaya) Lid.: 12:
Hongkong + Shanglist by the Board of Governor of Banking Corp. the Federal Reserva System Hongkong Tin Li8. lowers the cost of loans by soveral reserve to other banics, thereby paving the way (or easier borrowing.
Philadelphia,
Kumpas Ltd. ...... Kuala Kampar Tin... Lungs Rubber Kalmien LA. Malayan Draweries New Serandah
Ltd.
Bubber Co.
Petaling Tin Ltd. Rames Hotel ......... Singapore Cold Storage Straits Trading...... Straits Steamship
#2.68
$1.90
.00
3.01
$2.75
New York, Mar. 10. Anticipated defoot of logis- When the one-half of 1 per lativo proposals to increase cent reduction was announced Friday for New York, this year's acreage today Inst
Chicago and AL triggered a resumption of
lanta, Federal Reserve officials United Engineers Ord. ..... tho advance in
cotton hero said the third round of exdiv: edeb. -- Chine Mai after a two-day inter- similar reductions was designed Spacial. ruption.
to make crelit conditions “moroj favourable to economic coveryUnited Press.
Closing just under the day's best levels the list ruled 17 to 431 points higher. Opening
58
76
1
4436
prices were up 3 to off 2 points.
New Orleares closed 18 to London Foreign
points higher.
All new crop deliveries rose to seasonal highs, scoring gains
of better than $1.05 a bale when
Exchange
London, Mar. 10.
Closing rates were:
a hurried run of short than covering and trade buying found New York sellers wary pending definite | Montreal Washington developments.
REJECTION
2.01-9/16-2.014 2.709-2.75-7/10 10.8134-10.637
Wearns Bros.
New York Foreign Exchange
New York, Mar, 10,
Closing rates were:
Canada England cal
J-days
10-y
1.03-11/32 201-11/32
2.80-11/10
+
*10%
Amsterdam Frankfurt Parts
Australia New Zealand South Africa 11.70%-11.77
Retylens 118236-119241
Banzil Transferrable sterling again Fer closed at 2.7955, repeating last Uruguay
India Pakistan
2.25%
2.80%
202
0200-9/10
2101
1900
.2110
United TreN,
A rejection of larger vcreage | week's highest since April," 1954, 401
and the proposals,
expected United Press. 33%|| retirement of upwards ot 5,000,000 acres from cultivation this year under the soll bank
shaped programme,
market centiment.
Old crop deliveries trailed 25 along, reflecting covering March. contracts and renewed trade and speculative buying in the May and July deliveries. Some buying was motivaled by pocai- bilities of a shortage of desirablo grades of cotton before the next harvest is available.
More heed was paid to com- plaints of delayed new crop work in the Rio Grande valley becatbed of exocstivo ralne. If 4294 | tamľavotiable weather persists,
there will be reason for con- cern over the new erop outlook. Exports were reminded that as a general rule yields per Berg are reduced it planting is delayed certicated overty long; the stock today rose 1,953 to 25,110 bales.
| NEW YORK
RUBBER MARKET
New York, Mar, 10. Rox rubber futures today
closed 21 to 37 points higher with salos of 51 contracts.
*
*
*
*
14
P.OBIE.A
COMPANIES
PASSENGER/FREIGHT SERVICE
PENINSULAR & ORIENTAL S.N, C.
Untwards
Leaves London
Balled 25/1 Salled 8/2 Salled 15/2
Bailed 5/3 15th March
20th March
Jet Apri
Das Hongkong 15th March In Port
4th May
Leaver Hongkong Due London
14th Apri
Dih April
7th April 13th April
0th May
*
Month
Volume Open interest
March
2,600 20,400
May
1,600 212,200
July
3,000
213,300
Oct.
7,000
201,400
*
Dec.
9.000 111,100
Mar.
4,700 102,900
"SUBAT" "CORFU" "KAKMALA" *CARTHAGE "CHUSAN" “BALSETTE" "CANTON"
May
8,400 119,200
July
1,000
,400
Total
$6,300 1,100,000 bales
NEW YORK
Homewards
*.
"CORFU"
14th March
*SOUDAN" &
10th March
27th April
Mar: 20.42; fay: 25.03-65; July: 20.73; Sept: 2030 Nov: 20.50; Jan: 2009 Mar: 20.03.
Prices of cotton futures clound today as follows:
*
"CARTHAGE"
13th April
12th May
Spot
30.06
Mar.
35.50
"OHUSAN” "CANTON"
27th Apri
- 10th May
0th May
0th June
Standard contract closed off
May
33.58
July
21 to 37 points with no sales reported.
Dea
Mar.
Mar: 20.45; May: 2003; July: 20.13; Sept: 2400: Nav: 26.60. Jan: 24.00 Mar: 20.03.
May
Jul
NEW ORLEANS
Although higher, the terminal
market wan dull. Tightening
Prices of cotton futures closed
Burroughs Add Machine
Campbell Soup Co.
Cannilian Pacile
and higher London cables acted
political tension in Indonesia, today as follows:
Spot
Mar.
105
to curb selling pressure.
May
14
19
6371
Conversely buyers were wary in face of the slow consumer demand and disappointing re-
July
Det.
Dec.
Mar.
40
ports from the high
price to
May
503
interest local buyers, although
July
2814
some agents were reported more inclined to consider Arm blda at lower levels.
LIVERPOOL
Cotton
futuro closings,
done
have to be taken to deal with at least, to believe that Inflation cautiously watching the political | kaldwin-lama-lam
entirely the idea that the economy is
อ
nn
is no longer the active enemy.
developments in Cuba,
from
And the mood overloaded in the vague scre
estimates UnoMcial in Britain at the moment is that demand
exceeds supply."
Havana placed Cuban sugar one of justifiable nervousness
this week "secme production
01 the end 01 that the Government might be they writo
Spanish as tardy in dealing with the new clearly out of date and thould February at 2,010,055
long tons against 1,702,000 tons eltuation as they were with the not be given, for example, as a
n year ago,
oki
Deflation fears
are imported
where the number of unemploy
direct from the United States
reason for a harsh budget,"
Suggestion
"The Economist"
makes the if
The larger production reflects the carller start on the crop by mills this year, troders said.
Contract No. 4 (world): May, 3.42;} Mar 3.42 May, 341; Spot-cents
Open interest: 5.740 contracts.
(domtatic stay. July, 200: Sept., 5.73: Nov. 0.71. Spot-cents per 1b, cit NY ex-duty), 5.48.
1,754 contracts Operi interest: United Prem
થઈ has now riser to five interesting suggestion that million (about seven per cent) re-stimulation of the economy 3:46: Sept., 145: Oct. 343; and industrial production has becomes desirable, it will be per ib. fob Culia), 390. dropped nearly ten per cent better for Britain to continue to since December 1956 after fall-roly relatively high interest Contruct No &
ing a further three points in rates though not-necessarily or
indefinitely a seven January.
per cent bank rate-but to move lowards lower taxes.
One reason for fearing that the American recession if
con
still be called that is that the United
to
on the
British
LONDON STOCK
MARKET
London, Mar. 10,
retreated slightly today on profit-taking.
In any case, tax concessions State autho may be possible and, this hope rities seem to be totally unable is encouraged by reports that do anything. about it. the Chancellor is contemplating Marginal changes in bank, rates changing the system of inanc have had no more effect than Ing the nationalised Industries similar action in the past. had from Government lending to indalionary market lending. This would Bituation. Now America op- mean that something in the pears to be planing its falth to order of revenue would no Prices on the stock market longer need to be set aside for "psychological factors."
this purpos0, So even if Mr Heathcoat
safe Amory plays and budgets for an "overall" According to the First Nu- balance, he would be left with tionat
to "give City
Bank's monthly about £150 million newsletter, hope of improve away," ment in the "curly futures" resta
It he does have any largely on two possibilities. One is that the "usual Spring cessions in mind, the Chancellor pickup" will check the down-will probably try to concentrate
Short-dated liens rose from turk. But an outside observer them where they would do the
faith in this least harm if Inflation is re-five to 10 shillings in moderately have little when he reads further on that summed and the most good if active trading.
Spring Pickup
con-
Oils led the doclino but flamed near the close on short covering. Bhipping issues were firm in an otherwise fractionally lower in- dustrial section.
Copper and gold shares corod. Gift-edged securities resisted the general downxiritt
Baltimore & Otto Beneficial Finance Bendix Aviation Corp. Benguel Cona, ... Bethlehem Steel Boeing Alpianu
Borden (The) Co.
Case (J. 1.
Cat. Tractor
Celanese Corp.
Co.
C. IT. Financial Corp. Chrysler Motors Clucit Peabody Colgate-Palmolive Co.
Colombian Carbon Co. Commercial Credit Commonwealth Elec. Colidated Edison. Continents Out of Del. Crown Zellerbachi Cuban Amer. Sugar Diamond Alkali Diamond Match Co. Douglas Aircraft Dow Chemicals Dupont de Nemour Eastman Kodak ***** El Paso National Gas Family Finance Corp. Firestone Tyro & Rubber Ford Motor
General Electric
General Food
General Motors Gen. Pub, T. Getty Oll
mond
Glidden Co,..... Goodrich (DF) 06. ooodyear Tyre Hoyden Newport Corp.
Mining Co.
Inand Steel Co.... internhemical Corp, ... Int'l Business Machines My Harvaster ........... International Nickel International Paper Int'l Tel. & Tul. - John-Marville Co. Haras C. Power & Light Kennecott Copper Laggett Meyers Tob. Lo. Lockheed Aircraft Loews Incorp. Lone Star Cement Co. Lowenstein & Bons. MoDonnell Altersfi
Stock Exg.) Mesebi Iran Corp. Minnesota Mining Madon Development occurs, chances of a spontaneous earnings) rather than Indirect Exchange Rates
Monsanto Chemical Co. consumer expendi- taxes (on spending),
And be
Montmary Ward National Cash Nag. HAV may take the opportunity of
National Dairy Prod. the Investment The other possibility offers reinstating
Imtosis was done in the local Nations Lunch 1999 markot this | New York Cenies) stimulate orders ficial flowing rates; greater hope. It is that: "in | allowances to
Norfolk & Western Ry, Thorning at tha many cases at least, the deeling for, the products of the capital douar (per (1) Murree 1642 | | Clin Mathiesors
16.09 in Industrial operations had goods industry which would be astering motor (per 41)*** brought production, so far below to Bretel the cold Australian, notes (per 21) ..
Indonesian rupiah (per 100) consumption and is cutting in- draughts of donation. —Experts
Stam text (per 100) (sekiir, ventories so statueborily tias al service.
Singapore (Bratts)
Can
Dollar stocks, were higher.--
"until there is assurance that the deflation becomes a reality. United Press.
bottom is reached or until some Therefore, he will probably dramatic stimulus to spending prefer to lower direct taxes (on
increase in
tures appear ini"
19,00 Daford Res
1.80 | Pascuacions
(Am.
39.84
30.12
36.35
30.30
58.40
5.73
Included in the small business pence per lb. were as follows:
sheets Old contract Mar/Apr.
was some two April/May/June at 20% cents a pound, landed basis, Spot No. 1 Res was quoted at 20% cents nominal.
LONDON
The rubber market was steady with spot quoted at 22% pence
per b. Prices;
20.13
20.29
May/June JIY/AVE. Det Nov Dec/Ja Mar/Apr.
25.43
20.0
New contract Mur./Ape
May/June
July/Aug
Out/Nev.
Doc./.
Mar/Apt.
SAO PAULO
No. 1 Bar spot
2234-23
341
Sellement house termi
April
7439
May
Cotton future closings, cruzeiros per kilo were follows:
112
19
1234
June
Aloy
10.58
Auril/June
July
Ott./Dec.
Oct.
39.33 30.70 unquoted the
Jan./Mar.
General markets, cif basis, pörta: March
April
hy
Estate crepa thin March
2231-23
2334-23
thick March 94%
got
Note: Singapore and Amster- dam rubber prices were available--Unlled Press.
New York Metal Futures
מן
the United States, average price of one-inch cotton at 14 designated spot markets was not available.
Total sales were 17,789 bales. United Press.
London Metal Prices
London, Mar. 10. Prices of metals closed today in sterling per long ton follows:
Tin spot
New York, Mar. 10. Prices of metal futures closed today in cents por 15. as follows: Zoad March
...: 12.956 MAY
11. zine March
B... Lesa tot half Copper March
12. 4th
MAY
Ti
March MAY
J-HOTEL Copper spot
13.061b) Rindö lät half
fuited Frem.
$1.25
Boyer Bellere
731
733
103 104
206 100
Prem
1
Via 'pore, renang, Colombo, Bombay, Aden à PC. said. ↑ "CHUSAN” also' calls Marseilles.
§ "ROUBAN" omita Colombo, Bombay, calla Fort Sudan Havre and extends Hamburg, Baiterdam &
AMWEIP.
BRITISH INDIA S.N, CO., LTD.
*"FUETALA"GUR 11th Mar
mails 12th May.
# "BANTHIA” dne 20th Mar.
Balls ziet MKE,
from Janas
for Singapore, Penang. FOTOGRA Calcutta
Chicago
from Calanita, Rangoon, Penang & Singapore Iar Japa
P. & O./B. I. JOINT SERVICE “ITAUBA”
In Pors saifs 11th Mar,
from Japan
for Singapore, Parang, Karachill Bombay. Dasrah, Khorramshah Bikuwali
from Bombay, Karachi, Cochin, Alleppey, Tuu corin ár Bingapore For Japan
from Japan
for Singapore, Bomb wy Karachi, Kuwait, Basrati & Khorramshahr
"OZARDA" In Port
salle 11th Mar.
"UMARIA" dus 24th Man
Ball 2014 Mar.
EASTERN & AUSTRALIAN 5.S. CO., LTD.
"NANKON” due 20th Mar. ·
salis ist Mo
“KASTERN" das 8th Apr.
from Japan & N. Chung via tot Australia Labuan,
Sandakec
from Australia Lor Japan
All voisela have liborly to call at any portą da or off the routé & the route a sailings ari enhjock
to change' er amendment with or without notics,
For falt purticulars apply to:
MACKINNON. MACKENZIE & CO.
OT HONG KONG LTD. Telephone Nos: 977914.
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