1958-03-17 — Page 9

THE CHINA MAIL, MONDAY, MARCH 17, 1958,

TRADE and COMMERCE SECTION

Washington Proposes "Pump-Priming" Schemes

The New York

Hopes For An End To US Recession Stock Market

Review Of Week's US Economy

New York, Mar. 16. Washington continued to propose huge "pump-priming" schemes this week, but the belief grew among economists and businesmen that only a sharp upturn in consumer spending could quickly and the American recession. With Spring-traditionally a season for healthy spurts in retail sales-only a week away, there was still no sign of the customary con- sumer buying sprec.

If Spring buying fails to develop; there seemed little likelihood that any government action- spending, tax cuts or casy money-could have

appreciable effect before

HONGKONG

STOCK EXCHANGE

Our Own Correspondent

kong

Stock Exchange this morning amounted to approxl- mately $262,000. Noon quota- tions and the morning's truns- actions were

By ELMER WALZER

New York, Mar. 16.

US US COTTON Stoclis extended their gains in more active markets

Layoffs In

Auto, Steel Industries

New York, Mar. 16.

Business done at the Hong- One plant stepped up production yesterday in anticipation of a quickening demand, but elsewhere there were new layoffs in auto, steel and other industries and New York State reported a further rise in the number of its registered unemployed, reflecting the slump's impact on heavy industry.

BANKS

FISC Bank..

Union

INSURANCES SHIPPING Wheelock.. Autumn. Wisirt Summer has always been the worst period of business doldrums.

any

Developments, this week in-

cluded:

Is going to expand economy once again and climb out of this present economic pot hole Is to persuade the more than 60 million people currently thatployed to spend more,"

President Eisenhower pro- posed a public spending pro- gramme totalling

more

$7 billion for "genuinely needed" publio works; More de-- fence outlays particularly

compensation

DOCKS, ETC.

I'rovident

Provident

אדי

LAND, ETC.

Byers Heller% Sales

310

3.95 0.03 20000

121 54.50

11.00 12.30

1900

K Tlotel 15.70 1500

ICO 51

15.

500

1000 15.00

50015

2000 e 1500

cm-

MC Land

XD

31.50 32.25 Humphreys XD

3490 1.35 1.373 Heally

RUNDER Amal

This was the same view held

In by former Treasury Secretary

. ער וויתרני

Youmali

C. Light Etecirle

Tel XD

high unemployment areas; George Humphrey, who onge Temporary federal unemploy- sald: "You can't spend your-UTILITIES

for ment

the self rich." cxhuasted jobless who have state benefits, and release of $200 million for the Federal National Mortgage Association to pay xr instead of tho mar- ket prive for government- backed mortgages.

George Shea, writing in the Wall Street Journal, took the view that any Immediate up- Turn is unlikely. "The CUP- INDUSTRIALS rent recession in business," he Cente! XD wrote, "may be getting very close to its bottom, the chart

Aminy Can*** pioturo that most nearly is the average recession is that of

President Elsenhower dis- cussed and Vice President

saucer, and every good Nixon urged tax cuts for both individuals and business, but saucer must have a fat place where the cup site."United the final decision was delayed until "the impact of

current Press. developments

the future un course of the economy has been clarified."

• Six

regional of the 12 Federal Reserve Banks cut their discount rates to 2 per cent, compared with the 3 per cent rate prevailing

until mid- January, when 11 of the Banks dropped the rale to 24 per The other six

Banics

cent.

were expected

quickly. It was a

to follow suit 10- Inove

ward casing credit to increase the money in circulation.

• A Commerce Department Burvey showed that business- SYLCYL planned to spend oily $32 billion on new plants and equipment this year, compared with last year's record figure

11

of nearly $37 billion. It was a slash of 13 per cent and body blow to boom resumption hopea

11

of

The government revealed that unemployment

reached toal

✡ February 5,173,000 the highest figure in represented 6.7 16 years. It per cent of the civilian labour

force.

sales In

• Now Car February, according to Ward's Automobile Reports, set a 63- month low of 321,400 units, with further production cut- backs in March and April con-

The London

Stock Market

London, Mar. 10.

The markets had a very un- certain week, much more in- fluenced apparently by Amari- news than by American stock movements,

CON

business

A number of good company Motors, Ilud- reporia Ford sons Bay and English Elec-

tre failed to alom a stends

retreat from the market, which lowered the index of industrial shares from last week's close of 102.8 to this week's 160.0.

Sterling was stently, rising 1/18 during the week, but at the end Old Consols had lost 6/3, War Loan 10/- and Fund- ing 4 por conts, 17/8.

Пор

Bucking the stream

was the Flintkote

boosted Co., which their production to three sulfis a day, seven days a week, at its Meridian, Mississippi plant. The unit had been in a five- day week for a year. Offcials said the move was to meet an increased demand for insulation board in anticipation of spring construction,

the body

At Lansing Michigan, Oldsmoblie und Fisher plants of General Motors Corp. What

unut down operations Monday, laying off some 18,250 employees, because of mounting 1223 1.275 10000 129 dealer Inventories of automo-

22.00

99.50 650

17 17.20

biles.

A

250 sild spokesman 1001710 Oldsmobila workers will not be 200 17.10

realied on Maurday because of 300 @ 24.00 | adjusted production schedules.

21.20

14.50

500 20.50

34

STORES. 8.00 16.80

Watson

St. Crow Sinces

Wing On (K) COTTONS Textile

11.00 1100

15.30

3.43

74

4.00

MISCELLANEOUS

Yangtze HK & FE Invest

267 67 10.07

two

CLOSE DOWN

MARSHALL

WANTS

TRADE WITH CHINA

Singapore, Mar. 16. The former Chief Minister of Singapore, Mr David Mar- shall, said today Singapore should establish permanent trado missions in Peking and Canton immediately. Mr Marshall was addressing two new branches of his lettial Workers Party.

The Alan Wood

Steel Co. 1500 or 1870 Flans to close down one of its blast furnaces within a

In the next 10 years, he said, week. Mr Harleston Wood, China would become an Im- 1000 m 3.50 President, sald in Philadelphia portant force in world trade.

4.525 4,025

Thot business was lagging and Inventories were unbalanced. 4.65 4000

The 1000

company is operating four of its eight open hearths, but may cut this to three before the month is out.

..

3 43

9.30

Singapore Stocks

Singapore, Mar, 17.

The Bigelow Sanford Carpet Co. announced in Thompsonville, Connecticut,

would stop

it

making velvet and yarns ou March 27, adding 700 persons

to the jobless toll.

The company said European imports, which domestic products,

and Japanese undersell

Brokers today quoted the fol-had cut sharply into its volume. lowing stock prices:

Batu Lintang Rider Co. Ltd. www... British Borneo Petroleum

Syndicate Consolidated Tin Emelters

Ord. Fraser & Neave Li Ord Fraser Neave 71% euin.

pref

New Jersey Bell Telephone Co. lid off 225 men

"It is for Singapore to pay a strong part in China's trado," Mr Marshall vatd.,

"Singapore can profit as an the growing honest broker by power of Chine."Reuter.

GOODS MARKET

New York, Mar, 16. Quick settlement of the dressmakers triko, and tho approach of Easter, brightoned the picture in textile markets here this past wook.

during the past week. But the best per. formers - packing shares, metals, camera issues, building equipments and road builders -were outside the groups making up the leading averages.

than 3

They rese substantially while group ranged to more the ending stocks scored much points is Kalser and 21⁄2 points smaller advances.

in Alcos.

At the week-end the Dow- Lorrilard's head foresaw greater stood use of cigarettes and his stock Jones industrial average at 453,04 up 1.55 points on the rose nearly 5 points and led the week; rails 100.37 up 1.56: and | whole market in volume. writte 73.12 up 0.07 Last | Gains of more than 2 pointa weck those averages rose 11.57 engh uppeared in American points; 1.74 points and 0.60 Tobacco, Raynolds, and Philip point respectively.

Morris,

If results of pre-Easter relal selling proves favourable, an improvement to cloth buying is expected to materialise rapidly.

But buyers of grey από nished cotton goods, for apparel Railroad issues which for a The camera issues, except time have been under Eastman, got a whirl with new use, continued to operate on a long hand-to-mouth bass,

pressure

scored further gains highs in Polaroid, up $5, and The cautious policy in light and led the market In two Doll Howell, up more thanL weight fabrics was matched la sessions despite the fact there 3 points. Some of the” drugs

Kroger heavyweight Industrial fabrics, was another sharp year-to-year moved up. Duck cloth jobbers were reported decline in car loadings, the 30th more than 3 in the store issues. cutting prices in a struggle to in a row.

Caterpillar Tractor and Jaegger "tation the order book." The

Machine were trung in the Gains outnumbered losses 709 group that would benent from last substantial movement in

A total of 106 is expansion of the highway pro- duck cloths gave the mills a suid- to 443. ahead position through March, out of 1,378 issues traded held

gramme. As the backlog melis sway,

unchanged, New highs were in potential buyers kept pressing the ratio of 83 to 11 for new for lower prices on new contract purchases.

laws.

It was a week

was up

Shell Oil rose more than 2 point but the gonoral run of of good andolls did little or nothing on the Neither did the motors bad news for the market with week.

although General Motors map- the bad ones Ignores most of Aged to falsh the week with a the time.

The market liked 50 centa risc. Some chemicals

further tendencies toward easier

But the mills resisted the pressure. They kept emphasising the rising cost of raw cotion, and hell the price line. Interest In coating fabrics continued slow. Although releases from

auto money, moves to Increase Hov-improved. maicers continued small, never-ernment spending, especially in Florida Power & Light was n theless they "keep trickling in," the housing field, and a state-

suong ullily. Chance Vought brokers skl.

ment by the head of Anaconda run up 3 in an otherwise nir- Under-bidding on print goods Copper Company that the cop- for later deliveries became more per inventories of the current rowly irregular aircraft depart- ment, Bath Iron Works lost should bring anim-4 points in the thipbuilders persistent, Buyers ideas on the slump

the copper wliere General Dynamics waÐ boste 80-square tour-yand print, mediate for second and third quarters, price.

down 2 points, Lukens Steel were around 17 cents, or 4 to

rose, more than 4 poluts and Milla under the going market.

The rest didn't like a fur- Carpenter Steel more than 3.

In unemployinent Bally refused to entertain the ther rise

were mixed. Leading steels bid. Some producers announced which had been anticipated and

Sales averaged 2,401,368 shares plans to make further production It also was unimpressed with for the week against 2,090,357

"build earnings reports.

than

rike

shares

daily in the previous

Bank Of England

cutbacks rather stocks for the warehouse."

Hard fibres continued to give The market all but reached wook.-United Press.

cased its top for

TraCTO the year. Burlap prices ground. when Calcutta sellers moved noted that when the average goods below the informal "floor" got near the 458 level the mar- encountered resistance. prices agreed upon a week ago. kot Lower prices for some, sisal Should there be a break through on the upside on volume, mar- grades brought more price chock- ing, but Interest in Manila hemp ket men foresce a rise, to new was reported the lowest it has highs for the year but they look been for como weeks past for strong realstance in the 470 United Press.

The New York

Cotton Market

By WILLIAM PLUNKETT

New York, Mar. 16. spokesman citext a "dede Cotton futures turned irregular this past week

demand for new telephone service and a resultant drop in the work load." This le the company's first recent layoff.

The

Open

$1.77,

in

its plant department, A

305

27a 06

$2.45

Hongkung Tin Ltd.

$4.05 Gammon (Molaya) Ltd. $2.32 Hongkong & Shanghai

Banking Corp.

$440 *

Din Ki

Kuala Kampar Tii. Lunas Rubber Estates Malayan Breweries...! New Berandah Rubber

328

31.55 11.05

13.55

$2.40

$1.00

$2.82

$0.01 31.75 $10.05

$1.24

3.12

Kupas Ltd.

Leading industrials drifted lower, but they were never nt-

Ltd. Losses of 1 shilling anning,

Peleting Tin Lie. were numerous among the best

Ruffer fotel knowns Courtaulds, Ford Singapore Call Storage

Straits Trading and Wool- Motors, Unilever

Straits Steamusin worths,

Uniteit Engineers Ord. Weave Hron... Oils

edot, Chitta

57.2

were irregular. U- sidered certain. Dealer Inven- tramar was the strongest, shov- tories, the Report said, areng →

of 5/ to 50/- Royal Dutch improved 2/0. "crowding the all-time high of 090,000 units."

Other well knowns lost around i shilling..

com-

Against this gloomy back- ground,' economists and montators agreed that the con- Bumer rather than the govern ment held the real key to the economic riddle.

- exdly:

Special.

area which is some 17 points above the current price mark.

The statement on copper Lelped send copper shares up 2 to more than 4 - points. Anaconda rose more than 2, Kennecott and Inspiration more than 3 and Magma 4% points.

Demand for the pucking issue

market came

when

analysis forecast botter earnings for the стопр. Wilson rose more than 2 and gains of more than a point

Armour, appeared in Swift, Morell, and Cudahy.

A move to pump more federal after new crop deliveries again spurted to sea-fonds fulo housing gave the Pitts- building issues a . sonal highs.

burgh Plate Glass rose nearly

ET

Statement

London, Mar. 10. The Bank of England state- ment for the week ended March 12, reads as follows: Nates in circulation Public deporta Private deposita Government securities.. Other securities Receipt

Tatio

€1,973,623,401

14,070,105 200,065,313 250,647,313.

47,519,314 23,088 013

70%

United Press.

JAL

NEW TRANS PACIFIC

DC-7C

SERVICE FROM

than 2 APRIL 1ST 1958

rose with that Gain in

The number

points appeared in Minneapolis of New York At Friday's close the list 12,500,000 acres, the smallest points and gains more than 3 Honeywell regulator and Trane. ruled off 7 to up 28 points, or in many years. Un- Slate residents claiming

The smaller Acreage and a

Flintkole г00 more employment benefits mounted to 35 cents tower to $1.40 bale

points, 442,000 last wecks, up 4,500 from higher than the preceding week. smaller crop, would spell higher prices, buyers felt. Political considerations, re- support

Aluminium shares the previous week and 77 per

quarters believed the

the coppers, ceni above the year ago figure, velving around farm legislation, Some

continued to be the dominant support rate might go up to

85 per cent of parily. Mr Isador Lubin, Industrial factor in the deferred months.

That could mean Old crop deliveries faltered Commissioner, said the rise re-❤ flected new Layoffs in auto after earlier strength, reflecting equivalent loan rate on middling pressure of last-minuto liquide-one-inch catton of around 30.17 plants and other heavy industry as well as secondary effects of fun of the March delivery, be-cente a pound, some statisticians the dress trade strike. Many fore its expiration on Thursday, gured. The minimum support Mail other establishments contribut

and the repetitiva complaints of price for the new Mail slow textile buying and dullness In the spot cotton market. Some textile plants indicated plans for additional production cut backs.

Dunlop's Offer

Accepted

ed, he added. China Special.

AUSTRALIA'S WOOL

JAPAN AIR LINES

SHIP

crop bas been fixed ut 34.55 already cents for one-inch cotton.

United States consumption of the four all raw cotton for weeks cridod March 1 WIS estimated at 065,000 balos, by the New York Cotton Exchange Service Bureau, This comparest with 088,000 bales used in the Chinese Croods & Customs Vol. I of additional funds for the soll corresponding period last year. Chinese Croods & Customs Vol. II

BENOLINE

Senate defeat of legislation intended to grant a 36 per cent emergency increase in cotton nereage, and coincident approval

Estimated

consumption for

POPULAR PUBLICATIONS

The most surprising feature in foreign bonds was the do- mand for dirt-cheap Chinese bonds, now stiling for between

London, Mar. 10. 9 and 11 sterling per 100

bank, supplied the buying in- Now sierling bond.

buyers

Directors of John Bull Rubber

the 30 weeks of the 1057-50 Chinese Creeds & Customs Vol. III' centives in new crop months. The experts point out that lifted die prices by to Co., Ltd. announce that accept-

Also, more attention was atason was 4,838,800 bale Baby Book Iances of the offer made by Dun- commoner spending for services sterling.

the

turned to the preliminary new 6,209,000 bales in the first 31

Hongkong Birds (Herklots) -hair cuts, taxicab fares,

lop Rubber Co. to acquire

crop picture. Persistently cold weeks last sosson. medical

Paw cotton exports through Coronation Glory care-and for non-

Dawes and Young whole of the £555,650 issued

and rainy weather has delayed

11 totalled 3,030,552 Loans non-assented good clothes, food

rose 1 ordinary stock of John Bull have durable

flowing and seeding operations March over willko sections.

Some bales vs 4,877,764 bales chipped King George VI havo held up well and have sterling and the assented 22 been received from holders of

decline cushioned the

in in-sterling-all of them now at over bu per cent of that stock

The dl:ectors of Dunlop

planted section will have to be in the same period last year. It's Fun Finding Out — 2nd series Sydney, Mar. 10.

United Press. dustrial production,

their 12-month high-while the assented gained 1 stern that the offer is now

Hubber have accordingly stated

Australia? wool cheque for reseeded. un- also to a now high.

the Arst eight months of tho conditional.

They have, however, extended 1957-68 daancial your showed

The consumer, economist A W. Zalomck commented, is still king in the ecotomy, accounting for 62 per cent of

German

Japanese non-assenteda of

the 18109 and the Tokyo 64 the

SALES DROP

It unfavourable weather con tinues, crop experts said there

a £53 million Australian drop will be reason for road con period for acceptances compared with last year's income Cum over the situation, oven per cents jumped 2 sterling until March 31 in order to ale for the same period, the Austra- this early in the season. Ая Those of the 1893 and the 1930s low the holders of the remaining in Wongrowers Council said a general rule, they said, the jumped 1% sterling and others stock who have not so far as today.

sterling.

do so-China Mali Dollar stocks Improved this copied to

all the goods and services sold in the US. "There is a realisa tion," he said,

that what to consumer does in coming week will bo inor decisive than past week, with the exception gation oy government of U.S. Steel and Bethlehem business."

Steel, which were both down. The premium, which measures British demand, improved from

or

Arthur H. Motley, econgelat»

publisher, attacked the theory per cent to 61⁄2 per cont- that increased Tovernment spending could reverse the United Preas

downtrend. "There is no rooand

in bistory of any government

anywhere, any time, he wrote, Agreed Merchant Rates

"having spent its way out of a recession or a depression. The

Special,

Exchange Rates

the local Buriram was done in

this txchange market unofficial morning at the following rates: V.D. dollar (per $1) genna

sering nois (per 63)

Australian poles (par £1 Indonesian rupiah (per 100) .. West German Deutschemarks: alam Heat (per 100) only way the American Maximum Selling, 72-5/18. Bingapore. täteuita)

yield per acre tends to doing

it planting is overly delayed,

Production Of P.I. Sugar

Philipploc

Manus, Mar. 17.

sugar production

(Bernard Wicksteed)

Express Annual (1957)-

Rupert Annua! 1957-8 Rupert Magazinos

Ton Pointe About Pearls Points on judging Jade Outline Relief Map of China

Asia

S.E. Arla

In tho eight month ended with the much smaller acreago this year, 806 in prospech this year, highs February 28 million pounds (weight) of yields per acre are imperative, this year will amount to 1,315,-

000 short tone, recording to a Gllos Annual (1957) wool were sold for £240 million they felt. Australian. In the same period Hous-Senate approvat' of unrevised estimate announced by 1056-57 002 million

pounds additional $260,000,000 for soll the Philippine Sugar AssociaHong Kong Business Symposium (weight) were sold for £301 bank programme meata up- lion yesterday.

On Sale At Tbo

ilgute wards of 5,000,000 million Australian.

probably will. retired from 64,000-ton Main overaons · buyera of cultivation this year. The 1958 previous estimate.

peres

baw

shows 道

Increase over the

18.00

18.00

18.00

25.00

35.00

7.50

7.50

5.00

10.00

4.50

1.00

1.50

1.50

.80

.80

.30

5.00

35.00

10.07 Australian wool over the past | acreage allotment for 1918 la The Philippine exports about SOUTH CHINA MORNING POST, LTD.

11.00

1840 two seasons have been Britain, 17,000,000. Deducting 5,000,000 1,000,000 tons of sugar to the "HONGKONG :

Stales ponually. Japan, Franico - and Italy aches, means the prospective United Heuter.

growing area will be down to France-Presso.

KOWLOON