Page
** THE CHINA MAIL, TUESDAY, MARCH 25, 1958.
TRADE and COMMERCE SECTION
Many Believe Move Was Made Too Soon
Bank Rate Cut: Lull In The Battle
HONGKONG
STOCK
But No Surprise
Surprise NEW YORK The New York EXCHANGE
Ai
At Action
By Government
COTTON MARKET
New York, Mar, 24. Cotton futures today aggres- sively resumed the rise under way at the close of last week. Opening higher, and edging thereafter, persistently
months reached
aberd
cent line.
Stock Market
New York, Mar. 24.
Phup Morri
Our Own Correspondent
Business done on the Heng- kong Stock Exchange this morning amounted to appro- ximately $518,000. Noop quota- tions and the morning's trans- actions were:
HANKS
INSURANCES
40
Cuts In The French Aircraft Industry
RUSSIA'S OIL OUTPUT
London, Mar, 24.
an
Radio Moscow reported today that Russia now processes more Paris, Mor. 24. ell than Britain, Franco, Western The French aircraft Industry Germany and Hollard combined,
The broadcast quoted may have to dismiss
article in Pravda by a member 20,000 workers in the last of the State Planning Com- half of this year If presont mittee, Vartan Kalamkarov, budgetary cuts are main- He said that Soviet oil output tained, Georges Horeil, would be increased from 350 to President of the Sud 400 million tons within the next
16 years. Aviation Company declar- ad today.
The broadcast sold that such goals would be achieved with The company makes military the use of a turbo-drill and a planes as well as the new Jet Soviet-designed electrie deling maeiling that La capable of 150 sinking super-deep wolls.- bave United Press,
by options to buy. Four foreign
Bhares Buyers Sellars Bates
703
TES
714
transport Caravelte,
Или
7150
100
72
Herh Kaid that af
43 planned Caravelles, already been sokl or earmarked
SHIPPING
6.03
0,10 011241
2000
DOCKS, ETC.
K. WHART.
120
Dock
61 15/2.50
700
vident.
7072
103)
12 12.20
(23)
11 11.30
Stocks made an irregular advance today with the best showing in the issues outside the groups used to calculate the averages. Oil and copper groups performed best. A sizable group of utilities regarded as defensive issues with earnings secure, moved up fraction to more than a point. Specials registered gains running to 2 points or better. March, 1959, hit 37,15 cents
Bristol-Myers ran up 3 in a Prowler & Gamble Co. pound, highest price for any
drug section. In the puburgh Plate Class cotton futures delivery in more higher than live years since Nov. chernicals, lentlers balanced off Publisker Industries
small gains and losses. Motors Pure Oli striking dis-were about unchanged. In the Closity within
point Goodlyur gained that beets the Hist tyres, Goodrich lost a showed not gain of 27 to 37 white
were amorant, Lending steels were pouts. Opening prices up to 10 points, New Orleans little risinged. close up 27 to 30 points.
Activity centred in the olls 1'erafstent buying through
Shell Transport, Royal commission house brokers, local with
trade account Dutch and Kersey Standard well operatora and
cautious in up on the big volume leader list. found sellers more face of backwardness of new
Bausch Lamb,
1952
tance of the best
Itanio Corberation Radio Cor. Pret. Republic Steel Reynolds Metal
Sears, Roebuck & Co. Shell Ou Co, Saint Reg. Paper
By RONALD BOXALL
London, Mar. 24. Most people have accepted the official explanation that the bank rate reduction was a tactical move marking the endotel is
highs with the early of a six-month period of more than usual 1959 deliveries crossing the 37-
But a anxiety for the gold reserves. sizable minority believes the Govern- ment has made a mistake, The vocal members of this minority, in turn, disagree among themselves. One view is that the move was premature; that inflation is still the uppermost influence at work, and that the reduction will be misinterpreted. Another is that the authorities were not entirely frank in their explanation; that they are more worried than they care to admit reparations, and seeding. hission to the big board, bad about the possibility of a recession, but chose and anticipation of a higher large turnover. Safeway Stores
and US loffman were heavily sucker Packard Cup, the wrong means of dealing with it.
quality traded. of Rood But no one was very surprised at what happened.reed for planta ditionally
picture. Gains of 2 points ur better The move had been anticipated and largely blurred the new crop
Many sections of the belt appeared in Barber Of and Gulf discounted as the subsequent comparatively reported ploughing sedang atill of New high appeared in
Ol small upward movement of stock exchangebeld back by wet soil conditions Honolulu
Royal Dutch,
Union Carbstle Skelly, Texas Gulf Proxiucing union Oil of Cal. prices showed.
and American Oil.
Union Pacific Railway New York Stock Exchange United Air
United Gan Corp. bond volume was $4,500,000. 17.5. Foti "R American Stock Exchange S. Gyjenn
U.S. Line Co. U.S. Rubber
government on sale,
A searcity
following recent heavy rains. Other buyers believed small crop, ́and the tightning. Flu answer to this is that supply situation at the end of even after the
reduction. The the karon in July, will mean a British bank rate is high both by comparison with what is regard-est in the fan rate to arotid solum war: 600,000 shares.
85 por el comportal with the
ed as "rmal" and with current
the
new
Sinclair Oil Southern Co. (the) Bocany Malliol Southern National Ge Southern Railway (Corn.) Standard Brands Standard Oil of Cat, Standard Oil of Ing. Standard Oll of NJ
steep Rock (Toronto Exge.) Sterling Drug Co,
Swift & Cu Texas Co.
Sunshine Mining
Tide Water Assn. Time Inc.
Ou
Twentieth Century Fox Fitm
New York Stock Exchangers. Smelung volume was 2,580,000 shares.
US Steel Warner Bros. Of a 163 1,169 shares brudet, westinghouse Elverle 52 were higher, 376 lower. Western Union Te). Co.
Dow-Jones closing averages West Va. Pulp & Paper
www 50 industrials
15 skilitlen
453.75
100.54
23.44
45 plocks
154.12
bonds
03.20
Comin. ure price index...
16610
Volume Open interest
D400
230,600
Closing Prices
15.100
210,
Oct. Dee.
I BUO
210,500
9,500
181,700
Ableu Inel Ary,
$104
3,300
10,200
Allied Chemiguis
4.000 124,100
Aled Milks Inc.
May
If anything, come rather Fooner that many 'ople ex- preted, and the Clis, ever on the dout for hidden meantigs has attached some significance to this. This opinion is now being rediscount rates in other in-8 per cent bash for the ntreally widely Canvassed that the rat cares. The danger would blihedate te
Eastern bel sections sait andhorities lowered the bunke if the inove was "misinter- rate this moment to allow apreted by the "God that dwell and preparations and planting
are begimi to
section Ket muse before they in Zurich-mut that was hardly scheduled in southern Teasonable
sections likely to be the case, lower it again
of the territory. Califorala sald months will
Tart that Indeed The next few
the
field work again was being in- American British bank rate was so far out terrupted show whether the
by several days of recession is going to aprend to} of line with the equivalent rates heavy rains, Britain as it has already spread other countries was no doubt Month
consideration in an important to primary producing countries
And July Industrial the decision to lower it. and evca in some countries, or whether inalion it leads to the second criticism.
The British bunk rate, at six Mar is going to get the upper hand again.
per cent, compares with rules of May 2
in the United July per cent States, two and two-thirds per in cent in Canada, 34 per cent
Prices of cotton futures closed Aherfeart Cable & Radito Corp. today as follows: Germany, and between four and five per cent in France, Italy,
Spot: 30.13: Before ; Oct: 38.05.87 Deve
Mar: Belgium und Holland.
57.03-00; May: 37 00: July the British rate was lowered,
profitable 30.45. therefore, it was
NEW ORLEANS Prices of cotton futures closed shift funds from other centres and invest them In Landon and this led to a considerable inflow today as follows: of "hot" money,
Possibility
The British authcrities believe they are now in a position to deal The with wither possibility bank rate was rated by two per cent to seven per cent at September to deal with an ex- change crials of unprocedented auriotiscos
Since then there
The official view is that this while giving a temporary
gold reserves,
has been a naging im~ provement, beth in the reserves ( payments and the balanen
intin position, and a seven per cen! bank rate is no longer justed. glow to the The evil explanation con-thore trouble in the end than it tinues: "Bul at home, although is worth. For money that comes infationary
are in for a brief flirtation, leaves pressures.
in with embarrassing haste at the the reduction. moderating: bank rate, it does not imply any end of the honeymoon.
eral relaxation in monetary
polley."
fuirly
Nonsense
in
our
Total
4,400 07,500
43,500 106,200 Liddes
NEW YORK
May: 20.24;
July: 36.4
Spot: 15 May: 36.11: July: 39.63: Out: 36.83 Dec: 36.82; Mar: 37.05; Mais: 37.02: July: 38.42.
LIVERPOOL
Allis Chatta
An Brake Shoe Autetican Airline
Auerleans Cyanard Ca
Amer. A Folgn. Power Am. Gas & Electric Am Mach, te 2′′dly, American Metal ... Avencia Sawiting Am. Sugar Ref American Tel & Tel
American To. "y Anteunala Copper Armed Steel
} Armour,
At Cons. Mining Daldwin-Luna-ami,
16?
12.
Woolworth
Wheelock
331% LAND, ETC.
བྷཱུ
9) airlines have ordered Caravelles
390Scandinavian Airlines System, New York Metal
20
111s HK Hatēt – 10.20 10.30 500 (4 10.20
41
44 L
Humphreys
6014 Hently
HUBER Amal
28 UTILITIES
3125 31.00
14.70
1.373 1.425
1000
10.3
1575 5000 175
123 124
07.30
www.3.20 4500 LE 22.00
500 V
Finnair,
Brazilian, and
Australian airline.
QIT
Three are being reserved for the U.S. in Cast negotialicina
for sale aro completed-France- Prosec.
London Metal Prices
London, Mar. 24. Prices of metals closed today
23 in sterling per long tan DS
follows:
(0) 17.0 1750 2763 en 1750 Plectric...
26 2010 42000 pnt is Telepo 25.50 25.70 2000 25.30
ניך*
Futures
New York, Mar. 24. Prices of metal futures closed today in conta per 1b. as follows:
Lead: March, 11.425; May, 11.45b. Zuic: March, 863h1 May, 1.70b. Copper: March, 2.00 May, 23.05. Thi Murch, $3.254; May 03 121. United Press.
London Silver Prices
London, Mar. 24. Prices of liver wos unchanged
af 78 pes.ce for spot and 75% pence for
30
Tram....
48%
Yaurnal..
40%
C. Light
buyers sellers
401
7:00
13011
-
10
1000+ 26.40 Copper pol
3-month 1500
17219
378
1782%
18
Lead 2nd half Mer.
25
INDUSTRIALS
June
73
24 เหร
21
Any Cun
Zine 2nd half Mar.
મ
Dairy
17 1730 1200 17.10
Juse
United Presa. PYCES.
01
027.
124
Witam,
11
2212
Ime, raw 10.10
$10
COUTONS
4
Textilen
+2
Nag
27
270.
יוז
טק.ם
F
forward-United
LONDON STOCK
MARKET
London, Mar. 24.
in the money market had
o paralysing effect on the
stock market today.
PO B•I E
E&A
COMPANIES
425
United Pres.
An acuto shortage of funds
NEW YORK
RUBBER MARKET
New York, Mar. 24. Rex rubber futures today closed 19 to 40 points lower with sales of contracte.
23
March: 20.00; May: 21.03: July:
171 27.15: Sept: 21 Nov; 27.18, Jan
27.15; Mar: 27.15.
Standard contract
to 10 points with no
ported.
closed 19
sales re-
March: 26.00 May: 20.05; July: 27.15; Sept: 27.18; Nov: 27.15: Jan: 20 27.15. Mar 27.15.
$74%
44
#
in
Baltimore & Ohlu
Beneficial Finance
Bendix Aviation Grp.
4752
25 10
Benguet Cous.
23.511
Betliche Steel
26.13
wen Airplane
S
3914
Cotton future closings, pence per 1. were as follows: Old contract Mar/Apr.
20.201 Barten (The) Co.
Burroughs Add Machine
Campbell Soup Co.
con-
*
-
PASSENGER/FREIGHT SERVICE
PENINSULAR & ORIENTAL S.N. CO.
*
Prices drifted norrowly either side of the previous close in duli dealings>
$1
*
was
Behind this shortage af tunds
from the warning Chancellor of the Exchequer
Thursday's that last
drop of
the
*
Outwards "CARTHAGE" "KANMALA"
*
E
"CHUSAN" "SALSETTE" "CANTON" "SUNDA" "SALMARA"
Leaves London Soiled 3/4
Solled 15/2 16th March 20th March
1st April
Que Bongkong
7th Apr1] 5th April
12th Aprü
12th May 4th Stay
1th May
4th June
"CORFU"
Wed
one per cent in the bank rote was not- "A green light" for expansion. Another factor was
fresh look at the economic situation,
American
Blue chip Industrials were featureless, prices moving up or down about 6d. Unilever up a shilling.
WAS
Olls were erralle with Royal Shen 1/-, Dutch up 57-, und while others were mostly down Ul.
bonda were
British Government Apart from some intra-tionler
wore dull, and prices switching of Sept/Nov. tracts the trade lacked a special uniformly marked down £1/16.
Dealers feature,
Foreign bouds were mostly
inore were
301 interested in other and faster- neglected-United Press,
May/June July/Aug
Det /Nov. Dec/Jan. Mar/Apr.
New contract May/June
20.44 24.20 2049
Canadian Pacific R
24
32moving markets
July/Aug. Oct/Nov.
20
Cine (3. 1,1 Co.
15
collor, cocoa
like copper, and
the stock
27.05 Cat Tractor
Dec/Jati
27.23 cianese Corp.
14
murket.
Mar/Apr.
27.1. T. Financial Carp,
401
The civil
SAO PAULO
15
Corute-Palmolivs
Chase Manbat, Banke..
Chrysler Matoru
future closing prices Chit Peabody Cotton were unavailable today,
In the
The authorities can claim ihat the emphasis in The Econondat dismisses finis econetnie policy is still dist view as old-fashioned nonsense. flation. The reins on credit are "The great difference still held High enough to prev appaltion as a banking nation,"
United States, the Colombian Carbon Co. af it-ays, "cumpared with that in the during the 19th century or even bofore the average price of one-inch cullen other hand, war, is that we are now one at 14 designated spot markets Consolidated Edisci
Continental Olf of Del. loosened suf- from which too many foreigners was. 34.65 cents. they have been
have malters stand at
Total sales were 16,572 bales,Crown Zellerbach ciently ( present) to avoid
u possible resurgence flationary pressure
summer.
On the
encouragement
to
the risk of borrow in times of emergency United Press.
anal in which too few have an
carrying disinflation too far.
The
possibility
that the incentive to lend. The way to
American recession will spread
meet this state of affairs is to
to Britain is not yet a serious revise our ideas about what are
concern.
But it is a risk that
crisis interest rates and even
next
Singapore Stocks
Singapore, Mar, 25.
Brokers today quoted the fol-
Commercial Credit Commonwealth Fice.
Cubar. Amer, Sugar
Diamond Alkall
Diamond Mintch Cu. Douglas Aircraft Dow Chemicals
Dupont de Nemours
Easter Arling Eastman Kodak ..... El. Paso National Gos Family Finance Corp. Firestone Tyre & Hübber Ford Motor
General Electelo General Foods General Motors
Gen. Pub. Uul.
Goodrich (B. 8.1 Co.
Gotyear Tyre
Geity O
Opening
Glidden Ca
#2.7725
Gulf Ou
27% 60
has to be faced--and cooner about what is hot monoy."
This may rather than later.
In the opinion of this inducn- explain why the bank rate was tial weekend review, relaxations lowered now instead of in a should have been concentrated few weeks' time. Another redue on other things than bank rate or two from "above all It would have been tion in a month what is still, after all, u high better to concentrate them on lowing stock prices:
In taxation
Batu Lintang Rubber Co. rate, would not raise many eye- reductions
•Lid brows And it would travemonth.
Borneo Petroicum One room for
thing is clear from sil British a manoucyre at the
Byndicala bank to move has
Smelleva first sign of a resurgence of this The
Ord. ugelnst not but any fears to rest. We Consolidated Tin speculative pressure
later in the summer are like a regiment enjoying a Fraser & Neava Lid Orú, 13.70 sterling when seasonal influences become lull in the battle, but expecting Fraser & Neave 75% cum.
pret at any moment. a tow attacc
Cammons (Malaya) Lid But there is plenty of room The trouble is that half of us longkong for disagreement with this ap-are peering ahead for a frontal praisal of the situation. and assault by deflationary forces Hongkong Lu. erliiciams have already
adverso.
voleeri
་.
Banking Corp,
Kumpan. Ltd. been while the other half are looking Kumia Kampar Tin ....
over their shoulders for an at- Zunas Rubber Eatsies Lil.
Malayan Breweries
The Times belleves ibo reduslack in the rear by inflation. flon was made loo soon. "After-Express Service,
all," it says, "only the firs! glim
merings of balt to the rise lu
prlees have been seen so far on
the home front in spite of a 12 New York Foreign
Exchange
New York, Mar, 24. Closing rates were:
England
per cent drop in prices of im- ported materials over the past year. Certainly the remedies are working but a false step at this stars might exally undo all the the part Bik good work of months.... Morcover, several ontclai wazo negotiations are entering a | New Zealand..... delleato siago when misinter-Holland pretation (of the cut) might Argentina icopardise the whole atmosphere
Others unchanges. painfully which has benzi sa
Note: London exchange rates established during the winter were unavailable. →→ United
Pro
Linest
101
2.01-9/10
2.31
2043
£3007
Heyden Newport Curp.
Homestale Mining Co. Ingersoll-Rand
ininni Steel Co. Interchendesi Corp. Int'l Budnem Machines Int'l Tarvester InterNickel
Paper
Inti Tel & Tel
war in Indonesia New York Sugar
and fears of rebuked shipments
43 from that country" have been a
ste dying
13
64
2012
47
influence
Research
on
the rubber market comments the Bureau. Commodity "But tradera have been reluctant lo follow the market in view of the steadily deteriorating
32 look for new automobile
out- sales
and rising concern
over the
67
0812
177
and in
37
abroad."
133
general business situation here,
a hamber of
countries
manufacturers Iph Domestic down Inventorleg somewhat in 07 January, but they still remained million ve 413% large, totalling 28
20.5 million a year earlier and 19.5 million two years cariler, 404 Spot No. 1 Rss was quoted at 27
cents.
001%
18
2012
34)
02
Tw
SINGAPORE
markot rulo1
1 steady throughout the
There was enquiry
quietly
day. for lower shoots April and May delivery, though nearest driverles
Market
New York, Mar. 24. World No. 4 sugar futures today closed two points higher to two points lower with soles of 259 con- tracts.
Domestle No. G sugar clused unchanged to one point higher with sales of 109 contracts.
World contracts turned Irregu- lar after earlier firmness, yield- ing under light hedge selling and liquidation while buyers backed away pending further develop ments in the Cuban political situation..
Domestic contracts were steadier in line with the higher raw market.
#
Bomeworde "CARTHAGE" "CHUSAN" + "CANTON"
"CORFU"
5th April 20th April 300h Apri1
Leaves Hongkong 11th April 27th April-
6th May
4th June
June
Das London 12th May
5th May
8th June
Gth July
Via S'pore, Penang. Colombo, Bombay, Aden & Pt. Sald.
↑ "CHUSAN" ateo calls Marseilles,
*
"BANTIKA“ due with Apr. KN 11th Ajsr.
"OKƐLA" do thop
*
BRITISH INDIA S.N, CO., LTD.
saijr 12th Apr,
frolu Japati for singapore, Penang, Rangoons Calen
from Japan Kangoon, Clevite & for Singapore, Penang, ChuticbgwIK
P. & 0./B. I. JOINT SERVICE
Jails 29th Aar.
dio 23 Mar.
saila 20th Mar.
Que at MT,
from Jepan
for Singapore, Bombay, Karet Kuwait, Barah
Khowanshahr
Irom Bombay, Cochin, Colombo Singapore. for Japan
from
Karachi, B001- bay, Clemba, Perang
Bingapor
for Japan
"UMARIA” due 20th Mar.
"ETRIA"
»
"ITOLA"
zali si Apr.
59 Boull to place,
dir-
less nut July Forward deliveries
SepL Oct. freely offered and buyers once Engah-paying small premium, Xtur.
Contract No. 4 (world)
»
3.44
1,44
"NANKIN"
3.47
due 20th Mar, anilo jint Mar.
*
Futures:
ву
"LASTERN" due 4th Apr, 6th Apr.
2332 contracts
EASTERN & AUSTRALIAN S.S, CO., LTD.
trom Japan & N. China for Australia Vin Labuan, Jesse Hon Soulakan
from Australia for Japan
All remais bava liberty to call it any ports an or off the routs a tho ronto 4 railings ato rubļuct
to change or amendment with or without notápa
7
July No. 2 rubber per 11. April 2014-2014-rents per il fob Cuba)
May 70-781% Open interest: 1,124 cuntracts. No. 2 rubber per ib. April 7436-7495
7015-71 67-60 77-7742
#2 33
Shanghai
$430
$1.00
John Manville Co.
Kennecott Copper
31 04
Liggett Meyers Tob. Co,
2012
Lackheed Aircraft
4254
Loown Incorp.
13%
New Berandah Rubber Co.
Lone Star Cement Co.
Ltd.
81.00
Lowenstein & Sons,....
No.
Pelating Tin Ltd.
1.00
McDonnell Aireratt
Rallies viel
$2.03
Singapore Cold Storage
$0.01
Mesabi Iron Corp.
207 No. 1 pale trope
No. 3 Spot rublier unbaled Blanket crop
Stralis Trading *****
$1.234
Minnesota Mining
Strait Steamship
United Engineer Ord.....
Wearno BroR, ...
$20.291 $1,074 83.17"
LONDON
rumdiv: 1 ccl,
China Mall
Special.
Block Exge.) ...
Mission Development Monsanto Chemical Co. Montgomery War Motorola Inc. ..... National Cash Reg. "A' National Dairy Prod. National Lead
302
طرة
The rubber market was quiet-
ly steady with spot. qusted of
Contract No. 0 (domestle)
May
64-00
July
001-82
Sept.
Nov.
S-(rents per lb. cit Ny
ex-duty)
Open Interesti
3014
uniled Preom.
073
BY 23-3/16 ponce per lb. Pricos
No. 1 Raa spot ........... 2315~2312
Settlement house term:
April
2314-2342
New York Central
14
May
2311-23
Norfolk & Western Ny.
BIP
Junio
231-2331
Olin Mathieson ...
Apeli/June
2331-233
Oits Elevators...
521
July/Sept,
2342-2994
Ocl./Deo
Jan./dar
231-231
1416 April
buyor
Maleta
22-23 crepe til Abril 2
thick April 2316
NY COTTONSEED Noral Bieel Corp.
OIL
New York, Mar. 24. Prices of cottonseed oil futures closed today in cents per ib. as follows:
May: 1.06: July: 15.07; Sopt: 15.40; ON: 1520 Doc: 1823; Mar: 15.20,
Sales 1 controls—Unlled Prem
L
Dawn-fliania Glasa Oxford Paper Co. Pacife Lies & Elec. Pan Americk Altways
Pictures Parke Pemy J. C. Co Penn, Salt Co.
Para Co.
General markets, cif base, ports:
Exchange Rates
Businese won dona In the local sinofficial exchange market the moming at the following 10-
6.00 Un duitar (per 1 Berit notes (per all ****
doles (per 41)
fedorasian rupiah (per 1001
Maresis (per 100)
Bigpore (als)
-For full particulars apply to i
MACKINNON. MACKENZIE & CO. OF HONG KONG LID. Telephone Nos: 27721-4.
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