1961-06-05 — Page 2

THE CHINA MAIL MONDAY, JUNE 5, 1961.

Weekly survey of American economy

SIGNS OF LEVELLING OFF

Summer outlook

is one of steadiness

Now York, Juno 4.

HONGKONG STOCK EXCHANGE

Our Own Correspondant; -

Business done at the Hong-

Stock Exchange thin morning amounted to approxi- mately $2,500,000.

Noun and the morning's

The U.S. economy this week ontored a phase whore two conflicting forcos will exort their pull on the national produc-kong tion effort for some time to come. The cyclical recovery from the recent recession, quotations

the buoyant force which has held away for an unbroken spell of many weeks, is now begin- ning to meet the seasonal factors, the tradi- Bank tional summer slack. Economists regard the cyclical forces powerful enough to prevail.

נון

transnelions:

Shareu

K Bank

Bes Buyers Sellers

400 100 200 400

20 400 20 or 400

20 400 37410 100 100

(Lon. Reg.) Εικ. Σ. Αγία Lombard XD Whart Co Tolkeo

303

106 240

200 + 300

5012

100

HK Gas.

Wheelcok

But signs of levelling off in three per cent over the March the alatian economy have į lèvel to reach the highest point | already begun to appear and in alxteen months. Total inven- the outlook for the summer is i forles of manufacturers likely to be one of high-platenti | cressed by $100 million picadiness rather than a. con- April, finally reversing a trend tinued climb.

for seven consecutive monthly inventory reductions. Manufac-

soles in turers

April climbed}

nad two per cent over March factory backlogs in ordem have renched the highest level sluce! HK Dock ..

The first indication of this came last week when the latest gures for machine tool orders showed Π algolicant drop. Another Indication ente last week with a report showing October. paperboard orders--the material for goods packaging-levelling olf after a sharp climb in the first quarter. Since both Indica- tors concern prticles of a pre- | paratory nature, they are per- looking haps best suited for ahead. They both move in ad-

of uctua! business

vance

tivity.

ac-

THE HOLIDAY Then last week another factor brought down the slendy pro- duction climb of the past weeks -the Memorial Day hoilday. The slump was most noticeable in automobiles and steel.

Car production last week, for example, was only some 85,000 units compared with the almost 130,000 of last week. Although this was only a temporary set back, most cronoinfuls agreed that the Memorial Day week may have signalled the start the summer sensun os for

of

16.40 10.00

5000 1000 16.70

WALL STREET

TEXTILES

WEEKLY

FIXES EYES

ON VIENNA

New York, June 4.

The stock market ran up against its old nemesis last week -the international scene — and hesitatingly decided to sit things out.

new

Stocka milled about on drop-| grossing the tape. New highs. ping volume, rising a bit on however, were reached by 142: average but fading much in en- stocks whlic 27 touched thusiasm Os Wall Street tele- lows for the year—UPI. sepped a chart three-day span Into one spot on the globe: Vienna.

Last weekend in that city President Kennedy and Russlan Premier Khrushchev. met for the Arst time and the unknown results present a major stumbl- ing block to the market's rear- term coursD.

It successful

1000 er 19.00 pleturo,

and the meel»

LONDON

STOCKS DIP

1000

Ing provides a safety valve for 71% 21.10 21.30 1100 or 21

world tensions, stock prices aro 1730 4 21.

to noya 310xpected

up once 1500 or 15,40 again and discount further the

London, Juno 4. 10.60stendily

business improving

week steel Stock markets onded the This post production scored its eleventh

weak with little change consecutivo wookly rise, factory In sentiment. new orders rase three per cent Some buyers who materialised while sales climbed two per were unwilling to commit them cent in April and 4

seven-selves very far and lower price month decline in inventories were again dominant.

Nearly every day this past Most signs are pointing to a week prices have fallen, and up tho rato of fall "summer rally," analysts say, to Thursday, and a couplo, looking backs increased.

On

when Thursday,

$11 112

100 10

300

liz

200

112

Ch. Pray.

33% 33%

1000 331

dropping

4,708,000.

powerful enough

Kyen unemployment operated, up to a point. li de- clined by almost 200,000 the period April 15 to May 15,

10

total ot However, the drop not to budge

co-

BK & S.

Hotel

TIK Land

7394

TOQ * 73

In

1K Lund

ts.

was reversed.

47% 40%

20 47

J11 47

"

Yournati

193

300 132

900 133

was only seasonal and

139

the percentage from 6.9 of the HK Trom.. 30% 3074 1000 fotal labour force.

Total employment for the same period climbed by

more than one million to 08,778,000.

C. Light

Telephone ..

The persistently high uneta- ployment lent urgency to one of Electrie

President Ken- the measures Bedy outlined last week in his peelal State of the Union mea- sage to Congress retraining workers displaced by Automs.

on. The measure was the least Cement controversiel 1

lot and The marked the first concrete step taken by the Jabour-ennscious Kennedy administration in its effort to do away with hard-core R Trust unemployment.

of

production is concerned ord that from now on the "tug of war" between the cyclical and the seasonal forces will be In another labour area, that officially on.

However, most of the output ladicators up to this poin! have bern favourable enuigh to give the cyclical forces powerful Alip into the battle. Car pro- duction figures for the month of May, for example, which were the highest for any month since October lost year;

the or previous week's steel production, which kept

the above twe milliam tons Jevel for the second consecutive week.

New orders received by manufacturers in April jumped

301%

over the years, 100 733

500 2 3034

41 02

3045

2000

37 1000

2015

GAG

1400 2014

1000 + 36 3000

7

31 4500 # 31

4720

63

$215

0210

500

GO

Dairy Farm 3815 Watson

Textile

4.34

14.40

G

K.M.H.

705 7.70 City Hotel 33

130 @ 23% Rally .... 2.075 3.10 20000 200 (New) 24 2.55 1000

771% 78%

232

J613 e 77

400 77%

100 L M

150 60 78

Nanyong

A. Rubber.

the looming car workers strike in late summer or early autumn, the government moved in with a warning that it will prevent put its foot down to such labour strife. Just how the government will go about it is not clear. To begin with, the Labour Secretary told cor management and labour leaders "in- such a strike would be tolerable." This may take some stean out of automobile plant buying of steel for inventory an a hedge against such a strike M Eles. 14 UPI.

Gilman ....

Humphrey Star Ferry Int'l invesi, HK. & PE vest

Vibro

20 Gr 7725

Dag 64 Ta

1000 v 70

0.05 5.10 0009 61 5.04

5000 of 5.10

234

are botting 8

the

to 1 that this would happen." Financial Times Industrial index Last week, the Dow-Jones in- fell 7.4, it was the weakest day In shares for alx months. Lust dustrials

rosa A minor 1.43 points to 097.70, ralls were downweek the index lost 14.3 to close

at 342.0. 1.30 to 143.99 and utilities cased

REVIEW

Now York, June 4. Accelerated buying of bag

SCIENCE A

ENGEND ENGINEERETH

Basic research laboratory in Europe

S

Gonova.

ontirely to basic shooting fabrict, antici- A laboratory devoted

research the Cyanamid European Research Institute-was formally in- augurated here recently before distinguished gathering of scientists and government officials.

pating substantial govorn- mont orders, enlivened an otherwise quiot situation in cofton grey goods last wook.

Demand for print cloths and other standard constructions tlackened more noticeably, pos- sibly because of the interven- ing Memorial holidays.

re-

Ex- for

Bar sheeting demand was relatively keen, brokers ported, and reflected an pected government order bags needed to handle over-

and sens shipments of wheat flour.

ness

Extent of the shreling busi- not disclosed, but was some sources ventured u guess that it may have been in the

neighbourhood of 500,000 yards, and mostly in the cings "A

category.

to

Dr Richard C. Robiin, presld- j ent of the Institute, which was established by American Cyana-] mld Company, declared that the modern facility will provide its scientists with the time, equlp- mont and freedom they need to explore new frontiers of science.

METHODS

"The staff of the Institute consista of outstanding European researchers," Dr. Robin stated. "This was done in order to en- list

of the skills

European scientists, and to beneft from

а

Major UK antibiotic against ringworm

Since

Floming discovered penicillin to give Britain the honour of ushoring in the antibiotics oro, most antibiotics major

now

have been clalmed by the USA, the result of a vast soil-screening programme

on mass-production lines. Some adjustment of this the methods and oppranches to altuation is now seen following basic research which are char- on the discovery and marketing acteristic of the scientific tradi- lot

remarkable anti-fungal

â

Griseofulvin, which is a near

to

was dis-

Impact of this demand acted brace sheetings generally. but prints and other standard constructions were mostly un changed.

Demand for Industrial fabrics,tions of Europe, The, internation- antibiotic, griseofulvin, a drug particularly tubes used by the al nature of the Institute is wholly effective against hitherto showed a Justrated by the fact that there. Intractable ringworm and also trade. automobile

the are already scientists from seven having the merit of being taken markted let-down from

countries carrying on research by mouth. active pace of recent weeks.

here." NEW 'MOVE'

Dr Roblin, who is also Cyana- cousin to penicilin, Optimists, however, thought a new "move" for fourth and mid's Vice President for Re- covered nearly 20 years ago as search and Development, said specics of penicillium, Its first quarter production could be that creation of the Institute re-history, in fact, bears a strik **coming along** anytime be-

similarity

that of and mid-presents a logical extension of int the present

the company's total research ef- penicillin, for lice its contem- fort, which involved the activit-porary it lay on the shelf for In the import picture, les of

an academic show- over 1,000 graduate years as Volume figures-only three lower, Imperial Chemicals last reportedly

over nearly $30 million during 1900. cognised, Brstly in horticulture days' worth-took a nosedive to four shillings to 74/72 pence for yam-dyed fabrics.

market Basie research programmes are and then later as a new and im- 11,706,850 shares from 19,235,349 and Rolls Royco 2/3 to 43/7.

Lowest carried out at all major Cyana- portant drug for the teller of in the previous five-day week) In stores and building shares Prices on flat plaid, yarn-dyed mid laboratories, but the instit-suffering in man,

goods, ranged from 31 to 32ute represents the first facility and compared with 14,501,000 tosses were fairly widespread. cents a yard, or fully 10 cents dedicated exclusively to funda- the London School of Hygiene Griseofulvin was isolated at shares same period a year ago. House of Fraser, Associated under American-made goods. mental work in the chemical and, ond The daily average of Betivity Cements, and Rugby Portland Portuguese Imports have even physical sciences. last week dropped to 3,932,283

undersold Japanese fabrick, but shores from 3,847,008 in the pre-

brokers reported most of the vious week.

big volume of business on these yam-dyed Japan.

The gold reserve figures came 0.20 to 119,01. The much-

on the to have effect too Inte broader Standard and Poor's

markot generally, but later index of 000 stocks showed that quotations suggested that they

tween July.

the average price of single

were not badly received. stock ruse 40 cents on the week. Industrials were all marked Japanese and Pertuguese mille scientists and an expenditure of plece before its value was re-

slightly

all showed declines.

The Chairman's denial or any knowledge for their strong rice wok Debenhams 3/- lower to 71/6.

Gold shares had a firm week.

Sperry Rand was the biggest volume-maker with 103,000 shares changing hands, It dropped 1 an A strike by Anglo-American jumped 8/9 to electrical workers, recovering 131/3 and De Beers, in diamonds

Friday when a settle- rose 6/3 to 131/3. ment was reached.

Olls recorded small declines Next in line was American with British Petroleum And Viscose, up 44 on a report it Burmaha fractionally Tower. į had a powered additivo that Royal Dutch fell 2/0 to £136. beefs up food but adida no Dollar stocks closed the week

calories

subdued. The premium cased The market breakdown last one-fourth

to 2% per cent week gave a better indication per cent. than the popular averages as to In foreign bonds Japanese how things fared: Declines out- assented see-sawed, with the 4 numbered gainers by 687 to 691 per cent of 1910 five points out of a total of 1,432 issues lower to £74.-UPI.

have taken

most of the domestic

fabrics went to

Hard fibres remained mixed Spot heavyweight burlap slump ed to 1234 cents a yard, oft cent on the week and the lowest since last October 5.-UPI.

Exchange rates

EQUIPMENT

of the Institute represent a The facilities and equipment capital investment of approxim ately $1,700,000.

Tropical Medleine by, Oxford, Ralstrid; and Simonart. Seven years Later Brain and his co-workers at ICI, Isolated a species of penicillium that had the effect of curling and so fungus threads. stopping the spread of minute

A Glaxo research team had begun working on the agricul- tural possibilities of griseofulvin Areas of research which will and in 1956 a report was issued be explored by Institute staff to research workers summarising members include theoretical or

In the available Information. Hanie chemistry, high polymers; the following year the Minis- inorganic chemistry, and solid t

state physics. The fullest flow try of Agriculture permitted the of griscofulvin on cdible of information, supplemented by use 5.748 frequent visits, wil be maintain crops and in 1967 griseofulvin

introduced 15.93ed between its scientists

market 12.08 those of Cyanamid's four other gardeners as a fungjelde for the 20.79 major research laboratories in control of fungal Infections in

181 the United States,

lottuce.

Business was done in the local unoficial exchange Inarket this morning at the following rates: US dollar per $1) Storling notes (per 2n Australian notes (per CD indonesian rupiah (per 100)

Slain teals per 100) Singapore (Sirats)

1.15

and was

to

7A3

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60

POLAR ROUTE

6 JUNE& Europe

TH

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