THE CHINA MAIL, MONDAY, NOVEMBER 6, 1961.
Weekly survey of American economy
THE EUROPEAN CHALLENGE KONDIST
U.S.
concern about overseas trade
New York, Nov. 5.
Business concern last week shifted from domestic to international considera- tions once again. Washington appears to have realised what an enlarged European Common Market would mean to American overseas trade and is formulating its first proposals on how to meet the challenge.
But
LONDON New York stocks TEXTILES Transistor alarm
MARKET
GAINS
London, Nov. 5. Thursday's bank rate cut from 61⁄2 to six per cent made the event of
rote
0
the
Some
Jewsring his Baut. Bate-down prepared to hold on this was a to six per cent.
else, investment money is again flow- as in everything
and U.S. officials Congress will have to approve ing abroad
Just how well this battle are grateful to Britain for again Salost president Kennedy when Congress resumes sessions Is anybody's verly next year BUL-93
American concern about over- xes trade is (wofold
In the short-term outlook There is renewed anxiety over the balance of payments situa- Then The U.S. deficit is running at about two thousand millon dollars for this year. Short-term
New York cotton market
been
droja has The gold resumed although it is still at only a trickic compared to last year. US exports are not doing as well as hoped for and im- ports are gaining. All this may presage the first tightening of credit under the Kennedy Ad- ministration even at the price of hurting domestle business.
gain on WEEKLY heavy trading REVIEW
New York, Nov. 5.
Stocks scored a moderate gain on fairly heavy volume this past week, with aggressive de- mand for a number of scattered issues.
The selectivity of the rise was
bullish
1
OD
255,900
shares.
The
New York, Nov. 5. Cotton grey goods sellers last
week reported that a slow demand for most standard offset constructions was
by a quickening buyer in- terest for special apparel- type fabrica, and a wide assortment of industrial heavyweight goods.
week for industrial stocks and government securities alike when the second key interest
trimming in operation
month accented by a deepening up- stock was steadily depressed by ward disparity between Stand-reports that bowling alley boosted values.
ard & Poor's stocks (500) and building is now exceeding de- Dow Jones 38 Industrials. mand. However, it recovered on Hopes of a bank rate cui Both indicators scored healthy Friday on reports that directors
!
Wide coating fabrics, used by while the S&P will consider a dividend increase brought out, the buyers.
gains, but couraged 13 Anished at a be
the automobile trade, comple- seemed to
record peak, the
at next week's meeting. that for
thuse Dow-Jones "blue chip" average
better demand for was followed in
by mented a press commČTU
ducks and
drapery closed rough 20 points below General Telephone, unchanged. tarpaulin favourable buying time for
its record May high. Techni- Standard Olt (NJ) up 4. Pan goods, plus a broadening interest equities.
cians consider such a disparity American in 1 reflecting air-in bag sheetings.
line industry plans for an austerity
Bod programme, Montgomery Ward down 14 after cancelling its merger plans with Interstate Department Stores which rose 4%.
Active
construction. Baxter, Bristol, Myers, Nor- wich and Schering were all up two or more
Civilian in a higher drug
demand for print Reynolds and Philip cloths generally lagged behind Morris gained three or better in the rest of the market with the tobaccos, and Armeo and brokers explaining. "This is not Copperweld the same in the a prave
print year," and calling at steels, the latter on split plans. tention to the relatively better
Republic
was active and up demand for broadcloths. In the aircrafts on quad-interest in prints centred on con rupled earnings and a
shipping a surprise sumer Universal 148.
Barber,
and being hela and viously bought split proposal, but Boeing slid instructions against goods pre- Midwest gained Around four at the mills. each to lead the alls.
on
the Financial By Wednesday
Many analysts went home for Times Industrial index was up
the week feeling that if closing
the 8.4 points on Friday's
present spotty business picture level. Just before the back rate
brightens in coming weeks, con- Thursday
firming improved technical cun- change at noon the index had added another Rises were evenly
ditions, a traditional year-end rally major size Would 2.8 points.
board,
but develop spread across the
following the 2 The long-term outlook then a flood of depressing newspletion of year-end
from companies, including ooth selling in late November. shows a further strengthening of the European Common Market Courtaulds, Hawker Siddeley Hopes for the business future I with the addition of Britain and the big Concern of Wiggins also stirred by the peaceful
other countries as its new mem-Tape. it into the ruses, bers. The United States may well find itself a loser unless it does something about
soon
Another cut?
Under these influences Friday proved a mixed day and values ¦ turned irregularly lower.
already per
! started that another 12
en dip in bank rate may not
com- tax-Jose
settlement of a new labour cou-
tract at Chrysler. This seemed
swept
list
2%
Government buying in osa- burgs reportedly cleaned up the available nearby supply of one construction. Military demands highlighted an Army inquiry to:
yards of 10,000,000
tobacco cloths, and around 4,000,000 cloth one
Fards
of
Issuance
of
signal warns of Burglars, fires
London, Nov. 6.
A transistorised burglar alarm which was invented
د
by a U.K. firm last year is now available for
the overseas market.
HONGKONG
STOCK EXCHANGE
від
Our Own Corbuspendent
A small Instrument, it has a transmitting transducer which Alls the room-of a warehouse, bank vault or
stores with sound pitched beyond the reach of the humen ear.
If the room is empty, and there is nothing moving in it,
sound waves echooing from the furniture walls, ceilings and create a fixed pattern of sound in the room.
The receiving aving transducer detects this sound, which
volume.
continues at an even
However, should this
fixed pattern of sound be dis turbed
an by
intruder or.
on the Hang- equally effectively by the start Business done
of a fire, a relay in the instru- Stock Exchange this kong morning amounted to approxi-ment automatically closes. It is
therefore
to incor- possible Noon $5,730,000. mately
porate the alarm as an integral and the quotations
morning's transactions:
Shares Buyers Belles" HK Bank. 300
*0$
200.370
935
248
100 @ 380
280 100 254
KK Bank
-Mani
Len. Reg.) 282
Allied Inv...
H.K. & F.E.
Invest
2032
Wharf
348
Wheelock XD 12.90
13
HK Dock
122
124
Novelty weaves
Grey goods brokers, conver-
the gilt-edged by reports that price cutting 1 Motoroloa $5% on higher ters and piece goods distributors
is spreading to additional types of semi-conductors and transis- turs.
Perkin-Elmer
to augur well for the steel in- dustry which is still waiting for a rise in car steel orders. Tariff structure
PRICE WARS Gasoling Over
price wars This is what it proposes to do:
The U.S. *
tariff structure the week the index jamped 7.8 the country this summer, Some to 294.5 Pompared with the bull stocks came back into de- will have to be re-drafted.
mand this past week when gas Specifically,
President's of 284.7 and the high of 365 7. the
boosted by two {a*}ct*s were tariffs and authority to reduce
TBM dipped 12%, Zenith 0% The guessing
aid western has
producers with and Fairchild 154 in the New York, Nov. 5.
remove other trade restrictions
rose others expected to follow sult. Tariff broadened
electronles where Lalion be Cotton futures moved irregu- must
A few electronics
were hurt lorly lower from start to negotiations should no longer be
united to item-by-item deals
be should finish this week, with the The
government
deal on a much nearby months settling authorised to back to the lowest level broades and ambitious scale.
The process of trade * since late June.
liberalisation And tariff At Friday's close the list ruler reduction will require structural or 45 changes in US. industry-on a off nine to 27
points,
dissimilar to that cents to $1.35 a bale lower than pattern not
which European industry had the preceding week
the Common persistent undergone within Moderate,
Marke hedge selling, along with com-1 mission house liquidation, con- While the challenge of the centrated in the nearby months volume to keep a in sufficient routine trade and saw demand over supply most of the time
bu!
Spot December elbed to 34 48 cents a pound, establishing the luwest level since June 26, and was 84 points-$8 20 a bale under the season's highest levels n{ 35.32 centa a pound, es tablished last September 11.
for
The average price middling inch cutton at the 14 southern markets held at 33.00 cents a pound, keeping within une point of the best price thus far this season.
Loan entries for the week ended
totalled October 27 362,288 hales, boosting the net loan stock for the season thus far to 1,220,473 bales. Some trader said it would not be sur- prising to see loan entries over 500,000 bales week dur- ing the height of the new crop Hvement.
crop.
of
European Common Market should be paramount in the ninds of those who set about this liberalisation of trade, new legislation will also be needed 15 set up open trading lines with the rest of the world
These proposals have more or less emerged this week at the meeting of the National Foreign! Trade convention in New York. Similar developments In Washington, preparatory to Senate foreign policy hearings in committee next month, in- of an even eluded proposals
nature: more far-reaching
partnership between! business the Common Market in Europe and the United States
for
a
Washington has just given final shape to what may well be a first step in the new took
B
of American foreign trade: broadened as well as simpli-
be far off, but market is not yet reffeeling this speculation.
Over the wack.
stame of the blue chips clocked good gains, British American Tobacco add- 2/0 to 59/6, Imperial od Chemical scored
A broad ictal of 1,481 issues
were traded during the week.
2 samilar rise of these, 87, idvated, 143
6. a sustained market improve-
felt 12 Instruments
andment has been stumped by spotty RCA 3% on
a big European retail activity. The buying pat- tern for spring promotions has computer contract.
laid "stress on novelty weaves. Blue
Consequently, garment makers felt the safest policy
were chip features American Telephone up five, 54, Eastman Kodak 4%, International Harvester 3 to frequently repolder has been
Du
to
and amounts, because of the risk of & Gamble 0% Proctor to 62/3. Vickers went better felt. 64 to new lows.
Union Carbide 1%. Woolworth a short life in the fashion world than 1 higher to just under
Volume on Friday weat
Most cut- stores, but for novelty fabrics. dipped two in the share 27/- Stores were buzyani and
four million over the moved into the plus columns.
mark for the first time since Korvette countered with a jump ters were reported 30 to 60 days
stock late in ordering on of 94, 18.
responding In the foreign bonds marked August
bringing tre
fabrics. Greeks held gains ol better
week's turnover to 17,949,230 split plans.-UP1. over the week than one point
shares against 16,990,958 2 but
were mixed. Japantse Sporulative buying lifted Bul- garian liens from £1
£34-nenrly quotation-UPİ.
the doubling
week earlier
In the comparable 1900.
Brunswick
and 13,462,197
week of
ав
the
off
ranged week's most active issue,
FURTHER MOVES
MAY FOLLOW UK
BANK RATE CUT
London, Nov, 5.
fied programme of Insurance After sterling's best month in more than ten years
against foreign business risks I order to step up private U.S. Investment abroad and U.S. participation in foreign trade generally.
will
(an inflow of more than £110 million, easily beating the previous February 1959 record of £85 million) the cut of only half a point in the bank rate may whet the appetite for more bank rate cuts, which may not come easily or
soon.
Tax-saving mutual fund started
1100
9.35 9.30
1000 8.35
1100 @ 133
200 124
Taikoo
8 703 2200 71
Ch. Prov.
HCK & S.
Hotel
4291 431%
31 1600
2000 (2-33
400 @@ 42
B003
100 @ 2 200 @ 72 2400 @ 72 2440 22
31 1000 30
500 07 30 1850 @201% 2.275 2,30 722,500 2.30 28,000 2.30
KK Land
12 721
standard
Local P. & P. 30%
Competition from synthetic fabrics also has been a prime in curling factor
market activity.
Realty
Realty
Tram
KMB
Yatimati
M. K. Horne, economist for the National Cotton Council, has estimated a charge from cotton to man-made fibres, converted to an
Indicates annual basis. that in a single, five-month period cotton has had a competi- tive loss of about 200,000 bales,
Hard fibres were easier. Bur lap dropped back in company" New York, Nov. 5.
with reports that Calcutta mills A new international mutual will unseal 2% per cent of looms fund with important tax at present idle. The sisal murket saving features has started softened In company with a re- with the first continuous duction of $15 a ton in Brazilia registered price, The trend was public offering of shares more disappointing, traders said, of United International because sisal prices usually tend to strengthen toward the end of Fund Limited,
the year.
The Fund, which is based in
of
C. Light
HK Elec.
HK Tel.
(N) 2475
391 39% 2000 @ 39
21003016
74 7475
120 122
►
* 3916
38% 39%
2500
400 @ 14 200119 1000 @ 120 300 121 64 120 100121 2800 39%
1600 -39%
200 30% 1600 3914 1000 € 3914 1000
1000394 300 39 500 @ 3914 300 301 900 391 1000 à 29 100@39
part of a conventional fire or burglar alarm system.
The alarm does away with a bars and catches of most other systems, yet gives an alarm even 11 煎 burglar comes through the ceiling, roof, wall or floor. Should he be concealed in a cupboard." "his emergence from it would still set off the alarm.
ted
Predetermined.
8
Since the instruments originated manually opera- sensitivity conttol has been incorporated which eb- ebles the fired level of cerisitf- vity to be predetermined in any Installation so that, for exam ple, the movement of cats and mice will be disregarded addition to this manual, control, the instrument also incor.. porates an automatic ser
sensitivity control which compensates for day to day variations in the amount of merchandise etc., stored within the enclosure
The alarm
arm is not
suscep
to sounds from outside the pro- tected room. The reason is that ultra-sonic sound is absor bed by walls and windows, and the instrument disregards or- dinary sound. Also there are other built-in safeguards against false alarms so that sudden curges of electrical mains cur- rent or
a sharp non-repeated
sound actually in the Tuom.it:
self
would be.
disregarded. There must be positive move- ment, an actual fire, or ultra- Bonde sound within the protected area self in order to give an alarin condition.
A stand-by battery takes over in
the event
event of a mains failure
or it the mains is cut out by the would-be burglar and is automatically recharged when the mains current is resumed. Should the mains current not be 45 45% 2000 € 45
a number of 38004514 resumed efter 3000 215 hours, an alarm signal will be
100 @ 1244 given.
Remote test
facilities are pro- 173 vided. Each master
aster unit con 1740 opérate up to two pairs of re-
(On)
(New) (Rte.)
4222
17.60 17.70
HK Gas
Gliman
100 2.40
2133
500 0 17
14817,40 selvine and transmitting trans- 600174ducers so that one control unit, 300 1230 can protect two adjacent rooms 401 1735 at the same time. In a very 500 17.00
123174 large warehouse where more 2400 17.60 than one master control unit is 21.00 21.00 6800 21.00 necessary. multiples
12500 @ 22
of
The
equipment can be used to pro- 2020 21.00 vide effective coverage LPS.
4.85 4.375 40034.35
4000
Jardines
2515 25.70
Man-made fibre grey goods Bermuda to secure tax advant-
a rufc, ages, has current assets of $23 prices held steady as million and will give United With a few fabrics reported in Nylon, sheers Loan entries
States investors the opportunity short supply. The programme aims at giving
falling short of American enterprise full equity
to participate in the growth of were an ein business abroad.
demand, brokers fadicated. ---- Trade estimates on the with foreign com
competition abroad. loan entries for the export insurance programme possible total
The announcement of the UPI. Futrd was made by Mr Chaun- the season range between 4,500,- will guarantee exporters against 000 and 6,500,000 bales, or about
Neither can the gap between Dow Jones Average). It may cey L. Waddell, Chairman loss through political risken, such New York and London money give both Wall Street and the the Board of Directors of Wad- 32 to 46 per cent of the estimated as currency inconvertiblity; and rates easily be closed by New economy a better chance. Rosy dell and Reed Inc, which spon-
against loss through normal
group of York rate rising. High Ameri-froth and one-sided bullishness sore the "United" Prices
for pald
current tuger default. The insurance
funds the can officials think (probably create
conditions mutual
fourth technical Investors
protect sights ginnings are high, traders said.
that their budget will which give a market hardly any largest in the United States, especially those opening up new
exercising a defiation change.
with assets of $1,200 milion In some areas, producers were business in underdeveloped coun-
ary influence which will have Deflationary budgets and and Sir Henry J. Tucker at reported selling freely. The tries. Both branches of this
to be offset by continuing the other demand restraints are no Bermuda, President and Direc- better grades--middling and programme will be administered
easy money policy well into the higher-were reported bringing by the Export-Import Bank in
second half of next year.
enswer to cast-push inflation. tor of the new Fund and Gen- of the Bank of Britain hopes to
that eral Manager break prices, close to the loan rates, line with mandates already
People have been too cynical spiral by moving towards some
Bermuda Ltd. while prices for most of the given by Congress in its last
about
The primary reason for or- the American budget, lower white grades and colour- session.
ganising the Fund, according to Ostensibly it, has a cash deficit thing that might charitably be
London, Nov. 5. wag s
Waddell and Tucker, is the at-The Economist said Malaya Texti of more than eight billion dol- deseribed as a national
policy. lars and still rising Wall Street
tractive fovestment opportunity in foreign securities. The Fund will buy Only in foreign It currently has 00
ed cotton range as high as 150 Car output
to 200 points overloan levels.
soon, be
Raw cotton exports for the
In the domestic business car takes this asimilationary so Wage awards- season through Oct. 31 totalled production spurted to new highs long as the dollar can stand it.
last season.
Malaya prepares for American rubber releases
Cenent
Dalty"
Watson
13000° @ 4,376
Nanyang 12.30 seems to be preparing to
Rubber. 5.20 absorb the brunt of re- | 1. Trust XD leases from American gh, Dock per cent of its assets in equl-stockpiles of rubber and-ame ties China Mall Special
1000 2.1215
Robe
8.80
and tine p
10
MTI-
Exchange
pun
1404,122 bales against 702,365 for the year. Last week's out. But the budget's economic, imun haremment, and tuber to markets.
has called bales reported to the same time put of nearly 160,000 units also pact for this iscal year as co-operate in a continous assess
saw the assembly pf the mll whole is a deficit of only 0.2 mo The cortificate stock at the lionth 1002 model.h
billon dollars. For more than men of what the economy
stabd. This is to be a guiding weekend totalled 06.185
But there was another cloud all of that comes into the pre-fight which the Government bales
on the automotive horizon; tho sent half-year.
ployees and which it hopes can follow for its own induce, private Industry to fei- From oarly 1802 the budget low too. One suggestion in that ree will probably be exerting all wage awards should at least In understandable
plus 801 bules" awaiting in- spection and miconnaire test.-* UPI.
possibility of yet another
, this time at Chrysler.
niso firmed somewhat as
its output this week marked the
Agreed merchant rates
Deflationary
rates
in
The weekdy magazine, com menting on releases In its cur
rente, from the rubber
stockpiles in America and Brl- tain, said It seems that the controllers
or the British and American stockpiles - uro přes the local pared to welt no longer for the
LOTS would allow theipfo resume 10.77 disposals of their surplus stovicą. 12.80
stop of a decline over the steel restrictive or deflationary pull be once in previous weeits But outlook was
build-up, months of. totilled
70.0
[with muctieams disappointing. Although the American budget on to latour the morning at the following rules; revival to rubhet prices that
Foc the 1001 steel produ
million
well
in
unbiucial exchange market "this no Inventoryas ostensibly had only three -Arawweetotier.
first nine surpluses in 15 years, the Bank Goventment intends to bring in US culiar (par 31)
for International Settlements, its tax on certain speculative Sterling notes (per 21} which is highly conservative,
profis as soon as the bill is Australian buter (per £1).
Japanese Yen (per 100) Belgian Franes maximum below the 80.4 million projured sty
nity, blos. alt has a deflation rond this win to Ameri Samawi fare per
gains tax on the Ameriroth new 1 Perhaps the best angury can model. According to the rear cruiser by
Alpentine Pre (per 100)... for is American economy
my in Chancellor it will be confined to Kordan wall iter 1000). that people are getting mpes short-term dealt in shares and to an iron (per 1000) esber about --H. Previously property designed to bring in Taiwan yurn der 100)
which lift-Thai baht per 100);*....
·Buritieau' kyat (per, 20)
Belling. 000.
UNIT TRUSTS
in
tile same period in 1980. The leak of enthusiasm building up" inventories was nut imited to steel. Businessmen Were 'operainly un1 small budgeta and narrow
there was danger of a repell spemling money predla and wore
tion of the Bullish fervour come and should be taxed us Pakistan rupee (per 10 of lovesling in large mʊcits, wory First. Hongkong Fund, ex div: While the overall corporation
winch made such A poruch.
• доково рано (них 11 1.14 (buyer) 61.23 (seller). eorulnya picture brightened, the
many reason, this in Nemmekin krone (p. 10 prost šumezë remained? Ple The more sober mond may much busier said that arxited ALLERDE YORDAM www Becond Hongkong Fund, ex in part, Rewounts for what is reflect the recent nekening of into a bill likely to be a sweet teas criak da div: 10 cents (Udyar) 99. cepts now Being called the lull in the the busloces pawing to of ner for anybody except the therazide subidara.
"Went Germain DMHAPE (ier 11 ***** | Wall Street" (or rathe or the flawyer-ching Man Muonial
Cuban Bash (por. 1). Movi
Inst year.
Sincero Emporium Spheretion City Hotel Humphreys Lane, Crow Aala Nay.
Int'l Invest Kine Marad Bloc. Underwriére Star Ferry 216
Framework system for building
The first of a new range
standard"
been
firm Dexion
by the UK
Ltd., the
slotted angle monufpe-
Designed primarily for the qverzens market, The Standard Building Type
1, make construc
|the low-cost
unactiled labour, 02
by
30%
$5.00
ing permanent.
buildings 2010 Clinica. Classrooms and schools,
sports pavillons, sport bulld inga Customs shedevit police 13.00 aiutions, elle bifces and blafr
quarters to
name but few.
prefabricated building, and it peruuts à Wide choice of dimensions, ing hull ovingonents to be undi bharthly more than most prefabricated systems. There is vejco 2
"Malaya, which is now the BANK OF ENGLAND 18 for and 24 both
STATEMENT
1.80
9.30
119 bignit producer of bath rubber
1.00
6.30
nad sin, appears to be ababælišije -
4.00
inoar of the kicka fram stock- .0.99 pfic roledes, the magazine
1.20
10.79 DAT
The Bank of Boglány
0.993
state
*The Zramework bulls the Slot Jod "Anado, la designga, to
Inail components such
理
price of tin rose too fent for the week ended Novem, zwindo SALTO 717bigh and has been restrained by her y rende, "up" foll
sport VOL.
the threat of releases from Pusulation an Amerian's stock, boonuse rubber frente depe Lin was too weak it hig: Brataghf' Povprijmakt, securities.
these (Dritish and US stock. Other grillbekkt pite policy) lip!" 11" PATIO VALLA
Full Resripir
0.30 UPL
füfest:pomibia use of
ind:
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