The Sphinx, Vol. 14, No. 213

              32
THE SPHINX.
March 2, 1907.
FINANCE l MATTERS FINANCIAL.
London, 29th February, 1907.
Markets started the week in a very humdrum fashion, and at ofte time it looked as though things were likely to go better.
Things appear to be going from bad to worse in most sections, and the most unsatisfactory part of the position is that nobody knows exactly how to explain the almost general weakness. There is no financial trouble known to exist, and for want of a better theory we must turn to the American position. The weight of new Capital issues has been increased by the Pensylvania’s fifty million 'dollars which is heavy enough to bear down the brightest markets, to say nothing of one predisposed to weakness by the investigation into the management of some of the leading Corporations.
As generally expected there has been no reduction in the Bank Rate, and I give the position of the Bank return as follow
Thanks to an influx of £764,000 from abroad and the return of currency from the country, the Bank of England’s reserve has been appreciably augmented during the past week, ah addition of £1,293,000 to the stock of bullion and. a contraction of £18,000 in the note circulation resulting in a total increase of £1,311,000. The reserve has been raised thereby to £27,505,000, and at this figure is just a million above the coiresponding figure last year (£26,554,000), when, of course the Bank rate was 1% per cent lower than at present. The feature of the past week has been a considerable increase to the market’s indebted ness to the Bank as represented by the “other” securities, to which there has been an addition of £3,897,000. Of this only £2,319,000 has gone to reinforce market balances, the rest finding its way into the public deposits, which have increased by £2,833,000. The total deposits having increased on a somewhat heavier scale than the reserve, the proportion of the latter to the Bank’s liabilities has declined 2% per cent to 48 per cent.
This shows the curious anomaly of a reserve a million higher than last year, when the Bank Rate was 4 per cent.
HOME RAILS.
It never rains but it pours, and the shocking disaster in connection with the loss of the Great Eastern Railway Company’s Steamer i“Berlin” has driven another nail in the coffin f o Home Rails. Naturally there was a sharp fall in the price of this stock, following a particularly depressing week, although yesterday, there was just a tendency for some of the others become a little firmer.
The returns of the Heavy lines of the Home Railways are again of but a moderately satisfactory character. Another addition of £4,000 is given by the North-Western, topping one of £5,000, and bringing up the aggregate increase for the seven weeks covered to date to £60,000. The North-Eastern also has a gain of £6,812, following upon one of £6,895 in the corresponding period, which leaves the aggregate standing £44,082, following upon one of £6,895 in the corresponding period, which leaves the aggregate standing £44,082 to the good, and the Midland exhibits an expansion of £3,232, going against one of £9,893, the aggregate being £53,721. An improvement of £2,644 *s marked by Lancashire and Yorkshire, of £2,294 by the Great Central,and of £1,224 by the Great Northern, which compare with advances of £1,500 to £5,000 at the same same time a year ago, and the aggregate gains are from £11,000 to £24,000. The Great Western
has an addition of £5,700, as against a loss of £400, while the South-Western furnishes a decline of £900, which follows one of £2,300. Very poor showings are made by the Caledonian and North British.
CANADIANS.
Comparatively little business has been done in this section, and but for the improvements yesterday in Canpacs and “Bays” the list would look very bare indeed. Canpacs have risen a little due to a few buying orders, chiefly it is thought on Provincial and Continental account. Canpacs have long been real favourites in the Fatherland, which says much for the good taste of our German friends.
CANPAC TRAFFIC.
The Canpac reports a decrease of 34,000 dollars for the second week of February. In the corresponding week last year there was a gain of
302.000	dollars, so that, compared with 1905, the past week’s return shows 268,000 dollars still to the good in comparison with two years ago. In the first week of the current month there was a decrease of 197,000 dollars, so that the completed fortnight has ended with a shrinkage of 231,000 dollars. The whole month of January showed a gross decrease of 236,900 dollars, so that since the New Year began there has been a decline of
467.000	dollars.
“Bays have spurted 3 points, the price advancing sharply on the renowned demand coming a market almost devoid of Stock.
Other Land Shares are quiet and unchanged.
COPPER.
The brightest star of all has been Tintos which have touched the enormous price of ioojfj and although I expected this would be reached, it has come a little sooner than expected. Lake Coppers and Anaconda’s has also been better.
There is every indication from a commercial point of view that this section of the trade will maintain its present activity, and although Share prices are high, there is at present no reason to expect a decrease in values.
KAFFIRS.
neral prosperity, and probably cheaper sugar, the report of this well-known firm shews an expansion in profits. As a result the dividend, increased a year ago from 5 to jVz per cent, is now advanced to 10 per cent. Another year of equal progress should see the Company’s distribution raised to 12	7 which record figure ruled from
1901 to 1903.
COLD STORAGE.
As you Country is largely interested in this question it may interest my readers to known the position of Nelson Brothers, the New Zealand frozen meat firm, who maintain their dividend for the fourth consecutive year at 7 per cent, but the distribution of this occasion involves some curtailment of the carry-forward, which is reduced from £6,979 to £3,210. It seems that the past year, while a very satisfactory one for New Zealand pastoralists, was not a very favourable one for the freezing companies, which were faced with high prices that allowed of very little working margin of profit. The prospects for the current year are considered favourable,the company’s farms being in a thriving condition and good prices for wool and tallow being anticipated. On the whole the company’s dividend record is not a bad one. For the past eight years distributions have been regularly made, the rate averaging over that period upwards of 6% per cent. This being so, and the dividend for the past year amounting to 7 per cent, it is strange that thefl shares do not command a slightly higher price than 15s,at which figure they yield over 9 per cent.
EGYPTIANS.
This also has been dull and uninteresting in which hardly any business has been done. National and Agricultural Banks have both been offered down. The only Stock in this market that appears for the moment to have a definite price is Estates, and being the active spot operations have been done in them. Most of other Stocks are also firmly held, but it is sometimes a question of negotiation to obtain the Stock, the prices quoted being nominal, and it is sometimes difficult to get on even at these.
Kaffirs have been a spot with a little brightness and the outlook for these at the present time is j certainly a little better that it has been. It is | hoped that now the Elections are out of the way in the Transvaal, the Mining Industry will be J removed from the sphere of Imperial politics,and placed in the hands of those who really know better than His Majesty’s Ministers in Downing j Street what is better for the complete success of this Industry. As soon as the Mines cease to be treated as the “shuttlecock” of politics, there can be little doubt that higher prices will prevail, and I still have the feeling that the present will be a good year for Kaffirs.
LIBERTY’S.
The well known Regent Street House has succeeded in creating a record in their profits for the past year, their profits being largely increased over the previous year, and the fascinations of; their creations, to the feminine mind. The profits amounted to nearly £64,000 or an increase of nearly £7,000, and the Ordinary Shares have for the seventh year in succession a dividend of 20 , per cent
It is interesting to note that the Reserve, and the accumulated undivided profits are together in excess of the Company’s total Capital.
FULLER’S.
Some of my lady readers, if there be any who turn to this column, may be interested to know the latest position of their favourite comestible j Stores, i.e. Fullers. Owing to the increased ge-
Throg Morton.
The Stock Markets: How to profit by Them. Investment and Speculation: Past, Present, and Future.
The science of Investment The Theory of Successful Speculation.
How and when to Operate in Home Rails.
How and When to Operate in American Railways.
Points Concerning American Rails.
How to Invest in Mines Guiding Principles for Investors in Mines.
The Controlling Groups in the Mining Market. Guiding Principles for Investors in New Issues.
Marginal Investment: The Prudent Operator’s Favourite Method Explained. Instalment Investment. Investment for Small Capitalists.
Call Option: The System Fully Explained. Mr. Arthur Crump, late City Editor of “The Times.” described Options as the most scientific and prudent way of operating on the Stock Exchange. Insurance as a means of Raising, Saving, and Investing Money. Protection of Capital and Increase of Income.
The Rearrangement and Readjustement of Investments.
Stock Exchange Terms. Investment Tables.
Increase of Income by World-Wide Investment.
CONTENTS.
I
Post Free on mentioning THE SPHINX, to The Secretary,
LONDON S PARIS EXCHANGE, Ltd ,
BASILDON HOUSE, BANK. LONDON, E C.