Newspapers in the Straits are-devoting much attention to the prospects of-a rubber boom—this-year, and already Grenier's "Rubber News" (Kuala Lumpur), under the heading "A rubber boom in sight if not already arrived," issues-a warning against the gambling propensities in rubber both at Home and in the East. A boom in rubber has been anticipated for quite a long time, and when the position of the industry is statistically" examined there is every reason for expecting a very great improvement within a few months. This is based upon such factors as the motor-industry, while there is also the hope that following upon the. harvest of this year Central Europe and possibly even Russia may be in a position to purchase some of the rubber they need so badly.
Tf all these factors operate to the maximum extent anticipated, the supply of rubber will be very far short of the demand, and already preparation is being made to take advantage of the situation by the flotation of new companies. The "Rubber News" mentioned above calculates that between January 2 and the beginning of March over $10,000,000 has been put into rubber, and it goes on to say:—"In the East the spirit of company floating does not show signs of abatement, and we are commencing to anticipate that the wild rush for rubber plantations and rubber shares will rival the scenes enacted in Tondon and elsewhere in 1910."
Up to the present all these move ments have left Shanghiai cold, and? so far as we can gather it is taking practically no interest in the matter of mew companies. Possibly it is, too absorbed in the cotton market to think about anything else, but the most likely reason is that it has as many rubber shares as it is likely to want for some time to come. A great many people found themselves rather overburdened with them after 1919. and the height of exchange has not tended to popularize them as an investment. Accordingly it is not at all surprising that so far Shang—|hai has regarded with indifference the floating of new companies elsewhere.
The most interesting suggestion: we have heard as to Shanghai's position in the event of a. really substantial boom is that it might be able to dispose of some of its companies. Such a boom would have the tendency to make some of our less favoured concerns quite valuable assets, and afford a chance for shareholders who have lost some of their interest in rubber to release their money for use in other directions.
British Financial Stability The following from the "Cliugaé Shogyo," translated by the "Sapam Advertiser," is an interesting reflexion of Japanese opinion.
In view of the refusal of Amer-lea to give further financial aid to Europe, much interest has attached to the question as to how the
Text read from the printed page and cleaned; old type leaves the occasional error.