Montreal, Jan, 17.
'The beginning of a new' year finds Canada in a much better position than existed twelve months ago, with fevers' reason to believe that improve-mani will continue unless there is some setback of an international na~ ture. "Trade and commerce showed marked expansion during 1936. Whether this Is due mainly to natural econcmle forees, or whether the apparent effort that has been made by the Government to conclude trade treaties on various terms has brought fruit It isa little difficult to judge.
The reciprocity, pact with the United States which came into effect tone year ago seems to have given a definite stimulus to trade between the two countries; but one has to remember that Internal conditions on both sides of the line are vastly better than they were, And similar remarks might be made about the Empire trade agreements, 'As far as Caneda_ is concerned. however, a highly satisfactory feature of the expansion in trade has been that Canadian exports have risen sharply. with the result that a very' favourable balance of trade has been recorded. In a measure this has been due to the race for rearmament all over the world. And there Is much room for argument os to whether stich expansion will prove beneficial in the long run, Certain it is, how-ver, that at the moment both mary producers and secondary Industries are feeling the impetus of the wave of orders that has come from abroad.
Tu the second half of the year there began 9 marked movement towards higher prices of a great variety of primary products and commodities. This movement has been steady, but it has emphasized the change that toking place on the Canadian economic front, For a number of years now in the face of shrinking production buyers were able almost to dictate their prices; but with the Increased demand the seller is having turn, and company balance sheets show a more healthy figure in the profit column, ago set out on New Yenr's Day for the open sen with: the assistance of (we Government ice-breakers. Word has just been received that they renched the Gulf safely, after a com= paratively uneventful passage.
Reilway transportation in this country has been marked during the past year by a further introduction of new Passenger equipment of the latest type, by a steady effort to build up passenger waffle by means of these improvements in epiniort and. frequent bargain rates for excursions, Freight traffic haz soon a steady crease with the expansion. of trade and the improvement in internal con ditions. "But there has been a ther drive on the part of railway officials to cope with the growing competition of motor' trucks. Fast freights between the leading cities, coupled with what Is known, as. the "pick-up and delivery service" which alls "for the consignment atthe warehouse of the shipper and puts into the warehouse of the receiver at the destination, have won back for the railways a certain amount of the traffic which had shifted to the trucking. companies, Alr Transport Expansia 'The expansion of air transport has been the more remarkable in that has proceeded with so little Cass, 1 has Just been announced, for example, that the carrying of alt mail during the past year has increased tremend= ously' and that new routes are being planned. Passengers traffic is also growing. and many business men are finding it possible to cover territory with ease at a great saving of time, For example, through using the joint services of Canadian and United States airways, it is possible for traveller to leave Montreal Sunday hoon, spend a day in Vancouver and two days at one of the Important British Columbia industrial centres, and be back in Montreal on Friday, And the cost is very little higher, particularly when' regard is taken for the lessened expense apart from setual transportation, Crop Prices increased The higher prices in the ease of certain items have proven to be of importance toa country ike 'For' example the rise rice of wheat on. the world market has. meant thatthe farmers this country will receive consider-Sb1ymore for their 1038 crop than for that of 193, despite the int that the atier was much smaller. This teil "mean "20d. volume. of pus Shauing by the farmers that has been deferred irom year to year.
"The vie in the price of copper will mein that several important mining Froperiles consisting of low-grade ore fan'resume production. It will tinean that. most producers will" be Encouraged. "to' undertake improves ments in their methods of recovery. in many cases better methods have imply been held up because of the mall annual "turnover. For" pro: fiucers of newsprint paper the sight Hise in price. and. great. increase ddemana has resulted in the re-open fig of several mill long ile. sreaier activity in taking: out pulp: Stood from the timber limits In ware increases ta most of the Tending mils and in the undertaking of widespread modernization of mill equipment Along with the considerable amount of improvement in real conditions has fharket, til now some observers wea steady rive in. the stock
wonder whether we sre not on the arge of another boom and. collapse select one ioluted case, shares of international Nickel fore from a ott in 1002 of 434 to. well over 00 Sotho time of weting Certain other mining. stocks, notably gold stocks, fave risen in' ab great a proportion during the past ear.
'Stock. brokers say. that they are about as busy they' were in the Save before the crash in 1020. "Only in" one very' important feature docs there appear to be a reason for hope 'The extent of buying on. "morkin does of seem to be' so" great, and the, market doer not "seem to.
Text read from the printed page and cleaned; old type leaves the occasional error.