10 JANUARY 1931, Page 32

Financial Notes


ONE or two developments have served to impart a cheerful tone to the stock markets at the opening of the New Year. A week ago I referred to the fillip given by the reduction in the New York Bank Rate, and this has now been followed by a reduction in the French Bank Rate, so that with cheap money and the prospect of repayment of about £70,000,000 in the Tax-Compounded War Loan on the 15th instant, it is scarcely surprising that gilt-edged stocks should have risen further. Moreover, some of the other departments of the Stock Exchange have been cheered by the better conditions in Wall Street, and, with the technical position of markets here as a whole thoroughly sound, it is only natural that

prices should have responded. * * * *