3 SEPTEMBER 1937, Page 32

WISE - INVESTMENT DESULTORY buying and selling on the meagre

scale which = redixes stockbrokers' super-tax payments and has scarcely any appreciable effect on prices is still the dreary story of Thtogmorton Street. Investors and .•speculators are eagerly scauning,the sky-for a- sign, but only a-threatening-cloud and a . strong east wind have been vouchsafed. For all but the most hard-bitten speculators caution is obviously the watchword and nobody seriously anticipates a quickening of City activities until it is possible to look ahead with a more reasonable measure of assurance. On the' other hand, I think it is every bit as safe an assumption that unless the international political situation shows a further considerable deterioration, the general body of investors is prepared to hold on to the securities it has, already got. Ergo, the general level of Stock Exchange quotations is not likely to decline substantially and present wand-be buyers with outstanding bargains.

lere, then, is the investor's dilemma : to buy now or to wan ? To investors seeking income in the fixed-interest group of securities, such as gilt-edged, industrial debenture or 'preference stocks, I have indicated week by week in these notes the kind of securities suitable for their purpose, and. I see no reason why money should be kept in the bank awaiting more favourable opportunities. The fixed-interest group is likely to keep firm, and meantime there is good value to be had. What shall I say to the more speculative investor whose eyes are turned towards the ordinary share market with some idea of seeing his capital appreciate side by side with the recovery in trade ?