NERVES AND THE RUHR

Evening Post, Volume CVI, Issue 7, 9 July 1923, Page 6

NERVES AND THE RUHR

It is nearly full five years since the Armistice was signed, and the final settlement *of the problems of the peace seem'as remote as ever. The financial and commercial world, no matter in what direction one looks, is still in a state of nerves. The principal cause for this " jumpy " condition of the nations, according to some highlyreputable specialists in financial neurology, as referred to 'in the 'cables to-day, is the continued occupation of the Ruhr by the French, and their demands for more than the Germans can pay. I: it were merely a case of Germany having failed to comply with an order of the Court for payment of damages, the result of violent behaviour, the French, acting as men in possession, a speedier solution of the difficulty might be possible than now seems the case. The position as it is to-day, and as it; must be faced, is: The United States is fearing the effects of an adverse trade balance, imports (according to latest Government figures) being 61,000,000 dollars in excess of exports; Great Britain is facing industrial troubles of a kind that threaten to become serious, much as: unemployment has been reduced this year; the German mark is almost as valueless as the Russian rouble; the French franc is, roughly, worth 3d, instead or its former 9fd; and the Italian lira, formerly worth the same as the franc, is down to 2|d." On top of that, money is made "dearer, the Bank of England rate being raised to 4 per cent., and fears are felt in some quarters in London that it is presently to be. raised to 5 per cent. It is no wonder that tho sensitive London Stock Exchange should- reflect the' nervousness of investors in such uneasy circumstances. All eyes are turned toward the Ruhr, but at the moment the prospect of tfre settlement of the conditions that the Ruhr represents are far from encouraging. The need of the moment is the keeping of a cool head.