WORLD CURRENCY

Hokitika Guardian, 19 June 1933, Page 5

WORLD CURRENCY

LONDON PROPOSAL STABILISATION OPPOSED BY U.S.A (United Frees Association—By Electric leiegrapn— Oopyi'jghL.; \ ' NEW YORK, June 17. Tiiei “New fork Times” Washington correspondent states: The Treasury Department revealed officially to-day tliat proposals for currency ktaOiiisation wmcii have been sub- , mitted to President Roosevelt from tlie London Conte* once are not agreeable to the American Government. The American delegates have been instructed as to within what fixed limits they may act, but no specific point of stabilisation as between the pound and the dollar has been desi ornated. O Although it is made clear that the U.S. Administration does not propose to enter into any temporary or parmanent agreement calculated to give foreign countries the economic advantage of their deflated currencies, a Treasury official stated that the United States should not he placed in the position of closing the door to stabilisation. The official added that all realise the importance of sucll acton, In thei opinion of observers, President Roosevelt’s coolness towards early stabilisation ,of currency is attributed to the importance with which he regards the tangible improvement in United States’ domestic prices. He does not wish to risk a setback until other phases of the London Conference, such as the lowering of trade barriers, have been canvassed which might have given the nation -a corresponding advantage. Both Air Roosevelt and Mr \V oodin \U.S. Treasurer) are represented as having “strong- views” as to the stabilisation negotiation , with indi-

cations that the Administration’s Conference policy would be rigidly controlled from Washington. In view of the' extensive stabilisation discussions which the British and American experts have had at the time, of Mr MacDonald’s visit the following part of the U.S. Treasury's announcement is regarded with unusual interest in diplomatic circles: —“Thei whole stabilisation discussion at London ks not one which this Government initiated. We are willing to listen, but we do not wish to be played in the position of trying to reach a deal—that is no counter proposal will be made.”

PEGGING EXCHANGE RATE, LONDON) June 17, The “Investor’s Chronicle” says;— It appears possible that a pegging of and sterling'dollar rate between 3,95 and 4.05 will be attempted, together witlj it controlled sterling-franc rate, as now obtains. From the British viewpoint it is essential to insist that such an arrangement should be only provisional, for in view of the comparative Anglo-Amerioan wage levels .and rate should not be higher than three dollars sixty cent*, to the pound sterling. TREASURY BILLS TENDER. RUGBY, June 17. The amount applied for in to-day’s tenders for fifty million pounds worth of Treasury bills was £76,685,000. Tho amount allotted was forty-seven million. For three months bills the average rate per cent, was 10/1/.Old, as compared to 7/0.80 last Friday. REIOHSBANK MORATORUM. LONDON, June 17. It is announced that following on a meeting of the Reichsbank representatives with a committee of its creditors on June 8, the standstill. agreement has been extended to February 23.