FLUCTUATIONS

Hokitika Guardian, 30 June 1933, Page 5

FLUCTUATIONS

DOLLAR VALUE

HOLDING THE FRANC,

(United Press Association—By Electric

'I elegr apii—Copyrigb t;.

LONDON, June 29,

The “Daily Express” says: “Bunkers are again conferring in London o n Friday in another effort at making a secure stabilisation.

America's recent objective was 4 dollars 30 cents to one, pound. Her objective jg stated now lo .be 4 dollars &5 cents to £l.

5 LONDON, June 29. i The “Daily Telegraph’s” Financial - Editor says: “Lack of confidence in - tlic dollar lias extended to America. Hence there lias been considerable i selling of collars here. So far, no official check has been put on the de--1 dine. The deterioration of the dollar i may proceed rapidly. The United' i States can stop this movement at any time by announcing a stabilisation level. It must, tiierfore, he assumed that events are inarching according to plan. In the meantime, the Bank of England has agreed to hold the franc, The' Bank of France will collaborate in supporting the guilder as long as France and Holland permit gold exports. This is a normal pro- | Reding. Currency commodity prices are now dominating stock exchange i movements. The “Daily Telegraph’s” special correspondent says: “It is gathered that President Ifoo.sevelt is prepared to accept the advice of Professor Moley as to whether there should be temporary dollar stabilisation or not. This question will be decided during Professor Moley’s visit. AMERICA INACTIVE. (Received June 30 at 9 'a.m.) WASHINGTON, June 29. Dean Acheson, Under-secretary of the Treasury, told reporters " to-day that, no action was being considered | in Washington regarding the stabilisation of the dollar. Nothing had been done in this respect since Mr Roosevelt rejected the temporary stabilisation proposal forwarded from the Lon. don Conference some days ago. FRENCH EFFORTS. BRITAIN AS MEDIATOR. . (Received June 30 at 9.5 a.m.) LONDON, June 29. Efforts by France and other gold countries to secure at least moral British support to their position, hav© not yet materialised. It is understood the gold countries desired ivir MacDonald, to declare Britain would view with regret, any further deppucp intion of national currencies.' Britain, however, is reluctant to take sides and prefers to act as mediator between the two extreme currency groups. British delegates are still striving to persuade Americans that an early de facto stabilisation is needed to give the conference a chance of success, but the Americans arc adamant. Most delegates believe the dollar will ( soon reach 450, or even over parity.

RISE IN STERLING

MONEY MARKET UPSET

(Received June 30 at 8 a.m.)

NEW YORK, June 29

The sensational market rises of the last few days, suffered a reversal to-day, as heavy profit taking among commodity speculators counteracted further cheapening of the dollar against foreign currencies.

Sterling touched 4.43-J-, the highest since England abandoned gold in October, 1931, and closed at 4.395. Measured by the French gold franc, the dollar is worth by 76.34 cents. Reports that France and her allies are likely isoon to abondon gold, with a possible dropping of the standcard in other gold countries has aroused speculation in financial circles, with the possibility of an unprecedented situation of no country in the gold being on r>o]d, and thus there would be no standard measure of value, with an undoubted disturbing effect on world trade and external investments in the various countries. (Received June 30 at 8.30 a.m.) LONDON, June 29. The slide of the dollar continues to cast a shadow on the conference, .miere is a revival of the story that gold countries demand and Mr MacDonald has agreed, to some measure 'of temporary stabilisation. Indeed, French circles sense that the condition of international psychology, which forebodes panic, think it all too bad that gold is pouring into England for .sanctuary, and to a disturbance of the world equilibrium.