MONEY STRINGENCY.

King Country Chronicle, Volume VII, Issue 556, 5 April 1913, Page 6

MONEY STRINGENCY.

'GERMAN TRADE AND FINANCE,

Advices to hand from Germany describe the great pressure for money in that country. The Berlin correspondent of the Economist wrote on February 13th:— "Traders are concerned about the general business situation. Bank ruptcies increased to a noteworthy extent;in January; and bankers' circulars are pointing to the fact that

commercial housss are experiencing extraordinary difficulty in making collections. Statements were made at the Duisburg Chamber of Commerce by an important coal mine owner to the effect that the negotiations for the renewal of the syndicate are now in worse shape than ever, owing to the conflict of interests between the socalled 'ironworks collieries' and those not attached to iron companies. Beside all this, the dullness in the iron trade, so far as new business in finished products is concerned, is making itself felt on the Bourse more visibly. Under the influence of all the factors above detailed, selling has grown more extensive in home shares. This was particularly the casa yesterday, when the provinces sent in pretty large selling orders, indicating that the outside public are again growing more concerned about the outlook and are parting with their holdings. The money market has again disappointed all hopes of improvement The open market discount rate has further risen to 5J per cent. (It has since gone up to 6 per cent.) The demand for advances at call has grown considerably heavier, whereas a number of the big banks are calling in outstanding credits. The meat famine in Germany still continues to attract much attention. It is true that prices for several kinds of meat fell slightly during January, but they are all still abnormally high. Permission to import meat from Russia and other Continental countries to certain large towns has been extended until October, but a Socialist proposal to extend the concessions to other towns possessing recognised sanitary arrangements for dealing with fresh meat has been defeated, although by so small a majority as to cause much uneasiness in agrarian circles. The demand for a reduction in corn duties, and for the abolition of duties on animal foodstuffs, is growing, and, since the present high prices are likely to continue with very little change, so long as the present system is retained.it will be impossible in the end to resist the cry for reform along these lines. To the results of the cattle census, which was taken at the end of last year, in the various States uf the Empire, those of Prussia have now been added. A small increase in oxen is recorded, although the figures (11,856,000), are still more than 200,000 below those of 1908. The number of sheep has also/ fallen. It is 200,000 below those of last year, and more than 1,000,000 IeBS than in 1908. In Swine there is an enormous drop of early 2,000,000, from 17,245,000 in 1911 to 15,453,000, in 1912. The other States show similar reductions—in some cases even greater.