LONDON ASTONISHED

Evening Post, Volume CXV, Issue 93, 21 April 1933, Page 7

LONDON ASTONISHED

AMERICA'S TACTICAL MANOEUVRE EVE OF MR. MACDONALD'S ARRIVAL BRITISH MISSION SILENT (United Press Association—By Electric Telegraph—Copyright.) - (Received April, 21, 10.45 a.m.) LONDON, April 20. America's abandonment of the gold standard astonished both the Government and city circles. It is widely regarded as a tactical manoeuvre by President Roosevelt on the eve of Mr. Mac Donald's arrival, . especially as America, with masses of gold and vast natural resources, has no basic reason for abandoning gold. , Financiers are surprised by America's blow at what is regarded as Britain's last international bargaining point. The "Evening Standard's" financial correspondent says the significance of the American decision on the eve of Mr. Mac Donald's arrival cannot be exaggerated. Britain, with a depreciated currency and an Exchange Equalisation Fund, is regarded by the United States as the villain of the piece. The "Daily Herald" says America's move demands international action to provide world inflation, not inflation by one or two countries, and thus increase the purchasing power of the whole world. (Received April 21, 10 a.m.)' S.S. BERENGARIA, April 20. As soon as Mr. Ramsay Mac Donald, the British ' Prime Minister, learned that the United States was off the gold standard he consulted Sir Frederick Leith-Ross, Chief Economic Adviser to the British Government. Mr. Mac Donald refused to comment. It is understood, however, that the British Mission felt that the situation for the MacDonald-Roosevelt talks had been considerably altered. . (Received April 21, 10.50 a.m.) PARIS, April 20. Apprehension prevails in financial circles regarding the AngloAmerican money war in which it is felt that both are using _ the weapons of currency inflation, leaving France at the depreciated dollar and sterling. It is considered that President Roosevelt's decision makes the international confusion worse.