FRENCH FINANCE

Bay of Plenty Times, Volume LXV, Issue 12298, 12 April 1937, Page 3

FRENCH FINANCE

devaluation talk London, April 9 Francs were freely offered at 109 J. A story was current In the city that the franc will be devalued at 112 and that simultaneously President Roosevelt will raise the value of the dollar to the legal maximum by modestly cutting the. gold price to 34.35 dollars per fine ounce. This will enable a return to the old sterling parity of 4.8 G dollars. The equivalent London price of gold will then be around £7 Is. Liquidation of gold shares almost assumed panic proportion?. The largest falls were sustained by companies at present in the development stage. • Other markets were dull. A Paris message states that the Finance Minister, M. Auriol, conferred with the Exchange Equalisation Committee, after which he denied reports that France would allow the franc to fall below the legal limit of 111. He also denied that a modification of the three-Power agreement was imminent. He declared that there was no reason for disquiet owing to exchange fluctuations, as in -this regard the equalisation fund would take appropriate measures.