VALUE OF THE POUND.

Press, Volume LXVII, Issue 20411, 4 December 1931, Page 11

VALUE OF THE POUND.

RECOVERY IN NEW YORK. (UNITED PRESS ASSOCIATION—BY ELECTBIC TEUEQRArB— COPXBIQHT.) NEW YOBK, December 2. The pound sterling put up a stiff re? sistance to further selling to-day, and after a rally of two and a half cents at tho opening, quickly raced up to 3.45J, for a gain at that price of 144 cents, off-setting the heavy loss scored ! on tho previous day, and part of Monday's decline. Wall street banking houses reported that offerings dried up, temporarily, at least, and on comparatively small buying orders the market rose rapidly. Sharp, excited movements of this kind are likely to be seen, according to these authorities, until sterling finds its intrinsic value level. Just -what thip will be in tern»s of dollars »o banker can accuratley estimate. Jt will bo decided by tho world exchange markets, and will represent a composite of tfie opinion of millions of sterling buyers and sellors. The pound closed at 3.353, and the Canadian dollar at 3,86}. JT- \ A MARKED RECOVERY,

(Received December 4th, 1,10 a.m.) IjQJyDQJf, ; Deeembe? p. Observing the recovery of the pound, the "Daily Telegraph's" City editor points opt the huge balances awaiting repatriation when the pound becomes temptingly cheap. Foreign speculators, who have been partly responsible for tl?e downfall of sterling, apparently pvertpp&fsd this fact. There «s no occasion for concern sbput sterling, given the fundamentally sound conditions for "which the Government was striving. The "Financial Ne.ws" says that the marked recovery of sterling can he attributed to the cessation of selling from a Dufceh quarter, but it is understood that one of the big five of the British banks is a strong buyer of sterling, and is believed to be operating on jts own account.