WILL GOLD FALL IN PRICE?

Press, Volume LXX, Issue 21198, 23 June 1934, Page 19

WILL GOLD FALL IN PRICE?

TO 'iUE (!!JITOC Of TH2 PEBS3. Sir.— To my limited conception it fccms that sold may soon fall in price. Germany apparently is on a new move. evidently is neither going tobuy «&!'.! from other countries nor borrow ■'"•teiey from them. And she intends to Radiate her foreign debts. A lower of internal values seems to be on!y fiLcti to allow her to accomj-*« Italy is also working tois '.5 lo.vf/'* internal values. Her reduction of wages and rents is 1 , t ",u:ds mortgage reduction. t --ii ■» Et'ropoan tendency, which must j-- .'.auliy in the interests of thickly.ildUi' countries, must have on adeffect on Britain and America. io a big producer of gold (imi and has aiso been a big in the past. This new Policy will probably have farjfschipg effects in more ways than one. rr >ay be the forerunner of general as an economic fact that world cannot yet rich by raising

America will probably soon doubt of buving other countries' to make dollars, and to raise her [«' ices high above world's prices. But |j.® biggest losi-r would seem to be ' who lose her foreign lnJjStmont market. Although her Dowill lose on their gold sales vfy will save on their interest on however, whether my deducgJr ® re more wrong than right, I am wgly of opinion that a new era is in foreign borrowing. S5 . ac - on of Germany is signifl- £».«£ new economic light being (ifitili to bear on the fallacy of conraising and continual borjGerniany wa s the leader in fiduciary when the move suited her. but r*' game ia played out. The new

move may also lead the world. Shall we be caught napping again?— Yours, etc., W. A. STRACHAN. June 21, 1934.