U.S. MONETARY POLICY

Dominion, Volume 27, Issue 34, 3 November 1933, Page 11

U.S. MONETARY POLICY

Gold Price Fixed Above World Quotation EFFECT ON THE MARKETS Washington, November 1. The United States Treasury on Wednesday fixed the gold price at 32 dollars 26 cents, or 74 cents above the world quotation. With the gold price up here and overseas the Government’s plans for purchases abroad were temporarily blocked by the closing of the banks of France for the observance of All Saints’ Day. To-day’s margin between the American and the world price of gold was reduced to 74 cents. Part of the shrinkage was due to the weakness of the dollar against the pound, the former declining as low as 4.79} on the New York Stock Exchange. Minipg and liquor shares led the market in a brisk rally toward the close of trading after an earlier setback brought) on by a sharp decline in grains. Wheat suffered a two-cent loss after a one-time decline of over four cents. FOREIGN PURCHASES , Official Announcement t ~ (Received November 2, 7.30 p.m.) . Washington, November 1. Mr. Jesse Jones, chairman of the Reconstruction Finance Corporation, announced to-night that the corporation would begin the purchase of gold in foreign markets on Thursday on behalf of the Government.