FINANCIAL ASPECT

Evening Post, Volume CIX, Issue 110, 12 May 1930, Page 9

FINANCIAL ASPECT

STOCKS IN LONDON

UNEXPECTED FIRMNESS

United Press Association—By Electric Telegraph—Copyright. (Deceived 12th May, 10 a.m.) LONDON, 11th May.1 The behaviour of Indian stocks is among the most interesting points of tho financial situation. The disquieting news might be expected to cause considerably depressed quotations, bub the majority of Indian securities remain comparatively firm, the city apparently believing that they amount to a definite obligation on the British Government. Though recent statements from tho India .Office tend to confirm this view, it is difficult to see how in the very unlikely event of a complete Indian collapse the British Government could undertake to shoulder such colossal additional financial burdens as would .thereby be involved. It is hard to believe' that this consideration accounts altogether for tho present unexpected firmness, which some well-informed people attribute to private advices from Indian representatives of large financial houses, disclosing a less serious situation than Press reports indicate.

The whole position, despite certain parallels, is curiously out of accord with the financial feeling towards Australia which still exhibits anxiety and. pessimism apparently disproportionate to the facts.