DEVALUATION

Grey River Argus, 16 October 1936, Page 7

DEVALUATION

GOLD PROFITS For Governments (Aus & N.Z. Cable Assn.) LONDON, October 14. Gold is quoted at £7 2s per ua. One direct consequiJiiee of the devaluation of the franc is liiat the Bang of England is in :i position to present the Treasury with profits on gold exceodihg £160,000.000. The Bank of England holds as backing for the note issue go’d to the declared amount of £247-600 000 valued not at the current price, £7 0s 7d an ounce, hut at £4 ss, the price when Britain left the gold standard in 1931. Consequently, the valuq of Britain s golfl now 1,.; actually £409-998 000. Speakinw on the realignment of currencies, Mr Eden said, at Sheffield, that any impartial observer of the present international scene must be. profoundly impressed hy the potent.nl significance of the increase in world trade upon the political problems that beset them. It was precisely because the British Government was convinced that, in the Tong run. the Anglo-French-Amercan declaration would Im calculated to lead to an increase in wor’d trade, that thev joined in it. PARTS. October 14. “Gold bought. No emestions asked” is the policy of the Bank of Branco to hoarders robing gold before November 1. Sellers may he absolutely anonymous. and no' proof of identity i-S necessary. iGo’d unsold by November 1 must he declared because it is taxable eqn'ivajent to the- increased value consequent -on devaluation.