GOLD FLOW FROM AMERICA.

Horowhenua Chronicle, 6 February 1936, Page 7

GOLD FLOW FROM AMERICA.

MAY STIMULATE EXPORT TRADE. NOT WORRYING ROOSEVELT. (By Telegraph-Press Assn.--Copyright) Received Wednesday, 9.50 p.m. WASHINGTON, Feb. 4.

Shipments of gold from the United States total approximately (5,000,000 dollars and are consigned to Holland and France. It is announced that 5,000,000 more are earmarked for shipment

A variety of forces worked to-day to check the weakness of the dollar. The franc failed to go as high as yesterday chiefly owing to selling against gold shipments, while the sterling went below 503 ostensibly as a result of the British equalisation fund working through Paris. Within' limits the United States treasury looks with equanimity upon the weakness of the dollar. It is not very concerned over the outflow of gold provided in continues at a moderate pace because American gold stores amounting to 10,000,000,000 dollars remain in the enormous credit reservoir. Meantime the depressed dollar will encourage foreign purchases of American goods.

Roosevelt Will Check Inflationists

Received Wednesday, 9.50 p.m. WASHINGTON, Feb. 4,

As an indication that President Roosevelt is not only determined to checkmate tho inflationary moves but is also prepared to curtail the Government's reflation activities he announced to-day that he had ordered a survey of the Federal lending agencies with a view to cancelling at least a billion dollars in lending authorisations. This is interpreted as moaning that tho socalled “pump priming" activities of the farm and home loan banks and other Government organisations are near their end, and it is understood that the normal sources of credit only will now be open to the legitimate borrower.

Still Hankering After War

Debts

NOVEL SCHEME SUGGESTED.

Received Wednesday, 10.30 p.m. WASHINGTON, Feb. 4,

Senator Lewis, wdio is noted for his continued agitation regarding war debts, advanced a novel scheme to-day for meeting the financial difficulties. Speaking in an ironical vein he suggested that Britain and France pay Hie “six billion dollars they owed us" which could bo used to pay the veterans and farmers. He pointed out that the soldiers were being paid for service on foreign soil. His plan envisages debtor Governments issuing small denomination bonds aggregating tho amount owed and the American Treasury would market the bonds applying the proceeds to the Government’s needs.