U.S. GOLD FLOW STOPS.

Horowhenua Chronicle, 7 February 1936, Page 7

U.S. GOLD FLOW STOPS.

DOLLAR'S STRENGTH MAINTAINED

(By Telegraph-Press Assn.-CoDyright) Received Thursday, i),5 p.m. NEW YORK, Feb. 5.

Commitments for shipments of gold to Europe ceased to-day as President Eoosevelt's announcement of plans to cancel the billion-dollar Government lending authorisations strengthened the dollar to such an extent that the franc dipped below the gold export point. The dollar declined in late trading, but left only a small profit margin in gold. Exports of gold for ;.he movement totalled 15,0-L - '.,O'UO dollars of which more than 34.000,000 were consigned to France. Coincidently with the cessation of shipments, testimony iiofore the Congressional committee in December belatedly published in Washington to-day revealed that Treasury officials were concerned over the nation's huge gold reserves and would welcome just such an outflow movement as started a few days ago. In this connection Mr. Morgenthau testified that the silver-buying programme to bring the stores of that metal to a definite ratio with the nation's gold holdings was progressing very slowly, the Treasury apparently finding it difficult to carry out the Congressional silver law with so much gold on hand.