THE FRENCH FRANC.

Manawatu Standard, Volume LV, Issue 151, 27 May 1935, Page 7

THE FRENCH FRANC.

BATTLE IN PROGRESS.

GOVERNMENT WORRIED

PARIS, Mav 26. The hank rate has been raised to 4 per cent., reflecting official anxiety at the continued withdrawal of funds, which tho previous rise had not stemmed.

The Bourse was in an agitated state all day yesterday. The Prime Dlinister j (DI. Flandin) had a conference with M. 3 Herriot, in reference to tlve Govern--3 ment’s demand for special powers. M. Herriot promised full support. 2 With the second raising of the bank . rate, the battle for the franc has be--1 gun in earnest. It was followed by an . increased rate of advance on gold bars j from 4J to 5£ percent., while tho rate of advances on thirty day bills was raised from 3 to 4 percent. The advances, announced after business hours, become operative on Dlonda.v. M. Laval, Dlinister of Foreign Affairs, hurriedly returned from Geneva and conferred with DI. Flandin to-day. GOLD FOR AMERICA.

LONDON. Dlav 25.

The rise in tho French hank rate failed to check the fall in the franc, and the heavy selling continued. A further gold shipment of a value of £2,430,000 sterling left the Bank of Franco for New York.