GOOD EFFECT

Nelson Evening Mail, Volume LXIV, 5 August 1931, Page 5

GOOD EFFECT

CREDITS FOR BANK OF ENGLAND

STOCK MARKET OPERATIONS STRENGTH OF GILT-EDGED SECURITIES (British Official Wireless) RUGBY, 4th August. Developments in connection with the credit arrangements for the Bank of England, which occurred during the week-end, were reflected in the condition of the stock markets to-day. The effect of the recent banking developments was regarded as an entirely favourable factor in the general outlook on the London Stock Exchange and in the foreign exchange market when business was resumed after the holiday. The rate of exchange London on New York was 4.85 7-8 to 4.80 1-8, and London on Paris 123.90 to 124. In the stock markets the marked strength of certain leading gilt-edged securities was the outstanding feature of business when the exchange opened. The Bank of International Settlements decided that the first meeting of the committee set up at the request of the London Seven Power Conference to inquire into the immediate credit needs of Germany and to study the possibilities of converting part of the present short term credits into long term credits, shall be held on Saturday. Mr Albert Wiggin, the American member of the committee set up by the bank, is on his way to Europe.