GOLD PRICES

New Zealand Herald, Volume LXXIV, Issue 22722, 7 May 1937, Page 11

GOLD PRICES

SOUTH AFBICA ANXIOUS

STABILISATION DESIRED CHARGE IN PARLIAMENT By Telegraph—Press Association—Copyright LONDON, May 5 Interest in the market crisis has shifted from London to South Africa, where a member of Parliament, Mr. C. R. Swart (Nationalist —Orange Free State), to-day moved the adjournment of the House and declared that neither the activities of ordinary business nor the fall in the gold price justified the collapse of gold shares. * "Unwarranted market manipulation on the part of big groups was responsible," Mr. Swart stated.

The Minister of Justice, General J. C. Smuts, described Mr. Swart's contentions as absurd and fantastic. Not even a lunatic would believe that mining companies would run down the value of their own shares, he said. The slump originated as the result of a rumour that America would ceaso to buy gold. Mr. Swart's motion was defeated by 57 votes to 20.

The Australian Associated Press understands that Mr. N. O. Havenga, Minister of Finance, informed Mr. Chamberlain that South Africa takes the gravest view of the fluctuations in gold, and considers that prosperity is bound up in preventing shocks like those in the past few weeks. Mr. Havenga intimated that South Africa is anxious for a world agreement on stabilisation, which it is believed is essential, not only for herself, but for world recovery.