AMERICAN MARKETS

Wanganui Chronicle, Volume 76, Issue 298, 18 December 1933, Page 7

AMERICAN MARKETS

WALL STREET AND N.R.A. PRICE OF GOLD UNCHANGED DOLLAR DECLINES MODERATELY (By Telegraph—Press Association—Copyright) Received Dec. 17. 7.30 p.m. NEW YORK, Dec. .16. For the fourteenth consecutive business day the gold price remained at 34.01 dollars an ounce, on which the dollar declined moderately iu the terms of the gold currencies, and closed al 64.76 dollars down .26. {Sterling closed I at 5.12 dollars, up three-quarters of a cent, and the franc at 6.14 A, up 2A. For an unknown reason, unexpectedly heavy liquidation developed in short trading to-day on the Stock Exchange, and prices were down one to three points on a 1,070,000’ dollar share turnover. Domestic bonds were off fractionally, while Government issues were up fractionally. Commodities were irregular and lower. I’he Associated Press understands that Mr. Peek contemplates the organisation of a special corporation to handle all American foreign trade. Private industry and the Government will share the capitalisation, which is likely to approximate a billion dollars, and the Government will undertake to negotiate tariff agreements to make such trade possible. It is emphasised that the plan is still in the fonuulative stage and nothing definite has been decided. DOLLAR AND POUND MUST BE STABILISED BUT AT WHAT LEVEL? Received Dec. 17, 6.30 p.m. NEW YORK, Dec. 15. Sir Norman Angell, in a Press interview to-day, suggested a return to the gold standard with a new ratio between the dollar and the pound. He admitted that there was a wide difference of opinion in th© respective countries of what it should be, saying that the British authorities think the natural ratio is somewhere in the region of four dollars, while he found the Americans mentioning six or even eight. “At some point you will have to stabilise by agreement,” said Sir Norman. “There may be a reason which makes it wiso to wait. The load of internal indebtedness must be reduced by either or both —a vast liquidation or inflation. 1 think both in a degree will have to be employed.”