PRICE OF GOLD

Wairarapa Daily Times, 29 August 1933, Page 5

PRICE OF GOLD

INFLATION TIDE.

LONDON ’S ANXIETY. LONDON, Monday. A belief that Britain will not much longer be able to resist inflation is growing with the rise in the price of gold. The “Financial News” has devoted half a column in discussing the investor’s best policy in the event of inflation. The -“Financial Times” declares that confidence in all forms of currency is steadily decreasing. The entire £200,000 worth of bar gold offered on the market on Saturday was taken by Continental buyers, most of whom are hoarding the metal in London. It is estimated that the gold stored in London safe deposits amounts to £50,000,000, the bulk of which belongs to foreigners. As the Bank of England is empowered to purchase British hoards at the statutory price of 84/9 an ounce, some sections of the city expect a general abandonment of the gold standard before 1934. " The city attaches the greatest significance to the conversations between President Rocsevelt aiul, Mr Montagu Norman, Governor of'tlfe Bank of England. Many hope the conversations will result in a stablbrition agreement, as it is believed President Rooseveb is disinclined to inflate, while Mr Norman considers a general abandonment of gold extremely dangerous.