RETURN TO GOLD.

Waikato Times, Volume 99, Issue 16485, 2 May 1925, Page 5

RETURN TO GOLD.

FINANCIAL CRITICISM.

FIRST TRANSACTIONS SINCE 1916. (Australian and N.Z. Cable Assn./ LONDON, April 30. The decision to return to the gold standard was assailed in the House of Commons by a broadcast from a Conservative member, Sir Frederic Wise, a financial expert. After a detailed criticism of what he termed a “gamble" which probably will benefit nobody but the United States, Sir Frederic declared: “We do not want to borrow more from America, and certainly do not want to be in their hands.” Interest has been aroused in the first gold movements recorded by the Bank of England since 1916. The bullion purchased Amounted to £297,000, plus £lOO,OOO in sovereigns. The destinations are Switzerland, Holland, India and Egypt. The firstmentioned country took £291,000 in bars and coins for the purpose of strengthening the gold reserve of the Swiss National Bank. India took 87,000 sovereigns. AUSTRALIAN BANKERS DISAGREE. (United Press Association.) SYDNEY. May 1. Australian bankers have been conferring with the object of fixing a new exchange rate owing to the altered conditions caused by the return to the gold standard. They have failed to reach an agreement. It is understood that the chief difficulty was to arrive al a margin for buying and selling satisfactory to all parties. It is believed that an agreement will shortly be reached. LATER. FEDERAL TREASURER’S VIEWS. FLUCTUATIONS IMPROBABLE. (Received May 2, 9.45 a.m.) SYDNEY, May 2. Dr. Earle. Page, the Federal Treasurer. interviewed, said the return to the gold basis is another testimony to the financial strength and resources of the Empire. A roturn to free g«ld export must have a great influence in stabilising exchange. It will be interesting to see its effect on prices, especially in view of the fact that during the last few months the Australian pound had been at a premium in America. Consequently the return to the .gold basis should not cause much fluctuation in price levels.