SHIPMENT OF GOLD

Waikato Times, Volume 121, Issue 20346, 10 November 1937, Page 7

SHIPMENT OF GOLD

AMERICA TO FRANCE RISE ON WORLD MARKET IMPORTS FROM JAPAN United Press Assn.—Elec. Tel. Copyright WASHINGTON, Nov. 8 The Secretary of the Treasury, Mr Henry Morgenthau, announced to-day the first major exportation of gold, to the value of 10,250,000 dollars, to France under the tripartite stabilisation agreement. This, he said, was to aid France in the face of the rising price of gold on the world market. Mr Morgenthau said the United States Government was ready to make any further shipments of gold abroad that might be requested. The Treasury’s sterilised gold fund totalled 1,270,000,000 dollars. This could be drained without any serious effect on domestic economy. “ We have been preparing for this situation for many years,” said the Treasurer. He expressed uncertainty as to whether the prospective outflow would seriously change the sterilised position owing to the continued inflow of gold from Pacific countries, notably Japan, from which 10,000,000 dollars worth arrived to-day.

FEAR OF A DEPRESSION STEPS BY MR ROOSEVELT CONFERENCES IN AMERICA United Press Assn.—Elec Tel. Copyright. NEW YORK, Nov. 8. The Washington correspondent of the New York Times states that President Roosevelt, alarmed by recent stock and business recessions, had a four hours’ conference with leading figures in the New Deal to determine slops for stemming Ihese movements. They advised the President that Federal spending must be resumed on a grand scale or private capital must be Induced to undertake a new construction drive if a new depression was to be stopped. It is feared that the business curve in 1938 may sink lo the lowest point since 1934. Mr Roosevelt, it is believed. has not made a decision yet, but it is said that he is determined to act. in order to stop the dangerous downward spiral of economic conditions. The Australian Associated Press says it learns that the world tour of the liner Bremen lias been cancelled owing lo numerous cancellations of reservations, due lo the recent stock market recessions and business uncertainty. The tours of the Franconia, Reliance and Empress of Britain, however, are not affected.