Japan Wants To Buy U.S. Wheat
Tokyo, Supt. 20.
The Japanes Government, i
b reported, has riarted negoйla- Slates tions with the United Government for the purchase of $20 million worth of surplus
with and
American whoat Mutual Security Agency
Talks are being held through the Japanese Embassy aa
Washington and are said to be based on Prime: Minister Yoshida's instructions.
Foreign Ofco eirelés said the proposed import will be made it the various conditions set by Japan for the purchase are accepted..
Japan wishes to buy wheat At n price cheap enough to eliminate the need of payment of any import subsidy by the accord- Japanese Government, ing to informants here.
America's surplus the Mutual Security Ach,
Japan also hopes, to be allow- The meeting
followed
ed certain freedom to specify Con- Secondly, the support which a holt has been called around Farm plaints by an American
the quality of wheat It la significant that
America's special considera Bureau Federation spokesman
The Japanese delegation would recently by Japanese purchases fall in sterling sens, to have Administration that the
tion is niso desired in building had very little effect on the foot' dragging its
on the pro- probably be 12 strong, some of has been withdrawn.
op Thirdly, the market is Sohyefect
now London gilt-edged market.
Japan's foreign exchange rom whlet Congress them members of the Kramme
the backwash of the
serves by not using yen funds Union Federation. Pro-
Nevertheless a movement of
for Trade
offshore
In authorised last July,
of
procurements forward sterling this kind can never be ignored, committees for the paratory
of whatever 1ts Cruses, Any
that had been set up in lavi spring when the idea
Japan. It is also deafred The Law authorised the Ad-Congress
was very much sudden
Japanese ships be used to carry country convertiblity
change in sterling in- ministration to sell up to $250,- several
American wheat to Japan 000,000 worth of surplus farm which collected funds to finance in the air; many people thought evitably raises questions about long-term outlook. And
whenever possible. to foreign countries.the delegates' journey to Vienna, sterling would appreciate then the
and bought forward.
According to Article 550 of once these questions have been. United PreER
do Finally, the recent extension raised, they not answer of the time limits for short themselves.
wheat is to term Anarce hus naturally On the whole there seemy
Agreement on Tariffs and Trade be offered to friendly nations on demand for title
alter the
for
the basis of the domesile market roview opinion that the market itself which is coming up
price. session of all
the present has been registering
during the
algnatories in Geneva. summer.
The outlook Is reasonably as well as all the big
gold and good. The
dollar nations of the world except Ger-
Rusala been rising, not
many, Japan, satellites, are signatories to this agreement, which improving International trade.
The Canadian Government is have the purchase price CX- being badgered by textiles manu-ceptionally reduced to about $80 the equivalent dollar Lecturers and others for netion per ton, or
to the Japanese market price.
Possible Effect
Of Setback In Business In U.S.
By Sydney S. Gampell Reuter's Financial Editor
In the last resort, a setback in U.S. business would raise the question of exchange rates - at least the question of wider fluctuations if not of devaluations. Surprisingly, the International Monetary Fund, writing apparently in July when there was hardly a cloud on the horizon, mention- ed that the appropriate internal measures may sometimes have to be supplemented by "exchange depreciation.”
weakened the webk
sterling.
experienced The market has
effect to exactly the opposite that produced after Mr Butler's these time first Budget, when limits were reduced.
All the causes of the recent weakness of sterling have, in fact, опе thing. in common. They are not likely to operate over any great length of time.
Already there are signs that
HONGKONG
SHARE MARKET
(From Our Correspondant} Business done on the Stock Exchange this morning amount- ed to $848,313. Noon quotations and the morning's transactions:--
to reason
has resorve
only because of an improve ment in the dollar balances of the outer sterling area but also because
even more
marked improvement in the United Kingdom's own Irade.
NO REASON
During the last year or so in fact the improvement has been greater than is perhaps ulways realised,
since
the
For the Arrt time war the sterling aren carned a steady surplus of dollars at a time when prices generally have been falling.
And this has meant that the value of the reserve has been rising even faster than Its volume,"
great
Provided there is no change in the general leval of world production and world trade, there seems no reason
It seemed queer to see the IMF even guarded-SHARES DUYERS SELLERS SALES why this steady rise should not
BANKS
IK Dank
ly and contingently mentioning devaluation. Per- haps it was thinking of France. Even with the clouds that have since gathered on the western horizon, it seems out of the question for sterling INSURANCES which, at its present exchange rate, is not over- valued but greatly under-valued.
As
for
ог
affecting the
•
may be common prospects words which
hot enough in Dr Erhardt's Ger-
but are seldom In Chancellor
movements of money, other, it is relevant
sterling is under-valued
that many
in oven
prices of securities as well as Britain.
One reason in prices of goods.
Exchange why London bas held strong in the face of
Stock
the Babilitles too large.
The western storm,
10
to
In
n
heard Buller's
them 342 fraction of
whereas any
Π
the
resented by Rative opinion for many years to come to short-term money, by people throughout the country.
THE
which
East Asia
Union Underwriter
HK Fire... DOCKS. ETC. K. Whart Dock
Provident
150
626 630
3%
100
0314
continue.
Though defence old will fall 20 1020 41 1520 away in the next months, pay-
offshore 5 1520 ment for the
orders that have already been placed in Europe will soon
its take place.
56
0715
run
counter to the
Сепета!
But since the American price Conovel is for higher than the Japanese, it will be necessary for the Japanese Government to
and her
is aimed at
give a subsidy to factillate the purchase.
Therefore, Japan wishes to
against the alleged "dumping" but is very reluctant to lake China Mail Special, any action.
is regarding
the
rather ferful is
by
the
progress
some of the being made protective tariffs factions in the United States and I is felt here that to take restrictive action against United States Imporis at this time would only put new weapons in their hands.
serve to
NEW DEFINITION
Russians Selling Precious Metals
New York, Sept. 29. For the Brst time since the end of World War II the Soviet
The Canadian Parliament under the agreement eliminated the 1948 Customs Act definition of"dumping" ns involcing goods for
to Canada at less export than their production costs.
Instead, the 1951 Customs Act defines dumping as fixing the value of the goods at less than the "fair market value" in the Union has been selling large quantities of its precious metals country of origin.
The
primary textile in the free world markets, ac- Canadian
of group claims that 3,000 workers cording to the October issue In Canada have lost their jobs "Pick's World Currency Report." the cotton and Recent sales Included an WORLD TRADE
since 1951 in
ounces of estimated 20,000,000 synthetic Abre flalds alone. Looking back, it can now be The Textile Workers' Union is silver totalling about US$16,800,- 22 100 23
the manu-000, 250,000 ounces of gold worth 500 21.00 seen that sicrling has strength- also lined up with
80,000 that in the about 13.30 600 13.30 ened
facturers, declarails and plants ounces FO much that, without
$3,200,000, und IN 12 12.30
ΟΙ 729 Canadian
platinum totalling external assistance, it has been 2.15 Shal Dock
about $7,200,000, it said. Wheelock 8.65 0.93 1290 6.93 possible to make it much more
Available 8.90 widely
for The 8.10 Binance of international trade,
The British Government has 04
been able to press forward with 1814 10.90 250 17
its
of freeing programme 000
This in 1000 16.80 commodity markets.
500 16.70 Itself is an encouraging and 1500 e 25.90 important by-product of inter-
nal stability. C. Light (0) 11.00 13.90 1000 14
There are, however, two un- 1400 13.90
questions hanging 3.89 answered
future; and these, the 1000 28.10 over GOGO 28 now that a fall has taken place,
100 or 20.10
casily
sterling may
prevent Macao Elec Telephone 22.00 22.80 1700 22.20 returning to the upper limit of at least INDUSTRIALS
permissible dealings, Coment
10 100 18.80 for the moment. STORES, ETC.
Dalry
2500 423,50
LAND, ETC
100000
HIK Hetel B 8.15 500 HK Land XD 31564 146 1.50
Shal Land
Humphreys
UTILITIES
Tram
Star Ferry
132
C. Light (N) 0.63 9.05 1500
Electric
EWO
-
25
10.70
***.... 2.40 Textile Corp. 5.50 MISCELLANEOUS
Yangleze
(N) 0%
3000 8.00
Grain Prices sterling area
In Chicago
on
in
that direct
of these precious
storting rate,
are
load,
of the primary textile industry, statistiest shoreased from 101,234-metals deals, olightly mort us 1951 to 93,120 in £9,000,000 sterling at the trans- In Jani
January
ferable January 1933.
It is also claimed that many destined to
im thousands of those still employed ports have to accept part-lime work and are laced with other drastic cuts in the near future unless
Government takes the oction to halt the flood of United States Imports.
CLOSE WATCH
During
БОТС
copper,
pay for Ruslan of Australian Malayan tin and Rhodeslan
all from sterling arons," said the publication.
Platinum sales were handled by a British-Swiss consortium, metali with part of the "grey
found its way already having into the United States, it was
made
the recent
election sald
Silver Fales were Chevrler, campaign, Mr Lionel Minister of Transport in the St directly to Great Britain, who Laurent Cabinet, who represents in barn sold 1,250,000 ounces to
the Royal Mint in Bruscis. the textile-producing city
Most of the remaining silver Cornwall, Ontario, was quoted as
acquired by Britain is "believed" saying that the salvation of the to have been nepaid to the Canadian the anti-dumping shipments of
textile industry lay in United a revision of laws. Mr C. D. Howe, Minister
Commerce, also Britain during World War II. of Trade and said that the dumping situation it added.
The publisher of the report is would be corrected but that the
Franz
Pick, economist and com- fundamental problem went
sullent to foreign countries.-- deeper than that.
United Prosa.
States for lend-lease the inetal to
Indian
Tribute
To MRA
NOT A WORRY
recession, or perhaps Wall Street's weakness is that even in no more than a technica! British industrial equities at Wall Street setback, funding la U.S. one thing that the cent above their 1935 the 25 per
in Treasury need not worry about. the change average while
Admittedly, 11g cfforts ta the value of money since 1035 | Ad
U.S. national debt has sent general prices to more lengthen the
On so far been a joke. Ike 250 per cent obove their have July
maluritics of 1,952, 1. about 1035 average are
orld.marketable securities within one cheapest assets in the world. Sterling's troubles are not that year amounted to $45 billion.
On
after July
!, 1053, Capetown, Sept. 29.
it is denr elther In goods
determined Republican drive to The South African House of
in fcrip. They are that lengthen the debt, the one-year
The first of these is bound Assembly (Lower House) to-
British economy is too rigid; narketable maturities amounted
11002370 up with the outlook for the 05 day passed the third reading of the reserves are too small; and to $64 billion-and even
2000 23,60 American economy. In spite of Watson ... 24.10 24.60 2000 - £1.30 a bill to transfer control of nn-
904420 the behaviour of Wall Street, a tive education from the provin-
recent operation only pushes u
L. Crawford 13.00
of opinion strong body of the Union to
year COTTONS
once America seems clal councila
If there forward
again real the Minister of Native Affairs.
is to be one, would blow along funding ought to
inclined to postpone the The United
put them off (opposition)
which cession
everyone has the line of least resistance amendment Party
for at least five years. But any moved an
inflation. The IMF seems
1300 is 0.03 been expecting. fool can fund in a slump money during the committee stage that
But is it right?. modern civilisation 100i car
And if it is think that native education be placed under
on becomes unemployed and asks
wrong what would be the effect prone to nothing better than any kind of constitutionally
the the control of the Department is
of such a recession "In
the
dollar Education and not the Deport- Inflation.
modernoant the Treasury will
balance It says,
"there are *** world," ment of Native Affairs,
let it have. Even In something
and on the reserves? both
Many Members of Parliament economic Opposition speakers said the
many forces,
much short of a slump, tha
of some have textile plants Education BI Bantu
and social. that seem
REALISM NEEDED likely
offered 40 Treasury is
much
kind or other in their conati- What has undoubtedly tuencies and are anxious about foster a climate of opinion in who want a temporary home for
sustained
-situation back world trade in the the employment Minister of Native
it will always be easy that it can afford to forget
Chicago, Sept. 29. last few months has been the home. But the Government is Inflationary about funding. Verwoerd, Dr H. F. Affairs,
to generate new
not in the least bit anxious to of production Prices of grain futures closed very high level forces." to the debate,' said
As Lo policy in the 16-18% replyftug
In practice, in a slump, the today as follows:
rock the boat when there cou in America.
could the late event of a recession, 181-18s that by representing the bill as
U.S. would be forced into more
Wheat-[No. 2 red. per bushel in Secondly, it is now clear that be such resounding the United Caux-sur-Montreux, Sept. 20. 18-10
Lord Keynes said that 181-191 an oppressive measure the op-
the Keynesianism than any other centa)
Indin's Minister of Commerce, the likelihood of the sterling slons, not only. gone when
Spot 10-101
100 position had sown suspicion in days have
country-regardless of Republic-
Dec. 19816(H) 30435432) 1943-L areas receiving help from the
States, but in the whole fold Mr D. P. Karmarkar, addressed be the native mind.
country can
expect-
an doctrine or of Congress's March 1934
governed by the American Administration, either of trade as. ed to iry to make The Government, he added,
the rather preposterous celling,
Taritis on General Agreement internal level of employment,
by "trade, not aid" or moro public was convinced that the bill was
the
debt. It has been
Trado. prices fluctuate
Corn (No. 2, yellow, per bushel directly by a loan, is no longer and the right thing in the interest
wages and
that a
a quite moderate in Lockoned
immediate The meetings at Geneva are uround one of
wildly
the external
samathing for the native education and of
future.
being closely watched by official South Africa. Reuter.
value of its currency instead of retosalon might throw up a US budget defelt of $23 billion.
With the best will In the the other way round. The IMF That would be more "Inflation"
In- fower restrictions an
Mr Karmarisor is leading his Annual Report, says much the than any other country would
world nothing can be
delegation to until the autumn of 1954 If ternational trade silhough at the same thing, less elegantly.
country's Dec. have, and in the end the dollar
moment
under heavy It 15
of the Tarif March 1931
110
then.
restore one of the eighth session
13 Gall==(Prices per bushei în centr)
Conference which the pressure to reassessment With
now in MARKET
The canger for the non-dollar might in fast fare worse than
large Industries any other major currency. The
Dre, currencies in
situation will the sterling area country's very would la · what
March 1954"** uncertainty
2014
Mr Karmarkar thanked D under a Republican Administra- | uncu London, Sept. 29.
Boybeans-Prices per bushel in countries make in the light of to health by tariff-juggling.session in Geneva. happen first, if Britain, for
China Mail Special..
Buchman, initiator of Moral this knowledge? What plans are The tin market who firm but tion, might be for less Keynes example, were trying to soften,
recent his 258 mom they laying to keep the
Rearmargent, for quiet. Turnover was 23 tons of Ian then some other countries. the impact of, a recession
200-30012 by
visit to India at the head of a which five tour were for each.
rising over the next year? U.S..
Republicans, softening money, while the U.S.
Mail Clilna These are questions which tho Closing prices were as follows: Keynesian is a term of abuse, was still trying to be tough,
Special Commonwealth Finance Con- Spot, un, buyers
Alarmed by the possibilities of even it in vetreat. Republican
ference will have to dlacuse and. a recession and of its political doctrine and the public debi
If possible settle when it meets Trasury repercussions, .......U.S.
Humphrey
andulang militato strongly against
early next year-that is, if it is Secretary
any
Voluntary early or
granted the further breathing- Deputy Secretary Burgess have resort to
New York space to do so.
Montreal run away from their funding policy (begging the question
to be whether which is now
'Since the strength of sterling, Ainaterdaen. policy
recipes -these- Moscow, Sept. 29.
would
Business was done in the lost depends on confidence a much bruses on
market The All-India Fine Arta and applied only "gradually and at smoothing the trade cycle
fact work if they were unmolal szehang
this 'aa on actual movements of trado Orafts Society exhibition, which opportune times" But they are
moming at the following ratenin Whatever might be dolar (por
and of money, much will depend | Copenhagen "sound needed). still emphaticaly closed down in Leningrad yes.
of tone by tax cuts, ani), other Sterling, holester 211
on whether this conference then ↑ Pare. terday, had 150,000 vialiors in 15. money" men. Every one
appears to the outside world to daya, Tasa the Soviet news their epéecties still dilates on devices, nothing much can be Indonesian guilderiji (pet, 100),
be setting about its business in Singapore (Bleuita) ngency reported today,China the need for "und money, hoped from public works amticals per 100)
arealisilo spirit, Mail Special,
honest" money, good money!ław Reuter.
United Press.
NEW YORK MARKET
New York, Sept. 29. Rubber futures closed point higher to 10 points lower with sales of 50 contracts.
Halr
De contracta
the business was re in exchanges
of
for other
In the spot market
Pors quoted spot No. 1 RSS at doalers 22% cents por pound. A fair factory business. was reported the No. 3 and No. 4 itone in
sheets.
Dec.. March 1914
May
July
Sept.
Dec.
LONDON TIN
22.85 bl 27.53 bid
21.43 bid
-0123
22.88 bid
Busine
015 418
22.55 bld
Three month čin, buyers
605
22.55 bld
weiler
CD4
United Press,
Business Bettlement
6:00
00
--United Press.
AMSTERDAM MARKET
Amsterdam, Sept. 20~~ rubber market war quiet. Closing prices;
Tho
No. 1 rubber pr íb.......... 132 nom. ito, a rubber per the 1:30 30m
No. 3 rubber per lb... 1.73 nom.
No. crepe rubber-
1.00 nom.
-United Press.
Among
that
the
any
"
011
on
1034-
May July
cents)
Spot Doc.
16346
March 1954.
130-1
MAY July
117-101 1513%
Rye (Prices per busheln centa)
9pot Nov. Jan. 1034
March May
Bagley---{Price per
Kérice per bushel in cents
Back,
........... 00344-264
23034
120-100 New York for 200 $13.80 Dom-United Press," "Lemm
Spot
"conunter-cycle of
for Exchange Rates
Inda China" plasizes ((per:: 100)
repereus-
Rearmament the World Moral Assembly here. He said that the problems of today could bo solved if all people treated them in the spirit that they found at the
expertedWA which is continually Assembly.
of
reserve
London Foreign task force,"
Micckholm
Labon
Exchange
Derische Mark
Flocked MaIK
London Sept. 10.
5+2.74 5/10
the
JAPANESE BONDS
London, Sept. 29.
Japanese bonde
PD" (6 of 1934),
Consol
Fress.
I