1940-11-08 — Page 24

U.S.

THE CHINA MAIL, NOVEMBER 8, 1940

INFLATION HINT

"We Have Just Begun To Re-Arm:"--Morgenthau

Germans Seeking Higher

Refuse

Safe Conduct

Germany has refused a safe conduct for an American ship to proceed to Ireland to bring back! United States citizens, al-| though Italy has granted a safe conduct, it was an- nounced by the State De- partment in Washington yesterday.

Statutory Debt Limit

“WE HAVE JUST BEGUN to rearm," declared Mr. Henry Morgenthau, United States Secretary of Treasury, when he announced in Washington yes- terday that the Treasury would ask Congress to raise the statutory debt limit by an estimated $15,000,000,000 in order to meet the costs of the na- tional defence programme.

Mr. Morgenthau was speaking at his daily press conference and stated that this increase in the pub- lic debt would be sufficient to carry the Treasury through the fiscal year of 1942.

Asked if the increase was consi- dered sufficient for the next four years he replied in the negative, asserting that the United States had only just begun to rearm.

The German Government is said to have declared that arcus around England were "areas of Mr. Morgenthau added the military operations"

that Treasury and

would recommend to "Berlin is not in a position to Congress that future Government furnish at sort of assurance of securities should be taxed and he the nature requested."

hoped Congress would make both Federal 1

and local government obligations taxable, though this would only apply to future issues.

The

Italiar

Government's

prompt and favourable reply

was communicated to Germany but Berlin declined to act like- wise, the State Department re- veals.

The United States contemplated sending a liner. possibly the Manhattan, to a west Ireland port to evacuate about 1,200 Amer- icans from Britain.

Mr. Morgenthau stated that

the debt increase would very, likely be accompanied by in- creased taxes though he did not think it possible to estab- fish a "pay as you go" basis.

Inflationary Trend

He explained that as the de- Immediate reaction by officials fence programme

gets into full in Washington was that Ger- swing the question of increasing many's answer will probably in-prices and possible inflation would tensify the already strained Ger- arise but he did not fear inflation. man-American relations, — Reu- ter.

After Mr. Morgenthau's state- ment the stock market became The price of petrol in the Co-strong and active, Wall Street re- lony as the result of the increase garding the statement as having in duty is to-day $1.80 per gallon. | inflationary aspects.-Reuter.

GERMANS LEAVING TURKEY

STOP PRESS

A thirteen-year-old street ur- chin was accidentaly shot in the hand in Wanchai yesterday after- noon, and is now in the Queen Mary Hospital.

A number of German involved in the incident, and it is A European police sergeant was nationals are understood alleged that he fired at a group of to be unexpectedly leav-eeing men, the lad being hit by ing Turkey.

It is thought this is in connec- tion with the arrest at Istanbul of an unknown number of people, all or mostly Turkish nationals, on suspicion of espionage.

The number arrested is report- ed to be about 40.

Meanwhile .Turks of military age who have not been called to the colours with their res- pective classes for compulsory military training are now being ordered to report for training. Twenty classes are affected. This is presumed to be one of the measures foreshadowed by the. President for strengthening the Turkish armed forces.

Autumn Tailoring U.S. SUPPLY

Our stock is now com-

"

plete. Whether you require a "Harris

Tweed, or the finer

grade of Worsted Suit- ing you will find a

wonderful selection to

Price

.choose from.

from $98.50.

10% Cash Discount.

Less

You are invited to

place a trial order for

.

a personal test will

convince you of their

real worth.

Wm. POWELL, Ltd.

10, ICE HOUSE STREET.

OF WAR MATERIALS

Announcement yester- day that Mr. Purvis, head of the Britain Purchasing Commission in the United States, is at present con- ferring with President Roosevelt, has aroused speculation whether the President may not even now be considering fur- ther aid to 'Britain.

President Roosevelt had been back in the capital only a few hours.

Mr. Joseph Kennedy, United States Ambassador to Britain, and Mr.. Henry Morgenthau, Secretary of Treasury, also called on the President yesterday,

· After hlo conference with President Roosevelt, Mr. Purvis told the press he was flying to Britain shortly but would doubtless return with more or ders for war material.

Mr. Morgenthau stated Mr. Purvis had merely visited the President to say good-bye before starting for England.--Reuter.

The profix "special" to telegrams und by the "Sunday" Herald" and "China Mall" to Indicato nows which is strictly copyright under the "provi- sions of the Telecommunications. Or dinance, 1938," and may not be reprint ed under any circumstances, either wholly, or in part, without prior an rangement,

Printed and Published for the Proprietors, The Newspaper Enter- prise Ltd., by GORDON CADI BURNETT, Windsor House, Vic toria, Hong Kong.

a richochet.

The incident occurred on waterfront.

the

The huge suspension bridge over the Tacoma Narrows, third longest bridge in the world, sud- denly cracked yesterday and crashed in sections 190 feet into the Puget | River.

*་

Recently nicknamed "Gallop- ing Gertie," owing to the sway- ing motion, the bridge was only opened last July.

The bridge has always been affected by a high wind and began swaying from side to side yesterday.

A Journalist, who was only person on the bridge at the time of the collapse, felt it going down.

out of his car and He leapt

the

crawled 500 feet to safety as the disintegrated, its huge bridge cables waving wildly in the air.

Reuter.

Reacting to Mr. Morgenthau's statement New York stocks, bonds and commodity prices yesterday sky-rocketed in one of the big- gest day's trading for several

months.

The stock market ticker was running two minutes late at the close and recorded. record gains as high as eight points. The turn- over exceeded two million shares. Steels led the upward swing which has more than overcome Wednesday's losses resulting from the re-election of President Roosevelt.

Bullishness also appeared in the Chicago grain market. Here wheat at one time soared as much as four cents in the biggest single. day's rise of the year. Reuter,

ELECTRIC

Refrigerators

MADE IN U.S.AL-

BUY NOW ON OUR EASY PAYMENT PLAN Terms to suit everyone. Phone 28091 for a Free Demonstration in your Home without Obligationi

ANDERSEN MEYER & CO.,LTD.

SHOWROOM

DAVID HOUSE, 69 DES VOEUX ROAD