1954-12-30 — Page 9

GREAT BRITAIN

Th

| MAINTAIN POSITION IN EUROPE

|| IMPEDE WEST GERMAN- REARMAMENT.

CONTINUE TO POSTPONE TREATY FOR AUSTRIA,

HALT YUGOSLAVIA'S MOVEMENT, TO WEST.

THE CHINA MAIL, THURSDAY, DECEMBER 30, 1954.

RUSSIAN PROGRAM FOR 1955

O US.

U. S. S. R.

EXPLOIT WESTERN WEAKNESSES, IN ASIÁ

JAPAN

TUNISIA

ENCOURAGE NATIONALISM

PREVENT REUNIFICATION OF KOREA. CHINA

INFILTRATE BELOW 17TH PARALLEL TO INSURE RED CONTROL OF ALL VIETHAM BY MID-1956.

MOROCCO

ALGERIA

IN NORTH AFRICA.

AFRICA

Members of Free World Alliances

Communist Bloc

I

INDONESIA

DOMINATE NATIONALIST PARTY OF INDONESIA.

Russian Programme

HOT WAR TINDERBOX 15 ISLAND OF FORMOSA

NEW GUINEA

AUSTRALIA

AP Nowsfeatures}

For 1955:

Hold Line In Europe;

Expand Influence

Prospect for 1965: Noj war and no peace.

Western statesmen, as 1954 draws to a close, appear resigned to the idea that the world must live for some time in a state of cold war.

The chances for the hot war

World War seem to have re- ceded. Yet there ig little doubt the two principal antagonists in the global political con- fliet-the Soviet Union and the United States-- are worried about the possibility they might stumble into the big fight against their wills.

As ถน accompanying 122517 shows, the Russian programme for the coming year will have two main directions and will be ilore.i to meet conditions in its two major felda,

In Europe, where there is nu real revolutionary situation, the Communists must be satisfied willy maintaining the status quo and attempting

Lo neutralise present alles of the United the pre

include

the

States

This would

to prevent

of Western Germany, to prolong the stalemate on an Austrian peace treaty, to TC- verse the movement of Yugo- slavia to the West, and to in- creuse unrest in North Africa.

on

By WILLIAM L. RYAN

In Asia

Associated Press Foreign News Analyst

Thenture why oves Formosa

n

and unmakes governments and could make the Asian continent | a gradual step-up to their 18- the

for

mlet Auence in the government Useår. cradle

the Nationalist party destructive beyond imagination, | Alrendy

government leans on an alliance The Soviet Unha is fully with the Communists, The Red aware of this potentiality, and will be to push it norr

Alm and more to the Communist : kle sull is unready to risk a war

of the line in the international that could pull down the whole

into nothing structure of the Soviet system, political conflict,

les In terms

thon heulrailty

of internal economy.

the

In terms of long-range bombers, | possible into implicti

weapons with the Red world. In termas of atomic F421 W terms of

Jong-range globat political planning, Soviet Union obviously ready, even though it has been attempting to build at + Futcious pace against such an eventual-

Ity.

is un-

Thus the Soviet Union can be expected to apply a chuckrein to the Chinese Communists

should they become loo danger- ously belligerent.

from ISRUC

The words cmnmating Peking on the Formosa have been quite belligerent, and so have some Pelding deeds, But will the Chinese themselves risk stumbling the big

into

war? It is doubtful for som time to come.

What, then, have the Chinese been up to? The war-like talk! and truculent gestures seem have several purposes.

The Purposes

The purposes may include:

in

the Soviet

کارا

Neutrality

dנות

if alliance

اره

*l

mans to impede their participa- tion in Western defence plats. Unless they are neutral in the struggle. East-West Ideological the Germans wil be told, they

the dream can write off

nication forever.

Chances

treaty JE for independence for Austria seem no, brighter in view of Moscow's Western threats regarding European defence arrangements. Lincs of communication with autellte nollons through Austria continue

TRADE AND

AND COMMERCE SECTION

ECONOMIC FORECAST

Russians Will Aggravate Capitalist Nations To Stop Commercial Development

By Warren Lee Pierson

The following forecast of world economic developments in 1955 was written for the United Press by Mr Warren Lee Pierson, President of the U.S. Couneli of the International Chamber of Commerce. The U.S. Council represents over 350 executives of leading American industries. Mr Pterson, Chairman of Trans World Airlines, has been active in the movement for a Überalized U.S. economy potter.

New York, Dec. 29. In American international relations the focal point of attention during the confing year will almost certainly rest on economic affairs.

Having arrived at a diplomatic and military impasse, the cold war between the coalition of free nations and the Communist autocracy will be fought, at least temporarily, on the economic front.

NEW YORK

STOCK MARKÉT

NETHERLANDS

STATE LOAN

Amsterdam. Dec. 29, Tho Netherlands is Insuing a 314 per cent state Joan to consolidate the floating debt and finance redemption of the foreign debi, according to pro- пресия released at Hague. The loan, to be issued at par, will run for 40 телта. No definite amount has been fixed for the Joan. --- China Mall Special.

the

HONGKONG STOCK EXCHANGE

(From Our Correspondent)

Business done on the Hongkong Stock Exchange this morning amounted to $898,300,30. NooTI leadership quotations, and the morning's

Only In the broadest terms likely to be accelerated. How is it possible to forecast present ever, effective day

trends into predictions:] which only the United States transactions: however, we can be sure of two can provide remains the paro-BILARES BUYERS SELLERS SALES

DANKB things. During 1955

the

Soviet cunt need of this alliance. with leaders will

direction which thot Bank

INSURANCES take should creasing pressure to aggravate leadership

Union the frictions and conflictions of clearly churted by President

DOCKS, ETC. commercial interests that Lenin Eisenhower in his message predicted would prevent crpital | Congress

Trive

The

1900 2000

............. 907 44 B1215 19010 Underwriers DIS

was

10

K. Wharf

Wheelock

Inut April. Some ist nations front fortaing an of the recommendations offered effective alliance to oppose the then have since been adopted,

but much remains to be accom spread of Communism.

On the other hand, it is plished. equally certain that the nations

of

On

24

#3 100 04 Provident (0) 15.70 18.90 1500 18.50 7.40, 7.15 3500 4 8.34

LAND, ETC.

ILK Hotel

the

in

HK Land Humphreys Really

ร growing UTILITIES

Although the effect of the the free world will under-requested legislation take to answer the Communist domestic economy Is still challenge.

dispute, there evidence that those who believe that aberal trade policy will be beneficial to American indusirles

the

Tut long

who fear

New York, Deg. 29. Sustained heavy demand for blue chips lifted indus- trial stocks through the

Partisans of economic freedom 400-mark in their average

and international co-operation with ense today.

in every nation are convinced that, enthusiastic

the given

opportunity, volume

their creed can compete a fully with whatever the Com- munists are able to offer.

was the 60

te shot buying.

up 4,430,000 shares-must я база stston since Dec. 18, 1960 whe 1.400,000 shares changed hands

Reporting tickers ran late for host of the first hour of trading. Briefly after noon and again in the final minutes.

Industrials topped the 400-

at a now historic

THE OPPORTUNITY The greatest question of 1935 is whether

not or

they will have that opportunity.

Fortunately, considerable pro- gress has already been made in to loom importantly mark with nearly two points to

spare-con

this direction. The past year high

saw the economie strength of Contributing directly to this individual members of the non- Increase were issues such as

Communist alliance greatly General

Motors, up 2% points, strengthened. Quotas, exchange Bethlehem Sted, up 1%, U.S. restrictions, and other barriers Steel, 19% higher, and National to

been world trade have Steel,

tor Moscow,

10 The

wooing

in

Yugoslavia of will

also be stepped up, produce a degree of neutralism with the rim of breaking. severely straining an important link in the Western chain of defences, the Balkan pact link- Ing the Yugoslavin with Greece

to

or

Neutrality will be the keynote

Russian

Manoeuvres

In Ger- Europe, particularly many. The lure of posible unidention will be used as a weapon against the West Ger-

and Turkey.

Ike's Supporters For Repeal Of

Buy American Act

gramme

1. To frighten Union.

There have been many for a modification or repeal hints that the Chinese Com- of the restrictive "Buy

of

munists are far from satisfied American" Act in the new with the amount

milltary session of Congress, officials and economic aid forthcoming

from Moscow.

said today.

ΟΙ

11⁄2 higher and Allter lessened and this trend seems Clemical, up 144, WestinghousO Electrie, up 1%, Du Pont, 1 higher.

SHARPER GAINS Outside the

Average group there were even sharper Indivi- Jual gains ranging to 41⁄2 puinta

U.S. Hoffman Machinery.

Falis

set 3 record. boro, climbing 0.87 to their best level since July 3, 1931,

The market was one of the broadest on record, with 1207 ssues traded-748 of these higher, 328 unchanged and 293 lower.

for

World Rubber

Markets

10015-10135

NEW YORK

outnumbered

In

any relaxation against Imports,

It

those

of restrictions

IMPORTANT MARKS

this foctor.

more than any other, which I believe will produce bipartisan legislation establishing our trade polley on a liberal and stable course. The three important benchmarks in the creation of such a policy are the Japanese trade treaty, the extension of the Trade Agreement Act, and formal United States adherence revised general agreement tariffs and trade. Unfortunately, these measures alt havo political rom their. ramifications opart

Bach economic consequencpposition,

4 of

3000 ir 7

2000 7.00

2200 7.10

.. 15.00 18.30 2500 17 15.30

00

2.0715 2.126

041 00

Tram

21.70 21.90 1200

600 21,70 1909 6 21.00

Star Ferry..

108

Yaumali Ferry

C. List (0) 10.30 10.50

18.10

3600

C. Light (N) 15.20 18.50 500 Electric

.... 30%

100

40

Macao Elec 1214 12.00 Telephone .. 329

INDUSTRIALS

Cement

401 4034 2000 500 STORES, ETC.

Dairy X. Ris 24.79

Hits.. 18.00

-Watson (N) .. COTTONS

3000

2100

100 10.70

-

375 G 25.00

101

0.70 0.85 1000 @ 6.80

Textile Corp. MISCELLANEOUS

Yangtze ... 5.08 $ 2000

Allied

4.375

$3000

2000 6

World Cotton Markets

will encounter strong but the increasing rea

realisation of their critical importance to the International economy will, I believe, ensure final approval.

T

confident I am even more that efforts to repeal the Buy the American Act, to clarify,

New York, Dec. 20, escape clause, and to establish Holiday-minded cotton traders

simple, fair method customs evaluation,

of today watched prices.settle back will cause slightly in continued quiet,deal- existing anarchronisms in our ings. trade practice to be corrected.

NEW YORK Prices of futures closed today as follows:

IMPORTANT ELEMENT

An important element in the American leadership In 1955 I's in the creation of a con- stent economic policy towards the under-developed nations of

the world.

Spot

Mar.

May

July

Oct..

Dec

Mar.

May

The intensified efforts of the Soviet leaders to capture

NEW ORLEANS £110 Prices of futures closed today

vast populations and exploit tho as follows: material resources, of Asia im- parts an urgency to the need of

Spot

May

July

Oct.

Dec,

Mor.

May

Singapore, Dec. 29. The rubber market opened slightly lower on disappointing overseas advices but later prices advanced sharply in speculative buying with sellers very rew served. There was. little prot All industrial groups Ipart in the rise with steels, non-closings:

tok taking towards the close. Future fextous metals, aircrafts, some No: 1 rubber per tb. Jan, 2014-0216 Washington, Dec. 29, the proposal would be repeated

Feb. 80-7 President Elsenhower and in the new Democrat-controlled motors, oil, chemical, television

Mar. unquoted supporters of

No. rubber per ib. Jan. 90%-90% his pro- session of Congress in January stocks, building shares, and a

94-9416 as part of the Administration's host of specials featuring: liberalised heel trade and tariff policy.

High-priced Amerada climbed No. 3 for

No. 4

0312-63% more than 4 in the oils.

Spot rubber unsbaled ... proposal

11%-001 The dropping of this foreign trade will not fight

Some

stocks

ad-Blank crepe received

10-91 could be regarded as a conces

ditional impetus in the form of No. 1 pale crepo.... on to the protectionists.

news. Carrier ran good

ran up 24 on The President has already_an-

good

carnings, International nounced that he will ask Con-

Harvestor 1% on the company's Futures today closed 105 to improving productivity andi ress for a three-year extension

116 points higher with sales of raising living standards of the new products. reciprocal plans of the tariff-cutting

act with

peoples. The New York Stock Exchange 192 contracts. The President has already unde

agreements

Speculative buying and cover- authority to lower import duties bond volume was $5,700,000,

The problem of United States 2. To CKCUSO the Internal modified the Act by an execu-

The American Stock Exchange | ing by dealers sent prices aky-assistance in accelerating eco- Chinese programme,

The an- tive order and the administra- on certain items by 18 per cent

volume was 1,410,000 shares,

rocketing

seasonal highs.nomic development limited to Cotton closinga, American below present levels.

Strength of London-Singapore Asia; for notwithstanding the middling 15/16 inch, in pence DOW-JONES AVERAGES Dow Jones closing averages markets generated the main buy-obviously urgent needs of that per lh, were as follows: on Wall Street today were as g power,

arch, we cannot neglect In the spot market, follows:

Interests in

148.23 800 tons. Reported transactions

While there are encouraging 61.28 included three

For : shots 149.87. HAR

Include: signs that the Low of private 100.09 January at 394

four

to these nations Tour Investments price index 172.75 sheets for Janimry 33% and will grow as they provide more

United Press.

334 flat bark for January de-favourable conditions for foreign livery 27% cents; one sheets for capital, there is no doubt that a February at 334 cents and conservative programme of uld Colton futures, closing prices, Latin in cruzeiros per kilogram were America and the For East will as follows: Spot No. 1 Res sheets moved lend

their J up to 381⁄2 cents a pound, num.

which Mar. May Futuro closings

nounced programme internally ton's economic advisers feel

that It werd not be worth

In Asia the Communist drive will be almed nt exploiting every sign of weakness, relying for the army." In order heavily

the propaganda to excuse this, a threat inus while to provoke a new storm theme of "colonialism" to turn exi

exist. The threat is Formoen

thia in Congress by pressing for, an Asians away from co-operation and

and the Chinese Nationalists, alteration or repeal of the Act. with the West. The Communista; The result is a harsh economic

DEPRESSION MOVE

AIC

TC.

the

prevent the re- policy of industrialisation sure to unification of Korea, to try to quiring even more belt-lighten. complete their infiltration in ing and austerity for

Chinese people, even more ex- Indonesia, and to capitalise on the large gains they have al- port of their badly, needed food in excringe for the sinews for ready achieved in Indo-China.

Industry.

possible hot

WET

com-

}

urg

On the front, the Underbox is Formosa. 3. To assert the Chinese cluirą

The United States is

to leadership in Asia mitted to defend Chiang Kai- deliver as much indignity

United States Chinese possible to the

thek's Nationalist

fortrosa

against Red invasion short of the point

to protect becomes a 'real risk.

from the mainland,

the free world's rim of island defences in the Pacing.

$1

rc-

The "Buy "American" Act, Passing during the days of America's depression, quired Government agencies award- buying supplies and int .contracts 10 Kive preference to American in- dustries if the prices wore not more than 25 per cent above':

of foreign. bladers. The President's executive order

Shoso

SAME PROPOSAL This is the same proposal, the President made carller he was year, when forced by protectionist pres sure to accept an extension of only one year (to next without any. Power June)

make additional tariff

to Cuik. Mr

a. Re- Daniel Reed, publican, who played a major

-30 industriala

20 rnila

15 utililles

65 stocks

40 bonds

Comm

future

!

dealers

401.57 estimated sales between 700 and customer our Latin American į May/June

in blocking the proposal New York Sugar

role then

ling already announced that he is rendy to continue the fight next year-Router.

Market

ctrls;

three sheels f March at 32% to nations in both

cents a pound,

Mar.

May

July

Sept.

Dec.

Mor

180

33.70

LIVERPOOL

our Dec/Jon.

Mar/Apr.

July/Aug. Oct/Nov.

Omelal values for pot

American midding 15/10th inch American S... middling :

Others were unchanged.

SAO PAULO

Mexican middling 1-1amus

a. momentum to conomic

enterprise, und

sustain and Oct. conditions can

Doc.

developer July..

of

New York, Dec. 29. World No. 4 sugar futures 2 points

enlarge

..In the United States, If this proves the course or average price of middling cotton con- higher with sales of 123

340action most consistent with our at 10, designated spot markets tracia,

economic and political interests Domestic No. 0 sugar futures

was, 34.23 corts, Sales at these: we should darthritis centres totaled 24,150 bales,

apply closed 2 points higher to 1 point lower with sales of 147 contracts.

CARMEN EEN KARACHII The market was firm with the lessons learned

Operations of the Marshall Plan The market went into higher world Sleadiness

com

spot quoted at 28% pence per and devise (mrocedures. that ground on

scale buying. tracis refected trade buying 15. Prices on balance and steadiness in No: 1-Ras spot

where war

Ansued on December 17 lowers New York Foreign today closed this margin required by law to The political war must con- Letween six and 10 per cent. tinue. Therefore the Commun-

A leading opponent of the

Exchange

New York, Dec. 29,

21.03-7/10

3.7895 0.07.60 unometal

2.70 13/10 30-day futurea po-day futuros „128TVN South Africa - Sinusit

Chhers word. unthanger Prem

United

ists, although they may make "Buy American" Act In Con- gestures indicating willingness

Mr

Smith (De Canada, Franic to negotiate, cannot be expected

mocrat, Mississippi) sald today England-official of to permit the reunification

that he will not now ‚ ̈leád" is Korca, and that will remain a drive for the Act's repeal, in point of friction,

the new session of Congrote be- the President's order well!

care of tho

zaidi

An Atom War

War over Formosa would likely ment alomio world war

Indo-China remains a prinie cruse because it would probably in target, despite the Geneva con- volvo strategie bombing to ference, agreement ending the situation. destroy China's Industrial po shooting there. The Communist Mr Smith aid tiday: "The tential in Manchurle-bombing Vietminh can be expected to recent award of an electrical that would bo too close for continue influraiing and sub-contract to a British concern pomfret in the eyes of the verting below the 17th parallel for a generator on a water pro- Boviet leaders. Bosides this, the dividing line. Elections are Juct in Arkansas pets in the Baylot: Union has a mutual aid scheduled. In mid-1950; and the pattem," treaty with Red China,

Eisenhows Red programme appears to OUIT

President mitting Mowow, to si to war laat insuring Communist dominus proposed a revision

ught of an act of aggres. dion of a Vietnam by then.

The Indonesia, the Communists March he ran into

epronilon In the

Him

slon, such never hamil work, patiently for a distant controlled Congress

could

that any way over TomoR FOR gradual increamy in their way friend

falled from eCoffumuntst

tellectual aroupe which make trout it had bea. GLA

w

London Foreign

Exchange

| tho | raw market. Conversely, the low raw market. wolgħod

LONDON

'setilement, house, term;

-28

on the domestic contract. Ant/June Future closings:why, CopyrContraet No. 4 (worldy ima

July/Sept

Det

large

e ve limitation of our Foreign demand," however, „wast

the "natiiro") of our:

quiot: Prices closed" today in resources and the necessity for co-oporation by all, friendly peceber maund as follows nations

$80-FN

The

economie.

1980

(oppdara

solidation

Procent, your innd

ment practice! will be

Fricis Your

the bhalimage

inned

Rates

ITSL