New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-02-06

DDkD sAlISBA NJ ~ ~ .N'ih'-'' '''S
LoNDoN-ENGLAND STILL SELLING
AMERICAN SECURITIES MUsIc.s
ART AND SOCIETY.
fBY CABLE To THE TRIBrSEl
London. Feb 5.-Forecasts OF the Queens
speech are uncertain on only one point; this is
Anglo-Chnese finance Otherwise there are no
secrets in the summaries Of foreign affairs or
the legislative programme of the session. The
mystery enveloping the Chinese loan has been
deerened by the anti-climax Of newspaper diplo-
macy. The announcement that the Government
would not persist in it's demand that Talien-
Wan should be opened as free port broke up
the chorus of patriotic rejoicing over the reso-
lutte stand in defence Of commercial freedom
and filed the public mind with misgivings re-
specting the possible surrender Of British In
terests The hot fit which followed Sir Michael
Hicks-Beachs declaration that England was
ready to fight for the principle OF commercial
freedom in Chinese ports has given way to
cold fit of apprehension lest there may not Do
anything left worth fighting for.
Newspaper enterprise is one thing, and Lord
Salisburys diplomacy Is another. He PROOFS
over foreign affairs in secret, and does not
take any press diplomat into his confidence.
Tho leader writer's are not provided with cues
and draw large nferences from slight premises.
This has been done in the Chinese negotiations
No Minister has proclaimed that Talen-Wan
must he made a free port or else no money
would he lent and that British interests would
be maintained even the risk OF war. The press
diplomats have assumed that the freedom Of
Talien- Wan was the main condition OF the pro-
posed loan and that no European Power would
be allowed to gain exclusive possession OF any
strategic point commanding the approaches TO
Peking They did not know what was going on
in the Foreign Office.
NV own conviction is that the best source of
information respecting financial diplomacy -
Lombard Street a prominent and well-informed
English banker gives me this explanation: "Salis-
bury will undoubtedly arrange this loan Tor
twelve millions sterling. England VIII take II
alone a1d not in connection with any other
Power. This is the general opinion among Lon
don fnanciers. Not Russia nor Germany nor
France can lend money on the same terms Thers
will be an issue Of consols which can be taken
in twenty-four hours, owing 10 the demand OK
banks insurance companies and estates Tor per-
manent investments. Twelve millions can be had
for 2Ia per cent. and China will be required 10
pay per cent. This leaves a margin for SINK
ing fund and makes it profitable TRANSACTION
for the Government, which can obtain tuH Sc
curty for the payment OF interest and principal
by control of the revenues and other sources OF
taxation in China 1t may be as brilliant a stroke
of finance the purchase of the Suez shares.
Bankers have nothing to make out Of it. but the
Government will have good profit John China
man needs money and will be shrewd enough
TO borrow on the easiest terms. The British
Government can outbid any European Power.
the loan will probably be announced early IN
the session possibly In the Queens speech.
This forecast ref ects the general opinion in
financial circles. II is disinterested. because
there are no commissions or picknss for brokers
or CAPITALISTS in the issue Of ,onsols The nrst
duty Of the Government is TO convince the hnan-
cers of the City that il IS making A good BAR
gain This will be an easy task. The next oIh-
cation will be to reassure public opinion respect
ing the safeguards offered for the protection OK
British commercial interests. This ought not
10 be difficult Hairs may be spit over the
conditions Of the German occupation or the hus-
sian and French spheres OF influence Du, tne
British loan Will be unmistaKable PROOF tha' 10
sea power is added the power OF money on 'hs
side Of the open market IN CHINA Tor all nations
on equal conditions The terms OF LORD Salis-
bury's earliest proposals may be quiooed over,
COMPROMISED and readjusted but the issue Oh
ooreols for the benefit of China will be a fact
q, greater weight than the adoption OF the aca-
demic proposition Of commercial freedom.
The hearty accord existing between England.
Russia and France respecting Prince Georges
candidature for the Governorship OF Crete is an
earnest Of the final adjustment OF the questohs
of financial diplomacy which have arisen IN
China Mr. Gerald Balfour VINO has been living
with his brother n Downing st for fortnight
and has received his latest cue from Lord sails
hurry declared last night at Leeds that, Whiie
nothing could be said about the loan. the Gov
eroment had not departed from It's original pol
lev. and had no intention Of doing So Dut wonld
resolutely protect Erglands treaty rights This
,s tolerably clear intimaton Of the tone OK the
Queens Speech on the Chinese question.
Tho Cabinet is in session to-day. and arrange
rents have been made for the usual banquets
and receptions for the Government and Opposi-
,ion sunnorters The Monday night session
nromises to be a safe one for the Government
The Liberals are pledged TO support the irish
Local Government bill, and the army reform
offers only an opportunity for a technical dis-
cussion. When Lord Salisbury called upon the
Duke OF Devonshire 10 assist him IN receiving
the vestries delegation it was apparent that
nothing startling would be done respecting the
government Of London. The Duke chilled every
Rumbles marrow by freezing speech on the
insuperable difficulties Of making over London.
and Lord Salisbury discained any intention OF
abolishng the County Council The Govern
rnent may change its tactics II the Moderates
carry the municipal elections next month but
IT'S London bill now promises to be less conten-
tious than was expected, and probably 1t Will
not be vigorously pressed The Liberals cannot
hone TO direct a successful assault upon Govern
rnent legislation but they expect 10 conduct q
harassing campaign on questions OF imperial
policy. beginning with that Of the Indian from
,ier where there has been nothing but blunder-
ing Mr.. Lawson Walton will lead the first at
tack Colonel Wayne's gallant exploit In crush
ing the revolt in Beloochistan by sudden move
ments with an inferior force has demonstrated
-. kon,. Of the Afghan campagn. where the