Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-11-21
Believed to Be Holding Off on
Sales of Gold Pending Con-
cIusion of Negotiations With
Uncle Sam.
FRENCH PEOPLE READY
TO ASSIST AMERICA
Paris Newspapers Urge the
Banks to Aid in Restoring
Normal Conditions; New
York Undecided.

tby morning journal special Iehsed WIRE
Paris, Nov. 20.-The international
several days to induce the Bank oi
France to sell gold for shipment to the
United States have received eVasivt
answers. One of these bankers said
today that he believed the bank was
holding off, pending the result of the
negotiations which he says he has rea-
son to believe are progressing al
Washington directly between the two
governments. This banker expressed
the opinion that a direct transaction
on the basis of United States treas
ury notes was impossible as the Bank
of France can only discount three
months paper; but at the same time,
the banker pointed out the transac-
tion could be accomplished indirectly
by accepted bills drawn upon Paris
banks, as J. T. Morgan and company
proposed last week, using possibly
government guarantee. Some such
deal is limited at in the following
seemingly inspired statement printed
this evening In the Liberte.
The laws of the Bank of France do
not authorize direct participation in
the projected issue of United States
treasury notes, but we believe we
know tina. a combination designed to
permit French banks TO lend their aid
in the operation has been considered. y
The sudden awakening of the
French to the necessity of doing all in
their power to aid the United states
II reflected in an article published by
the semi-oflcial Temps tonight writ
ten by Jacques Sigfried. who insists
that France cannot afford to hesitate If
the opportunity offers. He discusses
the natural and artificial means by
which America can obtain European
gold, In the former case by the sale
of products of the soil or good secur-
ity which are not at active figures and
in the latter by credit operations. Sig
fried, however. points out that a pre-
judice exists in Europe at present
against American finance bills CON
trary to the credit of the United
States government which is the strong
est in the world. President Roosevelt
has only to lift finger and European
gold would rush out in exchange for
any sort of government paper. During
every crisis the main object is to re-
store normal conditions. These would
be esta bished more rapidly If the gov
ernment intervened and more slowly
If things are allowed to adjust them
selves Whatever method is adopted
by the Americans they should be as
sured of our aid. Circumstances make
France at present the greatest, II not
the SOLE reserve center of gold and
the unemployed capital in our banks,
aided by the Bank of France should
not hesitate to come to the rescue not
only for the satisfaction of atte' ing
our good will towards friendly ma
ton but because experience pt ives
that a commercial crisis follows fin
ancial crisis. the eXtensiveness OF the
former depending upon the acuteness
of the latter"
The Temps article then proceeds TO
point to what Is regarded as being
faulty in the American financial sys-
tenn. Insisting above all on the neces-
sity for the establishment Of central
government bank on the model Of the
French, English ana German banks
and adds:
The French may be reproached
with being lacking in the spirit OF
commercial enterprise which charac-
terlzes the Anglo SaXons, but II must
be recognized that in financial science
they can give a lesson to other ma
tions. The Americans could. with
profit, harken to the teachings Of such
men as Clement, Jugler' Leon and
Gourd."