Goldsboro weekly argus. [volume] (Goldsboro, N.C.) 191?-19??, 1914-10-22
NORMAL CONDITIONS
MAY Be RESTORED
English Representatives Are
i'm Washington for
Conference
COTTON THE REAL ISSUE
On the Success of Plans to Care For
the Surplus and Willingness OF
Manufacturers to Buy Depends
Value of Britishers' Visit.

Washington, Oct. 19.-Sir George
Paish, special adviser to the Engllsh
chancellor of the exchequer; Basil T.
Blackett, of the English treasury; Sec
retary McAdoo and the federal reserve
board today began series OF confer
ences here which are expected to nave
an important effect on financial con-
ditions in Great Britain and the United
States. Restoration of normal condi-
tions in foreign exchange dealings be-
tween the two countries is the object
of the meetings, and they probably
will have direct influence on the dis
position of the south's cotton crop.
It became known tonight that OIL
cials of the American government 1eel
keenly that cotton is the crux of sit
uation which has many ramitlcat1ons,
and that on the success of plans to
care for the surplus and on the Will
ingness of manufacturers to buy cot
ton depends the value of Sir Georges
visit.
1t is probable that before Sir George
turns to England the question of re-
opening of the London and New York
stock exchanges will be considered
It was predicted here tonight that the
London exchange would reopen short
ly, with the British government urging
that London brokers do not call loans
Immediately. If the London market Is
not greatly affected it's resumption OF
business may be followed by the re-
opening of the New York exchange.
So much depends on the cotton prob
lem that there probably will be no
further conferences until a committee
of the board, which is handling the
proposed $50 ,O00, 900 cotton loan fund
plan, has found a satisfactory solu-
ton The committee, Secretary NC
Adoo, Paul M. Warburg and w. 2. &.
Harding, returned today from New
York, where it had been at work since
Saturday in an effort to convince New
York bankers of the feasibility and
Soundness of plans for the fund
The New York bankers promised to
put up one-third of the loan fund but
prescribed conditions it was discoV-
cred could not legally be met.
The reserve board members propos-
ed different conditions and as fur
ther inducement offered to let the
northern section of the United States
put up three dollars to every one put
up by southern bankers with the ul-
derstanding that the northern banks
would have a prior lien for their
money.
Under this tentative plan southern
hanks would have actual management
OF the f,;a.d. the whole, however, &c
b, under supervision of the reserve
BOARD. other conditions IS to interest
rate and rrice of cotton we're said to
be left unchanged.
This counter-plan has not beer
passed on finally but every opDor
tunity will be taken to expedite rs
consider :nn SO thae th: board may
begin discussion of international prop
lens with r George and Mr.. Black
EFT.
The cotton crop Is of first import
ahce in these conferences because OF
it the United States has relied in pas
years to cancel the larger part of it
foreign Indebtedness.
Sir George is known to hold tha
English manufacturers do not wish t.
buy cotton now unless they are salts
fed it has reached the bottom price
American manufacturers, according t.
information available at the treasur.
department, apparently feel the sam
way and little cotton is being sold
With the $15O0O0,000 loan fund il
operation it is argued that millions O
bales will be taken out of this marke
and a direct and stimulating effec
will be felt both here and in England
With cotton moving again across tn
Atlantic the Indebtedness of the Unit
ed States to England would be de
creased rapidly and materially an
conditions here would improve in con
sequence.
It was said tonight that cotton ez
changes probably would open shortl
If arguments made here availed. On
difficulty is the fact that there are n
quotations on which the factor or tn
manufacturer can base offers.