The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1914-10-24
FINANCIAL FORCES
TURN To PROBLEM
OF READJUSTMENT.
Representatives of America
and Great Britain in
Conference.
NO NOTE OF PEssIMIsM
SOUNDED BY ANY ONE.
Committee Appointed to Con-
slider Further Details
of Plan.
U. 8. READY TO PAY IN GOLD
Prominent Part, in Calculations
VIII Be Played by
Cotton.
. 8. READY no PAY IN GoLD
Prominent Part in Calculations
~ VIII BE Played by
Cotton.

WASHINGTON. October 2a.-FinaR-
cial forces of the Federal government,
aided by the friendly counsel of Amer
lean, bankers and. Representatives OF
Great Britain. were turned to-day to-
ward ,readjustment of the foreign ex-
change market, disturbed by the Euro
pean war
For more than three hours the Fed
eral Reserve Board. Sir George Paish
and Basil B. Blackctt, representing the
English Treasury and some Of the best
known bankers In New York, discussed
the situation in all Its aspects. Accord
Ing to those present, no note OF pessi-
mism was sounded, and tonight there
was every reason to believe all the
financial problems will be solved with
out great difficulty.
The salient conclusions reached by
the conference are: American bankers
stand ready to pay their obligations to
England In cash. The 100.000.000 gold
pool, already formed, and $4,000. .0oG
raised by a New, York syndicate to meet
New York FCity's obligations, probably
will be enough, however. to satisfy
English creditors.
The New York and London Stock
Exchanges, will not be opened soon,
possibly not before the beginning OF
1915. A Joint committee OF the two
exchanges Will lsconsiderfth this matter:
TO HASTEN coNsIpERATIGNss.s I. I s
sss-O -Ofrse'O7-f0NEUAN PLAN
:. The EedeFals Reserve Board Is e1 =
pscted Sto hasten consideration Of the
pro posed S.oot ttons loan fund plan, de-
Signed, IN part. to give support to the
cotton market.
/, The cotton exchanges in New York,
Now Orleans and Liverpool probably
Will beIopene6ltas soon as possible. The
New York exchange probably will con-
n h r0t,c oh, q. NIT
erpool exchange before such action is
,-tA-committee consisting OF Benjamin
Strong. Jr., a. H. Wiggin,. James Brown,
=! of New York. and Governor HamIin and
Faul NJ. WarburE. OF the reserve board,
will hold further conferences with Sir
George Paish and Mr.. BlaclSett about
details of the readjustment plan.
According to some Of those at the
conference, the optimism was surpris-
Ing. Sir George. 1t was said, did not
Indicate that he had come to demand
Payment Of American debts; he had no
concrete plan to lay before the Ameri-
Say. The American bankers, made IL
clear there was every reason to believe
American could and would meet all obli-
cations in gold.
Although there was no expression
rs to how much gold actually must be
many of those present. that but little
roore than that already arranged for
will be necessary.
COTTON WILL PLAY
PROMINENT PART
A prominent part in the calculations
all agreed. must be played by cotton,
and, for this reason the desirability of
finding. a bottom for the market and
making OF the arrangements for tha
reopening of the cotton exchanges were
discussed at length. Sir George voiced
again the opinion that English manu-
facturers would buy cotton when they
knew bottom had been reached, and
that competitors could not underbuy
them. just how much England's buy-
ers would take was not indicated, but
the steadyingi effect buying there will
have on, foreign exchange, was gen.
orally admitted. Mr.SBlackett denied
there was an agreement in Europe to
Keep down cotton purchases. thereby
limiting teh power of the United States
to pay its international Indebtedness
Sir Geor6G felt confident English
holders of American securities would
not throw them on the market If the
London exchange opened. England, he
explained. was fighting the war on her
savings and on her current receipts
selling of American Investments
might come, he said. but that would be
fhSSoSHlSu ioi Ny tHe ldTBC
OF cotton, grain and other commodities
in the next few months. He added
that all securities had been taken care
of up until January, 1. BY that time
the balance of trade probably will
swing back towards the United States
sHORT-TERM PAPER
RE IS NOT DISCUSSED
/. The question: of .short-term paper to
tide over the period before American
commodities began appIeciably to re-
duce the5American debt to England was
not discussed to-day. 1t was expected
IT. would come up in the conference
.t6-morrow, and form a basis for some
by which even a portion
of the 500, 900, 900 gold pool need not
be actually transferred for several
months.
:, No direct reference was made ut the
conference to- the cotton loan fund
plan. which the reserve board is con-
sidering. 1t was discussed by m en- ers
OF the board, unofflcially and will be
taken up formally Tomorrow.
Upon Its success. In the opinion Of
many officials, depends largely the suc-
cess Of the present conferences. Little
doubt was expressed tonight that the
reserve board would approve 1t.
F.; The bankers present at the confer
ence to- day were: Benjamin Strong, Jr.,
II. p. Dawson. T. IL Price. Samuel Nc
Roberts. r. @. Brown, Charles Starek,
William woodward. James Brown and
y s. Alexander. OF New York; Festus
Invade, OF st: Louis, |, and d.. C. Wing;
eof Boston. l.' ~.