Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1915-09-16

New YORK, Sept. LITTLE scope o.
the international financial negotia,
lions undertaken with the arrival OF
the British and French commissions
Friday does nc seem 10 be widely
appreciated The disposition is 100
common to look Upon the arrange
raents as a pure,y banking transzac-
ton Oh to minimize the object OF the
negotiations TO Inc payment Of in.
de3tedness already incurred by the al.
lied powers in purchases of mun;.
tons, provisions and ether war ma.
terial in this country.
Their object is much broader. As
was stated by Inc spokesman .c- the
foreign ccItrissions, they seek TO ar
range in this country a Briti-h and
French credit which may cover pay-
ment for all the goods which. enter
into the export trade OF the United
STATES with Great Britain and France.
The trade in munitions. though large.
is a mere incident in that commerce.
1t forms only a small part OF the total
export trade which in the first seven
months Of the year has produced a
balance Of 3960NoO,DoD in this coun-
try's favor and which bids fair to in
crease that trade balance to $2,CGo,-
DcG,C00 by the end OF the year. pro-
yided normal or reasonably fair ex-
change rates can be re-ectabliste5.
Gold for War Contracts.
Moreover, the british government:
has indicated its entire ABILITY TO pay
for these goods which it purchases
here for military use. In little more
than four weeks it has shipped here
$57,5C0,C00 gold, and securities est
mated at $~75,G2G,Hr0 in payment for
such %purchases. The gold holdings o:
the Bank OF England. which are now
s1f0,tn0,GG0 greater than az the cor
responding time last year, supply Wis
ib,e evidence CT British ;i):!ity to
make further large gold payments on
war contracts. Manufacturers OF nu.
nitions lave little reason to be con
over TIE exchange situation.
Their products must be naf, and can
be raid for in gold without any great
embarrassment to the F@itish trees.
ury.
Credit for Normal Exports.
Producers Of grain, cotton and pro
visions and manufacturers OF goods
other than war materials and particu.
larly manufacturers and producers OF
not recessaries OF life or war.
cannot regard the negotiations with
eGuanimity. To them the eft
proposition that we mist
give credit or quit selling is a live
TO them the failure OF the pend
ing negotiations means both a curtail-
ment in sales fer export and payment
in foreign bills Of exchange selling
here at a great discount. Their sue
assures a good export market
and payment in dollars at home.
TIE ground covered by the negotl.
is nc.<1er limited ncr local. It
is countrywide. It's importance Is
not TO be measured by the price CT
CT payment on war contracts
much as by the price and the ey.
IIcl kSL III. dill LuUoc SUtuS "I1lIli
in normal times enter in:o the export
with Great Britain and France.
Accordingly New .Yorw bankers.
apart from the coterie which has been
as fiscal and commercial
in purchase OF var Supplies
FOR Great Britain, consider it desir.
able, il not essential. TO the success
Of the negotiations that bankers the
over be taker into cohsulta.
ion in order that the Importance OF
Inc transaction may not be Enderrat
I'd, that there be a countrywide par
yicipation in whatever loan or loans
ire taken and that there be estab-
ished a credit Of such magnitude as
demonstrate the validity OF con-
with foreign purchasers and to
lissipate all fears Of a future impair