Pine Bluff daily graphic., 1915-09-01
lcrease in Value of For Ecn Exchange Greatest
 in a Century.
k,n1.AND'S BUYING
 boWER IS CURTAILED
pvory s1OO Worth of Goods Now p,oht in America She Must Pay kloe ITnless Loans to Insure Pay
 mont of Bills Are Secured.
fRy B. e. Forbes.)


 Sov York, Aug. 31.-The value of
 plish money broke exceptionally
 ,e today to $4.55 F for pound
 trlng a depreciation of fully 6 per
 ht.
 FInless England can get hundreds
 millions of funds here to meet her
 ormous bills, she may have to re-
 tict purchases of al lbut war ma
 rials to such an extent as to affect
 nnloyment and business in th.s
 untry. bankers declare. 9...,..
 Today's Generalization in foreign
 change has not been eaualled in the
 st century-not since the European
 taclysm preceding the downfall of
 apoeon exactly 100 years ago.
 For every s1O0 worth of goods
 ought here, England must pay $106
 her money. The English pound prmally is worth $4.S5k. Tonight
 is worth 31 cents less, and inter- atonal bankers refuse to buy sterl- bg even at that level, because they Be no immediate end to the down. lard movement.
 May Affect Pay Envelopes.
 The American workman does not ee any connection between foreign Kchange,' to him a Greek phrase, nd his pay envelope. but unless the cllapse in the medium for settling hgland's bills can be checked, many tyenyelopes here are threatened, as be British government will perforce ave t0lalinit it's own buying of merican materials, and will doubt e@ take steps to restrict purchases
 merchandise here by British mer- Phants and importers, our largest bversea customers. .'-.i'. s', French money, measured by the American dollar, has fallen 16 cents, German currency fully as much; Austrian 26; Italian 26 cents, and Russian 29 cents. ''; .i. , :.' ,. A committee of eminent British and French bankers is coming to New York to devise a plan to enable the allies to pay for the billion or more war materials contracted for here, and the other billion or 80 of cotton and of foodstuffs which are beginning 10 be marketed from the 1915 har- vest. Our balance of exports over imports since January has exceeded billion dollars. and ;Will' appfOach TWO billions by the end of the year.
 .England, and < France have sent 's0o'ooO,OoO gold this year, but ailathe 'old in the banks of these countries would not square the full account.
 what the commission is expected to 10 IS to arrange for huge loans here. Il all probability with Am.rican ,onds and stocks corralled by the two suiopean governments from their 'illzens, as collateral to secure the dvances. '.,...l,1- .srH
 England's Credit Unlimited. | am informed by the strongest ,nanclal interests in, this country that .asland can obtain practically unlim- 'eu loans here on sound American ecarltles, as Americas new currency aw permits of almost indefinite ex- 'anslon Of credits. President Van srnp or the National City bank some ,ne ago put the possible expansion ased on the surplus bank reserves :. oetween two and three billion dol a's' and bank reserves have increas- q since then. -.
 l. american financiers severely csiti. h ,se the British for having muddled ut foreign exchange situation by to provide means. for qaaring accounts. Al, '.es bs oo acute has the position become r"' r" manufacturers of war materials u' ' nerVous lest bills are not prompt. , a pald. Wall street also was alarm. '.no;t, a "ter today's blow. to- Britain's fl. 'ahclal prestige.
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