The sun., 1918-10-29
CANADA WAR LOAN
DRIVE UNDER WAY
Dominion Hopes Many Sub
scriptions Will BE Sent
From United States.
EXCHANGE IS STILL 2 P. c.
Expected That Big Offerings Of
Export Bills by Grain Ship
pers Will Cut Rate.
Special DssputcA 10 THr sur

Special DespdfcA 10 The Suf
TORONTO, Can, Oct. 2s.-Canada n
cherlshing the hope that during the VIC
tory Loan subscription pcriod--from
October rs to November 16-there will
be some substantial remittances sent over
from the United States for the purpose
Of taking up the new war bonds. OF
course there will not be any propa ganda
or advertising campaign carried on in
the United States-the circularizing OF
American investors will be confined, as
In the case OF the first Victory Loan, to
parties who write to Canada for informa-
ton or particulars. Notwithstanding
this there will probably be a limited
number DE- American subscriptions, some
of which will doubtless be for important
amounts. American insurance compa-
MES having an extensive business In the
Dominion. industrial concerns with i'm
portant branch establishments on this
side Of the boundary line and other
United States interests doing a large
annual trade with Canada will recog-
nize that the Dominion war loan has in
resources. and many OF them will now.
as on former occasions. respond hand
somely to the suggestions made by their
Canadian managers or representatives.
In the same way certain Canadian con-
Germs transacting large and profitable
business in the United States subscribed
substantial amounts to the Liberty Loan
during the campaign just ended.
II remains to be seen whether tho re-
mittances from the United States for
Victory Loan purposes will be sum
iciently important to materially affect
the exchange situation. Throughout Oc-
tober the premium on American funds as
quoted here has held stubbornly at or
above the per cent. level II there are
heavy export shipments OF grain against
which the exporters are able to draw
bills on New York they certainly are
getting fine prices for the bills But II
seems almost certain that heavy OFFER
ings OF export bills by grain shippers
would knock down the rate of exchange.
and because the exchange rate has held
at the high levels the natural presump-
ton is that the grain bills as yet are not
great factor in the market. They
doubtless will have their effect later.
Foreign Trade Improves.
The September trade return is well
coined in Canadian financial circles for
the improvement It shows in exports and
| in the trade balance. Up to the end OF
August Canada's foreign trade compared
very favorably with the records OF the
two preceding years. Total exports for
the Ave months Of the fiscal year to Au-
gust 81. 1918, were S200.000,0o0 less
| than for the corresponding period OF
1917; and the balance In Canada's favor
was only s3S 900 900. as against favor
| able balance OF $50, 200, 900 In 1917. Elk
ports OF agricultural products and of
manufactures had fallen off greatly, the
former dropping from s239. 900. 900 to
$117 5000 and the latter from s2ss.-
| 900, 900 to S197.000.000. September does
not show any improvement in regard TO
agricultural eXports-the total for the
month being SIC, 900 900. compared with
| s2O.000.0o0 in September last year-out
| II does show a gratifying increase In the
shipments of Canadian manufactured
goods. Exports OF manufactures for the
month OF August, 1918, were s31, 900. 00o.
| and the average monthly export for the
| Ave months ended August was only 500,
| 100000. September shows an export OF
| S91. 900, 900. or more than double the
| average monthly outgo. Thanks to this
there was a better balance in the Do
minion's favor than shown for any pre-
| cedng month OF 1918. Total September
| exports OF Canadian produce were Sl3s.-
| 900, 900. and as the imports for consump-
| ton amounted to S7l 900 900 the favor
able balance was s67,0O0.0O0. Adding
this to the $4,000. 600 excess OF exports
for the Ave months to August 81 the net
excess fol-, the first half Of the new fiscal
year BECOMES sos 900 900. There is thus
! a fair chance of the Dominion rolling up
a balance in the next few months that
| will make the export surplus for the year
| compare reasonably well with the pre-
| v.ous war years The crop movement
| will help to bring about this result not
withstanding the light yield and the de-
| layed movement grain shipments in Oc-
| tober. November and December should
i be large.