Evening star., 1919-12-22
PRICE OF DOLLAR HURTS
SCANDINAVIAN TRADE
Refusal of Many American Cargoes
at Goteberg Predicted
by Writer.
BY HAL O'FLAHERTY.

BY HAL O'FLAHERTY.
Special Cablegram to The Stnr ana
Chicago Daily News. Copyright. 191o'
STOCKHOLM. Sweden, December 20
Within the coming week something
resembling crisis is probable in
Scandina Wan business circles as the re-
suit of the rapidly rising price oil the
dollar over the crown. MANY amer
lean cargoes arriving at Goteberg VIII
be refused by Swedish purchasers, who
face heavy losses. They may adopt the
tactics of the Danish buyers. who are
now reshipping American cargoes back
to New York, where they sell them at
profit. Such consgnments were pur-
chased months ago. when the exchange
favored the Danish crown, to be PAID
upon delivery.
Under the present exchange rate the
merchants could not afford to accept
delivery, but as the prices in the Unit
d States have leaped upward, they are
able to reship and clean up good mar
gin. At least ten cargo boats are
awaiting dock facilities at Gotebers,
carrying hundreds of thousands of dol
lars worth of American goods. If all
this is accepted this viii mean the loss
Of thousands of crowns to the Swedish
importers for exchange since the goods
We're purchased. 1t is hardly probable
that they will accept delivery.
Cigarette Order Cancelled.
One American exporter here re-
ceived the first shipment of 100000
600 cigarettes. which he had sold to
the Swedish tobacco trust before the
exchange began rising. Today he
received a curt note from the trus,
canceling the entire order because
the first delivery had been delayed
two months by strike. Fortunately
he exporter has a clause in the
contract providing for strike emer-
gency, but it will have to come be-
fore the Swedish courts for settle
ment. The same method Of cancel.
lation will probably occur in many
other shipments from America. pre-
cipitating endless confusion and pos
sibly resulting in general ill-feelins
between the business men of the two
countries.
1t has been urged repeatedly in the
last two days that the United States
government bolster up the exchange
here by the shipment Of gold. which
seems to be about the only resource
left to bring anything like stable
conditions. The head of one of the
greatest banking firms in the United
States. now here. expresses the opin-
ion that it is up to the American
government. Private banks or credit
organizations cannot finance these
countries without selling bonds i,
America. but unfortunately the
American public will not purchase
such paper without knowing that i
has good backing.
Trade Going to Britain.
While America is creating mark et
for foreign securities, England un-
doubtedly is going to secure a grea
portion of the trade. English syndi
Gates are already gaining headway
AS a result of the stoppage of Ameri.
can supplies, prices have taken an
other jump upward throughout Swed
en-. adding another burden to the high
cost of living. Travellers who come
TO Stockholm after visiting Other
countries declare that this is the most
expensive capital. Even in the cheap.
ar restaurants three-course meal
costs more than 81. Butter costs 81
cents a pound. Other feodstuffs are
dear, especially those imported from
America. Clothing of all kinds costs
twice as much as in England. Apart
ments are almost unobtainable ant
rooms without bath rent at $50 a
month.
But, as in America, every one seems
to have plenty of money to spend or
luXuries and Christmas shopping. This
is one of the busiest holiday seasons
in many years. all the stores display
ing big stocks of expensive gifts.