davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1919-03-23
Weeks Developments
In FOREIGN EXCHANGE

Developments in the foreign cx
echange market during the week past
o. ,nordcred on the sensational. French.
English and Italian exchange devel-
oped pronounced weakness in rapid
succession, and after the demoraliza
tlon mad somewhat cleared up in the
foreign exchange market it became
known that concerted action had henn
taken by the financial authorities of
Inese countries in cooperation with the
Ch1ted states to remove restrictions
rom the exchange and allow the mar
ket 10 return to a normal basis.
A'though Information was lacking on
this point, international bankers came
TO the conclusion that an agreement
nad been reached in Paris relative to
the future. of the exchanges. At anv
rate, T, Monday saw sharp decline in
rehcn exchange, when francs sold
cline approximately of 5 per cent.
on Wednesday without warning 7
+. Morgan & Co. announced that as
hscal agents of the British govern
ment they had suspended the purchase
OF sterling exchange. This was tanta-
mount to an announcement that the
artificial support had been withdrawn
from sterling, whereupon the rate fell
from around S4.75 per pound, the rate
which had been maintained for more
than two years, by liberal use of
credits, to $4.69
Tumbling
On Thursday there was further
slight decline, but yesterday sterling
tumbled precipitately and tran nsactions
were reported on basis Of $4.57 per
pound. London reported drop to
$450, with a rapid rebound to S4.s2.
Inc peg was removed from Italian
exchange on Friday, when the Federal
reserve Board announced the with
drawal of the support. The fixed rate
mad been 6.35 lire to the dollar. I'm
mediately on this announcement lire
declined sharply, falling to around 750
lire to the dollar.
While the action of the British au-
thorities in leaving the sterling mar
ket to it's own devicces came as q
tremendous surprise, there had been
much agitation in financial London in
favor Of an early restoration Of nor
NAL conditions. Correspondence of the
Associated Press from London under
date OF March says that the artificial
position of New York London ex.
change was being increasingly com.
mented upon in quarters where there
were advocates of letting it seek its
own level.
An English View
Robert Benson. speaking at he an.
nual meeting of the Merchants Trust
in London. said, in this connection:
We have been bearing tho burden
of maintaining the relation Of the
sterling standard to the dollar stand.
ard not only up to the day when the
United States came into the. war. bu,
ever since. 1t has been very costly
New-York tribune., 1919-03-23
Goods Needed i'm Sweden
But the Scania Fair Is Only for
Domestic Products

There is a strong demand in South
ern Sweden for textiles, cuothes, cotton
and woollen suitings, hosiery of all
kinds, dyes and chemicals, india rubber
goods, hardware, tools, iron tubes and
fittings, machine supplies, betting, cleo
trio installation materials, radiators,
boilers, pumps, bath apparatus and Of
wee utensils, according to the American
consul at Malmo.
In a recent report he calls attention
to the Scania Fair, which will be held
at Malmo, June 80 to July 6. The fair
is modelled after the famous Leipzig
Fair in Germany, and is strictly man
ufacturers' exhibit. 1t is open only to
Swedish industry and no sales will be
made to private persons. Foreign in
terests will not be permitted to acquire
space at the fair, but Danish and Ger
man interests will be represented by
their agents. American firms with
Swedish agents should be able to intro
duce their products at this time.
New-York tribune., 1919-03-23
War Plants Are
adaptable TO Peace

Already the company has arranged to
use part of the idle works in the
manufacture of motor trucks, an en-
tirely new field, it's productive efforts
In the past having been confined almost
entirely to the making of railway air
brake equipment, of, which it is the
second largest manufacturer in the
world. Present plans contemplate tho
operation of one of the war plant units
for this new work, the machinery used
In the manufacture of gun carriages
for the government to be converted for
this purpose. 1t is the hope of the
company to begin deliveries of trucks
for the selling and distributing concern
next July.
What is to be done with the other
idle plants is still question to be
solved, although the management of
the company is canguine of ultimately
putting them to profitable use. Most
Of the machinery is of a type that can
be converted for the manufacture ~
implements Of peace.
New-York tribune., 1919-03-23
Wealth-Mar kets-Inve ents

borrowing dollars daily or weekly at
51a per cent in New York wherewith to
pay for all the sterling bills offered on
London at S4.76 per pound.
"a point often arises in the relation
of debtor to creditor when it is the
creditor, and not the debtor, who is on
the anxious bench. | think that is the
case now in our relations with the
United States. At any rate, I am salts
fed that it is quite as much the inter
est of the United States to-day to
maintain the relations of dollars to
sterling as it is ours to maintain the
about time to leave the exchange to
adjust itself.
81 An Object Lesson
ut would probably be shock and
an object lesson to both parties if the
American exchange was to go to Sd per
pound for a while. In all probability
the immediate result Of withdrawing
our costly support of it will be that
Americans will be able to buy every
thing from US cheaper for while in
dollars. while we shall be forced to
economize, because American goods
will cost more. Thus we shall begin
to get out of debt and put in train the
restoration OF the sterling standard.
ELASTICITY of money is not imitation.
If the public can only realize that our
standard-the sterling standards
not rigid, but elastic, and varies as all
things-gold included
vary in relation to each other, then
imitation will be robbed of half its ter
rors. Freedom of the greatest of all
the money markets, is indis-
pensable if we are to pay our debts,
rchabilitate the pound sterling and re-
establish the position of London as the
clearing house OF the world"
New-York tribune., 1919-03-23
Heavy Slump in
Value of Pound in
Exchange Market
Rate on Sterling Exchange
Drops to $4.57, Then Raj.
lies-Francs Fall; Lire
Are DemOralized

Readjustment of the sterling ex-
order of things, inaugurated by the
unexpected withdrawal of artificial sup
port by the British government, made
further progress yesterday when cable
remittances to London sold at $4.57 to
the pound sterling, decline Of IA
cents pound compared with the clos
ing rate on Friday.
The new break here followed receipt
of cable advices from London that
sterling had fallen to $3.50 to the
pound there as quoted in terms of
American money, with later recovery
there's to around $3.50. When sterling
got down to the low yesterday i'll this
market heavy buying orders came in
from banking houses which had sold
sterling short in anticipation of the
decline, and these purchases were re-
sponsible in ctfecting substantial re-
coyery, the closing rate for demand
sterling being $4.6S.
British Policy Permanent
Gable advices from London indicate
NhHe WIG blitloli government mas
adopted a permanent policy with re-
gard to allowing the sterling exchange
market to take it's own course in the
future.
French exchange moved in erratic
fashion and francs finally closed at a
substantial recession from the closing
rate of Friday. Italian exchange con-
tnued in state of decentralization
despite an announcement by the Italian
Institute of Exchange that it would at
tempt to exercise regulatory control Of
lire.
The closing rate for. lire cables was
$50 in purely nominal market. The
statement issued by the local repre-
sentative OF the Italian Institute, said ::
From time to time directors of di-
vision Of foreign exchanges of the Fed
eral Reserve Board have issued regu-
iatlons concerning trading in exchange
in so far as it was being carried out
by dealers in the United States. All
such regulation have now been with
drawn, but the Institute of Exchange
IN Italy which has charge of Italian
exchanges IN that country under su-
pervision of the Italian Government.
has not yet withdrawn any of it's regu-
lations, and until it does so, it is neces
sary for American dealers in carrying
out their transactions in Italy to oper-
ate in accordance with rules of the
Italian Institute of Exchange. Such
rules do not affect the buying or SELL
ing of lire by dealers in the United
states. Buying or selling of dollars
In Italy are entirely subject to the
rules of the institute. The institute
IN New York will be in the market to
buy or sell lire as it is considered ad-
ylsable. but at the moment is not sell
ing cacble lire under 6.45."
The Dollars Cost
IT you calculate the cost of the dol
lar IN terms of foreign money at cur
rent exchange value-that is, if you
were buying dollars with pounds.
marks or francs-its value at the close
OF last week, as compared with wear
ago, would be about as follows:
:
New-York tribune., 1919-03-23
No Union Hours
For Missionaries

The missionary formerly worked
months, and even long years, for sim
gle convert, and, when he had secured
him, had only single illiterate man
from the lower classes. Now he has
accessible, on the other hand, millions
OF lower class people; and, on the
other, an increasing number of men
and women who are already the great
leaders among their countrymen. The
present mission staff and equipment is
adapted largely for dealing with the
man or the lower classes, and for
dealing with him individually. SiowIv
'hc skeleton organization has been ex.
panqed and partially filled out; but no
enuIch mas yet grasped these larger
vppo,tunlties Tor personal evangelism
~hicE the last few years and decades
nave brought. As the opportunitv ha =
grown, schools, hospitals and nubl;shs
ing houses have been added-des;onaa
70 care for work already under nav
"aen lew exceptions, the missionaries
on tne heid are tied down TO the d;rec-
non on these institutions. They must
supetv'se the churches and the native
passcLs; run the hospital; manage the
pr'ns'ng press; keep accounts; and
"a tne greater proportion Of fields, cul.
msate an american constituency to
money. Many missionaries M sre 'ro,s ,or,
compelled, aside from their own sr ssi'
aries, to finance the greater mart ~
their work. There is q man IN Ind;a
whose mission expenses run from Stld
TO 1,bo0 rupees month. He rece,va,
300 by appropriations; the ramainae,
he must raise as best he can. More
extraordinary still is the fact that +,
actually raises it.--Tyler bennett. i,
Asia Magazine. :
New-York tribune., 1919-03-23
New Labor Agreement
To Be Discussed Soon

Within the next few weeks confer.
ences probably will be arranged be-
tween the Cloak, Suit and Skirt Manu.
facturers' Protective Association and
the international Ladies' Garment
Workers Union to discuss terms for
new labor agreement in the trade to
supersede the existing agreement
which expires on August A, 1919.
The union has written the employ
ers' association asking for the confer
ences, and, according to Ellis Stein
hardt, labor manager of the associa-
tion, reply will be made as soon as
plans for the conferences can be made.
piece-work controversy will form one
of the chief topics of discussion at the
conference. In all probability the union
will demand concessions in the way Of
higher pay and shorter working hours.
New-York tribune., 1919-03-23
Grand Trunk Refuses
Governments Offer
Stockholders Cry ''Shame!"
When Terms Are Ex.
planned to Them

LONDON, March % (via MontreaD.
Alfred w. Smithers, chairman of the
board of directors of the Grand Trunk
Railway, at the meeting of shareholders
yesterday, at which it was decided not
to accept the governments offer for
the purchase of the road, declared the
company. was anxious for a a friendly
settlement.
"But," he added, "unlcss the govern
ment is prepared to increase its offer
such friendly settlement is impossible. ;"
Mr.. Smithers said the company had
offered to sell the road on an average
of the last ten years. earnings. The
government, he continued, was making
it condition of relieving the Grand
Trunk of the liability of the Grand
Trunk Pacific that it sell the parent
road at a disastrous loss to second and
third preference and ordinary share
holders.
During the explanation of the gov
ernment's terms there were cries of
"confscation," Shame" and "scan-
dalous.
New-York tribune., 1919-03-23
Farmers Entered
Munitions Plant

When the company entered the mu-
nitions business on a large scale it
went into the market for labor. Skilled
and unskilled labor was imported into
Watertown from all over the country.
Boys from the farms came to work
with imported machinists from the
larger industrial centres of the coun-
try. 1t is estimated that at least 35 per
cent of the men taken on for muni-
tion work came from the rich agricul-
tural districts Of Northern New York.
When the war ended, throwing 80 per
cent Of the employees out of work, a
large part Of the former farm workers
returned to the farms, not because
they were attracted by farm life, but
because Of their inability to find en-
ployment elsewhere. The majority of
the machinists and other skilled work
ers drifted away to more promising
fields. For a time after the war ended
Watertown had small army of "foat-
ers," but it has been gradually dimin-
ishing. although the number left is
still Of such proportions as to present
problem to the municipality. Current
labor troubles in Watertown--therea are
three different strikes in progress
are attributed by the employers Of
labor there to the unrest created by
the ''foaters"
The problem confronting the man
agement of the New York Air Brake
Company is the matter of finding what
to do with the plants and equipment on
it's hands. Millions Of dollars are rep
resented in the investment in the new
plants and machinery. One of the new
plants, the gun carriage works, was
built by the government and is still
owned by the government, but that will
probably come into the company's pos
session in the final settlement of tho
contracts between the Federal author;-
ties and the corporation. Thousands Of
shells and she'll cases in process of
manufacture are piled up in the plants
awaiting the disposition of the govern
ment. Most of this stuff is worth little
more than its junking value, unless the
government decides to use it as re-
serve for future use,
New-York tribune., 1919-03-23
Idle War Plants
To Form Basis of
Air Brake Growth
Making Motor Trucks First
Move Designed to En-
ploy Labor and Munitions
Machinery in Peace Work
Financial Bureau
Staff Correspondence

Staff Correspondence
WATERFOWL, March ga work
ing force of 1000 has been reduced
to barely 1900; four great plant units
specially constructed for the manu-
facture Of munitions Of war, housing
thousands of delicate machine tools are
idle; the brake shop, the peace time
plant of the company, is working only
on part time, owing to temporary
contraction in business and labor diff
culties. These have ns.n the out
standing developments at the works of
the New York Air Brake Company
here since the signing Of the armis-
tice in November. In less than five
months Watertown, like so many of
the mushroom muniton towns of the
country, has seen the transition of
its greatest industry from war to
a peace basis.
The New York Air Brake Company
handled war orders for the Allied gov
ernments and the United States in
volving upward of $50,OOO,0OO worth Of
munitions. Before this country went
into the war it manufactured 100000
shell cases for the British government.
Later it went into the manufacture of
shells, mostly of the small rs milli-
mtre calibre and the big 1856 MILL
metre type. When the armistice was
signed it was turning out thousands
of shells a day for the United States
government, great numbers of fuses,
shell cases, and had entered upon
quantity production of gun carriages
for the famous French 75s for the
United States Ordnance Department.
The end of the war brought almost
immediate cessation of nearly all of
this work, and the transition of the
industry from war production to that
of peace is nearing completion.
New-York tribune., 1919-03-23
Repercussions

-, Buy the rails and hold them.-E. W.
Wagner e Co.
The outlook for oil stocks is bright
Anderson, Bruins G Co.
A weak margin makes weak judg-
ment.-Odd Lot Rcvteu.
Buy stocks as they pass the recent
high prices.-McClave e Co.
Financially there is nothing on which
to base bull market.--Wrenm Bros. C.
Co.
To talk reverently of 1913-'14 prices
IS to speak a dead language to-day
Irving Fisher.
The chances are there will be an active
and broad market next week with higher
prices.-S. B. Chaplin & Co.
Stock markets in recording the future
of business far ahead, establish records
more or less quickly and then rest
J. S. Bache C Co.
New-York tribune., 1919-03-23

Now that extraordinary deprecia-
tlons are possible, not only in Ital-
ian lire and French francs, but in
British pounds, it behooves us to
determine the exact effect of these
depreciations on our foreign trade.
1t is agreed that a heavy deprecia-
tion in the pound sterling would
stimulate British exports and dis
courage imports. 1t is likewise
true that the premium on the Amer
ican dollar, as compared with the
currencies of England, France and
Italy, will discourage our exports
and stimulate imports to this coun-
try. 1t is not difficult to see how
this occurs. Besides the price that
these European exporters obtain
for their goods, they draw for the
amount and gain the premium. On
the other hand, these European i'm
porters, besides the price they pay
for our goods, have to pay pre-
MUM for remittance.
So far, SO good. But if the Eu-
ropean importer, whom we shall
make a British importer, pays a pre-
MUM for remittances, to whom
does he pay it? In other words,
who gains the money that he loses?
The American exporter does not
gain it. The whole problem and
It's answer can be made plain by a
little diagram:
BI BE
New-York tribune., 1919-03-23
Ask Steamship Service
Between Jamaica and Canada

KINGSTON. Jamaica, Friday, March
1i.The Canadian government has
been asked to establish direct steam
fhip- service with Jamaica, 1t being un-
derstood that subsidy will be pro.
y,ded ln Gaze such q project is carried
0ut. The legislative council hAs ex.
sIHded shipping companies from the
payment Of taxes under the income tax
BID which has just bssn passed. In
h@rAMaa ecnpsnies will under the bill,
par ~ per rent on their gross In.
New-York tribune., 1919-03-23
Money and Credit

Although the Stock Exchange loan
account expanded last week as result
OF the increased speculative activity in
the stock market the New York Clear
ing House banks reported yesterday a
decrease of $5S,0S6,000 in loans and
discounts, that item amounting to s4,-
S64,957 900 at the close Of the week.
The contraction in the total loan
account Of the banks was attributed to
the paying off of certain large govern
ment loans by the Treasury, which
more than Offset the increase in Stock
Exchange borrowings.
Net demand deposits of the banks de-
creased $95, 1888, 900, to $3,940,779, 900 last
week. Government deposits With the
banks were gifen as $260,323, 900, COM
pared with $259,S03, 900 at the close of
the week before. Casn reserves of the
banks decreased $15,116,970,.to$ $43.666.-
$40.
The Federal Reserve Bank of New
YORK reported heavy increase in gold,
metal carried in it's vaults and to it's
credit in the settlement fund amount
ing to $432 $50, an increase of ap-
proxlmately $77,000,000. Rediscounts
and advances against commercial paper
amounted to $32,051, ,969, compared with
S29,233,71 Rediscounts and advances
against government obligations were
$676,60S, 1926, compored with $761,365,1S1
the week before.
Bank Acceptances.--Rate were un-
changed yesterday.
Thirty Sixty Ninety
spot de- days. days. days.
livery: Per cent.Per ccnt.Pe cent,
Eligible
member
banks -. .4h@4 4A@4h 4h@4M
Eligible ~
nonmem-
Ineligible >'
baaA bills.sM@4Ia 5I4@4La sM@44
For delivery within thirty days:
r,:r Per cent.
Eligible member banks. al
Eligible non-member banks. 4N
Ineligible bank bills.
Discount Rates. following table
gives the current rates of the twelve
Federal Reserve banks on commercial
paper Tor all periods I'm m o;co+,, d,,,..
New-York tribune., 1919-03-23
Shading Quicksilver Prices

While quicksilver is nominally quot
ed at $40 flask, offerings at $6S sre
appearing frequently, with no business
being transacted at this price. II is
reported from several directions that
sales were made yesterday at price as
low as $64 flask. Theer is very little
demand in the market, and the ten
dency is toward lower prices.
New-York tribune., 1919-03-23
Wall Street Items

Seward Prosser, president of the
Bankers Trust Company, sailed yester-
day on the Adriatic. Mr.. Prosser will
spend several weeks in London and
Paris on business connected with the
institution.
The New York Stock Exchange firm
OF Zimmerman & Forshay, for the past
1orty-two years located at Q Wall
street, have removed their offices to
ITO Broadway.
Lawrence Chamberlain & Co. have
purchased tho $1,000,0OO per cent
cumulative convertible preferred stock
1t o.. the Titusville Iron Works Company,
New-York tribune., 1919-03-23
RelevantC Comment
Over the Top for Steel

Steel common was put across par yes
terday, but did not stay put The
market leader early sold at 10Ofs, but
receded on later trading to a close of
80, whore it showed a fraction loss on
the day. The new top price set a high
record for 1919, and compares with a
ary 10, just before the current upward
movement began. 1t also compares
with high price of 1862 last year.
made in August, and low of 861a
made Just about q year ago
New-York tribune., 1919-03-23
Explanations

1t has been claimed during the week
by some observers that Steel common
was going up because professional
bears and others "short of the mar
ket" in the stock were covering their
commitments. For that reason the new
week is awaited with interest, as it
should show whether or not this theory
is tenable. For, as has been pointed
out, if the big short interest in steel
as reported, has been closed out, the
technical position of the market lead
er has been considerably weakened.
Buying Electric Storage Battery?
Wall Street heard yesterday that the
National Carbon Company, Inc, had
bought control of the Electric Storare
Battery Company, whose plants are
located in Philadelphia. The story in
the street had it that National Car
bon would pay par for the stock, issu
ing in payment collateral trust bonds.
returning per cent to the holders. NJ
one could be found yesterday who
would deny or confirm the story. Elec-
trio Storage Battery stock has been ac-
tive and strong, both in the New York
stock market and on tho Philadelphia
Stock Exchange in the last few days.
An advance of points was registered
in the stock in New York yesterday.
New-York tribune., 1919-03-23
Finance : Economics

credits or the purchase of European
securities. This is both alutruistic
and selfish, both a duty and an op-
portunity.
New-York tribune., 1919-03-23

(Additional financial ncws
'ciH be found on page 2 OF this
section.
New-York tribune., 1919-03-23

The above rates express the cost of
foreign money in terms Of the Ameri-
can dollar. You buy an English pound
sterling, say, at $4.75%. The intrinsic
parity is S4.ssss per pound. Thus, you
say either that pounds are At dis
count or that dollars, are at a premium,
which 10 owing TO. the fact that in Eng
to settle accounts in this country ia
greater than the demand In this coun~
try Tor pounds with which to settle
accounts In England.
New-York tribune., 1919-03-23

Silver.-London. 47Md, unchanged;
New York. l01Bc, unchanged; Mexican
dollars, 77Ac, unchanged.
London Money Market-LONDON
March 22.-Closing rate for money,
31s per cent. Discount rates short
and three months bills, 3 1882 per
cent Gold premium at Lisbon
1900.
New-York tribune., 1919-03-23

The Federal Reserve Bank Of New
York has put in force the following
schedule OF rediscount rates which
apply to bankers acceptances: Maturi-
ties up to Is days, per cent; 16 to
so days, inclusive, Az per cent; 81 to
80 days, inclusive. Az per cent.