The sun., 1919-03-31

RllOlleT dSEelpplISNl great lEnDOT-
tance was the disclosure OF carefully laid
plans OF Government officials and high
banking interests to finance the coun-
try's foreign trade. These will call for
immense loans OF up to $1,000, 900, 900
by the War Finance Corporation. the
creation in this country of a well organ
lied market for securities OF foreign
origin and the extension OF the accent
ance system and lager rediscounts with
the Federal Reserve banks. All tho
methods must be utilized, IL we are to
make tie most of our opportunity to
deal effectively with foreign markets
WREN business men are DESTROYS OF ex-
tending trade relations with this couu-
try. There arc remarkable possibilities
before us ard in order to make the most
of an exceptional situation we must con-
trlve TO make Il less costly for foreign
buyers to do business with American In
terests. The dollar commands such q
premium abroad as 20 place us at dis
tinct disadvantage with other countries
whose exchange rates are much more
favorable for tho European consumer
At the current quotations for eI-
change on London Paris and Ro-re It
makes 1t very difficult for the British,
French or italian importing interests TO
secure their supplies in this country.
They can only do SO In case OF n most
urgent necessity, or in instances In
which the inducement of very low prices
Is offered by American sellers. In the
effort TO provide for that situation some
of the best known bankers In the couu-
try will confer in this city this week and
discuss the best means of quickly en-
larcing European credit balances in the
United States. The situation must be
treated along broad gauge lines, since
the export trade OF this country during
tina fiscal year ending June 80 next Is
likely to break all records, X the foreign
buyer is not hampered in dealing on a
large scale with this market. The Gov
eminent figures show that II export
continue during the balance OF the fiscal
year on the scale OF the first eight
months the movement will aggregate
$500, 900 000, against a previous high
record total OF s5,e19.711,371 in 1917.
Inasmuch a. the United States Is
the only country capable OF capacity
production now, We will be sure to do
record business with foreign markets
II We furnish the banking facilities es-
senual 10 the financing OF such under
akings The foreign buyer must BIS
able TO purchase exchange AT a reason
able price IL ne is TO make large
purchases of NERD. andise mere. The
movement OF exchange is so adverse 70
Great Britain as to make It very costly
for the London buyer of American soods
to settle for lis Indebtedness in this
city
While this nation was at war the
British Government through heavy pur-
chases of exchange by its agents IN
this city supported the market for Lon
don remittances and prevented tho sharp
decline that was inevitable as soon as
effective support was withdrawn. The
Cnite<. States Treasury, through large
advances to Great Britain and other
countries. made II possible for the Gov
ernments associated with 1t in the war
to eXpend vast sums In the United
States for foodstuffs, equipment and
merchandise The advances are being
made. but must be discontinued after
peace shall have been declared except
In cases In which wheat and goods
owned by tho United States shall be
purchased.