Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1920-02-04
Market Rallies on Receipt
of News That Embargo
Is Placed on Cotton.
London, Feb. 4.-The
government, it is announc-
ed by the Evening Stand
ard this afternoon, has
taken steps to reduce the
paper money in circula-
ton by 10000, 900 pounds
sterling.

New York, Feb. 4-Demand
sterling rebOunded in mid-aft-
ernoon trading to Ss31 after
touching $S.19. soon after noon.
The rally was attributed to un-
official reports that Great Brit
ain had prohibited the imp0rta-
ton Of cotton. There we're sim.
liar recOveries in other ex-
changes and the advances were
so rapid dealers scarcely could
follow the fluctuations.
Franc cheques which were quot.
ed at nearly 16 to the dollar, rose te
14.50 and Italian lira, which
dropped to a rate of more than Is
to the dollar rose to fS.40.
Total stocks sales at 2:10 p. m
today, had reached 1,464, 200. Cal
money advanced to 25 per cent, q
new high record for the year.
Prices We're heavy at the opening
the market taking its cue from the
British rate which fell sharply be-
fore the opening gong. By mid.
day the rate for demand bills or
London, well to $S.19, an overnight
depreciation of IA cents and a de.
cline from last weeks final price
Of 81 cents.
French, Italian, Belgian and var
ious other rates gave way with the
British quotation, all recording
greatest depreciation in their his
tory at this center. Reports from
Montreal indicated that the Ameri.
can dollar had reached a new higt
premium in that market.
Apart from the violent upheava
in exchange, the stock market was
beset by domestic difficulties, in.
clnding tight money and further
lean restrictions. During the moor
hour it became known that the
government would withdraw loan:
from local banks to meet impending
payments.
New York. Feb. 4.-Demand bills
on the English pound sterling
which dropped yesterday to the low
record of s3.33, were offered Al
$3.27A at the opening of the mar.
ket here today.
The first definite quotations FOL
foreign exchange showed further
severe depreciation. Demand ster.
ling was quoted at $3.26A, the Paris
checks at 1882 francs to the dollar
a decline of 38 centimes and Ira a
1902, a decline of so centimes.
At the end of the first hour tn.
rate,on demand sterling was quoted
at 1924.
Banks and dealers in foreign
commercial bills reported further
heavy offerings on London, will
less pressure of French and Ital
ian remittances. Both of the lattel
were carried down, however, by tn,
further crumbling of the British
rate In the stock market there wa.
sympathetic break. ascribet
largely to inability OF traders tt
renew loans.
Collapse in exchange brough
trading virtually to standstill
Demand sterling fell to $3.23% be
Tore noon while francs fell to 1:
and lire checks to 1915 for the dol
lar.
Have Big Turnover.
Stock trading continued govern
ed by the foreign exchange marke
which offered no announcement
Transactions in stocks to. noon ap
preached 100000 shares, almos
double the recent turnover for /;
full day.
Liberty bonds and Victory note,
suffered with the stock fist, som,
OF them falling to the lowest level,
since their Offering. international
bonds. including japanese issues
also weakened.
In the stock market the, lis
showed losses Of from / to 10 point,
froms last nights closing quota