New-York tribune., 1922-08-25
American Unit, Medium
of Trade, Goes Up 100
Points Hourly Along
With Other Currency
Outgoing Money
Orders Are Halted
Fear German Farley With
Allies Will Fail Also Is
Cause for Uneasiness

BERLIN, Aug. "a (By The Associated
Press).--The continual rise in foreign
currency, provoked by fears of fail
ure of the negotiations between Sir
John Bradbury, British member Of the
Reparation Commission, and M. Mau-
clere, chairman Of the Allied Commit
tee on Guarantees, with German Off
cials, in regard to Germany's financial
obligations, caused panic on the
Bourse to-day,
The dollar, which hitherto had i'd
vanced from 80 to 40 points daily,
showed hourly rises Of more than 100
points At one moment it stood at
1000 marks. Foreign currencies wero
almost unobtainable, nobody being
willing to sell them.
Savings Decline
There was literal catch-as-can
wrestling match for dollars, sterling
and other foreign mancys on the
Boerse, where the fortunate owners
refused to part with their holdings,
despite the seven-leagpe beot stride
with which the mark travelled. One Of
the gravest symptoms of the money
crisis suggested Is the appreciable de-
cline in bank and savings deposits, the
mark having been relegated literally
to the category Of 'perishable goods
its period Of usefulness now being
measured by days and hours.
The "Boersen Courier" discovers an
uncanny feature in the present crisis
in tho fact that the jump of the dol
lar from 1000 to 1000 marks required
but nine days, whereas the previous
rise from 500 to 1000 marks was spread
over three weeks One Of the anoma-
lies of the situation is supplied by
computation based on to-day's value
of German currency, which makes Ger
many the only country in Europe whose
paper circulation is more than covered
by a gold reserve Of 1,000,0oo,ooo
marks.
Money Orders Halted
Commercial bargains between pro-
ducers, wholesalers and consumers, ac-
cording to the tsBerliner Tagehlatt,"
are being increasingly transacted on
the basis of the dollar quotation. The
newspapers say that q number Of tho
small banking firms and some brokers
are In difficulties, owing to their obli-
cations in foreign currencies.
eign countries has been suspended.
resentatiyes of the leading trades
unions intend Immediately to visit
Chancellor Wirth and urge that the
government adopt energetic measures
to prevent the collapse of the whole
economic life of the country.
Sir John Bradbury and M. Mauclere
have concluded their discussions with
the German government, but to-mor-
row will hold a final session with
Chancellor Wirth and DR.. Hermes, the
Finance Minister, when an official
statement will be drawn, setting forth
the results of the deliberations.
From, The Tri6une's Europsdm Bureau
Copyright 1922, New York Tribune Inc.
LONDON, Aug. 24.--"Wstchful wait
ing epitomizes Great Britain's policy
in face of the tumbling German mark
and the apparently fruitless mission
of the Reparation Commission dele
gates now in Berlin. The mark closed
in London this evening at S,400 to the
pound sterling. 1t is predicted that
the 10000 line will BIS passed this
week.
British officials are waiting for
France to make the first move. 1t is
explained that Premier Poincare, hav-
ing rejected the British plan approved
by the other delegates to the London
conference, should, in the British
viewpoint, take the initiative. Behind
this attitude, as nearly as can be ascer-
tanned, stands the fact that the Earl Of
Balfour's note, after representing the
views of majority of the Cabinet for
three weeks, can no longer be taken
as criterion for the British foreign
policy