The Washington times., 1925-01-21
j. 5. AID To PAR
STERLING
Continued from First Page.)
Of . re.established worldwide gold
basis.
Postal Orders at Par.

OF re.established worldwide gold
basis.
Postal Orders at Par.
Such are the findings made here in
inquiries following upon the action
Of the Postoffice Department in
issuing orders through which all per-
sons in the United States wishing to
transfer money into Britain through
the facilities Of the American Postal
Service will now have to pay for
each British pound the. full sum OF
$4.S7. which is par, and just a trifle
more.
At the Postoffice Department to-
day it was explained that this action
was taken not in the course Of any
artificial effort to boost the value Of
the pound, but in the course of a
considered judgment to the effect
that the pound, which is now only
nary international exchanges, ID ir-
resistibly on it's way upward and
that the Postoffice Depart ment could
not afford to be caught tagging below
any sudden upward exchange move
ment.
In other words. the Postoffls .
Department is insuring itself
against a soaring British pound.
Following this explanation, in.
curry in governmental financial
circles showed that British bankers,
private and public, have for e. long
time sought to find out from au.
thorities in this country their at.
titude toward resumption by
Britain OF par sterling and Of the
full gold standard and OF free
gold market.
Understanding Unofficial.
It was said that it can be stated
that no contract OF any sort,
whether written or verbal, has been
entered into between authorities on
this side OF the Atlantic and an.
thorities on the other side. It was
also said, however, that converse
lions by British financial visitors
with Americans able to speak with
some degree Of confidence on be-
half Of American financial intet-
ests had developed the fact that
these interests now find themselves
quite able to cooperate with Brit
ain In her renewed financial ambi-
tions and are fully disposed to
do so.
operation, IL was SeluS "OUAN 70
as follows:
Britain since 1919 has been gov
ernmentally preventing the expor.
tation Of gold from Britain except
in certain named and detailed cir
cumstances. This embargo will by
law expire at the end Of this year.
If Britain allows it to expire ana
oHce more goes back to its old ira
ditional famous position as a Tree
gold market, the other countries
OF Europe and also the countries
OF Asia and of Africa and OF South
America may make a sudden ana
drastic demand upon the British
supply of gold. At that juncture
II will be necessary that America
should step forward and prevent
Britain from being drained Of her
gold by allowing American gold to
PASS freely into foreign parts
through investments by Americans
in foreign enterprises.
This is precisely what 1t Is felt
that America without any specific
engagement to do sol is now amply
willing to do. !.
This feeling has been transmitted
back to Britain by British inquirer $
and is the chief basis for the belief
that Britain in this very year VIII cut
her pound to parity and herself into
her old role of being the worlds
model of gold free marketing and
trading.
Confident of U. s. Backing.
She will do it in the confidence
that her efforts, instead of being
thwarted by the so-called gold
grabbers of America, will, in fact,
be favored and facilitated by them.
Our bankers have the view that
they will best help themselves when
they most help others, and they
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