Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-09-07
FOREIGN BUSINESS
SENTIMENT SHOWS
TURN FOR BETTER
Seasonal Demands Give
Promise of Improvement
Later in Fall.
STEEL CARTEL ABAND0NS
PRICE FIXING SCHEDULE
Eastern Agricultural Countries
Adopt Program of Sales
Policies.
Special Dispatch to The Star.


NEW YORK, September 6.-Cable
dispatches to the Business Week give
the following survey of business abroad
for the week ending September 6:
EurOpe.-BuSineSs sentiment for the
first time in many weeks has turned
more cheerful as the Fall seasonal de-
mands begin to make their appear
ance. So far, however, only consum-
able commodities are affected; the pick
up has not yet extended TO the heavy
industries. There Is, fortunately, no
inclination to over-value the prospects.
1t is fully realized that long-existing
slackness cannot be relieved in a few
weeks, but it is felt that If Fall bust
ness is fair or average, 1t will ma
terially diminish the difficulties Of the
Winter and prepare the ground for pos
sible definite improvement in the
Spring. Money continues plethoric and
bill markets are barren, Indication
enough that the incipient demand
which has cheered business has not
yet been translated into trade.
The steel cartel, failing to maintain
discipline among It's members-especial-
ly Belgiunl-haS abandoned its last
price control schedule on beams and
half products. All that remains of the
cartel are export agreements protect
ing domestic markets, but the belief
prevails that the cartel can be recon-
stituted on the sales compton system
when immediate strains are relaxed.
During the first half of this year, car
tel production of 1914 million tons
compared with 17l2 millions in 1929.
Under the plan, production in the Saar
Basin and in Luxembourg actually
changed but little: in France, it in
creased; in Germany, there was a bulk
loss of 100000 tons. The rail, pipe
and wire cartels are functioning
smoothly.
Warsaw Conference.
Eastern European agricultural states
have concluded their conference at
Warsaw. A program has been drawn
up which provides for the co-ordina-
ton of export sales policies. Econo-
mists anticipate q European farm car
tel to develop around this new group.
Great Britain.-Current market re-
ports indicate q continuation of the In
cipient business Improvements first
noted last week. Though the volume of
business Is not actually larger, the
volume Of inquiries has distinctly ex-
banded. Coal exports have increased
and without any decline in price. The
recent cut in iron prices is considered
to mark the bottom. Pig iron is be-
ginning to move, and the demand for
finished steel is improving slowly,
though spasmodically. British buyers
of steel are antagonistic to the conti-
mental sales competitors, which favor
home industry. Exports of electrical
equipment and machinery have in
creased. The non-ferrous metal mar
kets are quiet, but steady improvement
is anticipated. Small price-testing or
49, fNnI
during the week from India China,
Egypt and South America. If raw cot
ton stabilizes, large commitments are
expected from these countries. The
Lancashire Cotton Corporation has re-
opened five of its mills, some of which
have been idle since 1928. WoolenS
and leather are quiet.
The Trade Union Congress now in
session at Nottingham, and represent
ing 100000 labor members, opened
with striking presidential address by
John Beard, in which he scored advo-
Gates of national socialism as affording
no promise for greater prosperity and
asserted that the bulk of British labor
seeks, not replacement, but its own
place within the capitalistic system.
Mr.. Boards words carried great weight,
for, as representative of the trade
unions, he spoke for an organization
which largely controls the Labor gov
eminent. Beard was intolerant both
of Snowden's uncompromising free
tradeiSm and Of complete protectionism
as a cure, all. Rather, he advocated
that the trade unions remain indie
pendent to judge which measures can
best be applied to particular cases.
With the passing into receiverShip
of the Lamport & Holt line, the f1nan-
cial condition of the Royal Mail, holder
of two-thirds of its stock, came again
into the limelight. Long in financial
difficulties because of inflated assets,
this condition of Lamport & Holt, and
the rumor that Royal Mail is negoti-
ating for the sale of its Australian
lines to Lord Inchcape, lends weight
to the common belief that Royal Mail
will not much longer last as such.
France.-Business IS quiet and fea-
turelesS The usual seasonal pickup is
not yet evident. Rather, market reports
indicate continued gradual business re-
cession Gold imports have again as
sumed considerable volume; the stock
market is somewhat stronger after its
prolonged lethargic decline. Textile
strikes, now localized in the North, are
as yet unended, but the solidarity of the
owners is beginning to disintegrate and
1t is expected the issue shortly Will be
resolved.
A Franco-Rumanian most-taVored-
nation commercial treaty has been
signed under which Rumania accords to
France new lower treaty rates on agri-
cultural machinery, shoes, pharmaceu-
tics, soaps, perfumery and silks. These
concessions are automatically extended
to the United States as well because OF
the existing INSTRUMENTATION treaty.
Rumania, in the new treaty, is accorded
a low duty on corn with special import
contingent for France. The Bucharest
press had previously reported that
France also obligated herself to import
400, 900 tons of petroleum products and
erect a refinery In France to handle
Rumanian oil. For this concession she
was TO be entitled to the free import of
an additional 100000 tons of crude OIL
While the report Is denied and unSub-
stantiated in the treaty, it Is considered
significant in view of continued nego-
tiations for special petroleum tobacco
agreement.
Germany.-Basic business depres-
sion remains unchanged, though opti-
mists see a bit of hope in cheap money,
a slightly stronger trend on the stock
market and somewhat better business
sentiment and despite the disturbing in
fluence of the pending elections. The
Federal Institute of Business Research
reports no improvement in coal, steel
and machine building, but production
of consumables has revived slightly.
The opinion prevails that potential buy
ing is reserved pending the conclusion
of the governments efforts to bring