Evening star., 1933-04-30
BRITAIN RESENTFUL
Of i. S. ACTION IN
ABANDONING GOLD
Treasury Equalization Fund
Increased in Order to
Support Franc.
GERMAN STOCK PRICES
ARE FIRM DURING WEEK
French Opinion Divided as to Util'
ity of Washington Conferences.
Trade Returns Up.
Special Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK. April 29.-Cables and
! wireless dispatches to the Business
Week give the following survey of busi-
ness abroad for the week ending today:
London.-Four events held British
business attention this week.
The. first was washington ana the
conferences between Macdonald and
President Roosevelt. The first anger
which was aroused by the United States
action to abandon gold after the British
delegation had sailed has already been
Gained by the more recent reports OF
the extent of internal pressure in the
United States for vast imitation
scheme. But there is still some re-
sentiment. London is awaiting the re-
turn of Ramsay Macdonald and full
explanation.
The budget occupied scarcely less at
tention. It Is received with only mod
crate enthusiasm. The reduction Of the
beer duty designed to aid agriculture)
has pleased the working class electorate.
Business welcomes the lighter tax on
new capital issues. But Britain remains
the most tax-burdened people on the
earth.
EQUALIZATION Fund Increased.
Surprise was caused by the sudden
decision by the treasury to come to the
aid Of the franc, now that the dollar Is
of gold. The exchange equalization
fund is greatly increased. London
agrees not to drain gold from Paris-in
fact, virtually makes a loan to the
French at a low rate in order to tide
the crisis until the outcome of the
present monetary discussions Is known
(if that is prompt. Evidently the
pound is to be kept stable for the for
eign traders, and evidently Britain is
going to do everything possible to pre-
vent stabilization at much over $3.50.
Finally, the embargo on Soviet goods
has become operative, also the retalia-
ton by Moscow. The resembling Of the
two embargoes depends on the release
Of the two British prisoners in Moscow.
Our own embargo is strongly criticized
by traders as an extreme measure in
view of the principle involved and the
effect Of Soviet retaliation. 1t IS bound
to cause an increase in unemployment
and possibly will cause financial re-
actions.
Berlin.-Business Is slack, due to un-
certainty over developments abroad and
the immediate future at home. Conf
dence is not gone, however, for security
prices remain firm with temporary
stimulus offered by the rush Of dollar
balances, under the "standstill" agree
ment, to reinvest themselves before the
dollar depreciates further.
Berlin fully expects that the not
very-old merger Of the Hamburg
American and the North German Lloyd
Lines, leaders Of German shipping, will
be broken up, or at least reduced to
government wants freedom to operate
all German shipping services as more
elastic regional units. In return, they
are offering to rehabilitate the lines
with an annual $40, 900, 900 subsidy, with
general refinancing of present obliga-
tons under government control. Brem-
en- shippers are worried that Hamburg
will get the lions share of the new
subsidies and will be the principal Ger
man port.
Paris-The interest Of all France is
still centered in the washington con-
ferences, but opinion is greatly con-
these negotiations SO far as France Is
concerned.
Imports Increased.
Since the American gold embargo, It
Is believed here that President Roose-
welt is out to bring pressure to bear on
M. Herriot to betray Macdonald into
returning Britain to the gold standard
AS a concession to preferential treat
ment on war debts, tariffs and disarma-
ment. France mistrrlsts the whole
Washington meeting and will be glad
when Herriot is again in midatlantic,
bound for Havre.
First-quarter trade returns show that
France increased her imports per
cent, compaed with the same period in
1882. Exports of French products, on
the other hand, were down IL per cent.
0Imports from Germany rejecting the
tariff retaliation policy between these
two countries, were of Is per cent
Imports from the United States. despite
drastic French quota limitations. In
creased 20 per cent.