Evening star., 1934-01-21
Own Recovery Helps to Ease
Any Shock-Extension
of Tariffs Talked.
FRENCH TRADE STATIC:
JOBLESS TOTAL RISES
Run on Franc Is Less of Worry,
as Large Sums of Foreign
Capital Have Gone.
Special Dispatch to The Star.


NEW YORK. January 20-Cables
and wireless dispatches to Business
Week give the following survey of busi-
ness abroad for the week ending to-
day:
London.-The British market re-
manned calm after the outline Of the
Roosevelt monetary policy was received,
but there was intense eagernesS to
study details and map out a future
course. After the first weakness of the
dollar, 1t strengthened in terms of
pounds. The Treasury has announced
that 1t contemplates no currency bat
tie. Reaction will be more clearly de-
fined in another week.
Britain'S own recovery tended to boil
ster business against any shock from
the news from Washington. The iron
and steel industry has just announced
its year-end report, showing that steel
production for the full IL months was
up 80 per cent, pig iron Is per cent.
Two more furnaces went into blast in
December raising the total to 81, COM
pared with SO at the end of 1882. In
spite of the renewed activity motor
manufacturers complain that their ex-
port demand has increased so rapidly
they cannot get adequate steel delivery
to keep up with the business.
A similar protest from one big Brit
ish importing firm followed the an
nouncement that the company had just
received 1000 tons of Polish coal. Coal
interests declare there is plenty Of coal
above the ground in Britain to meet
all demands and the Poles are able to
undersell in Britain because of lower
production costs. The same group, in
proposing tariff protection for the in
dustry, declared that last year 5000
tons of Polish coal were imported. the
quality being comparable to good
Northumberland coal, and the price on
the quay being 3 pence a ton cheaper
than the British quotation. This and
a dozen other cases where industries
are seeking tariff protection, should be
a warning to the outside world that
Britain so far has only made a start
on tariffs.
French Trade Quiet.
PARASITIC new monetary pro-
poSals in the United States have not
affected the technical positions Of the
franc, but minor gold currencies have
been submitted to adverse repercus-
sions. So have sterling and the ster-
ling group of currencies.
A run on the franc is less OF a
worry now than it would have been
last Fall. Since that time large sums
of foreign capital have fled from
France. Paris estimates that less than
half a billion dollars in foreign refugees
Frenchmen still have confidence in
their money, are not likely to send it
out Of the country, though they may
continue to hoard at home
Business is absolutely static. Except
for some activity in gold mining shares,
the stock market is inactive Unem-
ployment is mounting toward the record
figures reported last March.
The general index OF wholesale prices
covering As articles) dropped l point
in November. The retail price index
for october and an average of 536 for
1882. The continued high level OF
prices in France constitutes one OF the
country's most difficult problems.
Conditions are particularly unsatis-
factory in the heavy industries. Or
ders for household qualities Of coal are
satisfactory, but decrease is reported
in the demand for industrial grades.
Agitation for greater protection against
foreign coal continues. Activity in the
iron and steel industry declined further
during December, new orders being de-
cidedly scarce. Machine tool business
remains dull, primarily because of
strong German competition. Gross rail-
way receipts during the first 40 weeks
of last year declined So per cent. COM
pared with the same period in 1882.
Total carloadings for the same period
were 374 per cent less than IN 1882.
Reich Jobless Increase.
BERLIN.-The increase by 343,000 in
the number of unemployed during De
cember has reacted on business sentl-
ment. The friction in foreign trade
negotiations has also caused some
worry. The stock market has been
irregular, though there is no pronounced
weakness Money Is easy.
Industry, however, is in fairly Ia
vorable position. Year-end reports
showed that pig iron production was "a
per cent greater than in 1882. Pit coal
production for 10 months was 5 per
cent above 1892 levels; coke output was
up 9 per cent. The shoe industry has
taken on 600 workmen to meet in
creased demand. The nitrate industry
expects increased demand from farm
ers as result of the price reduction
Of 7 per cent. Germany's plan to be-
come self sufficient is encouraging more
intensive production through greater
use Of fertilizer.