Evening star., 1934-07-29
AUSTRIAN UPSET
WELL DISCOUNTED
BY TRADE WORLD
DoIIfuss Staying NulIifies
Results of Italian
Economic Aid.
Special Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK, July 2S.-Business
had pretty well discounted the upset
In Austria, the European News
Bureau of Business Week reports in
its issue today. Nevertheless" the
report continues, "as an indication of
the extremely precarious situation in
Central Europe, the weeks develop.
ments renewed the pessimistic out
look which is becoming more general.
The assassination OF Dollfuss nulli.'
fies the attempt which Mussoltni has
made to save the situation through
economic support from Italy. To pre-
vent the spread Of disorder In Aus
tria, Italy, France, and the Little
Entente are prepared to intervene.
The Nazi coup was failure, but it
remains to be seen whether the situa-
ton now created viii be allowed by
Europe to become another Sarajevo." !"
Gables and radio dispatches to
Business Week from other European
capitals give the following survey Of
business abroad for the week ending
today.
Berlin-"Germany remains In a
state of flux since the cleanup Of
June 80. It is not yet possible to
appraise the feelings and the attitude
OF the man in the street toward
recent events. Outwardly it seems
that Hitler's personal prestige has
been rather enhanced, especially
among the younger generation. They
admire his personal courage and the
boldness Of his action. But the older
generation Is more skeptical.
There is no question that the
country faces an economic crisis. One
Of the governments first moves fol-
lowing the 'purging' was to announce
almost complete control over crop
prices. This week the powers Of the
Minister of Economics to control COM
pletely the imports of raw materials
were extended to finished goods, indi-
eating that Germany probably faces
Winter Of absolute rationing of con-
sumption materials. Germany's i'm
port trade is approaching the mon
opoly system practiced by the Soviets.
With this control, Berlin expects to
be able to bargain for larger exports.
Domestic production and con-
sumption are still maintained. Retail
sales for the first five months Of the
year are per cent above the same
period year ago"
London-'No anxiety has yet de-
veloped among British executives over
the business outlook, but activity is
distinctly slower and uncertainty is
spreading A part of it is due to the
falling off of foreign trade, part to
the growing number of rumors that
Holland and Switzerland are going to
be forced soon to abandon the gold
standard and part to the reactions
from Germany's economic crisis. The
June decline in the number Of men
employed in Britain was no small
shock to financial London
Paris-"France passed a cabinet
crisis this week which for q time
threatened to swamp the national
government. The break was success
fully averted by genial Premier Doum-
ergue and the present government is
likely to stand now, under a renewed
| pledge to observe the party truce, until
| this Fall.
THE entire business picture re-
fleets the public's attitude. Francs
are weak. Business is inactive and
declining. Prices are down but
scarcely enough to relieve appreciably
the governments financial problems.
Public reaction to even the mild de-
flation which the government has at
| tempted Is increasingly hostile
Rentes are down, and the treasury's
bond issue is not meeting with the
| success at first predicted"