Evening star., 1935-07-14
EXPECTS
ELECTION IN FALL,
TRADE HOLDS RISE
Outlook Regarded as Best
in Five Years-NeW Is
sues Continue to Boom.
REICH HOPES SPURRED
BY ETHIOPIAN TROUBLE
Italians Believed Too Busy to
Watch German Moves-British
Turned Away From Old Allies.
Special Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK, July l3.-Cables and
radio dispatches to Business Week
give the following survey Of business
abroad for the week ending today:
LONDON.-"Despite the squabble
going on in political headquarters. an
Autumn election still seems certain
Judging by the speeches of ministers,
the election will be preceded by the
announcement Of new 'flve-year
plan program, including public works.
a low tariff, as against a quota pro-
gram: the extension of marketing
boards and concessions to the unem-
ployed in relief grants There will be
an appeal for q new mandate to
rearm.
Though the diplomatic situation in
Europe is dark. the business outlook
at home Is brighter than it has been
in five years. Unemployment is at
the lowest figure in five years. Senti-
ment among Manchester cotton men
there is genuine concern among buyers
over the ability to secure supplies
promptly during the second half of
the year. Consumption of structural
steel is heavy. Steady business is
being done in sheets and useful ex-
port orders for rails have been booked
New issues continue to boom. One
or two offers have been as impudent
as anything in 1928 which makes it
look as though the sharks think that
investors are ready once more to nibble
at anything that comes along. Cas-
move g. Ackroyd middle mem made
100000 in profit on the recent intro
duction of Bristol Aeroplane ordinary
shares. On an offer for sale of a
newspaper issue the finance house
took Is Sd share. This sngers
both investors and brokers who are
not in the inside circle, and may
lead to Q heavier Socialist vote in the
coming election than might other
wise be expected"
Clash to Aid Germany.
BERLIN.-"The struggle over Ethi-
opia promises to benefit Germany. In
the first place. the Germans, who
have had their own experiences in
Africa and are therefore realistically
familiar with the problems of q cam
paign In Ethiopia, Of all places, be-
lieve that 1t will tie the Italians to
a long and dificult campaign which
will both drain the country of men
and money and keep Italy from fol-
lowing German moves on the CONT
nent too closely. Even more important,
the move by Mussolini has already
alienated Britain from her old allies
and more or less turned her toward
Germany.
Internally, there are both favor
able and unfavorable developments.
The crop prospect just now is excel
lent. This cheers the import control
authorities, for it means that Germans
Will have more of the things they
want to eat without having to use
precious foreign exchange to buy it.
This, in turn, should make it possible
for Germany to buy more of the
essential raw materials for industry.
Whatever feelings there may be
over the prospect of trouble, the naval
construction program-127,O 900 tons
this year-offers an impetus to the
Shipbuilding, steel and machinery in
duStrieS.
BLACK spots in the business situa-
ton are the slow but steady advance
of prices in spite of the rigid control
measures. and the lack of activity in
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