Evening star., 1935-02-17
BANKS HELP CLEAR
TANCLE |N.L0ND0N
COMMODITY DEALS
Come to Rescue Of Remain
ing Firms After Four Are
Forced to Close.
s12,ooo,o 900 LOSS SEEN,
PUBLIC IRE AROUSED
Labor Proposals for State Control
of Banking and Investment
Gaining Headway.
Special Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK, February 16.-Cables
and radio dispatches to Business Week
give the following survey of business
abroad for the week ending today:
LONDON.-"London is slowly work.
ing out of nearly three weeks of COM
modify market excitement which has
resulted already in the failure Of four
old and well-known firms. While the
affair may not yet be cleaned up COM
pletely, it seems evident now that
London bankers have come to the res
cue of the remaining firms which
have been affected and that business
soon will return to normal. Total
losses are estimated at about $l2,-
00O, ,000
Politics are almost as disturbing
a factor. Antagonism to Macdonald
Is mounting. The Tory revolt hasn't
sufficient following to win an election
and the present mood of the masses
being what it is. it seems unlikely
that National government no longer
has much chance for general sup
port.
Added to the widespread resent
ment over the recent innovation in
the unemployment insurance payments
and coverage, the recent gambling
scandals on the commodity markets
have reused public anger and done
much to revive interest in the state
control Of banking and investment,
both Labor planks."
Paris Jobless Increase.
PARIS.-"While the internal Situa-
ton has not changed much. it GER
tainly has not improved. Unemploy-
ment is growing slowly. There are a
few strikes, most serious just now in
the steel industry, which is reducing
pay rolls.
Farmers are unhappy over the low
prices they are getting for their wheat
since the government withdrew Its
support. and are not likely to offer the
Flandin government much whole
hearted support.
considerable business interest has
been stirred by the plan to fly all mails
in France.
The new airmail company pro-
poses to run a pneumatic tube system
from a central post Office to the air
field, whence specially-prepared mail
can be flown to its destination. There
is almost no part Of the country which
cannot be reached in Is hours by
train. With the new service, how
ever, it should be possible to deliver
messages anywhere within or S
hours. and some businesses may find
this profitable
Reich Business Lower.
BERLIN.-"BusineSs Is seasonally
slower In Germany this month. This,
with the slowing down of governmental
expenditures on public works, ac-
counts for the increase in the num-
Der of unemployed during January by
10000. Short-term financing of the
governments relief program is reach
ing the saturation point and the
capital market has not yet improved
sufficiently to permit large-scale re-
financing on a voluntary basis.
Financial authorities in Berlin are of
the opinion that q compulsory loan
is the only alternative to some form Of
imitation.
In view of the new Brazilian
America trade treaty, Americans in
Berlin have shown considerable in
terest in the report of the German
trade delegation which has been
touring South America. Fritz Thyssen,
Ruhr magnate and financial backer
OF the Nazi party, was member A
new commercial treaty with Chile
was signed, and new trade arrange
ments with Uruguay and Argentine
completed. But 1t is with Brazil that
Germany hopes ultimately to develop
the largest business"