London, April 12.
The movements of the German mark are exciting interest in the City where the mark has appreciate ed from 277 to the £ to 217 during the past week. Dealers in exchange are of the opinion that the movement is due to the political position rather than to an improvement in the German economic position. It is regarded, therefore, as only temporary by a City authority, who says that it is common knowledge that the British Government has assured Germany that it favours a more liberal policy with regard to the supply of raw materials for industries. The factors against the maintenance of any appreciable improvement are that the banks of Northern Enrone are bulging with marks and the inflation of currency is proceeding unchecked. The paper money in circulation has been doubled within a twelvemonth.—Reuter.
The following in the report of Barelay's Bank for January will be of interest The further rapid decline in the value of the German mark was a feature of January. From 188-189 on January 2, the rate rose to 370 on January 28. There is considerable speculation in this currency, and the wild movements in the rate are a consequence. The ratification of the Peace Treaty has not, contrary to expectations, improved the value of the mark—indeed the reverse has been the case. The financial condition of Germany is such cause acute' anxiety to those countries with large German investments.
The present value of the marx reduces interest receipts to a negligible quantity, while the safety of the capital invested—indeei the whole future—is fraught with uncertainty. The low exchange has encouraged the purchase of commodities in Germany, anything of value being bought and sold at a large profit in other countries. Germany is threatened, therefore, with a serious shortage of goods, and it is suggested that the German Government may take steps to prevent the further serious depletion
Text read from the printed page and cleaned; old type leaves the occasional error.