row Oun OWN Comtesronsexr London, Sept. 4.
China's finances have been a good deal in the limelight this week, especially in regard to the statement made by the Chinese Finance Minister that the Indian Government) has negotiated a further sale of 40 million ounces of silver with a Chinese banking Ncorporation. Al-hough this apparently aroused con-jerable. discussion in China, in London the report was entirely without confirmation "and "bullion circles were not disposed to regard having any foundation. The /"Pinancial News" think that there is no doubt that tha sale reported on August 23 actually took place, and thought that Chinese speculators have taken advantage of the fact and have spread rumours suit their own interests. At the same time it is a little dificult to decide exactly how the report, if true, would have affected the market. While, on the announce. iment of the fist sale, the Shangh: market was temporarily demor-' alized, and. prices slumped badly, there has since been a recovery. Further, it is argued there that the sale of silver by the Indian Govern-tment toa responsible buyer like the Hongkong and Shanghai Bank is a "hull" point rather than a. "bea point for the market; fcr, while the Indian Government is always. a potential seller of silver, the bank not.
Sudden Burst of Dealings Attention is also being called to the sudden burst of dealings and the rise of three points in the Chinese five per cent. Tientsin kow Railway Loan on Wednesday, which it is stated was due to one of those discoveries which someone in the market periodically makes upon the terms of some neglected loan, It is pointd out that from some of the terms laid down in the prospects of the 1008 issue the market the been an: nounced for this autumn (its abolition has so often been announced before) the Tientsin-Pukow Railway Loan of 1908 and the Supplementary Loan of 1910. will become a charge on the Maritime temse The "Financial News" says it is impossible to advise the investor to act upon this deduction, In the first place the wording of the full agreement is considered by the authorities in this country to be too loose to compel the Nanking: Government to transfer the services of the loan to the Maritime Customs, while every available portion of the Customs revenue has already been charged as security for the sucec sion of internal loans. which have been issued by the Nanking Government since the beginning of 1929. The paper continues: or need any too arent Importance attached to thes rumours which nay" now be-heard of a great con folk dating: operation being carried out remo the conversations which Sie' Miles, Laripeon la to. have with the Nanking Government during this month or next The primary object the conversations ie to discuss ulject "of extraterrito Since that la a question upon which some tact must he employed, 1 likely' that "Sir Miles Lampson wing up the subject of Con= Loan, Nanking. must be too acutely conscious that a Process exactly the oppenite of ton: Folidation fa at present taking. place the Custosaa, Mr. David Landale in a letter to The Times" on the fall of silver wonders whether in. the universal search for the cause of unemployment sufficient consideration has been given to the present position silver which is closely connected ith the purchasing power of more han one half of the human race.
Mere is Mr. Landale''s letter:—
The Fall in Silver A Cavse oF Uxeurtorwext "The Tins" universal search for the cause of unemployment Sthother sufficient considers teen omen to purchasing' wer of more. than one-half of tha futsen race, and the" protection of ie. value of' this! of extreme: was decided to.
Text read from the printed page and cleaned; old type leaves the occasional error.