Hankow, July 13, After a period of inactivity, the Reds on the borders of Honan and Hupeh have within the last few days been endeavouring to break through the cordon of government troops which is gradually enveloping them. Meanwhile the strangulation movement goes on. and from all accounts the Reds will have little chance of succeeding once operations get into their stride, Some roving bands have made their appearance to the north fof Chikungshan and the railway has been interrupted by government troops being transported to. the threatened areas.
The long period of hot dry weather continues here and in the districts to the east, although to-day a break seems to be threatening. Strangely enough to the west along the Han River, torrential rains have been falling and many miles of country is Mooded, "while the authorities are anxiously watching the dykes and rushing repairs and strengthening operations. The malts districts to be effected by the rain are Mienyang, spite of these variances the local Buddhist Association have petitioned that no slaughtering of cattle shall take place for a week. Dealers in grain and other produce have raised their prices considerably and thus put an end to export trade for the time being. Beans have had an Jexceptionally fine season and many ocean steamers are coming this year to take them away. In fact Tam told that it is a record season for Bane }kow for this commodity, and only the Jdrought reports and the action of the dealer? in raising their prices has prevented further sales.
Text read from the printed page and cleaned; old type leaves the occasional error.