£470,000; Market Accepts Situation Calmly Allotments of foreign exchange by the Central Bank to Shanghai banks yesterday, which marked the third Week of the operation of the Chinese control scheme were again well below the total applied for and slightly less than last week, but the Shanghai market took the situation calmly It was estimated that the allotments ranged between £420,000 and £470,000 while the applications were thought to be in the neighbourhood of £1,600,000, although the official figures were not published. Again, there were wide variations in the allotments of exchange to the different banks, At the opening of yester business rates ruled firm with sellers of Sterling at 1/0% and U.S. Dollars at 25% and Yen at 88% in the open market, but later there was considerable easiness when it was learnt that allotments of exchange by the Central Bank were little different from the previous week.
Although there were fluctuations during the day, these rates were obtainable in the open market at the close. Banks merchant rates were 1/0% and 25% for sterling and U.S. Dollars during the day.
Food And Rent Increases The first effects of the change in ihe dollar rate were experienced yesterday when compradore shops notified their customers of impending price increases and property owners warned of higher rents, although the public sought to find the justification.
One notice circularized yesterday io tenants announces that from May 1, "in the event of the exchange value of the Chinese national currency dollar continuing to be below the original parity with sterling and the US. Dollar (e. 1/2% and 29% respectively), as fixed by the National Government of China when establishing the present currency, the landlords reserve the right of adjusting. at the commencement of each month end in respect of such month, without notice the dollar amount of your rental in proportion to the depreciation from the above-mentioned rarity.
Text read from the printed page and cleaned; old type leaves the occasional error.