Remedial Measures Awaited To Ease Local Situation The effect the new order from Chungking restricting the withdrawal of deposits. from Chinese banks in Shanghai to only $500 weekly is keenly felt by all Chinese here. There was a noticeable decrease in ihe number of legal tender notes in the local market yesterday and Chinese business circles freely expressed the hope that Chungking will take remedial action.
Chinese circles point out that prices of commodities are gradually following a downward trend giving salaried individuals a relief, at least temporarily. Prices of various kinds of grains, cotton and foreign goods have dropped somewhat and speaking of the price of gold it was quoted lower by more than $200 than before Wednesday when both Gays' quotations for 10 ounces of the metal were compared. Informed quarters Believe that even the price of rice, the recent increase of which has created an alarming situation among the Chinese, will gradually drop because manipulators holding large ready stocks have only a few buyers. There was little business in the rice market yesterday.
Since the introduction of the new order in Shanghai several commodity markets virtually stopped business primarily for the reason that there were not enough legal tender notes to go around. Apart from the rice market, the cotton exchange market has suspended operations preferring to wait for Chungking to announce remedial action. The Chinese Government bond market was also affected by the new order and the unofficial market has to be closed for the time being. Prices of the various issues of the."Consoljdated Bond" had been following a downward trend ever since the publication of the report from Chungking announcing a moratorium on capital und interest on public bonds. The new order restricting the withdrawal of deposits no doubt further affected the bond market. Bond brokers will meet on Monday to decide on a reopening day. at AR.P. Display at the Don the' grounds of Hickleton Hall, his South Yorkshire home.
Text read from the printed page and cleaned; old type leaves the occasional error.