A New York, May 7.
Sterling dropped today to the lowest level recorded for some considerable time, owing to Far Eastern and European selling.
The selling was brought about by the market interpreting the British withdrawal from southern Norway as a defeat, whilst the criticism of the British Government's policy caused many traders to hold off and await developments, thus depriving the Anglo-French currencies of normal support, The threat of war in the Mediterranean was also an important influence.
The pound opened at 3.40%, offered, and closed at 3.37%, against yesterday's final level of 341%. The high for the day was 341% and the low 3.37%.
Dealers pointed out that the break may be rather attributed to the reluct tance of buyers, whilst importers, who were users of "free" sterling, deferred their purchases to the last possible moment, being convinced that they would not miss the market.
Text read from the printed page and cleaned; old type leaves the occasional error.