New York, June 13.
Following yesterday's request by the Bank of England of American banks for ce-operation in establishing an "oficial" sterling market in New York, the Foreign Exchange Committee today cabled London asking for a full explanation of the proposals.
This action of the Commitee is said to reflect its willingness to cooperate, as there is a strong sentiment favouring the new system as being very helpful to Britain.
Meanwhile, despite the assertion, that the "free" market would disappear within three weeks, there is a strong feeling in New York banking circles that the "free" market would continue indefinitely, as it is pointed out that such a market could be used profitably for travel remittances.
Quiet conditions continued to prevail in the exchange market, with little movement witnessed in the cross-rate. Sterling opened at 3.37 and closed at 3.71, compared with the previous close of 3.75. The trading range for the day was 3.75 and 3.70.
The French crane finished unchanged from yesterday at 2.18—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.