Dificulties in obtaining supplies owing to the changed situation are said to be reasons for increase prices of other commodities. The Feduced shipping business and the increased: Customs duty In occupied districts are said to be also responsible for price Increases. Tt is said that by valuing the Hua Hsing notes much higher than the Chinese dollar, the Customs duty which must be paid in the former notes has been increased by one third, After study ing all these reasons carefully, it is explained, one should understand, that the increase of prices in Shang-hal is not totally' due to the string kenny in foreign exchange market These abnormal conditions will disappear as soon as the hostilities fare brought to an end, and the present international situation is said to indicate that the war situation here will be clarified this year. Tt I not too optimistic for Chungking to mark out this year as the "victory year" and when the hostilities are concluded, the position of the legal tender notes will at once be improved and prices decreased, it is asserted. Since China is an agricultural country, whatever was destroyed during the' war may be quickly restored unlike an industrialized country. - This may ye considered another good reason for people's faith in the Strong position of the legal tender notes or "topi," the same circles Lending credence to the above report, reports published by the Chi-hose evening press last night struck an optimistic tone, stating that further improvements were notices in the gold bar and Chinese government bond (issued by Chungking) markets yesterday. The Chinese dollar also Improved its position in the foreign exchange market. Prices of the various issues of government bonds jumped up ty 80 cents or in some eases, $1." The 10-ounce gold. bar was sold for $6,325 at the noon closing as compared with $0,000 once quoted during last week.
Text read from the printed page and cleaned; old type leaves the occasional error.