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Show LOAN IS NECESSARY, SAY THE BRITONS LONDON, Aug- 31, 1:54 p. m. The American exchange problem is becoming more serious, notwithstanding recent shipments of gold to New York. Cable tiansfers were traded in to a considerable consider-able amount this morning at $-1.60$. The quotation declined later to $4.60& to $4,604, but trading was quieter at this level. Insurance houses and other financial institutions are taking advantage of the low rate to sell further blocks of American Ameri-can bonds, as the depreciation In these securities se-curities Is more than balanced by the pioflt on exchange, even considering the cost of Insuring and shipping bonds. American financial houses and British traders who have funds to remit to America face a loss of more than 5 per cent at the present low level of exchange. In some quarters a rate as low as $4.50 is being talked of for the near future unless un-less effective action is taken. Cable transfers declined further ln the aiternoon to $4.60, on the demand for remittances re-mittances here. Belief is expressed in some quarters that the authorities have worked out a plan lo remedy the situation; situa-tion; otherwise. It Is thought, they would have taken action before this to prevent the rate from falling to such a low level. It is agreed that a loan Ib necessary. |