Salt Lake Telegram | 1932-05-20 | Page 4 | Financial Community Has Recovered from Attack of Jitters

Financial Community Has lIas Recovered From Front Attack of Jitters NEW YORK By James McMullIn l The financial community has recovered ered from its attack of the jitters at atthe atthe atthe the Idea of a relief program It sees that a program sponsored by responsible responsible responsible sible leaders is preferable to possible alternatives This Implies acquIescence acquiescence acquiescence cence but not enthusiasm Now New York has decided it wants a voice in the slicing of the pie This is particularly evident In the plan for construction loans to railroads Sentiment here is in favor of loans to industrial corporations as against an extensive public works program Such impetus given to Industry would put more men back to work than would the building of oC nonproductive hI highways and bridges Also government government government govern govern- ment loans to industry would mean di direct direct direct di- di government competition with banks This might spur the banks to greater loaning activity on their own account There is a story current in New NewYork NewYork NewYork York to the effect that every time Washington tries to pull a white while rabbit rabbit rab rab- bit out of at the hat it turns out to be a ablack ablack ablack black cat a. a Some of oC the larger New York banks have become less sympathetic with the federal reserve program The cause is the placing of government government govern govern- govern I ment securities behind federal reserve notes in accordance with the provisions provisions provisions provis provis- ions of the Glass bill This has Induced a panicky feeling among I those who fear currency inflation The Federal Reserve bank in in New I York is thus opposed by member banks In its own district as well as asay asby asby by ay disinterest among other regional banks This may result in a curtailment curtailment curtailment curtail curtail- ment of the program The purchase of half a billion dollars worth of governments has brought no appreciable appreciable appreciable results as IS yet E Efforts forts to expand credit at this time lime of year ear are known to run counter to normal seasonal contraction Uncertainty Uncertainty Uncertainty about what is coming next from Washington Is more freezing e a a 9 e Agitation from the silver states stales and silver congressmen will undoubtedly wring some action from Hoover before election time Prospects that he will call a conference arc are remote He may let China do it The arc are circulating an in inside inside inside in- in side story that Great Britain Is being unjustly blamed for tor blocking a con con- ference They relate that Claudel and Lindley the French and British ambassadors were consulted by the state department some time ago They were supposed to have been given to understand that they need not worry too much about a conference confer confer- ence enc Lindley indicated his government govern covern ment would have objections There the matter rested a 0 Conversion of ot Winston Churchill to the silver conference idea leads some hopefuls to think there may be a change of attitude soon in London The Japanese ambassador Is Js expected to be replaced soon In Internal Internal Internal In- In affairs may hasten his departure depar depar- departure ture tere which was scheduled for for- mid mid- summer A uniformed policeman guards the Japanese embassy day and night since the communist demonstration tion there weeks ago ato The world court Is not included in any list of things to be considered by the senate before belore adjournment forced it out of committee to put It Itin itin in a position of priority for next De De- cember Also because the court organizations back home were riding them hard for r repeated delays delas