19 SEPTEMBER 1925, Page 31

WHEN all allowance is made for the great number of

lading Stock Exchange men who are still on their holidays, the Stock markets undoubtedly present a cheerful appearance. So far as the Investment section is concerned, this is due in part to the fact that instead of monetary conditions hardening about the middle of the month, as had been generally anticipated, they have remained wonderfully easy and, in spite of the fact that in New York there has been a material rise in rates, the

• tendency here has been downwards. The American exchange has moved against London and the Bank of England has lost a moderate amount of gold, but the disposition at the moment is rather to emphasize the considerable amount which has still been gained on balance by the Bank since we returned to the Gold Standard than to dwell very much upon the with- drawals of the past month. It may be well, however, to re- member that, owing to the seamen's strike, there is likely to be a considerable delay in arrivals of fresh gold from South Africa, and that fact may tend to occasion further withdrawals from the Bank _during the next few weeks. While, therefore, I see no reason to anticipate any great rise in Money Rates in the near future, I cannot help thinking that the present fall in Discount Rates has gone quite far enough, and that it would make in the long run for a sounder position if the market rate and the Bank Rate were a Tittle closer together.