AMERICA BUYING BRITISH SECURITIES.
Many explanations might be given of the rise in the Britishi pound as expressed in the American exchange on London, and foremost among them must be the large loans made by th United States to Europe and to other foreign countries during recent months. Latterly, however, I think there can be nd question that America has been buying _stocks very largely in our market, thns bringing into operation another factor Making for a rise in- the exchange. Canadian Pacific shares, some of the shares of Artificial Silk companies and of the gramophone group are believed to have been extensively bought by Wall Street, and, indeed, it Wouli not bc surprising _ _ _ if the speculative position in some of the industrial shares carried by American operators was -fitirliemiSiderable. In, addition, however, we have had many other, induenees, favourably affecting the speculative Markets, and anmnithem,, as I haVe Said before in these columns, must biaght4ed the high taxation which prompts the public to seek appreciation in capital values of securities rather than in fixed incomes. During the past week investment stocks have been steadied by some re-investment of the War Loan dividend distributed at the beginning of December, while markets have also been affected by more cheerful Views ofanonetary prospects in the New Year. based, in the main, upon the strength of the American exchange. In the speculative Markets there has also been a renewal of activity in rubber shares.
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