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15-Ltf! Sunny, Milder HOME Partly Sunny and Milder To- Day, High Near 50 Boat Show SEE PAGES 15-ltf! Sunny, Milder HOME Partly sunny and milder to- day, high near 50. Fair tonight, low about 40. Cloudy ana mild ) Red Bank, Freehold f FINAL tomorrow. I Long Branch J (Detail* on P«o ]) Monniouth County's Uome Newspaper tor 89 Years DIAL 741-0010 VOL. 90, NO. 181 Red Bank, N. J., Friday, March 15, 1968 Ten Cent* Interest Rate Hiked, 7-Nation Pool Session Set I U.S Acts to Stem Gold-Buying Frenzy WASHINGTON (AP) - Bat- gency meeting of representa- ate word on when trading Washington among the' seven In London, Queen Elizabeth interest rates are pegged up- 59 per cent of the gold sold on gold pool countries to consult tling the frenzied wave of gold tives of gold pool nations. would resume. nations which feed gold to theproclaimed a special bank hol- ward from it. the London market as part of Saturday on "coordinated mea- buying in Europe, the govern: In a related move, the Lon- U.S. officials sought to stem London market in an attempt iday for today. The London Higher Hates a seven-nation pool. sures- to ensure orderly condi- ment triggered higher interest don gold market—accepting a the gold buying spree, which to maintain the price at $35 an stock market was closed and The upward move will mean Secretary of the Treasury tions in the exchange mar- rates for American borrowers U.S. suggestion—did not open threatens the very existence of ounce. Canada raised its discount rate higher interest rates in the Henry H. Fowler and. Chair- kets and to support the pres- today and convoked an emer- today. There was no immedi- the international money sys- Hold Price from 7 per cent to 7.5 per cent economy generally and ulti- man William McChesney Mar- ent pattern of exchange rates tem, in this series of rapid-fire —The United States reassert- effective today. mately will filter through to tin Jr. of the Federal Reserve based on the fixed price of $35 developments late yesterday: ed its determination to buy and For the United States,' the loans on mortgages, automo- Board said they invited the per ounce of gold." —The Federal Reserve Board sell at $35 an ounce. discount rate is now at its high- biles and other consumer central bank governors of the (See GOLD, Pg. 3, Col. 5) raised its discount rate from —The Senate backed up this est level since the days which goods.. 4.5 per cent to 5 per cent, ef- commitment by completing preceded the 1929 stock market In suggesting the closing of fective" today, in a move de- congressional action; 39 to 37,crash when the rate hit 6 perthe London market, the focal signed to fight inflation and re- on a bill to remove the 25 percent. It reached its highest lev- point of the buying stampede, France Refuses store confidence in the dollar cent gold backing for paper el—7 per cent-in 1920-21. the Treasury Department said overseas. money, thus freeing the na- This is the charge commer- it had become disorganized and —The Treasury Department tion's entire gold stock of $11.4 cial banks-must pay for mon- "didn't permit business to be and the Federal Eeserve sched- billion to back the dollar over- ey they borrow from the Fed-handled in orderly fashion." To Suspend Sale seas. uled a meeting for Saturday in eral Reserve System. All other The United States contributes PARIS (AP) — The French government refused to, join other Western governments today in a suspension of gold trading. The Finance Ministry announced the Paris gold market would operate as usual, along with the stock market and banks. The decision was taken despite the suspension of trad- Vote 3rd District Shift, ing in London, the main gold trading center. One dealer called it "madness." He said buying orders were coming in, but nothing had been heard from sellers. There may have been political considerations involved, although there was no confirmation of this. The decision . to close the London gold market, stock exchange and for- V IXt>REfS But Its Prospects Dim eign dealings of banks was taken at the request of the 1«« GOLD SHOOK: United States, after panic trading on the world gold market MARXIST SHUT km TRENTON — Legislation to realign* the Third Congres- Democratic-controlled Legislature. The Republicans are now Thursday. sional District passed the Assembly yesterday but it is still in control and they want to see some alterations.'The Demo- The U. S. request was made in preparation for a meet- TODAY ^CSr • ***« going down hill. crats are sitting by asserting that the courts will, upbold ing Saturday of the seven gold pool nations to discuss the The complicated plan to remove Madison Township, in them. world monetary crisis. France, which no longer contributes . Middlesex County, from the third, so that the 15th District In the other bill, the Republicans changed lines of two to the gold pool but is still technically a member, is nqt can be entirely of Middlesex construction, is running into districts — the Seventh and Ninth — in Bergen County, invited to the meeting. This was termed "very unfortunate" lots of roadblocks. hopeful that the Ninth, now held by Democrat Henry Hels- by French banking sources. By sheer party power the bill got through the Assembly toski, might be won by a Republican. on a 44-21 vote. But the Republicans were nine votes short Hughes vetoed the bill and yesterday the Senate over- of the two-thirds majority they will have to have if the rode the veto by a comfortable margin and called for As- LONDON REACTION — This was the front-pag. reac- measure gets through the Senate and is vetoed — as it sembly concurrence when the lower house reconvenes on surely will be — by Democratic Gov. Richard J. Hughes. Monday. Hughes Hopes RFK tion to lateit gold crisis moves as redacted in British The measure is one of two under fire to cut up con- The Assembly surely will join in overriding the veto — national newspapers here this morning. (AP Wirephoto) gressional lines tlSt had been fixed last year by the then the Republicans control the Legislature at about 3 to 1 in both houses — and the court test to follow will determine. Will Stay Out of It The bill affecting Monmouth would remove Madison Township from Democrat James J. Howard's district and The political emergence of Johnson registered in the New By Wave of Petitions in Middletown add five normally Republican Ocean County municipalities Sen. Robert F. Kennedy, D- Hampshire primary Tuesday — Point Pleasant, Point Pleasant Beach, Brick Township, N.Y., and his now expected, had, caused him to reconsider Bay Head and Mantoloking — to the third. dash for the presidency, whether he should become a In moving the usually Republican municipalities of brought reactions of mixed art-, candidate, a new ripple was Ocean County into the JVIonmouth district, the bill would tagonism and frustration yes- sent into Democratic politics. Hahne Center Plan Backed permit a drain of GOP strength that might adversely affect terday. Gov. Richard J. Hughes told Sixth District incumbent GOP Rep. William Cahill, whose When the brother of the late a news conference he was hope- By NANCY J. KIB1NSKI dential Organization of Middle- "Members Vt both bodies urged opposing sides to "re- district now embraces most of Ocean, all of Burlington, President said that evidence of ful the former attorney gener- LINCBOFT - A strong, but town (BROOM). have assured me that as long spect each others views and to and some of Camden. dissatisfaction with President al would stay out. silent pro-Hahne sentiment has * Headed by Charles J. Beus- as they continue to represent disagree without being dis- Fred J. Cook, of Interlaken, been growing here daily. ing, BROOM fears that the re-the people of this township, the agreeable." * one, of five candidates foe Petitions, reportedly in the zoning needed for Hahne will area west of the parkway will Respects Sight Democratic convention dele- hundreds, are being circulated continue west of the parkway, continue to be zoned for resi- "I respect the right of any Holmdel School Budget Cut gate pledged to Sen. Eugene here and in nearby areas, sup- turning the residential area in- dential purposes only," Mr. Ro- person to follow his convictions J. McCarthy, D-Minn., agreed. porting the $3 million fashion to a business zone. sell said. and the rights must be given But the two had, different points center proposed by Hahne and However, Edward M. Rosell, Mr. Rosell, a local insurance to those who favor or oppose of view. Co. on Newman Springs Road. a resident here and a member underwriter, who was founder Hahne. I have gone into the Helps Trim Tax Rate to •Said the governor: Supporters say the petitions of the Economic Development and president of the - Lincroft matter very carefully and it is "Entrance of Sen. Kennedy will be presented at the Plan- Commission which is support- Homeowners and Taxpayers my opinion that the Hahne By SHERRY FIGDORE gory, and $36,000 in capital im- paratively non-essential items into the New Jersey primary, ning Board's public hearing in ing the center, said last night Association, has been in favor fashion center will be a great HOLMDEL — Local residents provements, will reduce the to eliminate in the $864,182 for example, could cause plen- the high school Thursday. he has received assurances of the center since learning the asset to Lincroft and Middle- can breathe a sigh of relief and school use share of the tax dol- township budget, lowering the ty of difficulties among Demo- Proponents are working from Hie Township Committee news from these boards.
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