American

stocks in London. In dealings in American stocks on the London Stock Exchange 4 shillings is counted as $1. Four shillings being equal to 97 1-3 cents the price of an - American stock must be 2 2-3 per cent (quotably 2 5-8 per cent) higher in London than in New York if the London price is to be equivalent to (or at a parity with) the New York price. Not 2 5-8 per cent of the par or face value is to be added arbitrarily to the New York price, but 2 5-8 per cent of the New York price, whatever it may be, is to be added to the New York price to make an equivalent London price. Thus, for a stock selling at 50 in New, York the equivalent price in London would be 51 3-8 (while the fraction 3-8 is not strictly correct it is quotably correct). For a stock selling at 100 in New York the equivalent price in London would be 102 5-8. Conversely, for a stock selling at 100 in London the equivalent price in New York would be 97 3-8 and for a stock selling at 50 in London the equivalent price in New York would be 48 5-8. 25