Cost in the London market of 52,782 ounces of gold (.9166 fine) at 77 shillings, 11-3/4 pence per ounce £205,795 Freight (5/32 per cent.) 320 Insurance 102 Boxing and carting 9 Commission for buying the gold 26 Interest on cost of gold and on charges, while gold is in transit, 10 days at 6 per cent. 343 ---------- £206,595 Proceeds, at U.S. Sub-Treasury in New York, of the 52,782 ounces of gold at $18.9459 per ounce $1,000,000 $1,000,000 invested in a cable on London at $484.04 £206,595 In the above calculation it will be seen that the proceeds of the gold imported were exactly enough to buy a cable on London sufficiently large to cancel the original outlay for the gold and the expenses incurred in shipping it over here. On the whole transaction the banker importing the gold came out exactly even; a trifle over 4.84 was the "gold import point" at the time. In a general way it can be said that the profit made on gold import operations is less than where gold is exported. Banking houses big enough and strong enough to engage in business of this character are more apt to be on the constructive side of the market than on the other, and will frequently bring in gold at no profit to themselves, or even at a loss, in order to further their plans. It does happen, of course, that gold is sometimes shipped out for stock market effect, but the effect of gold exports is growing less and less. Gold imports, on the other hand, are always a stimulating factor and are good live stock market ammunition as well as a constructive argument regarding the price of investments in general. _Exports of Gold Bars to Paris--the "Triangular Operation"_ Calculations have been given regarding the movement of bar gold between London and New York--what is ordinarily known as the "direct" movement. "Indirect" movements, however, have figured so prominently of recent years in the exchange market that at least one example ought perhaps to be given. Far and away the most important of such "indirect movements" are those in which gold is shipped from New York to Paris for the sake of creating a credit balance in London.