The newspapers bring two pieces of news; one elated us, and the other alarmed us.
The first seems to indicate an early end of the war. United Press reports in New York that the United States government administration is taking steps to draft the United States unconditional surrender terms. New York Herald Tribune states that the possible terms as reported from reliable sources are the following: (1) Return of all territories seized by force; (2) Complete destruction of Japanese fleet and air force; (3) Dismantling of all shipbuilding facilities capable of turning out air crafts and munitions; (4) Japan will not be invaded, only a token “supervisory force” will be sent to Japan; (5) Japan is to retain her form of government, including the Emperor, and to manage her own political, economic and social affairs; and (6) Japan may be supplied with iron, coal, oil and other resources needed for civilian use.
Some parts of the above terms need clarification. For instance, what shall be done with Manchuria, Korea and Formosa?
If I were Japan, I would grab peace under the above terms. Japan is already beaten. With the hundreds of superfortresses, her annihilation or almost complete destruction is assured. Furthermore, due to her own fault, her dream of union among the countries of Greater East Asia has been blasted. Because of her record in these countries, it will take a century before her nationals will be welcomed in these countries. Not only did she disqualify herself to be the leader of any union to be organized here, but she will probably not even be admitted until she shows that she can treat other people as civilized people do. China may want to be the leader. If Manchuria and Formosa are returned to her, she will be the strongest nation in the world and may even dominate the world. The Chinese are not only good businessmen, but they have also shown themselves to be good soldiers. But they were also shown to be cruel at times. I believe that for the safety of the Orient, China be divided into at least three nations: North and South China, and Manchuria.
It is rumored that in Washington these terms for surrender were received with general approval.
The above news must be related to other news. It is reported that Russia is acting as intermediary and that Stalin took with him to Berlin the surrender terms, evidently to submit them to the Conference between him, Truman and Churchill. Another news item is that before the Russian delegation left for Berlin, the Japanese Ambassador Sato, had a conference with Foreign Commissar of Foreign Affairs Molotov and with the Vice-Commissar.
Something must be in the offing. All of us expect or at least hope that termination of the war will come.
Today, our stock prices have reached the highest level.
The alarming news is that the feud in Manila seems to be impossible to patch up. It is growing worse to the dismay and disappointment of the Filipino people.
Roxas is reported to have stated that the administration of Osmeña “smacks of dictatorship”. He reiterated his criticism of the elimination of judiciary officials, army men and civil service employees without following the processes provided by law for their separation. He also cites blunders being committed by the administration. “Take for instance eggs,” he said. “The price fixed is 3 centavos per egg, whereas the price at sources is 4 centavos. The hen will not even care to lay eggs.”
It should be remembered that the Committee on Appointments returned the appointment of the seven justices appointed by Osmeña. This is tantamount to disapproval. It was suggested that the Court of Appeals abolished by Osmeña be revived. Instead, Osmeña reappointed the seven justices in defiance of the apparent desire of the Committee.
The Senate of the United States Congress has approved the Bretton Woods monetary agreement, approved by representatives of 44 countries. The agreement provides for the establishment of an international bank with a capital of $9,100,000,000 to make or guarantee loans for rehabilitation and economic development. It also provides for a fund of $8,800,000,000 as monetary fund for stabilizing the currency exchange rate of participant countries. The participation of the United States will be $5,900,000,000 in the proposed $17,900,000,000, divided thus: $3,175,000,000 for bank’s capital and $2,750,000,000 for the exchange stabilization fund.
The approval of the agreement in the United States Congress seems certain.
This Agreement is of far-reaching effect. We must be a member of it. As one of the countries needing funds for rehabilitation, we should secure from the fund what we need for the purpose. The exchange question will also he vastly simplified. I suppose the bank will also act as a sort of clearing house.