740.00/589: Telegram

The Ambassador in the United Kingdom (Kennedy) to the Secretary of State

255. Personal for the Secretary of State. I have just had a long talk with Halifax. He told me that on Wednesday they expect to come to a decision on a loan to China, which he is of the opinion they will make. He realizes that America has done much more for the Chinese than England has, but he thinks that a straight loan, such as they contemplate making, will be much more provocative, and he is hopeful that, at the time of the announcement, somebody will rise up and say that, after all, America has done such and such and so and so, the idea being to show that the two countries have helped China.

[Here follows report on European matters.]

Kennedy