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...still stalled last week on the banks of the Grand Canal in southern Shantung Province, 35 miles northeast of Suchow. Fast-striking Chinese guerilla units, employing shifting flank attacks, last week struck at all sides of the Japanese forces, spread out in a rough quadrangle in the Shantung area. Towns were taken, then recaptured as neither side made an effort to hold positions for long. Chinese guerillas tore up sections along 40 miles of the Tientsin-Pukow railway in the north, blocking Japanese reinforcements & supplies and all week Japanese bombers flew over their isolated posts dropping food & munitions. At week...
Meanwhile from Swiss Dr. Herman H. Mooser, League of Nations health official in Central China, came a warning that China is up against another foe-typhus (see p. 32). "Typhus is likely to cause the collapse of all the Chinese armies in the central area. I don't see how they can escape it." warned the League official...
...when a Chinese plague of cholera threatened the world (TIME, Oct. 25). As cholera subsided, typhus rose, wrung from League Sanitarian Herman H. Mooser a warning: "The danger is imminent. Refugees throughout Central China are simply filthy with typhus-carrying lice. All the Chinese soldiers in the Lung-hai area (see p. 17) are lousy. There are no Chinese delousing stations, and we are half crazy trying to get co-operation from Chinese military and civilian officials. Members of my mission are doing what they can but we are practically without supplies...
Where not to go now is obviously the industrial East, hardest hit section of the U. S. Because of the slump in automobiles, trade in the Detroit area was off 26% in January from January 1937. New England trade was down 21% as its rambling textile mills operated on a 3-day week. Glass, steel and auto-part mills were listless in northern Ohio. Northern Illinois trade shrank as Chicago unemployment grew. In Manhattan trade volume plumped 19% with cinemansions and department stores feeling the pessimism of Wall Street...
...whole Shantung-Honan-Hopeh area the Japanese last week were showing none of the decisive "punch" to which harried Chinese have become resigned at Hankow, the capital of Chiang. Spirits were high on the eve of a Kuomintang Congress scheduled for this week to adjust points of difference with the Chinese Communists. Of China and Japan able Chicago Daily Newsman A. T. Steele flashed from Hankow: "Each side believes that the other is on the brink of an internal breakdown, but each is dead wrong as far as the immediate future is concerned. .... The Government here is scarcely recognizable...