File No. 763.72/12

The Ambassador in Austria-Hungary (Penfield) to the Secretary of State


War certain and probably localized Balkans. Germany morally supports Austria but Italy neutral, Montenegro and Roumania will aid Servia, France not participate but Russian attitude unknown. Vienna anxious and hoping for short conflict. Bourse temporarily closed. Monarchy under martial law. Austrian troops for days been moving southward. War loan three hundred million crowns planned.