761.94/1253: Telegram
The Ambassador in the Soviet Union (Steinhardt) to the Secretary of State
[Received 7:47 p.m.]
14. Although I can see no reason at this time to attach significance to the coincidence of a halt in the Soviet-Japanese, Soviet-German and Soviet-Rumanian negotiations at approximately the same time, certain general observations in relation thereto suggest themselves.
The halt in the Soviet-Japanese negotiations appears to have been occasioned by the unwillingness of the Japanese Government to pay the price demanded by the Soviets. The Soviet attitude appears to be a confident belief that as Japanese difficulties increase the Japanese Government will eventually decide to pay the price and that in consequence the Soviet Government has every reason to adopt a waiting attitude.
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