840.50 Recovery/6–2748: Telegram

The Ambassador in China (Stuart) to the Secretary of State

1167. At this moment of financial crisis and disquietude symptomized by student attacks on me personally, I feel impelled to point out in connection with negotiation of bilateral aid agreement that our larger interests may well be most effectively served by dealing generously with the Chinese and avoiding imposition of terms of/or language which will lose face for present Cabinet and hence expose it to intensified criticism. There are certain hopeful signs in the general situation, dark though it appears on certain fronts.

Stuart