123 Stuart, J. Leighton: Telegram
The Consul General at Shanghai (Cabot) to the Secretary of State
[Received July 1—11:29 a. m.]
2585. ReEmbtel 780, June 30, noon.74 I suspect one of reasons Mao and Chou may wish see Ambassador is to discuss increasingly difficult situation prevailing Shanghai. Telegrams already sent by Consul General and two now being drafted show how Communists have found themselves involved in unexpected and unwanted snarls with foreigners and how seriously they must be concerned at course of economic developments in Shanghai.75
With regard attitude of other friendly powers, we strongly suspect Western interest in Shanghai would welcome Ambassador’s proposed trip with open arms as first means of putting West viewpoint before top Communist leaders and therefore of protecting those interests. All West representatives here both official and private are suffering from severe case of pessimism and frustration. Although British might feel some pangs of jealousy at American Ambassador having first top-level talks, I believe this would be much more than counterbalanced by their anxiety to have something effective done to protect their immense commercial stake in China.
Sent Department, repeated Nanking 1424.