Geist, Raymond H., Berlin. To G.S. Messersmith, Washington.
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University of Delaware Library, Museums and Press
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Messersmith's friend called this morning; he had had talks with [Hjalmar] Schacht and others important in government and had clear view of general situation; Schacht had told him position of mark so insecure it cannot be saved and inflation would be rapid; Schacht intimated to friend no solution in sight with regard to "Hitler problem;" [Hermann] Goering's staff feel present situation cannot continue; they feel trend toward war disastrous, armaments must be slowed down, radicals curtailed, and [Josef] Goebbels and [Julius] Streicher eliminated; Goering so tied to Hitler he cannot act against him; shortages felt keenly; Hitler has told colleague that events of 1939 will overshadow those of 1938; only solution regime will consider is sharp struggle to Southeast for oil and to Ukraine for grain; struggle going on between radicals and moderates over Hitler's immediate political program; doesn't attribute much strength to regime, but one cannot underestimate its terroristic methods of crushing opposition; end not yet in view; believes U.S. Government on right track; should continue to bear down hard on present German regime, give no quarter, even force issue whenever possible; should not, however, break off relations with government entirely; should maintain valuable contacts so that encouragement and support can be given to those struggling to bring Germany back to normal existence; Messersmith's friend discussed method of procedure in aiding representatives of Intergovernmental [Refugee] Committee when they come to Germany; associates of Goering considering scheme for aiding emigration of refugees; they think plan would be acceptable to German Government and to nations willing to receive refugees; will give [George] Rublee [Director of Committee] all information possible when he comes.