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214 there is no doubt that Germany's policy has up to now been shaped on this theory, be it mistaken or not.

While there is no sound reason to warrant the belief that there has been a sincere alteration in the policy of Germany, there is no doubt that it has undergone an outward change within the last few months, or since it became certain that Japan was to be victorious in the struggle with Russia. I have it direct from a member of the Wai-wu-pu that, beginning soon after the battle of the Japan Sea, German diplomatic method at Peking underwent a transition which amounted to revolution. At that time Germany was pressing upon China a number of minor, though not unimportant, concessions in Shan-tung, which, if granted, would have almost certainly caused dissatisfaction to other powers, as well as being a relinquishment of Chinese autonomy. The Wai-wu-pu was resisting this pressure as well as it could, but might have been compelled to yield in the end had not the now famous naval battle demolished Russia's chances. The German change of front was so sudden as to be almost ludicrous; in fact, the Chinese official who gave me the details did laugh exceedingly in their narration. He had the wit to see the humor of the situation, while at the same time in his heart deploring the state of affairs which made China the shuttlecock of fate. But, while outwardly acquiescing in the existing status quo, until she is able to determine upon what shall be the next move, Germany undoubtedly regards the Anglo-Japanese alliance with suspicion and alarm, and