Early morning, Potsdam: The Kaiser now has a copy of the Serbian reply. He thinks it is a great moral victory for Vienna and with it every cause for war drops away. The few reservations that Serbia makes in regard to individual points can be settled by negotiation.
He thinks Austria should take Belgrade as a guarantee until the Serbs carry out their promises. This becomes known as the “halt in Belgrade” proposal. The Kaiser sends a note to Jagow saying these views should be transmitted to the Austrians. [More]