New-York tribune., 1876-07-29
United STATES BONDS AT LOW INTEREST.

UNITED STATES BONDS AT LOW INTEREST
FOUR AND A HALF PER CENT INTEREST BONDS THE
LOWEST sALABLE IL EUEoPE-HoW TO SELL
SUCH BONDs-AGENCIEs AT FINANCIAL CENIEks
To the Editor Of The Trt6uHe.
SIR: I have just read in The TRIBUNE OF
May an account Of the statement OF Mr A. ha'cn
concerning an of bonds at low RATE before c
Committee OF WAYS ard Means Of the House Oh hcpIo
sentayes Mr. Hatch is rcpOredto have expressed INC
opnion that the credit of the Government Is aey Oh
basis of per cent, and that The issue OF SooooooV
in 3Oyear bonds at per cent for the purpose OF fuu
ing would amount in effect to an underoduihS py 'io
Government of its credit as stands to-day III SuD
sanitation of these views Mr Hatch stated that at INC
market rate M which United states bonds are selling IN
New-Yorl and in Europe they yield only ABOUT per
cent interest on the investment"
The inaccracy Of this statement respecting the arhet
rate at which United States bonds can be pnrchasedln
Europe s.a little surprising purchased, only a lew
DAYS since United states per cent bonds IN tIdhhIOrt
al price which yields exactly 5l2 per cent on the III
vestment would be extremely happy TO supply DR.
Hatch with United states per cent bonds, pchdSeu III
Europe at a rate which would yield AZ to per cent
interest After ten years residence and business ex
pericpce in Europe with abundant opportunity during
this time for close observation, convinced that an
ATTEMPT to place United bonds at par IN Europe M
less rate 0i interest than i2 per cent Won @ me- "i1 @
failure. The fact must not De- oNcroohtu ti'ts a., T.
porani part of the European funds seeking -
10 bs found with the middle classes, ana thht IHac
classes prefer home securities al per cent 20 loreigh
bond, nj 4l2 per cent Further, that bona dIamlhS
uominally + per cent ayas the i'uIoPNIu
purchaser something less than that rate, aiter diucths
an extra bankers shave in caShing coupons on hI SUI
n Is rlir that bonds made long definite pelOC,
not less than 30 years, would find purchaser W lOHc'
rate of interest than bonds of shorter duration eI
ueucy OF investment being far more valued mere ti III
America An assistance OF small Importance III heEo
tiaing loan in Europe would be 0 make the interest
paybic ~ FNkfOrt, Berlin, Paris ana London III hik',
francs and Shilliugsthe cXHct amounts I'D tc'o 'c
denominations and the places or redemption DtlbE
stated on the backs Of the coupons. There arc S'Sr
million, of people in Europe, such a, are pOs,''eH o
more or less means for Investment, VINO iooh
moon America and the moon AZ being situated at
equally inconVcHicnt distances SuCh ptop'c are
subject to sacrifices upon coupons payable IN IofGlsn
land How can the Government expect 10 place o3h
"a, a minimum rate of interest unless provision Da made
TO afford the EurOpcan investor CONVENIENT ldclhtltS
Whereby be- may receive interest at the iull and actu
raic Stimulated Ifa long date loan nc low interest i
contemplated, the Government would nhoW uhpNuou-
able stupidity in hesatiu- to stand Mite expense III
ctircting u. Success often hinges upon small ana care
ny studied details management. NO one Sihceltt
d,;rl-is the abity and disposition OF the Government
to meet IL, obligations the question then Is not 80 Much
that credit Is wanting abroad Il, II - the acnape ck
OF EdOtr hOir home with Congress and the officials
Chgt.. SJrii-tylaad. Nav -. l~7G. GEO. III. PAGE.