The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1908-02-17
TIE Enormous ovcr-subscription
Proves Return of Healthy
Conditions.
HANDS
PROFESSIONAL
Gross Earnings OF the Railroads
Fall Off and Cause
Anxiety.

NEW YORK, February l6.-The mos
important event OF last week in TIL,
financial world was the sale OF $4,000,
200 OF New York City 4 IL per cent
ponds, the largest single Offering 1t
the history Of the municipality. TIL,
sale established now records in various
other particulars, the 1850 individual
record of $50 for last September's $40.
ooVoOO sale, and the gross bids reached
tile enormous total OF s300,0O0,000, OF
an over-subscription six times the
amount OF the issue. The average price
realized at 1.04 compares with 1O2063
Tor the September issue, or, in other
terms, the new issue is on a basis of
1uYest ment return to the subscribers
VI 4.32 per cent, compared with 4.39
per cent. for the September subscrip-
tlons. The outcome is regarded as a
Solo testimony In improving financial
health, and substantial Improvement
III the demand OF capital for invest
ment in the, available supply of capi-
tai.
Bond dealers as a rule express great
satisfaction with the result and look
Tor material benefit to the market for
all grades Of investment securities as
an erect of the New York City bond
sale.
Market Professional.
The securities market gave clear
evidence OF the waiting attitude as
sutned by the substantial capital in
terests OF the country pending the
more definite shaping OF industry AMI
business affairs. Operations were
tn ho, e..
large extent, and the shifting fluctua-
ton of prices represented little more
than the varying fortunes OF the con-
test being waged between them. The
question of the integrity OF dividends
In face of the heavy falling off in
traffic and earnings of the railroads
naturally played considerable part in
tho weakness. Imminent needs of
financing to meet maturing require
ments was another cause which bore
heaviest on securities of companies If
which these needs were known to be
most urgent.
This cause was aggravated by the
fact that the investment demand for
bonds, which became active during
January, has largely subsidized. in spite
of the continued ease in the money
market proper. The downward course
Of money rates. in fact, suffered some
arrest, especially In foreign markets,
where the payment of Bank of Eng
land obligations to the Bank of France
was an influence with reactionary eff
feet on British consols and gilt-edged
investment issues.
Railroad Earnings Small.
News of factory assumptions on
scale has been feature
Of day to day developments. mixed.
however, with advices OF additional
curtailment in other lines.
Figures of bank clearings, while still
showing large contraction from last
years corresponding periods, are be-
ginning to make less favorable COM
parison than the preceding reports.
The same is true of gross earnings OF
railroads for the later weeks report
ing. The net returns to railroads for
December. now coming in. reflect the
depth of the depression. and their in
fuence has to be commended with. Au-
thorities in the iron and steel trade
speak with some encouragement Of an
of demand and the plac-
ing of some orders for steel rails by
the railroads was an episode of the
week that WAS regarded as favorable.