The New York herald., 1921-10-03
NEW BOND ISSUES
ARE SOLD QUICKLY
More Than S162, 100000 in
Securities Distributed in
Last Week.

The feature Of last weeks investment
market was the great activity displayed
by distributing bankers in marketing
more than sie2.000,000 of new issues.
That total is unusually large, exceeding
with one exception, the record of any
otner week this year by several millions.
The exception was the first week IN
May. during which the Great Northerh-
Northern Pacific 61h per cent. ioar'
S2S0. 100000 was floated. In that week
S242. 1000. 900 in new securities was OF
Tered. The only other weekly total that
can compare with last weeks, was re-
corded in the last week in January
whom $150,O00,000 of new bonds were
sold.
Although there was a sizable increase
in business in bonds on the New Nork
Stock Exchange last week, the upward
movement in prices was halted by profit
taking. The total sales of bonds listed
on the Exchange was $9S,290,oOO con-
trasted with $79.000,000 in the preced-
ing week. The increase was manly IN
United States Government war oouds'
sales of Liberty and Victory issues
amounting to more than $6s,oOO.oVV
against S49,000.000 in the preceding
week. Liberty and Victory issues also
felt the reaction and were unable later
in the week to get beyond the high prices
established on Monday and Tuesday.
During most of last week syndicate
situations such as United DRUG and
American Bosch were cleaned up and
equipment trust certificates and, per-
haps. some Argentine bonds are about
All dealers have TO sell. The total issues
Of equipment trust certificates sold BY
the Government so far amount TO ABOUT
s1O0,OO0.000. All of them, or course,
have not been placed in the hanos OF
Investors. The fact that dealers were
optimistic enough to buy the equipments
at such high prices, however, is an e%-
cellent sign
The Government still has more tnan
$500, 900 900 of car trusts TO SELL pu,
probably they will be marketed during
a. long period. So far only the long
rnaturities have been sold and the
shorter ones will have to be held unth
the money market iustiiies their sale.
The War Finance Corporation UincialS
expressed the belief that sales OF ap-
proxinately S100.000.o00 more OF them
would be made within the next thirty
eIays- but that expectation IS hardly De-
lievod possible in investment circles;
The only large municipal issue In sisht
il a $2,0O0,000 515 per cent loan Oh ths
city of Cleveland, which will be awarded
".
het continues TO harden. The under
writing syndicate which handled recent.
ly the Az per cent. water bonds, city OF
san Francisco, announced on Thursday
that the price of the unsold balance OF
fLem had been raised from a o.4O per
cent to 5.35 per cent. basis.
The long expected Federal Farm LoaE
viii be announced to-day. 1t amounts
10 s60.O00,000 and its coupon rate Is
per cent.
Several large new pieces OF domestic
and foreign financing occurred iase
week. The mcst important one was the
$50. .0oo. 900 OF The Government OF Ar
gentina's two year per cent. treasury
gold notes, sold on a 100 basis. Bank
crs expressed themselves pleased win
the primary distribution OF those ponas'
which was accomplished in short time'
The next most important offering In
point of size was approximately So''VuO.-
600 OF equipment trust certificates oi-
yided among about ten roads. vi tn''t
total more than s31,000.0oO was issued
by the Pennsylvania Railroad. inc othe[
large issues were $15,000.000 of State OF
West Virginia SIS, S1s.o0o.0o0 of Alumi-
mum Company OF America twelve year as
and SO. .0oO. 900 of the Consolidated Gas
Electric. Light and Power Company OF
Baltimore first refunding mortgage per
cent. sinking fund gold bonds. In ad-
dition there were numerous municlpal
issues of various sizes.
Although the investment market IS
still in excellent shape there Is lttie
doubt that its machinery has become
ll.tle cloggcd and that for the next few
weeks new issues will be distributed less
easily. There is no likelihood. however.
cf the bond markets becoming COM
pictcly glutted with now bonds as here
tofore. as conditions have entirely
changed. Whereas u few months ago
there was keen competition among m
d,,s.rial companies for money, the COM
netition is now among the bankers to
OBTAIN any new business that might
come along. In other words. the demand
:or new capital is fairly well satisfied.
but an abundance of money is awaiting
investment
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