The New York herald., 1922-10-09
MOST BONDS GO UP
EXCEPT LIBERTYS
Softening Toward End of
Week Follows FirmnesS-
New Issues Planned.

About half OF last weeks new bond
offerings represented financing by public
utility corporations or companies, the
grand total of s7O,5O0. 600 finding a good
demand in investment circles. With
money again fairly easy and the situa-
tion in the Near East somewhat inn
proved the tone of the market on the
New York Stock Exchange was rather
firm all week and many classes of bonds
made moderate gains. United States
Libertys were rather the exception to
the rule and Jagged. net changes being
small
The lack OF demand for Libertys was
still laid to the prospective new Gov
ernment financing that may be an
nounced about the middle of October.
The cheap priced and gilt edged rails,
the oils and foreign obligations were all
Grm. although late in the week the mar
ket turned slightly irregular. Perhaps
the largest single new issue of the week
was the s12.50O.0o0 financing Of the
Milwaukee Electric Railway and Light
Company, offered by syndicate. includ-
ing Dillon. Read & Co. at 92A to yield
$50 per cent. These bonds mature In
thirty-nine years.
Rates over all the new utility bonds
ranged from to per cent. while the
yields varied from 545 to Z per cent.
Among the other utility issues was one
OF s7,5Oo.o0o of the American Gas
Electric Companys 6s, due in 2014. one
OF se.132.0 OF the Ohio Power Com
1any and one of So coo, 900 of the South
ern California Gas Company's first and
iefunding 515s. All were readily taken
up.
In the industrial group the total OF
new offerings was S13.500.000. State
and municipals made up S6.602,000 and
foreign, $4,000, 900. The last named was
a single issue of the State OF Bahia,
Brazil, offered at 99ia and 1O0h, to
yield per cent over period OF twenty
years. The bonds were brought out by
Philadelphia house, tincke. Bangert q
co.
or all the municipals offered for pub
lie subscription the largest issue was
one of S2.900.000 OF the City OF Boston
at per cent, maturing in one 10
forty-nve years. and yielding 3.60 to
7s5 per cent or late new municipals
have been rather we'll taken even at
slightly higher levels. Tho yield of
these offerings shows no reaction from
the almost continuous advance in
nunicipals that has been so character
istic Of the market in over year.
The now week brings TO light several
interesting features. II is expected that
the long delayed issue of the Haitian
Government will be offered by the Ma
tional City Company, and that some
thing more definite regarding new
United States Government financing
will be heard. The Government must
raise by the end OF the fiscal year more
than S2,225 ,000, 900 60 meet a deficit in
running expenses and maturing obliga-
tons One single item Is 5000. 1000. 900
OF Victory notes called for redemption
on December IS. There are also S5i5,-
100000 war savings certificates matur-
ing January ].
Discussing the Government financing
situation. the Bond Buyer says: AS
this new issue Will be entirely for re-
funding purposes. there should be no
basis for fear OF disturbance In the
bond market unless the Treasury en-
deavors TO place the issue at different
net income yield TO investors than war
-anted by money conditions. IL Is not
likely that the Secretary OF the Treas
ury will make the patriotic appeal for
the public purchase OF the new bonds
as was che practice with the hotations
OF the Liberty Loans. The vague
rumors OF new 81 900. 900. 600 Govern
nent per cent. loan carrying the
circulation privilege may be assumed TO
be entirely without foundation"