East Oregonian : E.O. (Pendleton, OR) 1888-current, 1922-08-31
Chicago and Alton
Bonds Drop Sharply.

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/ NEW YORK. Aug. 31.-(A. p
| The sharp break in Chicago & Aitons
| bonds, the Ss declining 1-2 points
and the 12s seven and a half, fea-
tured yesterdays irregular bond mar
ket. The precipitous drop in these
f, two issues was even greater than the
! decline in stock prices and was coca
stoned by unconfirmed reports that
the road was to be reorganiZed. Most
of the bonds of the Alton railroad a., e
reported to be held by the Union Pa
cifin and a large New York banking
house, officials of which were said to
be in conference here.
Local traction issues, which ad
vanced two points or more on an
nouncement that sufficient Manhattan
stock had been deposited to secure the
carrying out of the new agreement
for the Manhattan lease, thus vir-
tually obviating any possible chance of
recevership for the Interborough Ra-
pid Transit company provided the
strong spot in the domestic lis.
American Telephone e Telegraph
convertible fours were UP nearly
three points in sympathy with the
rise in that company's stock. while
Bethlehem Steel refunding IS also
made substantial gains S
High grade railroad mortgages ~
so showed slight improvements While
some of the speculative lines, like Sea
board Consolidated IS and adjustment
5s, RIO Grande refunding As and IS
and Katy" adjustments advanced
moderately in response to a better and
more widespread demand.
French issues continued to recover
from their recent heaviness, gains of
a point or more being recorded by
the French 1-2s and the per cent
issues of Bordeaux, Lyons, scissors
and Marseilles, Mexican IS advanced
12 points.
Liberty issues We're slightly lower.
Total sales. par value, We're $13,-
100.
Two $1,000, 900 bond issues were Of
fered during the day. They were an
issue of 30-year Pacific coast joint
stockland banks s per cent bonds,
which were sold at 1O3 IA and ac-
crued interest, to yield 4 per cent to
1882 and s per cent thereafter, and
an issue of 15-year first mortgage Il
per cent convertible gold bonds, series
A, of Martel Mills, Inc, which were
sold at 95.55 and interest, to yield
about 1-2 per cent.
Active and widespread public par
ticipation, apparently induced by mar
ked improvement in the industrial
and railroad strike situations, was
largely responsible for the continued
rise of prices in today's stock market.
Floor traders and professional spec
ulators were inclined to be bearsh
but the flood of outside buying orders
accelerated the advance. Nearly two
score issues established new peak
prices for the year.
Reports of increased car loading,
indications that bituminous coal pro-
duction was nearing normal and ex-
pectation of unprecedented freight
traffic this fall resumed in broad
inquiry for the standard rails. Cana |
dian Pacific was especially strong, ad- !
vancing 2 1-2 points, with gains of
point or more being recorded by At /
lantic Coast Line, Chicago & North
western. Illinois Central. Louisville G. /
Nashville, New Haven, Reading sec
ond preferred and Frisco preferred
Renewed hopes for an early settle
ment of the anthracite strike also i'm !
parted buoyancy to the shares of hard |
coal carriers, especially Lackawanna |
and Lehigh Valley.