The New York herald., 1922-03-06
BOND BUYING Squirt
Is LED FROM WEST
Lower Coupon Rates on New
Issues as Prices Show
an Advance.

The expected Improvement in the mar
ket for outstanding bonds and new is
sues materialized last week and there
were no signs Of the siackness that char
acterized the markets of the preceding
few weeks. Business in bonds on the
Stock Exchange was much heavier. it
being noted that most of the buying
orders were coming from Western cities.
Offerings OF new bonds by New York in
vestment bankers were also much larger,
amounting to well over $4,000, 600.
Prices for bonds on the Stock Ex-
change were well maintained and in a
number of issues quotations were ad-
vanced. At the same time lower coupon
rates were seen for new issues of bonds
AS an example an issue of $4,000 900
Cudahy Packing Company first mort
gage bonds bearing per cent. coupon
was sold. 1t was only short time ago
that all industrial bonds carried an S
per cent. coupon and more recently they
carried and per cent coupons
Two of the largest issues were in the
municipal list, there being one of Si5.-
100000 state of Missouri soldiers bonus
per cent. bonds and another of Sf3,-
5o0.0 900 City of Los Angeles ) per cent
bonds. The most important issue OF the
week. however. was an offering of 75,-
100000 guilders (s3o.ooo, ,ooo) of per
cent. Kingdom of Netherlands direct OBJ
legation bonds.
Some of the other large issues were
s4000,000 City of San Paulo external
sinking fund gold bonds, $4,000. 900 Kan
sas Gas and Electric Company first
mortgage sinking fund gold bonds
S3,0o0,000 Standard Gas and Electric
Company convertible per cent bonds.
S5,o0o,000 oxford Paper Company first
mortgage per cent. bonds and $2,S00.-
600 City OF Atlanta. Ga. per cent
bonds. Another interesting foreign is
sue was 25,000.000 francs Midi Rail
road Company per cent. bonds. foreign
series. AS the dollar value of the in
come and principal of these bonds will
increase with any improvement in
French exchange. this issue was helped
by the advance in francs and was
quickly sold.
Strength in foreign exchange contin-
ued without interruption last week and
was reflected in the market for foreign
bonds on the Stock Exchange. Bonds OF
the United Kingdom and France were
in particular demand. If investors con-
tinue to show partially for foreign
bonds it may encourage bankers to
close some of the foreign deals now
pending. This week will open with a
large foreign issue, s27000,000 year
z per cent. notes.
The municipal market is now in fair
~ good shape, according to the Bond
Buyer. and should be able to take care
OF the larger loans now in sight or
which will soon be pressed for sale. To
the municipal bonds now being issued
will soon be added about $25, 900. 900,
representing loans of Massachusetts,
New Mexico. Philippine Islands. Detroit,
Jacksonville, Fla. Morris County, n. J..
Oregon and Delaware.
The sale on March / of s15,000,000
Missouri soldiers bonus bonds brings
to S169, 100000 the total of bonds issued
by State governments for the purpose
OF making payments to ex-service men.
In addition Wisconsin counties have
floated about s20,oo0.00o bonus bonds.
Authorized out unsold bonds for this
purpose now aggregate but $2o,oo0.0o0
but propositions now pending Ii APP
proved would increase this figure TO
about $500, 900 900.