Idaho County free press. [volume] (Grangeville, Idaho Territory) 1886-current, 1922-09-14
BABSON SAYS
Liberty Bond Outlook

Wellesley Hills, Mass, Sept. IL
Many persons have Liberty bonds and
wonder if it is not time to sell them.
When they went down into the SOS
people were frightened and threw them
over. Now that they have come cp
to par, and better, the same people ara
buying more. This is a queer little
world. In view of the situation, Rog-
err w. Babson issues the following
statement:
"It is true that the time to buy
bonds is when no one else wants them
and the time to sell bonds is when
everyone wants them. Hence, strong
ly recommended the purchase of Lib
critics two years ago when they were
selling in the sos. I am not quite con-
WINGED, however, that the time has
yet come for selling them, even though
they are acting rather queerly at the
moment.
MAY GO STILL HIGHER
"People are worrying as to what
effect the railroad and coal strikes. and
other industrial disturbances will have
on the price of Liberty bonds, Ameri-
cas- greatest and most popular invest
ment. 1t would be only natural that
these disturbances should depress the
price of Liberties a little; but such
effect would be only temporary Mon
ely is destined to be even cheaper than
it is today, and interest rates will
continue fairly low for some time to
come. This means that banks will
again come into the market to buy
Liberty bonds. These purchases by the
banks, together with the purchases
of the government, must keep the
price up and quite likely force still
higher prices. Therefore, I definitely
advise readers to hold their Liberty
bonds, believing that they will ulti-
ately sell for higher prices. Be pre-
pared, however, for a possible tenn
porary decline in order not to be pam
ic-stricken, if such temporary decline
takes place.
"The fourth AIS are today selling
at little over par and are callable at
par in 1888. Readers can be pretty
certain that the bonds will be called at
that time. This means that on the
18th of October, in the year 1888, these
onds will sell at par. Not l percent
above or l percent below. With a |
constant interest rate between now and
then, the bonds should be at their
highest point about 1927, or half way
between now and their callable date.
The same rule applies to all of the diff +,
ferent issues with their various matu-
rites Of course, it is very likely
that the government will provide some
general refunding scheme before all
The various issues of Liberty bonds
are due or even callable. But if so,
such a plan will be favorable to the
holders. I certainly advise readers to
hold their Liberty bonds until such
announcement is made.
CARE IN INVESTMENTS
CATER selling Liberty bonds, he
careful in what you invest. A great
many money sharks, will be on the
surface of the water looking for fish
when this refunding plan is put into
operation. People are already travel
ng about our cities hunting up holders
# Liberty bonds and offering to swap
'or them various kinds of stock. Be-
ware of such men. Don't talk to
hem or even listen to them. Shun
hem as if they had smallpox. When
,ou wish to invest money ask the bank,
where you have your savings account,
o recommend some good investment
irms. Go to them, tell them your
and pnt them on their honor
o protect you and your family. In