The Bozeman courier. (Bozeman, Mont.) 1919-1954, 1923-02-28

The most pronounced influence in
the securities market recently has
been the large amount of funds feel
ing investment, in spite of the grow
ing demand for commercial credit &C
casioned by increased industrial activ-
ity and higher commodity prices,
states the current issue of the Guar
anty Survey, published by the Guar
anty Trust Company Of New York.
While the unusual volume of in
vestment funds doubtless has been due
primarily to interest and dividend
payments and the steady liquidation
Of long-standing loans, it is also due
in considerable measure to increased
savings, the Survey says Savings
deposits il the United States as Of
June so, 1922, amounting to $1S,OS7,-
$4,000, increased by $1,46S, 1898 900
in twelve months.
The effect on money rates of this
accumulation Of investment funds,
however, has not been especially
marked, partly, no doubt, because Of
the great volume of new capital Of
feringa by underwriting houses and
partly because Of the restraining in
fluence of European uncertainties.
New issues Of the last month, in the
main, have been well taken by in
v~estors; and commercial paper rates
and bond yields have ruled at about
the same level as in December.
Among recent offerings there is a
noticeable increase in the number of
stock Issues. Well established cor
porations with demonstrated earning
power can now finance future ex-
pansion, or refund high coupon bond
issues put out a few years ago,
through the issue of either bonds at
lower rates, or preferred stocks. Of
ferings of ommon stocks also appear
more frequently than was the case
last year.
Foreign government loans continue
sensitive to the European news; and
may attractive opportunities exist for
non-speculative purchases Of such
Il bonds at present prices. State ant
municipal issues generally can be OBJ
n tanned on about a Az per cent basis
on which the yield for those requir
3 ing tax-exempt privileges is decided
q | ybetter than from the highest grade
a rails. The demand for tax-exempt
First Liberties has been strong anC
prices have advanced.
7 The market for railroad bonds ha'
v been active, interest being centere
IN the second grade securities which
hav prospects of appreciation in view
of better railway earnings. Publ
utility issues have likewise expert
enced a renewal of activity in tn
market as favorable earnings state
ments have been general for enter
priseS of this nature. Furthermore
although improvement in the bushes
situation was rather well discounte
Ar by the market during last year, man
10 industrial issues still hold possibil'
ties of enhanced value.
a. The best indication of the trend {
m money rates in the investment MAJ
"a ket is seen in the recent offerings {
~ United States government ~securitit
pursuant to the treasury's plan fc
- ~refunding the Victory Notes due Ma
Is, 1923. AS the thiray-year bond
.v yielding Az per cent, issued last o
tober, went slightly under par in tn
market for the treasury, in its Decen
AZ Der and January refunding operi
tons, offered short term notes matu,
ing in two and a half and just undo
"a five years, respectively, both issu'
'lv yielding Az per cent
This practically completes the IN
a. portant refunding operations, a.
AZ nounced in the spring Of 1921, wher
by maturities Of the short-dated de-
- have been distributed over the ne;
ss five years in small amounts, instes
of being concentrated in May of tn
as year.
us The securities market has expes
enced a minimum y distnrban
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