Evening star., 1923-09-29
GENERAL DECLINES
|NL|bERTY BONDS
Sheet and Tube Skies Break
Four Points-0ther Moves
Irregular.
BY GEORGE II. HUGHES.

Special Dispatch to The Star
NEW YORK, September Coon
siderable irregularity prevailed in to-
days bond market, although on the
week as whole the tendency has
been toward lower prices. The fea-
ture today was a break of over
points in Youngstown Sheet and Tube
6s. Originally offered in June at SO.
they have been traded in uniformly
at about this price ever since until to-
day. when the syndicate support was
apparently withdrawn and the first
sale was at 90. with a subsequent in
crease in the loss. The incident was
similar to the decline which followed
the dissolution of the syndicate In
the Cuban 512s and the Illinois Bell
Telephone SIS. In none of these cases
did the break have any relation to the
investment standing of the bonds.
Liberty Bonds Heavy.
Heaviness continued in the liberty
pears to be liquidation by the banks
with a temporary lack of support
from buying for the British treasury
or for the account of our own gov
ernment sinking fund.
Naturally enough neither of these
and when. for any reason. they with
draw from the market the OBJECT is
at once evident. Money market in
fuences also are not favorable just
now to higher prices for liberty
bonds. Even buyers of tax-exempt Sc
curities. such as the liberty 3las and
the high-grade state and municipal
obligations are demanding a larger re-
turn on their investment. The 3las
sold today at the low for the year.
Coupon Rate Raised.
The state of Illinois, illustrating
the same condition, has been COM
PEELED to raise the coupon rate on its
proposed issue of s1O.0oO.000 soldier
bonus bonds from az to q per cent
to meet market conditions.
High grade rails and industrials
were fractionally lower. but not con-
spicuously so. An instance Is Cana
dian Northern 6 8, which were down
more than a point on the week. This
is practically a government issue. as
anteed by the Dominion of Canada.
At present prices the bond yields
more than 5l2 per cent. Delaware
and Hudson refunding As, savings
bank issue, has been another com
paratively weak bond. On the other
hand. Reading general As have been
remarkably steady, due probably to
the fact that under the segregation
plan they are exchangeable for new
bonds, two-thirdS for a railroad 4 II
per cent and one-third for a coal and
iron per cent (new issue).
Reaction in fractions.
There has been all the week a per-
sistent reaction in traction securities.
A notable instance is Chicago Rail-
way 5s down some two and a half
points on the week. There has also
been heavy selling of all the Inter
borough Rapid Transit obligations
with losses of from one to three
points. Among the rails B. & Q. is
sues were a trif1e higher today and
are up substantially on the week
There is much talk OF new foreign
Republic of Salvador loan, to be Of
fered next week. there is nothing
definite. Negotiations for a Japanese
bond issue are under way, but no
conclusion has been reached.
Foreign bonds were mostly lower
on the week, reaction following the
upturn subsequent to the announce
ment of the German surrender in the
Ruhr.
Weeks New Bond Issues.
The weeks total of new bonds is
about $17.500.000. The largest single
offering was s2.So0.000 New England
Power first mortgage bonds, to yield
5.25 per cent The next largest issue
was s2.300,000 for the Standard Plate
Glass Corporation.
Heavy selling of all the liberty loans
carried prices down for practically all
the issues. The first 31ss sold down
about 7-32 in the last half hour of
today's trading, and United States
AZ s lost almost as much. There were
also sharp declines in all three of the
old AZ per cent issues.