Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1925-10-02
FINANCIAL NEWS

Spring, American Can. American
Agricultural Chemical preferred
American Linseed preferred. Heavy
buying OF North American was
based on predictions of good results
from recent expansion on the Pa
cific coast. Oils moved UP under
the leadership of MARYLAND, Atlantic
Refining and Pan American. Some
profit taking appeared in these is
sues before the close but was easily
absorbed.
The reaction of sterling to the GU.
in the British bank rate was the
most interesting development in
foreign exchange trading. The de-
mand rate at one time fell as low
as S4S3 BIG. the lowest since Eng
lands return to the gold standard
but it subsequently recovered to
around S4.Si, Belgian francs moved
above 4 IL cents on reports that
negotiations soon would be opened
for a large sterilization credit or
loan.
The easier credit situation was re-
nected in the drop in call loans to
IL percent after renewals at IL.
Time money and commercial paper
were firm with the rates nominally
unchanged although asking rates on
six months tine loans were quoted as
high as 5 percent.
Bond prices continued to lose
ground today despite the removal Of
apprehensions that the federal re-
serve rediscount rate would be ad-
vanced and the relaxation of call
money rates. The case in the money
situation was relative, however. since
call loans recently had been abnor-
mally high. Rates on time funds,
which are more important factor
in determining the trend of bond
prices, were slightly firmer.
The most significant feature of the
days trading was a late upward
movement in French obligations, APP
parently based on expectations of a
tentative agreement on debt funding
terms, announced after the close OF
the market. The earlier announce
ment that no acceptable proposals
had been submitted had little influ-
ence. Closing quotations reported
fractional gains for most of the
French governmental and municipal
issues with the Seine IS reaching q
new high price for the year. Strength
of Belgian obligations was based on
reports that large stabilizatio
credit loan for that country would be
arranged here.
Railroad liens were the weakest
feature of the domestic list, few Of
these issues being able to attract
buyers despite the favorable outlook
for the carriers by the latest freight
traffic figures. Chesapeake & Ohio
and Southern Railway bonds were in
demand but Central Pacific, Denver
& Rio Grande westerns, Gulf Coast,
Chicago Great Western and other is
sues failed to resist selling pressure.
Buying interest was revived in a
number of industrial mortgages.
Anaconda Copper, Virginia. Carolina
Chemical, Shelly Oil, Dodge Motor
and Kelly Springfield tire issues
were the leaders in their respective
groups. with gains averaging a point
or more.
Negotiations have been concluded
for several foreign loans. Offering
will be made tomorrow of $4,000, 900
'20-year percent bonds of the De-
partment Of Antigua, Republic OF
Columbia, at a price of 90. Funds
will be used for railway expansion.
An early offering also is expected of
a $6000.0o0 seven percent bond issue
for the Rhine Danube project which
will have the guarantee of the Ger
man government.
Total bOpd sales S1t oo1 mn