Evening star., 1927-10-14
NEW BOND ISSUES
AFFECT MARKET
Trading Active Today, but
Little Feature Is Noted.
ConvertihIeS Gain.
BY CHARLES F. SPEARE.

~epecisl Dispatch to The Star.
NEW YORK, October 14.-Aside
from the advance in several converti.
BILE industrial issues, the bond market
today exhibited little feature. 1t was
active. but mostly at prices that have
been ruling for some time, or slightly
under those representing the high com.
posite average reached last week.
Evidently there has been some sell
ing of bonds that have had good ad-
vances since the end of August to buy
issues brought out recently on an at
tractlve basis. The effect of this has
been seen in Erie Refunding SIS, Good
year SIS, International Telephone 4l2s,
Chesapeake Corporation 5s, Hudson
Coal IS, and latterly in the Italian
municipal 635s, for which there has
been substitution OF some OF the new
German loans.
New Offerings Large.
Obviously the old list would also be
affected by the large outpouring of
new bonds. In the aggregate there
have been about 1921, 900 of for
'eign and domestic issues offered this
week. This is the largest amount
since June, and compares with the
high record for the year of $297 ,0OO,-
900 last February. In the main these
issues have been well absorbed. AS
they have passed into the hands OF
the public to much larger extent
than did the new bonds offered last
Summer, they could have very little
effect on the total 6 brokers' loans.
The effort today TO explain away the
small decrease this week in these
loans by the argument that new Sc
curity issues overoa balance the efect
of a liquidation in stocks runs up
against the fact that no payments
are made on the issues involving bank
accommodations for two to four weeks
after the offerings are advertised.
International Paper 6s, which may
be convertible into per cent preferred
stock at par, moved up into higher
ground. The same sort of movement
took place in LOew, Inc, debenture 6s
with and without warrants, both of
which were a point higher. Dodge 6s
sold again at IS and then recovered.
The statement of the company for the
September quarter was not very inn
pressive. Interborough Rapid Transit
and Hudson & Manhattan issl.es ad-
Nanced fractionally.
Decline in Italian.
The decline in Italian issues aver
aged a quarter. Poland IS were around
their high price, in anticipation of next
weeks offering in this market of the
new 7 per cent loan. French issues
were steadier. The first redemption
call of the French Is, which were
Brought out at 81 in 1924, has been
made in the amount of $1,710.200
which will be paid off on December
!, at los.
Legal rails and public utilities were
steady. The new Philadelphia Elec-
tric 412s were listed and sold at a
small premium. A much larger
amount of these bonds undoubtedly
could readily have been sold. United
States Governments were fractionally
better.
The market turned irregular in the
early afternoon. when call money was
advanced to Az per cent from the
renewal rate. of per cent Steel |
weakened. General Electric did the |
same, and other industrials came |
down fractionally. General Motors |
about held its own.
The check to the rise was pro- |
nounced, but no extensive liquidation |
'ensued. About all that resulted was |
a greater display of caution. Most |
Of the specialties which had been
strong in the forenoon continued firm, |
and Chesapeake & Ohio and Erie were
still the favorites among the rails.