Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-11-24
RAIL BONDS WEAK
IN QUIET MARKET
Foreign Dollar List Also
Sags-Far Eastern Situa-
ton Closely Watched.
BY F. II. RICHARDSON.

Special Dispatch to The Star.
NEW YORK, November 24.-Railroad
bonds continued their slump today in
quiet trading. The influence of this
weakness was felt to some extent by
every part of the list, though the de-
clines in high grade utility and indus
trial bonds were negligible. Foreign
dollar bonds were generally lower.
The market was steady at the open
ing. but the few bids that served to
prevent opening losses were quickly
translated into sales or withdrawn, and
later offerings found soft market.
The investment market must be salts
fed as to a number of situations before
there can be any improvement. The
Manchurian muddle still commanded
attention, and London advices inclined
to the belief that Japan will not halt
short of her biective-complete recog-
milton of her. treaty rights by China.
F'ranco-German affairs were still I'M
certain, the hopeful aspect of the stu
alton today being the Reichsbank's
consent to the withdrawal of sufficient
"devisen," on holding of foreign cur
rencies. to pay $6,O00,000 of matured
German Building and Land Bank
bonds. The issue was due August Is
last, but was extended to November 16.
1t will be paid off in three installments,
on November Is, February Is and May
rs, interest at per cent to continue
on the notes until redeemed. The issue
was guaranteed by the German gov
eminent
Foreign dollar issues in many cases
had losses of l to 3 points. German
government SIPS and Dawes Repara
lions Is were little changed, but de-
clines were sharp in German Central
Bank issues. induStrials like United
Steel Works 612s and Siemens & Halske
6l2s and utilities such as Westphalia
Electric IS and Berlin City Electric
obligations Austrian rs lost 3 points
So did Poland Is British government
5l2s declined point because of the
heaviness of Sterling Exchange. French
and Belgian issues were firm.
Japanese government bonds were a
point lower Japanese municipals and
utility bonds lost l to points. Taiwan
5l2s, the most recently issued japanese
loan, dropped a point to a discount of
more than "a points. South Americans
were off point or more, especially
the Argentine Is and Uruguay 6s and
8S Australians were also heavy.
In the domestic list railroad bonds
were outstandingly weak. While the
employees of the Georgia & Florida, who
are members of the Big -Four unions,
accepted 10 per cent wage reduction,
the market did not take this as indica-
tive of labor's general attitude.
The Georgia &, Florida is in receiver
ship Sharp declines occurred in Nickel
Plate IS. Frisco B SIS. Wabash. AIS and
D SIS, Missouri-Pacific SIS. Allegheny SIS,
Atlantic Coast Line 1st As, Baltimore 81
Ohio first SIS, Chicago 81 Northwestern
a. S and Big -Four 41as.
Canadian Railroad issues were also
lower, Canadian Pacific SIS of 1854 drop
ping points and the Perpetual as n
point. Canadian National Railway
bonds eased along with Canadian gov
ernments because of toe weakness of the
Canad dian dollar The New Canadian
government loan was reported about
half subscribed today.
Bonds we're steady at the opening
Trading was small in small volume
Firmer prices in stocks and the abb
sence of any new bearish domestic de-
velopments served to check selling.
In the foreign department, however,
some weakness resulted from the Man
churian news japanese government
SIPS were off fractionally. Taiwan 512s
dropped a point and Toxic Electric IS
we're fractionally lower South Ameri-
cans were soft. British SIPS gained
slightly. Belgian and French descrip-
tions were firm.
Railroad bonds were disposed to hold
their levels in spite of persistent liquida-
ton. Frisco AIS, New York. Westches-
ter & Boston first 4las, Erie SIS, Mis-
souri-Pacific SIS and st. Paul adjust
ments sold at unchanged prices. Indus
trials. such as Dodge Bros. 6s and Texas
Corporation IS, also held we'll.