Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-04-24
BOND SALES HEAVY;'
JUNIOR ISSUES GAIN
General Attitude Reflected in
Indifference to All but
Seasoned Securities.
BYE. RICHARDSON.

Special Dispatch to The Star.
NEW YORK, April 24.-Though there
was tendency to rally on the part of
some junior bonds Accently very weak,
the general trend of today's bond mar
ket was heavy.
Foreign dollar bonds were especially
weak, notably those of Uruguay, which
dropped to 9 points to prices from IL
to Is points under their levels of a
week ago. This group was affected by
the doubt cast over their position by
negotiations with European bankers on
Uruguays sterling loans.
The general attitude toward the bond
list was the same as in recent sessions
with a firm demand for seasoned in
vestment bonds and an almost utter in
difference to anything else. The failure
of the Federal Reserve Bank to cut its
rediScount rate had no effect because
the prime issues that ordinarily reflect
money rates have been forced by a
scarcity demand above that level.
Recoveries were few and confined tC
bonds that might be said to have beer
oversold. Among them we're Warner
Brothers Pictures IS, United States
Rubber SIS, Sinclair OH Is, Frisco 41zs
and A As, Missouri Pacific SIS, Good
year SIS, General Theaters Equipment
IS, st. Paul SIS and Chicago e. North
western 434S. These reflected recover
les in companion stocks.
A feature in the oil list we're Texas
Corporation SIS, which broke to new
low since issue, at 81 points discount
During all the vicissitudes of the bond
market in recent months, Texas Corpo-
ration SIS held close TO prices just under
par, but heavy selling of the stock
Thursday and today caused the break
The bonds are convertible into the
stock at $75 a share until october
and thereafter at rising prices. The
stock today sold under Is.
Weakness in the railroad group af-
fected Allegheny SIS, Erie SIS and the
AVS of the Nickel Plate. These are
Van Sweringen properties and the
bonds were affected because of the sys-
tenn of collateral securities backing
some of them. Recently it was neceS-
sary to place additional collateral be-
hind the Allegheny IS and 1t was re-
ported today that still more may be re-
quired soon.
Prime issues that we're firmer included
besides United States Government bonds
and the cream of the municipal list
such corporation obligations as Amer.
lean Telephone SIS, AtchiSon general IS
balLlInOre q ONO IlESC As, 6OSCOn O
Maine SIS, Canadian Pacific As, Rocl
Island refunding As. Consolidated Ga'
51as, Columbia Gas SIS, Inland Steel Az
National Dairy Products 5H4s, NORTH
American Co. SIS, Standard Oil of New
Jersey SIS and youngstown Sheet 8
Tube SIS.
Apart from the weakness in Uruguayar
descriptions, the foreign list had few
features BraZilians were higher, while
Argentine bonds were unchanged, though
actively traded. Sac Paulo State anc
City obligations were firm. Most Euro
peans were unchanged to a shade better
Italy Is were still selling under par, bu
showing no inclination to break further
There were only few municipa
bonds offered today and the weeks tota
of new offerings will be one Of thu
smallest this year or last. Dealers, how
ever, report many recently offered bond
as undistributed, with little inquiry fol
anything except the highest grade. Botf
savings banks and insurance companie;
are finding diff1culty filling their port.
folio needs with desirable securities.
copyright, 1931)