Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-04-30
BONDS co UPWARD
AS TRADING GROWS
Investments Trend Appa-
rentIy Follows Stock Mar
ket in Improvement.
BY F. H. RICHARDSON.
Special Dispatch to The Star.

special DlSpaLCn 10 Inc star.
NEW YORK, April 30.-Taking its
cue from the stock market, investment
trading today brought an upward trend
of bond prices. In the case of volatile
speculative issues this was undoubtedly
caused by short covering; but the pres
ence of a moderately heavy buying in
quiry was evidenced by the increase in
volume on the upturn.
However, in the case of foreign dollar
bonds, the buying was thin and It was
apparent that, while gains of , to 4
points were not uncommon. the position
OF these issues was not viewed any more
favorably than recently.
Money rates were easier with 90-day
loans, while officially quoted at 134 per
cent, available as low as ~ per cent
and with no activity at those levels
The market was disposed to look for a
reduction of the Federal Reserve redis-
count rate, owing to the advance today
OF United States Treasury issues, but
its effect on the rest of the bond market
was expected to be negligible.
Probably the junior railroad bonds
benefited most by the upturn St.
Louis-San Francisco 4E2s, for instance.
were up points after the first two
hours and later recovered further. Mis-
souri-Pacif1c SIS, recently at a l4-point
NAOSONAN, "OAS d pOlIlI Hi
around. st. Paul Adjustments and IS
had substantial recoveries. So did
Rock Island 412s of 1860. Others to
gain included Erie SIS, International
Great Northern B SIS, Denver & Rio
Grande Western SIS, Nickel Plate 4Ibs
and Southern Railway is. The last
named recovered sharply after touch
ing a new low at 70 shortly after the
opening.
To a lesser extent the strength af-
fected high-grade issues as well, par
tlcularly those recently offered descrip-
lions which had been selling at sub
stantial discounts. Southern Pacific
412s of 1881, for example, moved UP
over point from their low in early
trading and later extended the gain.
Pennsylvania 4Hs improved.
Baltimore & Ohio AVS of 1860 were
nearly point higher. Other prime Is.
sues to advance included American
Telephone SIS, Great Northern rs, Kan
sas City Southern SIS, New York Central
AIS, Northern Pacific IS, Pennsylvania
general 4l2s, Standard Oil of New Jer-
sey SIS. Union Pacific refunding As, Utah
Power & Light IS and Western Union SIS
The improvement extended to JUNO:
industrial and public utility descriptions
such as General Theaters Equipment
IS, Goodyear SIS, Goodrich IS and 6l5s
marlborough rs, International Match
SIS, international Telephone 41as, SIS anc
convertible AIS. Warner Bros. Picture;
IS and American International SIPS.
In foreign dollar bonds the gain:
were widest where there most obviously
has been short interest operating
Brazil 612s and IS recovered over {
points. Brazil Central Railway rs, after
recovering 6 points yesterday. added
more than points. The entire Sac
Paulo group improved. notably the SIS
of 1857, on which May Is service wa;
received in New York Wednesday.
Uruguay IS and 8s went along alsC
under active buying. The gains were
narrowest In the Argentine group. where
declines had been comparatively small
German government 512s we're back
around 80. German General Electric
issues were firm. So were French, Bel
gian, Italian and Austrian bonds. JAP
anese issues we're inclined to softness.
There was little more than 81 000,-
900 in new municipal bonds offered to-
day in a market that was still being
marked up owing to the scarcity Of
good municipal bonds. New York State
bonds were quoted today on yield basis
as high as 3.39 per cent. This is only a
shade away from the price Of Treas
ury 4K4s.
Copyright, 1919