Evening star., 1932-02-09
BONDS ARE STEADY
| IN LIGHT DEALINGS
Feature of Market Is ReC0v'
cry in Issues of Railway
Companies.
BY F. H. RICHARDSON.

Special Dispatch to the Star.
NEW YORK, February 9.-Bonds had
a steady tone today in dull trading.
The market opened narrowly higher,
but trading was in small volume. There
was tendency to ignore the Shanghai
situation as a market factor and to
look hopefully toward Geneva, where
the American disarmament proposals
have been presented. At home the fact
that the Reconstruction finance Cor
! poration was getting down to the
actual business of making loans was
a factor on the constructive side.
Most of the railroad bonds recovered
from u to 11a points. This was at
tributable largely to technical re-
| covery, following the declines OF 2 to
4 points that have accurred in the past
three inactive sessions of the market.
Allegheny CorpEation SIS were "a to
l point higher. n was reported that
even in the event of a dividend cut by
Corporation, the collateral backing Al
legheny Corporation bonds would yield
sufficient income to pay interest
charges. Chesapeake Corporation SIS
dropped point Chesapeake & Ohio
41as were fractionally lower.
Gains OF point or more occurred in
Chicago & Northwestern 434s, Rock
Island refunding As, Missouri-Pacific
5l2s. New York Central 4l2s, Nickel
| Plate IS, Southern Pacific refunding As
| and Western Maryland As.
United States Government issues
were about "a point higher. The re-
| suits of President Hoover's campaign
against boarding have been felt to some
extent il the demand for long term
| Treasures and Liberties, which TODAY
were all selling around 420 to 425
per cent yield basis.
For the same reason there was a
| better tone in municipals of the best
grade. and high-grade corporation is
| sues like American Telephone SIS, Con-
solidated Gas 5 rs. Duquesne Light AIS,
Utah Power & Light SIS and New York
Telephone 412s sold at firm prices. How
ever, there was no general upturn in
! lower grade utilities. The insult group
! Of Utility Bonds, most of which are
traded on the Curb Exchange were
| in New York City Traction and in
| international utility issues tuch as In
| ternaticnal Telephone 4l2s. American
| g. Foreign Power IS and International
Hydro-Electric IS. Industrials were in
active.
In the foreign list trading was even
ouieter. Ujigawa Electric Power 6s,
japanese dollar bond, ran up nearly 5
points to 10 and then slumped abruptly
to Mondays closing level. japanese
government issues were unchanged.
Firmness characterized British 5l2s,
French rs and the rest of the European
list. South Americans were firm, espe-
cially Colombian issues. which reflected
the government decision to pay in
terest in script until such time as eco
nomic conditions rendered the pur-
chase of foreign exchange practicable.
Australian obligations were steady.
Bonds were firm at the opening.
Trading was active.
Developments at Geneva gave a
firrner tone to foreign securities in Spite
of the Shanghai situation. German
government rs were off fractionally. but
there were advances in Great Britain
5l2s, French rs. Belgian 6S, Austrian
rs, Italy rs, Poland rs and other Eu-
ropean bonds. South Americans also
were slightly higher Colombia IS were
point higher, following the decision
of the government there to pay inter-
est obligations in script. japanese
issues we're unchanged.
In the domestic list gains Of a point
or more occurred in Baltimore g. Ohio
4l2s, Erie SIS. Southern Pacific refund
ing As and Chicago & Northwestern
43as. IndustrialS were firm.