Evening star., 1933-11-27
US. BONDS STRONG
AS FORE|GNS SAG.
Prime Rails and Utility Shares
Also RiSe-PeakS Set in
Federal List.
BY JOHN A. CRONE.
Special Dispatch to The Star.

special Dlspatch 10 Inc star
NEW YORK, November 27-
Strength of United States Government
issues and prime rails and public utili-
ties again contraSted sharply with the
weakness of foreign governments and
over-eas corporate securities in bond
trading today on the Stock Exchange.
The rally in Liberty and Treasury
issues to new highs on the current
movement reflected numerous factors
among them the belief that the S727,-
100000 of December Is maturitieS
would be refinanced in the usual routine
manner, the heavineSS of foreign cur
rencies. the R. F. C. gold price, un-
changed since last Tuesday, and a
statement from Acting Secretary of
the Treasury Morgenthau that at $50
pm. today he would announce the pur-
chases of Government securities by the
Government during the last week.
A break in the French franc, inlme-
diately following the formation of a
new cabinet, the fifth this year, by
Premier Camille Chautemps, caused
most French loans to open several
points lower. Exchange fluctuations
explained the declines in Switzerland,
Great Britain, and Italian bonds.
Some Fcreigns Gain.
Several groups of overseas loans
ranged from firm to strong They in
cluded Estonia Is, which country was
one of the few of the eight whose loans
were guaranteed by the League of Ma
tions that lived up to It's obligations; is
sues of Finland, which continues to pay
its war debts in full to the United
States, and German issues. The latter
have bsen accumulated here steadily by
German citizens, who see in dollar de-
probation chance to obtain bonus of
S500,000,000 by repatriating Reich loans
The German buying extended from the
governments to industrials and utilities
of that country.
The recovery in public utility issues
came as the Street was informed that
the present Knoxville Power & Light
Co. perhaps minus its street railway
operations, wou[l continue even after
the municipal plant, voted by a 2-tO'l
margin Saturday, goes into operation.
First-class rail bonds made the best
showing during afternoon trading, when
was up slightly more than a quarter
point Speculative rails ranked second
and industrials third. Public utilities
at this time were off slightly from
their forenoon bulge.
Steels Move Higher
Atchison General As. Pittsburgh, Gin
cinnati, Chicago G. st. Louis Consoli-
dated 4 Us of 1858; Union Pacific 4 4l2s
of 1867, Atchison Adjustments of 1895,
Baltimore & Ohio refunding 5s of 1900,
Burlington General As, Great Northern
General SIS and 4 IS. Kansas City Ter
minal first Is and Morris & Essex AIS
of 1855 were among the more prom
inent price gamers in the rails.
In the more speculative grades, Ale
ghany Corporation SIS of 1914 and 1850,
Chicago, Terre Haute refunding IS and
500 Line SIS firmed. Steels featured in
dustrials. Illinois Steel 4l2s and Mid
vale Steel e. Ordnance IS of 1886 were
higher. A few of the very high-grade
utilities held up well as others eased.
South American bonds generally were
soft, though Central Americans were
better. Municipals mirrored the better
tone of Liberty and Treasury issues.
The latter group finished at virtually
the peak of the session, erasing much
of the losses recorded a week ago.
Volume was less than in previous five
hour sessions, but. excepting the foreign
list, the finish was higher.
Copyright, l933)