Evening star., 1933-10-18
FIRM TONE MARKS
TRADING. IN BONDS
European Loans Hardened.
Reports Bring SpecuIa-
tive Rail Buying.
BY JOHN A. CRONE.

Special Dispatch to The Star.
NEW YORK. October 18.-The Bond
Market was dull but firm today. In
fluenced by the improvement of foreign
financial exchanges, European loans
hardened The heavy oversubscrlption
to the new Treasury issue and the
rapidity of conversions of the Fourth
Liberty Alas bettered United States
Government issues.
Indications that monthly railroad
earnings will continue to show the up
trend that marked statements the last
few months brought about resumption
of speculative rail buying. Public utlll-
ties were somewhat influenced by the
lower electrical output last week, which
resulted from reduced industrial pro-
duction. partly the result of strikes.
Amusement. steel and petroleum deben-
lures mirrored the days news from
those quarters.
French Governments Lead.
French governments and cities. then
Reich governments, municipalS and IN
dustrials led the upsWing in European
loans during the first two hours. French
rs of l949, Bordeaux IS, German 5lss,
Bremen State rs. Hansa Steamship os,
German Agricultural Bank IS OF 1888
and Ilseder Steel 6s registered the Wld-
est gains at this time. Later SWltzer-
land 5 IS advanced.
japanese 61as were the outstanding
issue in the Asiatic group. Uruguay 6s
and San Paulo State Is netted the best
gains in the South American list
though Argentine Governments retained
their leadership in volume. Buenos
Aires cables indicates sharp reductions
in acreage of wheat. linSeed, oats, rye
and barley contrasted with year ago
Plus signs predominated in the United
States Governments at midday as the
Treasury IS of 1851, Liberty 3ias OF
,1947, Treasury 4l4s of 1947 and First
Liberty Convertible 4l4s were all a
shade higher Only the called Fourth
Liberty 4l4s then showed decline OF
more than ne-thirty-second.
Junior Rails Forward.
Junior rails pushed forward during
the first two hours as preliminary load
ineS for the week indicated compare
lively little change from the preceding
week and early September earning
statements were encouraging in view OF
the fact that carriers have been plough
ing more net back into their properties
to make up for deferred maintenance
on plant and equipment
Chicago & Western Illinois IS, st.
Louis-San FrasciSco prior lien SIS of
1850 and Wabash refunding 5l2s of
-lS75 opened higher in the lower-priced
rail division. Later Ann Arbor As OF
1895 and Denver & Rio Grande West
ern SIS of 1855 hardened
ST. Paul adjustments and the gold
IS edged forward. Chicago g. North
western 434s became more active.
Southern Railway issues were aided by
the appearance of their August earning
report, showing net income of S53, ,422
against net loss of s1,170,384 in the
same month a year ago Early declines
in Great Northern Railway issues were
Stemmed by report that the road en-
ioyed good traffic in September because
of a heavy movement of ore.
Allegheny Corporation IS of 1850
yielded a point, while Chesapeake Cor
poration IS and some of the Nickel Plate
issues receded. Several Baltimore g.
Ohio bonds, especially the IS of 1895
and the refunding IS Of 1000, were firm
and active in early afternoon dealings.
Lake Shore 3las, New York Central 3l2 i,
louisville & Nashville As and Union Pa
cifc as of 1868 we're conspicuously
strong in the high-grade rails. where
Union Pacific first As and Atchison
general As shuttled back and forth with
in narrow. range.
Copyright. 1880