BIG CAPITAL ISSUES.
To the other influences which have favourably affected in- vestment stocks during the past few weeks must, of course, be added relief that the Budget Statement contained nothing particularly harmful to markets, while at the moment of writing, the main influences, apart from steady investment demands themselves, include hopes of an early reduction in the Bank Rate to 4 per cent, and the talk of a possible small Conversion Loan by the Government as there are lines of about £50,000,000 to £60,000,000 in bonds maturing this year. With regard to Bank Rate prospects, I feel that at the moment I can neither confirm nor challenge these hopeful anticipations, as the situation is obviously one where the tendency of gold movements and the foreign exchanges during the next few days is likely to be a determining factor. Never' theless, the strength of gilt-edged securities during the last fortnight is the more striking in view of the boom in capital issues, for during last week alone the public absorbed nearly 220,000,000 of new capital, while the amount subscribed by the public exceeded £50,000,000, the offer by the L.M. Railway of nearly £6,000,000 in 5 per cent. Debenture Stool' halving been covered over seven times.