22 JULY 1927, Page 44

Financial Notes

TILE AUSTRIAN CRISIS.

FOREIGN Government securities have been somewhat disturbed during the past week by the unexpected sensational develop- inent in Austria. The revolution seems to have been subdued almost as quickly as it arose, but the movement was evidently severe while it lasted and the causes are not clear. The Austrian Loan chiefly dealt in here is, of course, a sterling issue With a guarantee by various countries, and; consequently, only a moderate fall has occurred in the price. Moreover, there seems good reason to hope that not only will the revolution prove to have been quickly crushed, but that it will serve as a warning to extremists in the country and to any agencies abroad who may have been instrumental in fomenting the movement. At the same time the events have also served as a reminder of the need for vigilant caution in everything pertain- ing to political and, therefore, to financial conditions in Europe. On the Stock Exchange one effect has been rather to lessen the interest in foreign securities and to occasion once more a greater concentration upon high-class home stocks.