IMPENDING GOVERNMENT MATURITIES.
During the next five months there are exceptionally large amonpts in Government bonds maturing and at one time that circumstance would have been quite sufficient in itself to exert a damping influence over prices of British Funds. On September 1st short term bonds will mature, the amount generally estimated in the market as outstanding being about £35,000,000. On February 1st next year, however, maturities reach a total of more like £170,000,000 and for these provision will have to be made. There are two points, however, which explain why the proximity of these maturities has little efiect upon long-dated investment stocks. The first is that because present conditions are not propitious for the issue of new long-dated loans, the probability is that conversion may be largely offered into comparatively short-dated bonds. The other explanation is to be found in the fact that most of the maturing obligations are held by the Money Market, and judging by former opera- tions, the whole matter of renewal, or rather conversion, is likely to be arranged on lines occasioning an absolute minimum of disturbance to Lombard Street.
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