Financial Notes
HESITANT MARKETS.
A IIESIT.ANT tone continues to characterize the stock markets, and for the most part price movements during the past week have been small and of an irregular character. Uncertainty us to whether the case in money will be indefinitely prolonged seems to have checked the buying of British Funds and gilt- edged securities, while the poor success attending some recent issues of Corporation stocks has also damped the market. In the issue of the Barnsley Corporation for £1,000,000 in 31 per cents at 98 underwriters received about 78 per cent., while in the issue of the Essex County for £1,000,000 in al per cents at 981 underwriters received 88 per cent. As a conse- quence of the poor success attending these issues and the con- sequent dangers of financial congestion in the market, a tem- porary check seems to have been imposed by the authorities on trustee issues. The announcement of this probable pause in issues had for the moment a stimulating effect upon the investment markets, but opinion has become somewhat divided as to whether it would not be better to let prices of . investment stocks find their own level, with the result that borrowers would be compelled to give to the investor a better yield on securities. Later in the week Government Stocks
rallied after the rise in • sterling and a large influx of gold. * •
Previous page
