Financial Notes
MARKETS GENERALLY FIRSI.
NoTwrrnsTANDINO- the stream of new capital issues there have been two_ factors which have exerted a favourable influ- ence upon high-Class investment securities daring the past week. One of -these was ..the_ success. which attended the cash portion of the New Zealand Loan. It will be remembered that this portion of the Loan was for the large amount of £7,000,000 in 4f per cents. at 95. Notwithstanding the fact that these terms were much less favourable to the investor than in the case of the Indian Loan, which had been issued a few days previously, the fact remains that the cash portion of the New Zealand Loan was over-subscribed, applicants receiving about 87 per cent. of the amount applied for. Another circumstance favourably affecting the gilt-edged market was the announcement of a reduction in the German Bank Rate from 7 to 01 per cent. It is the first reduction made by that Bank since the autumn of 1927, and was hailed with satisfaction as possibly marking the termination of German demands for gold in this market.
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