NEW SOUTH WALES LOAN

Dominion, Volume 13, Issue 231, 24 June 1920, Page 5

NEW SOUTH WALES LOAN

NEW STANDARD H)B FUTURE - . ISSUES. ; ■ London, June 22. The New South Wales loan of ,£2,500,000, at 6J per cent., has been .underwritten. ' , The underwriting commission on the loan is I per oent, aa compared with 1} per cent, paid on recent British issues. There i 9 a disposition in sonio financial.'circles to attribute, the high' price of the loan to fear of legislation similar to that in Queensland; but the general opinion is that there is no reflection on the credit of New South Wales. It is pointed out that the conditions have not improved, and the ncw : high level is likely-to set a new standard for other issues in the near future. —Aus.-N.Z. Cable Assn. ' DROP IN GOVERNMENT SECURt- ■ TIES, (Rec. June 23, 10.5 p.m.) London, Juno l! 2. Nearly ail Goveftunent securities, are lower, mostly a quarter per cent. The price of the New South Wales issue is largely the cause, but the political outlook on th 6 Continent and in Ireland is a contributing factor. Stock Exchange opinion is that it would have been preferable to offer 6 per cent, at a disco'iut in'order to avoid creating a now standard. The "Westminster Gazette" *iiys the question being asked is whether Xeiv Soutu Wales has not offered the new rate somewhat too , rapidly.—Aus.-N.Z. (.'able Assn.