MILLION FOR SYDNEY
NEW YORK ASKED TO FLOAT L£>AN AUSTRALIA’S CREDIT POSITION
United P. A.—By Telegraph—Copyright NEW YORK, Thursday. It is understood that Sydney Civic Commissioners are negotiating for a loan of £1,000,000. The terms and rate of interest are said not to have heen yet agreed upon. It is wholly conjectural, but there is good reason to believe that the bonds will bear interest at 5 per cent., and will be sold at a price that will bring the purchasers 0 per cent. Feeling in Wall Street is that since Sydney never has entered the market before, and owing to the peculiarly ‘'bearish” news from Australia recently, the underwriters will be compelled to offer the securities at attractive prices to ensure their being bought up quickly. The depression in the American bond market generally, and in foreign issues particularly, makes this even more certain. One well-in former! banking statistician says the Sydney authorities probably well realise this before deciding to enter the local market. It is understood that Messrs. J. B. Were and Sons, of Melbourne, are handling the Australian end of the negotiations.
INTEREST PAYMENTS
STOPPAGE RUMOUR DENIED CANBERRA, Thursday. Vigorous denials were given today by the Prime Minister, Mr. J. H. Scullin, and the Treasurer, Mr. E. G. Theodore, to the rumours cabled from London yesterday that the Commonwealth and the States were contemplating a postponement of interest payments abroad. Mr. Theodore said: “I have-not heard of the rumour, which has no foundation whatever. There has been no consideration of such a subject by the Commonwealth or the States.” A i' ,lr Cut joint statement was made this evening by Mr. Scullin and Mr. T >?, eod , nre ’ The y sald it was unthinkable that Australia intended to postpone interest payments, which would b,e met with unfailing regularity and promptitude in the future, as in the past. The exchange position would be much alleviated by the action agreed upon between the Commonwealth and the Australian trading banks, for the immediate export to London of a considerable sum in gold
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Bibliographic details
Sun (Auckland), Volume III, Issue 891, 7 February 1930, Page 9
Word Count
341MILLION FOR SYDNEY Sun (Auckland), Volume III, Issue 891, 7 February 1930, Page 9
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