COLDLY WELCOMED

Wairarapa Times-Age, 7 June 1939, Page 5

COLDLY WELCOMED

COMMONWEALTH LOAN IN LONDON MONEY FOR MILITARY MATERIAL COMMENTS BY FINANCIAL PAPERS. INDICATION OF WHAT N.Z. MAY EXPECT. By Telegraph—Press Association—Copyright. (Received This Day, 9.15 a.m.) LONDON, June 6. The Australian issue of £6,000,000 worth of 4 per cent, registered bonds (to meet Australian defence expenditure in the United Kingdom) was given a mixed reception by the newspapers. The "Financial Times” expresses discontent that the Commonwealth had entered the market before sufficient time had elapsed to enable the digestion of the South African and Northern Ireland issues. The "Financial News” similarly considers that the market is not yet in a condition to bolt a heavy meal, though it admits the terms are generous, even over-generous in the eyes of Australians. The “Manchester Guardian’s” City writer considers that nothing like the over-subscription of the Northern Ireland and South African loans can be expected as the Commonwealth loan is much longer-dated, without offering more than a fractional additional yield. The result will be an indication to New Zealand of what terms she may expect in the forthcoming, conversion, but is unlikely to shed any light on British borrowing, as patriotic appeals to investors will play a part in the result.