Last night the bonds went up on the local market, not because of these or of other reports, but because political conditions warranted a drop and because the big banking speculators have learned enough of high finance to know that when a drop is in order it is good gambling to force a rise, Actually the bonds appear to be in for a slow but steady decline. Their value used to fiuctupolitical conditions, but since ate according to economic or
margin gambling has been introduced the obvious tendency has been for quotations to go diametrically opposite to political indications. The worse the prospects the bigger the boom In well informed circles this cannot last long. Even the most em-ational investor is going to understand this game sooner or later and, whatever the fluctuations due to manipulation or speculation may be, the general trend of the bond values cannot be otherwise than downwards at this time.
Apart from the effect of political conditions upon the security (and the Chinese Government, as evinced by Waichiaopu action, shows a serious determination to get this security away from the Customs Administration willy-nilly) economic conditions present a fixed standard of measurement which no amount of propaganda can gainsay.
Text read from the printed page and cleaned; old type leaves the occasional error.