DOMINION'S CREDIT FALLING.

West Coast Times, 14 June 1912, Page 3

DOMINION'S CREDIT FALLING.

NEW ZEALAND’S BIG LOAN. UNDERWRITERS TAKE BULK OF ISSUE. SIGNIFICANT REMARKS BY “TIMES.’’ [teb press association.- -copyright.? LONDON, June 13. Tho underwriters receive eightyseven per cent of the New Zealand loan.

Tho “Times” says that tho market dii not like tho issue, not only because tho amount was inconveniently huge, but because the yield was so high as to make the existing colonial sccnrites lock dear. No doubt tho trims of this loan more nearly represent the facts as to the credit of New Zealand and some other countries than ideas hitherto prevailing in official circles.

The “Financial Times” says in view of the attractive terms offered the result of the New Zealand loan indicates what market for investment such issues offered.

DISTINCT WEAKNESS APPARENT. DUNEDIN, June 13. Prominent financiers and mercantile men, seen by a Dpnedin Star representative, expressed the opinion that the floating of the four-million loan for two year® showed distinct weakness in our finance. Money must become tighter and ratoi higher in a very short time. A share broker pointed out that an Indian loan of three millions, floated in London in April last, was underwritten to exactly the same amount, tiz. 87 per cent of tho total, was left in the hands of underwriters'. Home papers, commenting on this, said evidently the English investor now wanted a higher rate of interest on fain money.