FISCAL: Free Market Tremors

With the dropping of support by the Federal Reserve System, long-term Government bonds last week slipped below par for the first time since 1939. The tremors in the bond market had the usual effect; they spread to the stock market, already queasy because of selling to pay income taxes, and set off the stock market's worst break of the year. In three days the Dow-Jones industrial average dropped 8.07 points to 243.95, lowest since January.

The tremors were not lasting. FRB decided to support the bond market again and it firmed up. By week's end the stock market had also...

Want the full story?

Subscribe Now


Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!