Finance: At Fever Levels

Whenever the cost of borrowing swings to extreme highs or lows, financiers regard it as a signal of national ill-health. Last week interest rates for long-term securities climbed to a level that clearly meant economic fever.

For example, underwriters provided $25 million worth of Kansas City Power & Light bonds with a 6.67% rate, a record among top-grade electric utilities. New York City sold $45 million worth of housing bonds that offered investors up to 5.36% tax free, the juiciest return on a city issue since the early '30s. Most startling of all, the Federal Government paid its highest interest...

Want the full story?

Subscribe Now

Subscribe
Subscribe

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 TIME.com

Learn more about the benefits of being a TIME subscriber

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