NORTHEAST INVESTORS TRUST
NSAR-B, 1998-11-25
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<PAGE>      PAGE  1
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<PAGE>      PAGE  7
SIGNATURE   ERNEST E MONRAD                              
TITLE       TRUSTEE             
 

<TABLE> <S> <C>

<ARTICLE>                                            6

       
<S>                             <C>
<PERIOD-TYPE>                   12-mos
<FISCAL-YEAR-END>                              SEP-30-1998
<PERIOD-START>                                 OCT-01-1997
<PERIOD-END>                                   SEP-30-1998
<INVESTMENTS-AT-COST>                          2,297,946,665
<INVESTMENTS-AT-VALUE>                         2,081,683,359
<RECEIVABLES>                                  63,583,353
<ASSETS-OTHER>                                 0
<OTHER-ITEMS-ASSETS>                           0
<TOTAL-ASSETS>                                2,145,266,712
<PAYABLE-FOR-SECURITIES>                       0
<SENIOR-LONG-TERM-DEBT>                        0
<OTHER-ITEMS-LIABILITIES>                      2,046,655,613
<TOTAL-LIABILITIES>                            2,046,655,613
<SENIOR-EQUITY>                                0
<PAID-IN-CAPITAL-COMMON>                       2,019,936,840
<SHARES-COMMON-STOCK>                          196,523,494
<SHARES-COMMON-PRIOR>                          0
<ACCUMULATED-NII-CURRENT>                      9,892,802
<OVERDISTRIBUTION-NII>                         0
<ACCUMULATED-NET-GAINS>                        36,565,505
<OVERDISTRIBUTION-GAINS>                       0
<ACCUM-APPREC-OR-DEPREC>                       0
<NET-ASSETS>                                   2,046,655,613
<DIVIDEND-INCOME>                              13,897,782
<INTEREST-INCOME>                              198,114,280
<OTHER-INCOME>                                 5,724,029
<EXPENSES-NET>                                 16,013,005
<NET-INVESTMENT-INCOME>                        201,723,086
<REALIZED-GAINS-CURRENT>                       37,473,557
<APPREC-INCREASE-CURRENT>                      (216,263,028)
<NET-CHANGE-FROM-OPS>                         (99,830,852)
<EQUALIZATION>                                0
<DISTRIBUTIONS-OF-INCOME>                      191,510,245
<DISTRIBUTIONS-OF-GAINS>                       0
<DISTRIBUTIONS-OTHER>                          0
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<NUMBER-OF-SHARES-REDEEMED>                    103,164,662
<SHARES-REINVESTED>                            11,128,921
<NET-CHANGE-IN-ASSETS>                         263,814,943
<ACCUMULATED-NII-PRIOR>                       861,454
<ACCUMULATED-GAINS-PRIOR>                      0
<OVERDISTRIB-NII-PRIOR>                        0
<OVERDIST-NET-GAINS-PRIOR>                    0
<GROSS-ADVISORY-FEES>                          11,565,681
<INTEREST-EXPENSE>                             2,004,261
<GROSS-EXPENSE>                                16,013,005
<AVERAGE-NET-ASSETS>                           2,313,950,358
<PER-SHARE-NAV-BEGIN>                          11.79
<PER-SHARE-NII>                                1.01
<PER-SHARE-GAIN-APPREC>                      (1.42)
<PER-SHARE-DIVIDEND>                           .96
<PER-SHARE-DISTRIBUTIONS>                      .96
<RETURNS-OF-CAPITAL>                           0
<PER-SHARE-NAV-END>                            10.42
<EXPENSE-RATIO>                                .61
<AVG-DEBT-OUTSTANDING>                         78,314,493
<AVG-DEBT-PER-SHARE>                           0
        


</TABLE>


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