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MONTHLY REVIEW OF B U S IN E S S C O N D I T I O N S JOHN PERRIN, Chairman of the Board and Federal Reserve Agent Federal Reserve Bank of San Francisco Vol. IX San Francisco, California, April 20, 1925 No. 4 SU M M ARY OF N A T IO N A L CONDITIONS Production in basic industries was smaller in March than in the two preceding months, but was as large as at any time in 1924. Dis tribution of merchandise, both at retail and wholesale, was in greater volume than a year ago. Wholesale prices, after increasing since the middle of 1924, remained at about the same level in March as in February. Production. The Federal Reserve Board’s index of production in basic industries declined in March to a level 5 per cent below the high point reached in January. Iron and steel pro duction and cotton consumption showed less than the usual seasonal increase during March and activity in the woolen industry declined. There was a further decrease in output of bituminous coal. Increased activity in the automobile industry was reflected in larger output, employment, and payrolls. In general, factory employment and payrolls increased during the month. Value of building contracts awarded in March was the largest on record, notwithstanding the recent considerable reduc tion in awards in New York City. Trade. Wholesale trade in all principal lines increased in March and the total was larger than a year ago. Sales at department stores and by mail order houses increased less than is usual at this time of the year. Stocks of shoes and groceries carried by wholesale dealers were smaller at the end of March than a month earlier, and stocks of dry goods, shoes, and hardware were smaller than last year. Stocks of merchandise at department stores showed more than the usual seasonal increase, and were somewhat larger than last year. PER PER CENT P rodu ction in B a sic Industries — Index of 22 basic commodities corrected for seasonal variation ( 1 9 1 9 = 1 0 0 ) . Latest figure, March, 120. CENT W h olesale Prices — Index of U . S. Bureau of Labor Statistics (1 91 3 = 100, base adopted by Bureau). Latest figure, March, 161. T h o s e d e s i r i n g t h is r e v ie w s e n t t h e m r e g u l a r l y w i ll r e c e iv e i t w it h o u t c h a r g e u p o n a p p lic a t io n . 26 April, 1925 M O N TH LY REVIEW OF BUSINESS CONDITIONS Prices. Wholesale prices of most groups of commodities included in the index of the Bureau of Labor Statistics declined somewhat in March, but owing to an advance of food prices, particularly of meats, the general level declining rapidly between the middle of Janu ary and March 25th, increased during the fol lowing weeks, but on April 15th were still $633,000,000 below the maximum reached in January. B IL L IO N S B IL L IO N S OF D O L L A R S OF DOLLARS LEARNING a s s E T S \ DIS c o u n t s ! [» ii\ i* i \ JL#^ jp a ¥V r 19 2 2 M e m b e r B a n k C r e d it— W e e k ly figures for m em ber banks in 101 lead ing ». i tv W . i s / w\ t u s -s e c * / AND ACCEPTANCES 19 23 19 24 19 25 R eserv e B ank C r e d it — W e e k ly figures for 12 Federal R eserve B anks, cities. L atest figures, A pril 15. Latest figures, A pril 22. of prices remained practically unchanged. Prices of many basic commodities, however, were lower at the middle of April than a month earlier. Bank Credit. Volume of loans and invest ments at member banks in principal cities con tinued at a high level during the five-week period ending on April 15th. Total loans de clined, reflecting chiefly a reduction in loans on stocks and bonds, and also some decrease in loans for commercial purposes. Investment holdings, which early in March had been nearly $300,000,000 below the high point of last autumn, increased by the middle of April by about half this amount. Demand deposits, after At the reserve banks the volume of earning assets on April 22nd was about $75,000,000 below the high point at the end of February, but continued above the level of a year ago. Discounts for member banks were about twice as large in April as at the exceptionally low point in the middle of January, while total United States securities and acceptances held were in smaller volume than at any time during the year. Somewhat easier money conditions in April were indicated by a decline of oneeighth of one per cent in the open market rate on 90-day acceptances to per cent and by sales of prime commercial paper at below four per cent. T W E L F T H FE D ER AL RESERVE DISTRICT CONDITIONS Statistical Summary— M arch, 1925 Bank Debits— 21 cities*.............................. $2,826,955 138 Bank Debits— Index Numbersf— 20 centers.. . . Building Permits— 20 centers....................... !$40,216,339 147 Retail Sales— 32 stores— Index Numbersf....... Savings Deposits— 71 banks*....................... $1,090,682 641,971 Lumber Production— 4 associations— board feet* 600,839 Petroleum Production^— California— barrels.. . 353,703 Flour Production— 16 companies— barrels....... Reporting Member Bank Loans and Discounts§* $1,100,904 Reporting Member Bank Deposits§*.............. $1,553,789 $28,762 Federal Reserve Bank Discounts]]*............... 77.8 Federal Reserve Bank Reserve Ratio|| ......... Febru ary, 1925 M arch , 1924 F ebru ary, 1924 $2,554,320 $2,719,446 $2,521,733 149 133 141r $32,649,155 $39,360,562 $34,176,113 150 138 159 $l,090,427r $985,700r $981,479r 524,379 655,341 605,549r 602,494 642,363 666,939 512,639 578,314 414,985 $1,093,957 $1,019,848 $1,016,297 $1,525,973 $1,336,403 $1,339,163 $23,689 $35,738 $48,564 81.3 77.6 79.4 M a rch , 1925H com pared w ith M a r., F e b ., 1924 1925 4.0 3.8 2.2 6.5 10.7 — 2.0 — 6.5 — 31.0 7.9 16.3 — 19.5 — 4.3 * I n th ou sa n d s . t A d ju s t e d f o r se a s o n a l v a r ia tio n s — 1919 m o n t h ly a v e r a g e = 1 0 0 . $ D a ily a v e r a g e p r o d u c t io n . § A p r il 8, M a r c h 11, 1925, a n d A p r il 9 an d M a r c h 12, 1924. ||A p r il 15, M a r c h 18, 1925, a n d A p r il 16 a n d M a r c h 19, 1924. r— rev ised . ^ P e r c e n ta g e in c re a s e o r d e c r e a s e ( — ) . 10.7 — 7.4 23.2 — 2.0 0.02 22.4 — 0.3 — 14.8 0.6 1.8 21.4 — 2.0 April, 1925 Agricultural Activities Rainfall data for the Twelfth Federal Re serve District, as collected at representative stations of the United States Weather Bureau, are given in the following table: Stations A r iz o n a : F la g s ta ff ................ P h o e n ix ................. C a lifo rn ia : E u rê k a ................... F r e s n o ................... L o s A n g e le s R e d B lu ff ............ S a c r a m e n to .......... S an D ie g o ............ San F r a n c is c o . . . S an J o s e ............... S an L u is O b is p o . Id a h o : B o is e ...................... L e w is t o n .............. N evada : R e n o ........................ O re g o n : B a k e r C ity .......... P o r t la n d ............... R o s e b u r g ............... U ta h : S alt L a k e C it y . . . W a s h in g t o n : S ea ttle ................... S p o k a n e ................. 27 FEDERAL RESERVE AGENT A T SAN FRANCISCO July 1, 1924 to A p ril 15,1925 July 1, 1923 to A p ril 15,1924 July 1 to A p ril 15 (actual) (actual) (norm al) 14.05 2.17 18.29 8.81 19.61 7.40 34.29 8.25 6.50 24.01 15.22 4.82 26.13 11.65 17.60 20.50 5.00 6.10 12.01 7.72 5.33 11.62 6.48 8.04 40.82 8.48 14.64 22.40 18.04 9.23 20.59 15.48 18.60 10.20 9.85 7.87 10.32 9.99 10.28 4.90 3.75 6.04 34.15 36.25 26.06 17.71 9.94 38.88 30.23 11.91 12.40 12.24 29.85 12.75 22.06 9.79 29.37 14.99 7.96 Condition of the winter wheat crop of the district on April 1st was below the average of the past ten years. In important wheat raising sections of Washington and Oregon winter losses were unusually severe and much of the area had to be reseeded, a task which is now practically completed. In California, the con dition of the crop, although below the 10-year average, is better than a year ago, when lack of seasonal rainfall caused abandonment of many fields. Figures of the United States De partment of Agriculture follow : W IN T E R W H E A T A r iz o n a . C a lifo rn ia C o n d itio n A pril 11, 1925 1924 87 90 80 60 74 91 92 97 55 101 93 91 28 85 68.7 83.0 10-Y e a r A ver age D e c . 1, A p r . 1 1924 92 89 88 88 93 82 94 95 94 87 93 86 87 77 81.2 81.0 Preliminary reports indicate that sugar beet acreage in important growing sections will be about the same as last year when 222,000 acres were planted. Recent estimates indicate that there will be 16.400.000 boxes of oranges and 4,600,000 boxes of lemons produced in California during the 1924-1925 season, compared with 20,865,262 boxes of oranges and 5,167,518 boxes of lemons produced during the 1923-1924 season. This year’s crop was reduced by frost damage during December and by a decline in size of individual fruits which* has followed upon tw^o years of deficient soil moisture in many groves. Shearing of the district’s wool clip is now in progress. The clip generally is reported to be of good quality, and it is estimated that the yield will be slightly larger than in 1924 when 86.956.000 pounds were produced. Sale of the clip has lagged since the beginning of the year, and prices offered growers during recent weeks have ranged from 3 to 6 cents per pound below prices prevailing earlier in the season (40 to 53 cents per pound). Wool growers received prices ranging from 33 to 43 cents per pound for their 1924 clip. Agricultural marketing trends, as indicated by comparative figures of the movement of cer tain of the district’s important crops, figures of market receipts of livestock, and of cold storage holdings of butter and eggs, are shown in Table “A .” Industrial Activity General industrial activity in the Twelfth Federal Reserve District increased seasonally during March, but continued at slightly lower levels than one year ago. Employment statistics for California and Oregon show seasonal increases in number of persons on payrolls during March. Available non-statistical reports on employment condi tions in other states of the district also reflect increases in demand for workers during the past month. In most trades and industries the volume of employment is slightly smaller than (A ) Agricultural Marketing Activity— <-------G arlot S h ip m e n ts -------\ t------ E x p o r ts -------->, W heat* Barley* A p p le s* Portland and San 12th O ra n gesf L e m o n s f Puget Sound F ra n cis co D ist. C a lif. C a lif. M on th ly (1000 b u .) (lOOObu.) (cars) (cars) (cars) M arch , 1 9 2 5 ............................................... 37 53 1,049 4,523 815 F e b ru a r y , 1 9 2 5 .............................................. 96 93 1,371 2,685 582 M a r c h — F iv e -y e a r a v e ra g e .................... 1,085 571 1,767$ 5,021.2 846.2 r-------------------------C ro p Y e a r ---------------------------s 16,209 6,922 36,155 17,977 3,362 (2 2 .8 ) (3 3 .9 ) (7 8 .6 ) T o M a r c h 31, 1 9 2 4 . .................................. 26,490 9,130 56,047 15,039 3,121 (1 8 .4 ) (1 9 .8 ) (8 5 .3 ) F iv e - Y e a r A v e r a g e t o M a r c h 3 1 ____ 20,122 9,951 44,309$ 17,811 3,048 ( 1 7 .5 ) (2 3 .8 ) (8 2 .9 ) Cu m ulative T o M a r c h 31, 1 9 2 5 .................................... F ig u r e s in p a re n th e s e s in d ica te p e r c e n ta g e o f n e w c r o p o n ly . $ T h r e e -y e a r a v e r a g e . § F o u r -y e a r a v e r a g e . (¡A t en d o f m o n th . * S e a s o n b e g in s J u ly L iv e s to c k R eceip ts Cold Storage Holdings II at Eight M ark ets in 12th D istrict 12th D istrict C attle Butter Eggs and (1000 (1000 C a lve s H ogs Sheep lb s .) cases) 102,566 200,089 152,210 138.3 145.3 100,116 250,860 154,099 662.2 7.3 89,499 176,885 181,429 222.4 111.1§ (-------------C a len d ar Y e a r ---------------^ 329,183 767,939 485,965 313,211 808,099 538,027 275,375 602,674 546,554 1st. f S e a s o n b e g in s N o v e m b e r 1st. 28 April, 1925 M ON TH LY REVIEW OF BUSINESS CONDITIONS one year ago. Current employment data for California and Oregon are presented in Table “B.” The value of building permits issued in 20 cities of the district during March, 1925, was 2.2 per cent greater than in March, 1924, and 23.2 per cent greater than in February, 1925. The latter increase was less than that which usually occurs at this season of the year. The number of permits issued during March, 1925, was 32.0 per cent greater than in February, 1925, and 2.5 per cent smaller than in March, 1924. Dis trict percentage comparisons appear below, and detailed figures by cities are presented in Table “ C” (page 29). B U I L D I N G P E R M I T S I N 20 C I T I E S M o n th in 1925 com pared w ith sam e M o n th in M o n th in 1925 com pared with p receding M on th ly Y e a r-to -d a te M on th N o. V a lu e N o. V a lu e N o. V a lu e M a r c h . . — 2 .5 % + 2 .2 % — 9 .0 % — 2 .3 % + 3 2 . 0 % + 2 3 . 2 % F e b ru a r y .— 1 8 .0 % — 4 .5 % — 1 2 .7 % — 4 .9 % — 7 .2 % + 3.8 % J a n u a ry . — 7 .1 % — 5 .3 % — 7 .1 % — 5 .3 % + 2 1 . 2 % — 0 .0 5 % ing associations were 7.8 per cent larger than in March, 1924, although production and ship ments were slightly smaller than a year ago. Reporting mills booked orders for 5.0 per cent more lumber than they produced during March, 1925. L U M B E R A C T IV IT Y * M a r ., 1925 F e b . , 1925 (board feet) (board fe e t) P r o d u c t io n ........................... 641,971 S h ip m e n ts ............................. 639,498 O rd e rs .................................... 674,211 U n fille d O rd e rs ................ 323,483 N o . o f M ills R e p o r t in g . 181 M a r ., 1924 F e b ., 1924 (board feet) (board fe et) 524,379 556,735 535,760 344,112 180 202 655,341 605,549 672,561 641,578 625,328 595,695 377,935 404,283 203 * A s r e p o r te d b y fo u r a s s o c ia tio n s , 000 o m itte d e x c e p t in c a se o f n u m b e r o f m ills r e p o r tin g . Increasing activity in domestic lumber mar kets, particularly in the Middle West, was re ported during March. Foreign markets con tinued relatively sluggish. t----------------------- 1924-----------------------% According to the index of the United States Bureau of Labor Statistics, wholesale prices of building materials stood at 180 in March, 1925, compared with 183 in February, 1925, and 182 in March, 1924 (1913 prices=100). Building costs, including labor and materials, are esti mated to be about 2.4 per cent less than a year ago. The lumber industry of the district cut, sold, and shipped more lumber during March than during February, 1925, the increases being largely seasonal. Sales of mills in four report- (B) Employment— Industries S to n e , C la y an d G lass P r o d u c t s . ■ C a lifo r n ia ------ s — O r e g o n ----------- ^ r N o. of N o . of N o . '—E m ployees —s N o . -— E m p loyees — of M a r., F e b ., of M a r., F e b ., F irm s 1925 1925 Firm s 1925 1925 42 M e ta ls , M a c h in e r y an d C o n v e y a n c e s 171 L u m b e r an d W o o d M a n u fa c tu r e s . . 113 L e a th e r and R u bber G oods. . C h e m ica ls , O ils , P a in ts , e t c ......... P r in t in g ................. T e x t ile s ................. C lo th in g , M illin e r y a n d L a u n d e r in g . 22 M is c e lla n e o u s A ll .... I n d u s t r ie s .... 6,661 36,066 ( 1 .7 ) 35,456 26,396 ( 2 .0 ) 25,870 5 258 ( 3 .6 ) 249 52 16,180 ( 4 .5 ) 15,488 34 14,696 ( — 0 .1 ) 7,753 ( 1 .9 ) 1,891 13 (0 .7 ) 14,718 65 7,610 M a r., 1925 1,877 4 835 ( 4 .4 ) 800 7,641 ( 1 .2 ) 7,547 8 479 ( — 0 .6 ) 482 27,881 ( 3 1 .4 ) 21,212 38 1,747 (3 3 .0 ) 1,313 9 420 ( — 6 .7 ) 19,919 (6 .1 ) M ETALS F e b ., 1925 M a r., 1924 138,772,000 128,560,000 5,077,000 46,811 5,726,000 47,775 F ig u r e s fo r le a d are n o t a v a ila b le . 8,814 9,145 ( — 3 .6 ) 887 871 13 (1 .8 ) 692 142,952 134,993 ( 5 .9 ) 5 116 450 18,782 F ig u r e s in p a re n th e se s in d ic a te p e r c e n t a g e in c re a s e o r d e c r e a s e ( — ) as c o m p a r e d w ith p r e v io u s m o n th . National production of non-ferrous metals, a large proportion of which are mined in this dis trict, was generally larger in March, 1925, than in February, 1925. The output per working day was smaller, however, during March than in February. Production of copper and zinc was larger, and of silver smaller, in March, 1925, than in March, 1924. C o p p e r ( lb s .) (m in e p r o d u c t io n ) ....................... 150 ,766 ,00 0 S ilv e r ( o z .) (c o m m e r c ia l b a r s ) ....................................... 5,236,000 Z in c (t o n s ) ( s l a b ) ............... 51,485 4,026 66 Lum ber P rodu ction , O rd e rs R e c e iv e d , and Shipm ents in T w elfth Federal R eserv e D istrict as R e p orted by F o u r L u m b er A ss o c ia tio n s, 1922-1925 N A T I O N A L P R O D U C T I O N O F N O N -F E R R O U S 4,005 ( — 0 .5 ) F o o d , B ev era ges and T o b a c c o . . . . 148 W a t e r , L ig h t an d P o w e r . . . . 6,922 ( 3 .9 ) MILLIONS OF BOARD FEET Average daily production of petroleum in California during March was 600,839 barrels, compared with 602,494 barrels in February, evi dencing continuance of the decline in output which has been in progress since September, 1923. The March, 1925, figures were 6.5 per cent below those for March, 1924, and 30.0 per cent below the record figures of September, 1923. Consumption of petroleum declined during March, continuing less than production, and stored stocks in California increased 1.6 per April, 1925 cent to a new high point of 102,985,823 barrels on March 31, 1925. PETROLEUM Indicated A v era ge D aily A vera ge C on su m ption D aily P rodu ction (Shipm ents) (barrels) M arch , F e b ., S ep t., M arch , 1925. 192 5. 1923* 192 4. 29 FEDERAL RESERVE AGENT AT SAN FRANCISCO 600,839 602,494 858,750 642,363 Stored S to ck s at End o f M on th ■ N e w W e lls —> D aily P rodu c tion (barrels) 102,985,823 101,344,730 $ 9 4 ,5 4 6 ,8 8 1 f * P e a k o f p r o d u c t io n . tS e p t e m b e r , fig u res n o t ava ila b le. 1924, 52 65 93 131 s to c k s . 19,951 28,170 139,960 62,771 ^ C o m p a r a b le Flour production of reporting mills in this district declined 14.8 per cent from February to March, 1925, and in the latter month was 31.0 per cent smaller in volume than in March, 1924, and 24.3 per cent less than the five-year average for March. Flour stocks of these mill ing companies changed little during the month, and at its close were 6.8 per cent larger than one year ago. Stocks of wheat, which have been maintained at relatively low levels throughout the season, were 21.4 per cent smaller on March 31, 1925, than on February 28, 1925, 35.7 per cent smaller than on March 31, 1924, and 23.3 per cent smaller than the five-year average for the end of March. F L O U R M IL L IN G * M a r ., 1925 O u tp u t ( b b l s .) . . . 353,703 S tock sf F lo u r ( b b l s . ) . . 508,815 W h e a t ( b u . ) . . . 2,218,532 F e b ., 1925 414,985 510,605 2,823,484 * A s r e p o r te d b y 16 c o m p a n ie s . lo w in g m o n th . $1921-1925. E L E C T R IC E N E R G Y * N u m ber O pened (barrels) (barrels) 547,901 558,801 $ $ per cent increase in volume of sales as com pared with February, 1924, compares with an nual increases of 28.3 per cent and 21.7 per cent, respectively, reported in February, 1924 and 1923. M a r., 1924 512,639 476,362 3,448,892 F iv e -Y e a r A v era ge M arch , (1920-1924) 467,449$ 505,191 2,892,415 C a lifo rn ia ............................................ . P a c ific N o r t h w e s t ............................. I n te r m o u n ta in S ta te s ..................... T w e lft h D i s t r i c t ................................ Percentage increase or d ecrease (—) in volum e of sales, F eb., 1925, com pared with Jan., 1925 F e b ., 1924 5.2 — 1.3 2.9 — 5.5 0.8 — 6.1 4.0 — 2.9 N u m ber and D istrib u tion o f Industrial C on su m ers and A ctu a l V o lu m e o f Sales N u m ber o f Industrial C on su m ers F e b ., F e b ., 1925 1924 C a lifo rn ia .................... 86,291 77,023 P a c ific N o rth w e s t . . 15,069 12,686 I n te r m o u n ta in S ta tes 5,269 5,164 T o ta l ........................ 106,629 94,873 Industrial Sales K. W . H . F e b ., F e b ., 1925 1924 232 ,844,462 221 ,429,900 73,245,911 71,177,037 54,803,270 54,388,212 360,893,643 346,995,149 * A s r e p o r te d b y 20 c o m p a n ie s . General Business and Trade The high level of general business activity reached in February was not maintained during March, a smaller than seasonal increase in trade being observed in the later month. Growth in volume of trade from March, 1924, to March, 1925, is estimated to have been slightly less than the normal annual increase incident to growth in population and trading importance of the district. f A s o f the first d a y o f th e f o l INDEX NUM BERS Reports indicate that rapidly changing prices for wheat, and in smaller degree for flour, ham pered trading in both domestic and foreign flour markets during March. During February, 1925, the volume of indus trial sales of electric energy by 20 reporting power companies in the Twelfth District was 4,0 per cent larger than in February, 1924, and 2.9 per cent less than in January, 1925. The 4 ( C) Building Permits B e r k e le y ............ B o is e ................. F r e s n o ................. L o n g B e a ch . . . L o s A n g e le s . . O a k la n d ............ O g d e n ................. P a sa d e n a .......... P h o e n ix .............. P o r t la n d ............ R e n o .................... S a c r a m e n to . . . S alt L a k e C it y . San D ie g o . . . . San F r a n c is c o . San J o s e ............ S ea ttle ................ S p o k a n e ............ S tock ton .......... T a c o m a ............... N o. 392 96 123 427 4,264 1,332 33 251 103 1,626 31 334 214 690 1,125 115 1,152 389 133 397 V a lu e $ 1,029,452 70,955 152,199 1,013,671 14,714,002 3,334,110 133,800 820,933 233,789 4,645,140 96,925 853,266 804,740 1,448,899 5,130,965 315,340 3,477,820 647,335 536,107 756,891 13,227 $40 ,216 ,33 9 M a rch , 1924 V a lu e N o. 286 $ 956,950 75 71,777 130 175,943 469 2,287,240 17,279,758 5,256 2,896,416 1,386 204,500 36 885,252 353 118,010 76 1,528 3,247,290 26,900 14 622,072 324 156 833,020 496 800,739 994 4,652,933 217,175 122 1,040 2,151,860 312 359,485 118 810,140 763,102 391 13,562 $39,360,562 B a n k D e b its — T w e lfth D istrict Index for 20 principal cities (1919 monthly a v e ra g e = 1 0 0 ). Latest figures, March, with adjustment, 1 38 ; without adjustment, 145. The volume of payments by check (bank debits) in 21 principal cities of the district in creased by 10.7 per cent during March, a smaller than seasonal increase. This bank’s index of bank debits, adjusted for seasonal variations, declined from 149 in February, 1925, to 138 in March, 1925 (1919 monthly average=100). The index stood at 133 in March, 1924. Estimated monthly totals of bank debits for each of the 21 cities are shown in Table “ D ” (page 30). 30 April, 1925 M O N TH LY REVIEW OF BUSINESS CONDITIONS Trade at retail, as indicated by sales of 32 department stores in seven cities, increased by 26.1 per cent during March, as compared with February. This increase was slightly smaller than that which usually occurs at this season of the year, and the bank's index of depart ment store sales, adjusted for seasonal varia tions, declined from 150 in February, 1925, to 149 in March, 1925 (1919 monthly average= 100). A year ago the index stood at 138. Easter Sunday came on April 28th in 1924 and on April 12th in 1925. It is possible that some INDEX NUMBERS of these firms was 1.8 per cent greater than in March, 1924. Their February, 1925, sales were 8.0 per cent smaller in value than a year ago. Six of eleven reporting lines showed decreased sales during March, 1925, as compared with March, 1924. Except in the case of automobile supplies, the decreases were smaller than simi lar annual declines reported in recent months. Five lines showed increased sales over the year period compared with four such increases re ported in February and in January. All of the eleven lines showed increases, partly seasonal, in sales during March, 1925, compared with February, 1925. W H OLESALE TRAD E A g r ic u ltu r a l Im p le m e n ts . A u t o m o b ile S u p p l i e s . .. . . A u t o m o b ile T i r e s ............ D r y G o o d s ........................ . E le c t r ic a l S u p p lie s . . . . S ta tio n e r y Index of 32 Stores in 7 cities (1 91 9 monthly a v e r a £ e = 1 0 0 ). Latest figures. March, with adjustment, 1 4 7 ; without adjustment, 143. Easter buying done in March of this year was transacted in April of last year. This wrould account for part of the increase in March, 1925, compared with March, 1924. IN D E X N U M B E R S O F D E P A R T M E N T STO R E SALES (1919 M onthly A v e r a g e = 1 0 0 ) W ith ou t Seasonal A d justm ent M arch, M arch , M arch , M arch, M arch , M arch, O c t ., N o v ., D e c ., J a n ., F e b ., M arch, Los A n geles 1919. . 84 1920. . 133 1921. . 146 1922. . 148 1923. . 182 1924. . 194 1924. . 218 1924. . 200 1924. . 335 1925. . 203 1925. . 173 1 9 2 5 .. 215 W ith Seasonal M a r c h , 191 9. M a r c h , 1920. M a r c h , 1921. M a r c h , 192 2. M a r c h , 1923. M a r c h , 1924. O c t ., 1924. 1924. N o v ., 1924. D e c ., Jan ., 1925. 1925. F e b .. M a r c h , 192 5. O ak land 83 118 119 102 131 123 160 138 243 119 110 132 A d ju stm en t 89 . 87 . 137 125 127 . 151 109 . 152 . 188 140 . 200 131 147 . 212 137 . 201 146 . 222 139 . 214 . 213 146 141 . 223 San F ran c is c o 89 120 118 113 135 128 146 138 221 115 104 132 90 120 119 114 136 129 135 133 137 130 136 133 Salt L a ke Seattle C ity 94 81 101 ' 97 82 104 83 79 98 95 94 94 121 111 107 104 177 173 78 91 80 73 98 95 Spo kane 78 93 98 83 103 85 117 95 148 69 72 77 102 110 113 91 107 102 102 101 114 111 112 107 92 110 116 98 122 101 88 91 98 96 106 91 87 104 89 85 102 102 101 106 110 105 114 102 D is trict* 86 116 117 111 136 135 159 145 239 129 115 143 88 119 120 114 140 138 147 146 153 147 150 147 . . . ........................... . On March 31, 1925, savings deposits in 71 banks in seven cities of the district were larger by 10.7 per cent and 0.02 per cent, respectively, than on March 31, 1924, and February 28, 1925. S A V IN G S A C C O U N T S N u m ber of B anks L o s A n g e le s . . 13 O a k la n d ! ......... 7 P o r tla n d .......... 9 S a lt L a k e C ity 8 San F r a n c is c o . 14 S e a ttle ............... 14 S p o k a n e ............ 6 T o t a l ............... M a r., 1925* $36 2,17 4 94,440 52,715 30,381 459,817 71,742 19,413 F e b ., 1925* $371,291 94,914 52,682 29,941 449 ,732 72,085 19,782 Per C en t increase or decrease ( — ) M a r., 1925, com pared with M a r., M a r ., F e b ., 1924* 1924 1925 $323,472 11.9 — 2.4 89,360 5.6 — 0.4 49,805 5.8 0.06 28,669 5.9 1.4 411,142 11.8 2.2 65,113 10.1 — 0.4 18,139 14.7 — 1.8 71 $1,090,682 $1,090,427 $985,700 10.7 0.02 *000 o m itte d , f l n c l u d e s o n e b a n k in B e r k e le y w h ic h w as f o r m e r ly a b r a n c h o f an O a k la n d b a n k . ( D ) Bank Debits* .$ L o n g B e a ch L o s A n g e le s . . ,. . .. P a sa d e n a P o r tla n d S a c r a m e n to . . S alt L a k e C ity San D ie g o . . San F r a n c is c o . . San Jose *32 sto r e s. Improvement in the wholesale trade situation in this district was revealed by March reports of sales of 194 wholesale firms engaged in eleven lines of business. Total value of sales N o . of F irm s 22 17 21 6 17 9 17 26 20 13 26 Percentage increa se or d ecrease (— ) ------------- in V a lu e o f Sales----------- \ M a r ., 1925 M a r., 1925 F e b ., 1925 com pared com pared com p ared with with with M a r., 1924 F e b ., 1925 F e b ., 1924 53.3 0.9 24.0 — 12.1 14.3 — 9.6 11.6 17.4 22.1 17.1 19.9 4.3 — 8.1 22.3 — 21.1 5.6 11.4 4.6 — 10.2 — 2.7 2.6 19.0 — 7.6 5.4 — 6.8 13.1 — 9.1 23.2 — 18.2 — 9.3 — 4.5 15.7 — 9.8 S tock ton .......... M a rch , 1925 18,049 10,227 28,074 51,274 831,967 134,953 23,559 40,112 23,280 156,550 8,564 36,301 67,383 56,698 980,290 22,930 202,716 49,475 28,011 11,786 T ota l ............. .$2,8 26,955 *000 omitted. $ M a rch , 1924 16,671 10,696 28,783 59,598 866,859 133,584 24,310 38,604 20,626 164,304 7,319 38,879 62,933 47,827 846,601 19,970 197,360 48,769 23,893 51,516 10,344 $2,719,446 $ T h re e M on th s 1925 1924 55,199 $ 54,847 33,392 32,511 85,764 95,543 147,739 184,429 2,395,804 2,456,447 397,105 392,002 74,264 75,286 112,914 115,572 73,078 63,7 12 444,419 474,895 22,803 25,402 117,132 151,320 197,945 185,723 151,668 156,174 2,474,730 2,837,913 71,252 64,772 570,310 531,735 146,311 140,985 72,485 77,755 128,141 126,123 33,872 29,496 $8,179,286 $7,899,683 April, 1925 31 FEDERAL RESERVE AGENT A T SAN FRANCISCO Percentage increases or decreases (— ) in the number and liabilities of business failures in the Twelfth Federal Reserve District, as re ported by R. G. Dun and Company, follow: N u m b e r o f B u s in e s s F a ilu r e s ........................ L ia b ilit ie s o f B u s in e s s F a ilu r e s .................... M a r., 1925, com pared with M a r., 1924 F e b .. 1925 — 5.1 0.5 — 9.3 — 1.5 advances and 9 declines, with one commodity quoted at the same price in both years. Chicago quotations for May wheat, which reached a peak of $2.02 to $2.05 per bushel on January 30, 1925, ’had dropped to $1.36 to $1.45 per bushel on April 3rd, and stood at $1.44 to DOLLARS PE R HUNDRED POUNDS Prices The general level of wholesale prices in the United States was the same in March as in February, the Bureau of Labor’s index of prices of 404 commodities standing at 161 (1913 prices — 100) in both months. More sensitive weekly indexes of wholesale prices indicate that the trend has recently been downward. During March the general index was sus tained at February levels by rising prices for foods and continued strength in prices of farm products and cloth and clothing. Prices of other commodity groups comprising the index, in cluding fuel and lighting, metals, building ma terials, chemicals and drugs, and house furnish ings, declined slightly during the month. There was an increase of 3.4 per cent in the purchasing power of farm products during March, according to the index of the United States Department of Agriculture, which is based upon the relation of farm prices of 30 selected farm products to prices of non-agricultural products. An advance in prices of beef cattle and hogs, at a time when prices of non•agricultural products generally were declining, was chiefly responsible for the rise in the pur chasing power index. At 91 (1913 purchasing power=100) in March, 1925, the index was at the highest point reached since 1920. It stood at 88 in January and February, 1925, and at 79 in March, 1924. In a list of 27 commodities produced in this district, for which comparable price quotations are available, there were 14 price declines and three price advances during March, ten quota tions remaining unchanged. A comparison of prices of the same list of commodities as be tween March, 1925, and March, 1924, shows 17 M o n th ly A v era g e Prices o f N ative B eef Cattle, Light H o g s , and A g e d Sheep at C h icago, 1919-1925. A n in d e x o f the fa rm p r ic e o f m eat a n im als p r e p a r e d b y th e U n it e d S tates D e p a r tm e n t o f A g r ic u ltu r e , a d v a n c e d 39.4 p e r c e n t fr o m M a r c h , 1924, to M a r c h , 1925, w h en it s t o o d at 145 ( A u g u s t , 190 9-J u ly, 1 9 1 4 = 1 0 0 ) . T h e B u re a u o f L a b o r ’ s in d e x o f w h o le sale p r ice s o f n o n -a g r ic u ltu r a l c o m m o d it ie s d e c lin e d 0.6 p e r c e n t d u r in g th e sam e p e r io d an d s t o o d at 165 (1 9 1 0 -1 9 1 4 = 1 0 0 ) in M a r c h , 1925. $1.51 per bushel on April 17th. One year ago May wheat on the Chicago market was quoted at $1.02 to $1.03 per bushel. A similar though smaller decline in wool prices has taken place since the end of January. A weekly average of 98 wool quotations at Boston, which stood at 103.8 cents per pound on January 23rd, was down to 90.19 cents per pound on April 3rd. The 1924 low point of this average was 73.28 cents per pound reached on July 24, 1924. Sugar prices declined from $6.15 per hundred pounds (refined beet sugar) on March 1st to $5.90 per hundred pounds on April 14th, the latter figure being the lowest quoted since June, 1922. One year ago sugar sold for $8.10 per hundred pounds. Prices for cattle and hogs have (E) Commodity Prices— C om m od ity U nit W h o le s a le P r ic e s ( U . S. B u re a u o f L a b o r ) 1 9 1 3 = 1 0 0 ....................................... P u r c h a sin g P o w e r o f F a rm P r o d u c t s ( U . S. D e p a r tm e n t o f A g r i c u l t u r e ) ! C a ttle (N a t iv e B e e f ) .W e e k l y a v e r a g e p r ic e at C h ic a g o .................................... 100 lbs. H o g s ................................W e e k ly a v e r a g e p r ic e at C h ic a g o ..................................... 100 lb s. L a m b s .............................W e e k ly a v e r a g e p r ic e at C h ic a g o ..................................... 100 lbs. W h e a t ............................. C h ic a g o c o n t r a c t p r ic e fo r M a y w h e a t .......................... bu. C o tto n ............................. M id d lin g U p la n d s — W e e k ly ra n g e o f s p o t q u o t a tio n s at N e w O r le a n s ....................................................... lb . S u g a r ................................B e e t G ra n u la ted f. o. b. San F r a n c is c o ......................... lb . P r u n e s .............................S iz e 4 0 /5 0 in 25-lb. b o x e s f. o. b. C a lifo r n ia .............. lb . R a is in s ...........................L o o s e M u s c a te l in 25-lb. b o x e s f. o . b . C a lif o r n ia ., lb . W o o l ................................A v e ra g e o f 98 q u o ta tio n s at B o s t o n .............................. lb . C o p p e r ............................ E le c t r o ly t ic , m o n th ly a v e ra g e at N e w Y o r k .............. lb . L e a d ................................ M o n th ly a v e ra g e at N e w Y o r k .......................................... lb . S ilv e r .............................. M o n t h ly a v e r a g e at .N ew Y o r k ........................................... oz. Z in c .................................. M o n th ly a v e ra g e at St. L o u is ............................................. lb . L u m b e r ( s o f t w o o d ) . . W e e k ly I n d e x , U . S . * ............................................................ A p r. 3, 1925 161 91 $10.45 13.10 14.75 1.36 ^ 2 -1 .4 5 2 4 .5 0 -2 5 .1 0 0 6.050 .0 9 ^ -0 9 5 4 .0 9 % 90.190 14.0040 8.9140 67.8080 7.3190 31.60 O ne M on th A g o 161 88 $10.10 13.00 17.05 1 . 8 0 ^ - 1 .9 6 ^ One Y ea r A g o 150 79 $9.75 7.50 16.00 2 5 .3 0 -2 6 .0 0 0 6.250 .1 0 3 4 -.1 0 ^ •09% 101.220 14.4630 9.4280 68.4720 7.4800 31.65 27. 5 0 -3 0 .0 0 0 1 .0 1 U -1 -0 2 H 8.500 .10 * 4 -. 11 N o t Q u o te d 82.470 13.5150 9.0130 63.9570 6.4880 32.52 * A s p u b lish e d b y th e “ L u m b e r M a n u fa c tu r e r and D e a le r .” t R a t io o f fa rm p r ice s (A u g u s t , 190 9-J u ly, 1 9 1 4 = 1 0 0 ) to w h o le sa le p r ice s o f n o n -a g r ic u ltu r a l co m m o d itie s (1 9 1 0 -1 9 1 4 = 1 0 0 ). 32 April, 1925 M O N TH LY REVIEW OF BUSINESS CONDITIONS strengthened during the past month, while sheep and lamb prices have tended slightly downward. Comparative monthly average quo tations (dollars per 100 pounds) of beef cattle, sheep, and hogs at Chicago from 1919 to 1925 are shown in the chart on page 31. The gen eral trends of livestock prices at the import ant livestock markets of this district are ap proximately the same as price trends at Chicago. Weakness in non-ferrous metals markets continued during March and price declines were general. Present quotations for silver and zinc are higher, and for copper and lead are lower, than one year ago. The figures appear in Table “E.” Lumber prices at Pacific North western producing centers developed no gen eral trend during March, some grades advanc ing in price while others declined. Details of price movements for a selected group of products of the district, and represen tative index numbers of the general price level are presented in Table “E ” (page 31). the Reserve Bank increased $1,000,000 (7.5 per cent) during the four weeks. R E P O R T I N G M E M B E R B A N K S — T w e lfth D istrict* (Figures are in millions of dollars, numbers in parentheses indicating percentage changes.) C o n d itio n A p ril 8, 1925 T o t a l L o a n s ...................... C o m m e r c ia l L o a n s . . . . In v e s tm e n ts ...................... D e m a n d D e p o s i t s ............ T o t a l D e p o s it s ................ B o r r o w in g s fr o m F e d e ra l R e s e r v e B a n k .............. 1,101 865 448 770 1,554 17 C h an g e fro m O n e M o n th Ago + 7 ( 0 .6 % ) — 1 ( 0 .1 % ) + 2 7 ( 6 .4 % ) — 32 ( 4 .0 % ) + 2 8 ( 1 .8 % ) C h an ge from O ne Y ear Ago + 81 ( 7 .9 % ) + 49 ( 6 .0 % ) — 94 ( 2 6 .6 % ) + 49 ( 6 .8 % ) — 218 ( 1 6 .3 % ) + — 1 (7 .5 % ) 11 ( 3 9 .5 % ) * T o t a l r e s o u r c e s o f r e p o r t in g b a n k s are a p p r o x im a t e ly 5 2 % o f to ta l r e s o u r c e s o f all b a n k s, an d 7 4 % o f t o ta l r e s o u r c e s o f all m e m b e r b a n k s in T w e lft h F e d e ra l R e s e r v e D is t r ic t . R e p o r t in g ba n k s e m b r a c e m e m b e r b a n k s in S a n F r a n c is c o , L o s A n g e le s , O a k la n d , P o r t la n d , S e a ttle , T a c o m a , S p o k a n e , S alt L a k e C ity , a n d O g d e n . MILLIONS OF DOLLARS Banking and Credit Situation Total loans and investments of 70 reporting member banks in 9 cities of the Twelfth Fed eral Reserve District increased by $34,000,000 or 2.2 per cent during the four weeks ending R e se rv e B ank C re d it — T w e lfth D istrict Figures for Federal Reserve Bank of San Francisco, as of last W ednesday of each month. Latest figures, March 25. MILLIONS OF DOLLARS Discounts at the Federal Reserve Bank of San Francisco increased by $5,000,000 (21.4 per cent) during the four weeks ending April 15,1925, and on the latter date were $21,000,000 or 262.5 per cent higher than on January 14, 1925, when the present upward movement in member bank borrowing began. Reserve bank holdings of United States securities increased by $2,000,000 (4.4 per cent) during the fourweek period, while volume of purchased ac ceptances held decreased $1,000,000 (4.6 per cent). Total earning assets, at $91,000,000 on April 15th, were $5,000,000 (5.8 per cent) larger than on March 18th and $13,000,000 (16.7 per cent) larger than a year ago. Federal re serve note circulation, at $195,000,000 on April 15th, showed no change from the figures re ported on March 18th. F E D E R A L R E S E R V E B A N K O F SA N F R A N C IS C O M e m b e r B a n k C r e d it— T w elfth D istrict Figures for 70 member banks in leading cities, as of last W ednesday of each month. Latest figures, March 25. April 8, 1925, chiefly as a result of increases in collateral loans and in investment holdings. Commercial loans declined slightly during this period. Demand deposits decreased by $32,000,000 (4.0 per cent) during the four weeks, but time deposits increased by a greater amount, and total deposits were larger by $28,000,000 (1.8 per cent) on April 8th than on March 11th. Borrowings of reporting member banks from !r» (Figures are in millions of dollars, numbers in parentheses indicating percentage changes.) C on dition A p ril 15, 1925 91 29 . 35 27 282 . 166 T o t a l E a r n in g A s s e t s . . . D is c o u n t s ............................. U n it e d S ta te s S e c u r itie s P u rc h a s e d A c c e p t a n c e s . T o t a l R e s e r v e s ................. T o t a l D e p o s it s .................. F e d e ra l R e s e r v e N o te C ir c u la tio n ...................... . 195 C h ange from O n e M on th Ago + 5 ( 5 .8 % ) + 5 ( 2 1 .4 % ) + 2 ( 4 .4 % ) — 1 ( 4 .6 % ) — 2 ( 0 .7 % ) + 3 ( 2 .2 % ) 0 C h ange from O ne Y ear Ago + 13 ( 1 6 .7 % ) — 7 ( 1 9 .5 % ) + 7 ( 2 6 .9 % ) + 12 ( 8 3 .4 % ) — 12 ( 3 .8 % ) + 9 ( 6 .3 % ) — 9 ( 4 .1 % ) Interest rates at important banking centers of this district were unchanged during March.
@FedFRASER